How to use feedback to drive organizational success

Transcription

1 How to use feedback to drive organizational success

2 Rusty Lindquist V P O F H C M S T R A T E G Y & I P B A M B O O H R Jacob Shriar D I R E C T O R O F C O N T E N T O F F I C E V I B E

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4 Feedback as key to organizational progress

5 The most competitive economy in history

6 Bersin by Deloitte

7 Ram Charan Best-selling Author, World-renowned Business Advisor

8 FEEDBACK SYSTEMS

9 -Workboard

10 Feedback and Employee Engagement

11 Employee Feedback Statistics 14.9% lower turnover rates in companies that implement regular employee feedback. 2X as likely to be actively disengaged if employees are ignored by their manager. 65% of employees said they wanted more feedback 58% of managers think they give enough. These statistics show that there is clearly something wrong with the way feedback is done in most companies. (source:

12 According to research, employees crave feedback.

13 What they found was that by roughly a three to one margin, employees believe that constructive feedback does more to improve their performance than positive feedback.

14 Frequent Feedback is the Key Annual performance review is way too long to wait for feedback. Feedback needs to be frequent and sincere.

15 Examples Of Companies Switching From Annual To More Frequent Feedback

16 Expedia The hope was to create a performance culture that would help to improve both individual and team performance and ultimately drive business results. The emphasis would now be on frequent feedback and coaching and to evaluate the here and now, not just the results. - Karen Crandall, Former Director of Compensation

17 Twilio We don t wait until the annual performance review to give feedback. You never want to have a surprise. This is especially important with millennial workers, who really want feedback. They want to always be learning, always be growing, and they re looking for that constant feedback. It s not that they re looking for constant praise, but rather they want to keep score. They want to know how they re doing. - Jeff Lawson, CEO

18 Adobe The check-in is far more informal. While the check-in process is regular and on-going, it starts at the beginning of the year, since it s tied to people having yearly expectations. - Donna Morris, SVP

19 Deloitte, Accenture, and even GE are now starting to move away from annual reviews to more frequent feedback.

20 Instead of annual reviews, have regular one-on-one s (most people do it monthly)

21 One On One Meetings 1 hour meeting once a month to discuss informally anything on an employee s mind. This is NOT a performance update. This is a conversation that is about making the employee happier and more productive at work.

22 Companies Swear By This Process if Tim doesn t meet with each one of his employees in the next 24 hours, I will have no choice but to fire him and to fire you. Are we clear? Ben Horowitz, The Hard Things About Hard Things, pg. 102 Many well known companies including HubSpot, Moz, and Atlassian, use them, too.

23 How To Run Your One-On-One 10-minutes: Informal catch up 20-minutes: Employee s agenda items 20-minutes: Manager s notes and questions 10-minutes: Action plan and next steps Action Plan Is Most Important What can I hold you accountable for next time we talk? What can I be accountable to you for the next time we talk?

24 Feedback and Culture

25 Culture is the story we tell ourselves, and each other, about where we work.

26 Organizations that made culture an integral part of their strategy Increased revenues four times faster Had 7 times higher job creation rates Increased stock prices 12 times faster Had 750 percent higher profits Grew net income by 700 percent Doubled customer satisfaction Reduced turnover - Corporate Culture and Performance John Kotter & James Heskett

27 Feedback: part of your narrative How often is it acted on? How often is it solicited? How is it received? How often is it given? How welcome is it? How is it given?

28 Tips for getting started 1. Partner with managers 2. To create a feedback culture, create a culture for feedback 3. Ask, ask some more, then keep asking 4. Reward and recognize feedback 5. Cultivate trust 6. Architect feedback opportunities

29 Like any habit, implementing an employee feedback system may take a bit of time to get used to. But the payoff is big empowered employees, increased productivity and extraordinary innovation. -David Hassell, CEO

30 Collecting Feedback with Surveys

31 Avoid Leading Words Consider this example: We recently updated our intranet to be easier to navigate and more user-friendly. What do you think of it? Instead, keep your question neutral and simply ask What are your thoughts on the new intranet?

32 The more questions you ask, the less time your respondents spend, on average, answering each question. - SurveyMonkey Research

33 Ask Open Ended Questions The easiest thing to do is to ask closed questions like multiple choice and opinion scales, but you ll get the most value from open-ended questions that let employees speak their minds freely.

34 Only Ask What s Necessary Be relentless in removing questions from your survey. Only ask what s absolutely necessary. Any distractions or other noise will only dilute the quality of what you re really looking for. Always start with the goal in mind.

35 Anonymity Unfortunately, there s so much fear in most cultures that we need to give employees an anonymous voice to express what s on their mind.

