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A History of Performance Appraisals, Letting Go - REVELN

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This presentation provides a context for performance appraisals, ratings and reviews as very old ideas compared to organizational leadership pioneers and what's next. Performance management, defined in the 1970s, is rooted in scientific management. It is possible to acknowledge history, realize its impact on our business systems, and let go to embrace new strategies.

This presentation is additional context for my MISHRM 2013 presentation on "From Chaos to Creative: Performance Development in a VUCA World" in Grand Rapids, Michigan, October 8th, 2013 | 2:00 PM – 3:15 PM

Tweets: @RevelnConsults

The full context is in this article on the www.REVELN.com blog:
A History of Performance Appraisals: Letting Go to Power New Culture
* http://reveln.com/a-history-of-performance-appraisals-letting-go-to-power-new-culture/

As well as:

* Choices for High Performance Teams, Groups and Psuedo-Teams: Achievement Is How You Say It!

* 3 Success Factors for High Performance Teams, and What Gets In the Way

* Beyond Resilience: Givers, Takers, Matchers and Anti-Fragile Systems

http://reveln.com/blog/

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A History of Performance Appraisals, Letting Go - REVELN

  1. 1. A History of Performance Appraisal & Letting Go Deborah Nystrom REVELN.com
  2. 2. “The Imperial Rater of Nine Grade seldom rates men according to their merits, but always according to his likes and dislikes. ~ Chinese philosopher Sin Yu, 3rd century”
  3. 3. “Of course quality is important, but is it not the quality of an individual's originality that is most important?” ~ Robert Owen 1771-1858 Robert Owen from the Samuels Collection, Duke University
  4. 4. Perspective  Implemented a "silent monitor," a small cube of wood above each work station used to grade each day's behavior and effort  Seen as a manufacturing and educational reformer, as well as a labor movement leader  Influential in the modern human relations school of management and systems thinking, as well as the worldwide consumers’ cooperative movement Counterpoint  Built as a solution to contemporary evils, his community in New Lanark, Scotland, was viewed by some as masked capitalism with a conscience  Through Americans embraced him in spite of his differing religious views, ultimately his New Harmony, Indiana planned community did not succeed Deb Nystrom, REVELN.com
  5. 5. Selections from the Infographic by WorkSimple.com
  6. 6. “Each employee should receive every day clear-cut, definite instructions to just what he is to do and how he is to do it, and these instructions should be exactly carried out, whether they are right or wrong.” ~ Frederick W. Taylor 1856 – 1915
  7. 7. Perspective  Credited for inventing the management profession and industrial efficiency  Searched for "one best way" around poor methods rather than worker problems  Spoke with passion about labor-management cooperation Counterpoint  His command and control methods (monitor and assess for efficiency) continue to influence mechanistic aspects of performance management today  Taylor’s concept of “thinkers” and “doers” for the division of work did not support the labor and management partnerships he favored, creating battles over jobs that continues today Deb Nystrom, REVELN.com
  8. 8. Selections from the Infographic by WorkSimple.com
  9. 9. “Unity, not uniformity, must be our aim. We attain unity only through variety. Differences must be integrated, not annihilated, not absorbed.” ~ Mary Parker Follett 1868-1933
  10. 10. Perspective  Admonished over- managing employees,or “bossism,” now known as micromanaging  Pioneered the idea of the "authority of expertise"  Offered insights into the nature of leadership, conflict and the spiritual possibilities of corporate life still relevant today  Succeeded as a management consultant in spite of great obstacles Counterpoint  Has been seen as overly optimistic about overcoming the limitations of management power  Her human relations contributions were advanced, and greatly limited by her gender and time period Deb Nystrom, REVELN.com
  11. 11. Selections from the Infographic by WorkSimple.com
  12. 12. “94% of problems in business are systems driven and only 6% are people driven.” ~ W. Edwards Deming 1900 – 1993 Deb Nystrom, REVELN.com
  13. 13. Perspective  Listed "evaluation of performance, merit rating and annual review" as one of the“seven deadly diseases affecting management”  Credited as major leader of the quality movement internationally  His teachings were primary drivers of the 2000 book, Abolishing Appraisals advocating team and whole system performance approaches Counterpoint  Had a utopian tendency to deny conflict and the role of management power in developing cooperative social systems  Did not speak to worker involvement existing with Japan's rigid, powerful management hierarchy, similar to Taylor's scientific management
  14. 14. ‘70 & 80’s Behaviors Goals Timelines Results “Performance Management” Process Selections from the Infographic by WorkSimple.com
  15. 15. “I am arguing against…confusing compensation with reward, the latter being unnecessary and counterproductive.” ~ Alfie Kohn, Social scientist and author of Punished by Rewards 15 Photo by 401(K), Flickr cc
  16. 16. “Most of what we call management consists of making it difficult for people to get their work done.” ~ Peter Drucker 1909 – 2005
  17. 17. Perspective  Exposed workplace human relations artificiality and paternalism, refocusing on "what the job demands" through his collaborative "Management by Objectives" (MBOs) process.  Served as a reknown social critic of corporations and a practical teacher of management, informed by his in-depth studies at General Motors  Shared management teaching for six decades including concepts of empowerment and the knowledge worker Counterpoint  His long-running performance tool, MBOs, was widely adopted and criticized  Became disillusioned with the power & greed of the management “caste” later in life (his philanthropic support of non-profits as management pioneers was toward a vision of morally legitimate post-business society)
  18. 18. Digital performance review forms clarify persistent problems Digital Data & Performance Selections from the Infographic by WorkSimple.com
  19. 19. “I predict that by the end of this decade, the performance appraisal system as we know it will no longer exist. Beat the competition to the punch. Change yours now.” ~ Aubrey Daniels, July 2013 Performance Management & Behavior Specialist 19
  20. 20. “Some of us think holding on makes us strong; but sometimes it is letting go.” ~ Hermann Hesse Photo by Mr. T in DC , Flickr cc
  21. 21. End Individual Performance Appraisal  If there is little benefit, and it’s legally not required, why continue?  Reinforcement, rewards, behaviorism, doesn’t work, is counterproductive  Most serious scholars have rejected behaviorism  Use gain & profit sharing and team / person-based compensation approaches Increase Focus on Teams  Provide easy access to data, team results, at all levels, to inspire  Establish shared accountability to managers AND to all team members  Encourage agility, creativity, innovation, and adaptation to market forces  Grow a giving - receiving, learning culture  Share authority among team members, with an achievement focus  Use positive peer pressure, rather than individual, manager-led performance appraisals  Increase fun, frequent, informal communication at w ork Ref: Beta Codex Performance Management, White Paper 10 Deb Nystrom, REVELN.com
  22. 22. “Whatever there be of progress in life comes not through adaptation but through daring.” ~ Henry Miller 1891 – 1980 Photo by dirkjanranzijn, Flickr cc
  23. 23.  History infographic clips by WorkSimple.com  http://getworksimple.com/blog/2011/11/04/the-history-of- performance-reviews  Book references includeFalse Prophets: The Gurus Who Created Modern Management And Why Their Ideas Are Bad For Business Today, by James Hoopes (2003)  Slide 1 emperor photo by hslo, Flickr cc, other photos from WikiCommons, Flickr Creative Commons, Duke University and other public domain websites Visit Deb at www.REVELN.com

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