You’ve worked methodologically to make the best hires and avoid common pitfalls of hiring. The productivity superstars who were your best candidates are now your staff members. How will you validate your claim and determine who is producing on your team? To keep your company on track, you’ll have to employ tracking analytics.
It’s essential to understand how your employees are performing in order to implement long-term strategies, and you’ll need worthwhile metrics to do so. You can only guide your employees if you understand where they need improvement and where they don’t. With sustainable measurement systems for employee performance, your employee productivity will be as clear as profits to how well each member of your team contributes.
Our proven employee assessment strategy for our clients can be broken down into 5 simple steps. We provide the necessary criteria and metrics for tracking employee performance. Our approach is easily implemented, adaptable, and adjustable, so you can fit the appropriate job responsibilities to the metrics that you need to understand your business.
In five simple steps, here’s how we track progress:
- Explicitly state each position’s relative value – Benchmarking relative value makes performance evaluation feasible. Establish a straightforward trajectory for each position. For example, if it’s a salesperson, whose performance will be directly tied to revenues, create metrics for his or her number of closes. If it’s a customer service position, put place-markers for consistency and customer evaluation.
- Institute practical, determinate goals – For your sales team, this means linking sales calls to generating revenue. Measure who is hitting their number (how fast and how often) with average conversion rates. For example, imagine your weekly revenue goal is $9,000 per sales individual and the average revenue per sale is $1,000. If you have a saleswoman who has a conversation ratio of 30%, you know that you can safely rely on her to hit $9,000 in a week after 33 sales calls. Measuring individual performance will help you set goals for your team, help you know if your team is hitting their quotas, and know if it needs more help.
- Employ tracking tools – You’ve established measureable goals, so its time to follow up and assess performance. Sticking with our sales team example, make a call sheet for each measurable time interval. Check your call sheet against your most important determinate goals. Are individuals meeting their revenue standards? Are they taking the necessary number of calls? For other types of positions, such as customer service or administrative jobs, you can also apply metrics based on number of calls taken or the number of tasks completed.
- Get everyone at all levels on track – Businesses sometimes have employees who feel that their value cannot be measured. Sometimes it’s a customer service representative, others it’s a CFO. On the contrary, your business is successful because each member of your team has value. Make sure each member of your team remains responsible for his or her role. Make on-the-job responsibilities measurable. Build tracking programs that consider accountability. Doing so will make the value conversation straightforward and not up for debate.
- Pair individual performance to collective objectives – When finalizing your performance analytics, be certain that the information you’re getting from your metrics will contribute to your business’s goals. If your goals are to increase revenue from sales, the metric should concentrate on your sales team hitting their quotas and making the right number of calls based on their conversion ratios.
Remember that the responsibilities of each employee can be tracked. You are responsible for getting the most out of your employees [Hyperlink Peak Performance Article just submitted] and keeping them on track. If an employee’s responsibilities don’t seem measurable, you’ll need to give that employee new responsibilities. When you track employee performance, you help employees reach individual and company objectives.