36 Feedback and Performance

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38 Performance Reviews 30% of performance reviews end up decreasing employee performance - Psychological Bulletin 6% of companies surveyed think performance reviews are worth their time Deloitte 58% of executives believe their current program doesn t result in performance or engagement. Deloitte 2% of HR executives say yearly evaluations are useful. Deloitte of companies are now reconsidering 70% their performance strategy. Bersin of workers are dissatisfied with their 80% performance reviews. Deloitte of employees with highest performance -5% improvement in performance is 2/3 scores aren t actually the highest 3% all managers believe will be performers CEB generated in the process. CEB

39 Performance Reviews

40 Idiosyncratic Rater Effect You rate me on Marcus makes decisions quickly and your rating reveals simply whether I make decisions more quickly than you do. If you rate me on Marcus is a good listener and we learn only whether I am a better listener than you. All of these questions are akin to you rating me on height. Whether you perceive me as short or tall, depends on how short or tall you are." - Marcus Buckingham Harvard Business Review

41 Performance Reviews Overgeneralization Random measurement error Interpretation error Idiosyncratic rater effect Recency Bias Confirmation Bias Faulty memory syndrome Quantification of past behaviors is ineffective We tend to let it stand for more than it should Negative psychological impact (defensive and demotivating) Too many variables Too often rater is unqualified (doesn t understand job) Shown to decrease morale Found to create infighting Leads to gaming and politics Too subjective Too infrequent Too much focus on past, not enough on future Too costly Takes too much time Too despised

42 Performance Appraisals Performance appraisals are perhaps the most reviled standard practice in all of management. - Peter Cappelli Wharton School of Management Why we love to hate HR HBR

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44 Performance Appraisals 98% percent of human resources executives say yearly evaluations aren t useful. So why are companies still doing them? - Anne Fisher Fortune

45 70% of companies are now reconsidering their performance strategy - Bersin

46 The Right Way

47 Frequent Feedback Increase communication touch points

48 Signal to Noise Ratio

49 Increase Cycle Time Intended Direction Actual Direction Don t wait till here Organizational Waste And here Catch them here

50 Ask Simple Questions Performance Questions Now Asked By Deloitte 1. Given what I know of this person s performance, and if it were my money, I would award this person the highest possible compensation increase and bonus [measures overall performance and unique value to the organization on a five-point scale from Strongly agree to strongly disagree ]. 2. Given what I know of this person s performance, I would always want him or her on my team [measures ability to work well with others on the five-point scale]. 3. This person is at risk for low performance [identifies problems that might harm the customer or the team on a yes-or-no basis]. 4. This person is ready for promotion today [measures potential on a yes-or-no basis].

51 Giving Feedback

52 The secret to having employees listen to your feedback is whether or not they respect you. Respect is earned, incredibly hard to get, and requires authenticity.

53 You could have the exact same thing said by two different people with two completely different effects.

54 Focus On The Issue, Not The Person Example of what not to do: I really don t like your writing style. Your posts are too short and they add little value to our readers. This isn t constructive feedback, it s a personal attack.

55 What you should say instead: Based on research I ve seen,blog posts with more than 2,500 words tend to perform better. Maybe we could try to make our posts a little bit longer? You can use that extra length to go way deeper into detail, which should add more value to our readers. That would be awesome!

56 Make Your Feedback Specific Example of what not to do: Overall, good job on the presentation but I think it could have been better. This is so vague. What was wrong with it? Plus, just because you didn t like it, does it necessarily mean it was bad? How could it have been better?

57 What you should say instead: Honestly, great job on the presentation! I really liked how you used animations to make your point about our Facebook marketing. One small comment, maybe for next time, would be to put a few more statistics in there. Try and make it a bit more visual, I think it will have more of an effect.

58 Make Feedback A Positive Thing The word feedback usually has a negative association. The reason for this is because most of our experience with feedback has been about criticism instead of improvement.

59 When an employee hears their manager say I have some feedback for you the first thought in their mind is Oh boy. As a manager, you should approach the feedback process from an angle of coaching and genuinely trying to make an employee better.

60 Don t Do The Feedback Sandwich It doesn't work. Usually, the negative feedback is buried and not specific Employees only hear what they want. So if you say You ve been doing a great job, but one thing I d change is, they stop listening after you ve been doing a great job. (source - A research paper, Tell Me What I did Wrong: Experts Seek and Respond to Negative Feedback, )

61 "A new market has emerged: Employee feedback apps for the corporate marketplace. These tools are powerful and disruptive, and they have the potential to redefine how we manage our organizations." -Bersin, by Deloitte

62 3 Fundamental Truths Our environments are in a constant state of change Organizations that evolve, survive Feedback loops are the key to evolution

63 Thank you! BambooHR officevibe Free Trial: Try BambooHR to organize, automate, and elevate in 2016 Get the free ebook: "A Manager's Guide To Giving Employee Feedback" We will contact everyone within the next few days with the download URL and to set up a trial account.

64 Questions? Rusty Lindquist W W W. B A M B O O H R. C O linkedin.com/in/rustylindquist Jacob Shriar W W W. O F F I C E V I B E. C O linkedin.com/in/jacob-shriar