Shockingly, 58% of companies in this day and age still use spreadsheets to record their performance evaluations. Further, only 45% of employees te that their organisation uses a fair and consistent appraisal system.
To address this problem, HRMs can now make use of the employee performance evaluation software available in the market.
A Little About Employee Performance Evaluation Software
Streamlining all HR processes is of the utmost importance, especially with a growing workforce. One such task is employee evaluation and feedback. To establish a fair, data-driven system for appraisals that boost the faith of all employees, deploying an employee performance evaluation software poses an excellent solution.
An Employee Performance Evaluation and Feedback Software provides a uniform platform for goal setting, reviews, appraisals, and feedback that is accessible to all.
What Does an HRM Stand to Gain from an Employee Performance Evaluation Software?
Fair, accurate, and transparent appraisals is the primary goal when creating a performance evaluation and employee feedback system. Further, a Gallup study revealed that 50% of employees engage in quiet quitting, the biggest reason behind this being poor employee engagement.
Thus, an employee performance evaluation software will help achieve the following:
- A decision-making process that is free of bias and supported by data.
- Objectivity in performance assessments.
- Better employee engagement.
- Better alignment between company objectives and personal goals.
- Identification of skill requirements and gaps to design a dedicated training program.
- Time-saving and lessening the administrative burden.
- Setting SMART goals (Specific, Measurable, Achievable, Relevant, Time-bound).
- Transparency with regards to appraisals between managers and employees.
How Can Employee Performance Evaluation Software Help the Gen-Z Workforce?
According to recent data, Gen Z is set to make up 27% of the workforce in 2025. Being the most diverse, conscious, and digitally-forward generation, their outlook as employees differs from older ones. 77% of Gen Z consider work-life balance to be paramount. Further, 65% of Gen Z workers leave their work if they do not find it to be meaningful or promising.
With the help of an employee performance evaluation software, you can meet the following objectives:
- On-time and constructive feedback, and goal alignment.
- Scope for career-mapping and professional development.
- Setting a benchmark of skills to introduce a parity in demands for any job role.
- Increase in productivity, engagement, and retention.
How Does the Employee Feedback System Factor In Employee Engagement?
According to Gallup’s State of the Global Workforce Report, USD 8.9 trillion in GDP was lost due to poor employee engagement. Further, 62% of workers state that they do not feel engaged at work.
The opinion of the workers in any given industry is important. Thus, to serve this very purpose, an Employee Feedback System is essential since it makes employees feel heard.
Having an Employee Feedback Software in place ensures the following:
- Open communication between employees.
- Identifies strengths and weaknesses of the SOPs as well as employees.
- Improves performance with the help of constructive feedback.
- Helps streamline the decision-making process.
- Prevents conflicts among the workers.
- Establishes a healthy workplace culture.
- Provide insights on who is well-suited for a leadership role.
- Reduce employee turnover.
In traditional Employee Feedback Systems, employees usually spoke to their HRMs, who maintained a record of the inputs provided. However, this system stands to improve significantly with the help of a software tool. Not only will this automate the process and save time, but will also help maintain anonymity if necessary.
Evaluating Which Employee Performance Evaluation Software is Best for Your Business
When selecting an employee performance evaluation software for your business, as an HRM, you can assess the following:
- Scale and scope of your organisation.
- The frequency with which you need your employee appraisals and evaluations conducted.
- The evaluation parameters being used by the platform.
- Whether or not the platform can generate analytical results.
- The budget set aside for the employee performance evaluation software.
- Whether the software in question is user-friendly or not.
- If the software and associated parameters are customisable.
- If the software can accommodate the growing size of a business.
- Compliance standards met by the software tool.
- Whether or not it offers easy integration with the existing HR tools in use.
- The market review and feedback provided by other users.
- If there is proper client support available to address any issues or fix bugs.
Further, you can also ask for a demo from the SaaS service provider. Only an employee performance evaluation or feedback software that offers the above should be taken into consideration.
The Roll-out Process for Employee Performance Evaluation Software
Once the selection of a suitable Employee Performance Evaluation Software is complete, it is time to move on to deploying it across the organisation. For an effective rollout, the steps are as follows:
Wrapping Up
From performance appraisals to employee feedback, software tools can ensure the streamlining of a number of HR tasks. With only 45% of leaders believing that they use the right tool, having a suitable employee performance evaluation software is a must.
Evaluate the various employee performance evaluation and feedback software and deploy one that is best suited to your needs.
