Betterworks survey finds HR and people managers disagree on the desired outcomes of performance management program
Betterworks, the leading enterprise HR software for OKRs and Continuous Performance Management, released its second report based on insights from its 2019-2020 State of Continuous Performance Management Survey. This report found a critical disconnect between HR leaders and managers, specifically around the desired outcomes of their company’s performance management programs, and this puts the business at risk.
“Our survey found that many managers view their company’s current performance processes as outdated and more of a hindrance than a help. Outdated HR processes built to measure and change performance management aren’t working, so businesses are focusing on improving goal alignment which can have a bigger impact on top-line company growth,” said Doug Dennerline, chief executive officer at Betterworks. “Overwhelmingly, the people managers that responded to our survey want to increase how often employee goals are set and aligned with top company goals. When business environments move this quickly, workforce agility is key.”
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While HR and people managers agree that their current performance management programs are ineffective, they have very different ideas about the purpose of these programs. Compared to the HR professionals surveyed, managers want the following business outcomes from their performance management process at a significantly higher rate:
| Desired Business Outcome | % Managers | % HR Professionals | % Difference |
| Ensure enterprise agility and rapid response to changing business needs | 41% | 26% | +58% |
| Improve accountability throughout the company | 42% | 35% | +20% |
| Ensure alignment around top company priorities | 46% | 37% | +24% |
| Increase performance across the organization | 46% | 40% | +15% |
| Ensure company meets the goals it sets | 52% | 44% | +18% |
| Increase productivity throughout the company | 50% | 43% | +16% |
Both managers and HR expressed a desire for more frequent and ongoing performance management activities. Overwhelmingly, the HR leaders and managers agreed that the following activities should be performed more frequently in the coming year:
- Ensure employees set career development goals at least quarterly: 84% of HR, 89% of managers
- Have managers solicit feedback from their peers and co-workers multiple times a year: 89% of HR, 83% of managers
- Set and align individual and team goals to top company priorities at least quarterly: 85% of HR and 82% of managers
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When a more continuous performance process is adopted, the results are dramatic. In fact, the survey found that HR teams that have implemented a continuous performance program report being nearly 50% more satisfied with their performance management process and are 24% more likely to recommend this methodology compared to companies that still rely on annual processes.
Betterworks will continue to release additional reports based on findings from the survey. In addition to these publicly available resources, HR and business leaders attending local Betterworks Motivate Days will also gain exclusive access to further insights, tools, and reports from the research.
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