January 1st, 2019 • Performance Management
Organizations are constantly looking to get better at evaluating and measuring employee performance. Performance management is aimed at improving an organization’s bottom line by stimulating employee performance. It also aligns workforce and individual goals with the wider organizational goals and mission.
Initially, organizations relied on paper-based annual performance reviews. But the paper-based process was clunky, stressful, and subject to bias. To solve its glaring inefficiencies, organizations embraced technology—they moved to performance management tools.
Performance management tools helped organizations shift from broken annual reviews to regular, frequent feedback. However, choosing the right performance management software is a battle in itself. Just the thought of floundering in the dark with an unknown, complex software will make organizations want to move back to the traditional performance appraisal process.
But everything’s not lost! Here is a comparison of the six best performance management tools on the market to help organizations in their quest to find the perfect tool for their organization.
Performance management tools streamline the performance management process in an organization. While annual reviews focus completely on the past, performance management tools allow organizations to not only assess but also improve employee performance. They allow businesses to alter employee goals according to changing business needs.
There are many types of performance management tools out there, but here are six of the best ones for you to choose from.
Rather than a traditional performance management tool, Kissflow HR Cloud is an automation platform that lets you build your own performance management system just the way you want it. While other options force you to fit inside their definition of performance management, Kissflow HR Cloud gives you a blank slate with some templates to create the perfect system.
Pros: Kissflow HR Cloud is web-based, and useful for organizations of all sizes. It helps organizations initiate performance reviews, design appraisal forms, and customize workflow and mail alerts to meet the organizational policy. Although the performance module looks rather simple, it is powerful enough to offer in-depth insights into employee performance.
Cons: Its ease-of-use and integration-friendly nature are the crown jewels of Kissflow HR Cloud. But don’t expect everything to be in place from the start. Since it is a cross-function platform, you build your own automated HR processes rather than having it handed to you.
Workday’s compensation management module is an ideal solution for enterprises to create, define, and analyze employee performance and business objectives linkage.
Pros: It supports the performance review process end-to-end: from goals alignment to review and compensation. Organizations have the liberty to update goals or KPIs as and when required.
Cons: Although it is a powerful performance management software, the lack of training materials to understand how the platform works and little to no support from Workday itself makes users wary. The potential of Workday is marred by its clunky and outdated UX.
BambooHR is a great performance management tool for small businesses and medium-sized organizations. Its performance review system is made for the redefined performance management landscape including frequent check-ins.
Pros: It comes with an impressive reporting feature that provides real-time insights on high-performers and people with performance issues.
Cons: As BambooHR is pretty choosy with partnerships, there are issues with integrations. Its inflexible workflows might bypass an entire multi-level workflow if a single participant is out of office and leaves much to be desired.
True to its name, Engagedly takes an engaging approach to the performance review process and enhances employee engagement.
Pros: It solves all the performance management needs of an organization with features such as 360-degree peer review, social praise, goal management and cascading, collaboration, LMS, surveys, and rewards.
Cons: However, Engagedly’s reporting aspects aren’t its strong suit. Sometimes, it is hard to pull any analytics besides the information displayed on the dashboard. What’s worse is that even the dashboard layout can be confusing occasionally.
UltiPro is a cloud-based performance management software that focuses on improving employee experiences.
Pros: It offers specific modules to develop performance, manage succession, administer compensation plans, deliver workplace surveys, and discover employees’ feelings about their job through sentiment analysis.
Cons: One of the drawbacks of Ultipro is that most modules except the core functionalities are a bit clunky to use. Its lack of a third party, pre-integrated online app store leaves organizations with very few options if they have a unique policy or process which demands the need to connect with other HR apps.
Halogen’s performance management system allows organizations to configure the performance review template to meet their own policy framework. Its intuitive and user-friendly interface is coupled with a seamlessly never-ending list of enhancements.
Pros: The feedback feature allows managers to share quick feedback with anyone within the organization even if they are not a direct reportee.
Cons: On the downside, its interface is rather slow and it has deteriorated even more after the recent revamp to include graphical progress charts and reports. Also, it is a lot of work to build everything from the scratch since there are no pre-designed forms or “out of the box” functionalities that are ready to for use.
Performance management tools speed up the performance management process and help organizations deliver fair, periodic reviews. Performance management tools can offer the following seven benefits for your organization:
There are several other performance management tools available for you to choose from, but if you look for the features that are available in these major performance review systems, you will be able to zero in on the perfect solution.
If you’re in the process of choosing a performance management tool for your organization, do yourself a favor and choose a customizable platform that comes with pre-defined templates and great reporting module. Try out Kissflow HR Cloud and see how easy it is to assess and measure employee performance without taking a hit on employee engagement and satisfaction.