Would you recommend your organization’s performance management approach? If you inadvertently shrugged, you’re not alone! In a survey of over 1,000 organizations, Bersin’s recent High-Impact Performance Management study found that performance management (PM) is the most universally hated people process.1 The Net Promotor Score2 of PM is -60, making just about every other process look better—even with inglorious competing scores like -15 for total rewards. The wake-up call is clear, and most organizations have either already begun a transformation journey or are embarking on it in the near future. But have we paused to think what reinventing, redesigning, and reimagining actually mean?
As Bersin’s™ recent High-Impact Performance research indicates, the discipline of performance management is in the midst of deep and fundamental changes.1 As this evolution has moved from the halls of HR, to the C-suite, to the popular press, and the forefront of many employees’ minds, we’ve noticed that a couple of key terms have come to be used interchangeably along the way—specifically, ratings and rankings. This blog offers a quick perspective on how Bersin uses these terms and why we think it is important to distinguish between the two.