Research Shows That HR and Managers Aren't Aligned and It's Hurting the Business

REDWOOD CITY, Calif., March 12, 2020 /PRNewswire/ -- Betterworks, the leading enterprise software for OKRs and  Continuous Performance Management®, today 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"Our survey found that many managers view their company's current performance processes as outdated and more of a hindrance than a help. Outdated HR processes built to measure and change performance management aren't working, so businesses are focusing on improving goal alignment which can have a bigger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."

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:

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

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.

Methodology:
The 2019-2020 State of Continuous Performance Management Survey was conducted in partnership with Market Cube. It included 500 professionals in the US and 250 in the UK, working for enterprises of 500+ employees across multiple industries, split nearly evenly between privately and publicly held companies. The respondents were also evenly split between HR professionals and non-HR people managers, with nearly half of both groups holding director-level titles or above. For the HR segment Gen-X comprised 57% of the survey population, with Millennials and Gen-Z making up 33% of the population and Boomers 10%. On the managers' side Millennials and Gen-Z comprised 50%, with Gen-X making up 31% of the population and Boomers 19%.

Related Resources:

• 2019-20: Continuous Performance Management Drives Better Business Results
• 2018-19 Survey Reports: To Improve Performance Management Outcomes HR Pros Report: "More Conversation is Better", To Enhance Performance Management Outcomes, Focus on Helping Managers Improve, To Achieve a Culture of Feedback, Put HR in the Driver's Seat
• Betterworks Events
• Resource Library on Continuous Performance Management with OKRs

About Betterworks
Betterworks is the leading OKR and Continuous Performance Management solution that helps enterprises achieve agility, align their organization and accelerate business and employee growth. Our award-winning software products deliver the critical insights, conversations, feedback and recognition needed to align, engage and develop today's complex workforce. With Betterworks, organizations can ensure alignment, transparency and accountability across the enterprise for sustained competitive advantage.

Based in Redwood City, CA Betterworks has received more than $65M in funding and is used daily by employees and managers from 119 countries in more than 20 languages.

For more information about the latest business and people management strategies and best practices visit our resources library.

SOURCE Betterworks

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