Changing how we see performance management

One day, while working from a nearby café, I overheard an intriguing conversation at the next table. The topic was fresh in my mind, as I had recently worked on it for a client. The gentleman seemed visibly upset and irritated about the introduction of KPIs in his new role at a recently joined organization. His resistance to KPIs led me to reflect on why such negative emotions arise.

The root cause often lies in the traditional ways organizations have managed performance. Performance management systems have historically been perceived as judgmental—focused on rewards and penalties, highlighting shortcomings, and fostering comparisons among employees. This one-sided approach has frequently led to feelings of bias and demotivation. Neuroscience provides insight into this phenomenon: negative perceptions activate the amygdala, triggering stress, fear, and defensive responses. These reactions can spiral into reduced engagement, waning motivation, and strained relationships with the organization, ultimately hindering an individual’s potential contributions.

While it’s crucial for organizations to address these negative perceptions, individuals also bear responsibility for reframing their outlook. Changing perceptions requires a shift from a fixed mindset to a growth mindset—where instead of focusing on flaws in the process, one sees growth opportunities.

In a growth mindset, challenges are exciting rather than threatening. So rather than thinking, ‘Oh, I’m going to reveal my weaknesses,’ you say, ‘Wow, here’s a chance to grow.

– Carol Dweck (Psychologist)

This shift in perspective not only reduces negative emotional responses but also enhances engagement and productivity.

Performance Management 2.0: Fostering Accountability, Transparency, and Empowerment

Mindset is what separates the best from the rest

Traditionally, goal-setting and career progression relied heavily on managers. However, a modern perspective empowers employees to take ownership of their growth and development. Performance management can be viewed as a tool for:

  • Assess oneself: Understand strengths and areas that need improvement.
  • Identify opportunities: Recognize the potential for growth within the organization.
  • Align goals: Work in harmony with organizational objectives, creating a win-win scenario.

Organizations, too, must evolve their practices. A modern approach to performance management emphasizes collaboration, transparency, and fairness. It focuses on:

  1. Coaching over micromanagement: Managers should act as coaches, guiding employees to achieve their best potential rather than merely supervising them. We at Kognitivus offer a specialized service called CAPTIVATE (Coaching Acceleration for Pioneering Teams with Inspiring Visionary Approach To Excellence) for customers that are looking to transform their leadership culture to adopt the coaching culture. A very successful case study of one of a unique coaching framework we developed for a customer domain is available on our website.
  2. Fostering accountability: Encouraging employees to take ownership of their performance and career progression builds a sense of responsibility.
  3. Enabling growth opportunities: Providing platforms for upskilling, mentorship, and internal mobility to nurture talent.
  4. Designing transparent systems: Ensuring fairness and clarity in evaluation processes eliminates biases and builds trust.

The relationship between employees and organizations thrives on mutual trust and shared goals. Performance management, when approached with a growth mindset, bridges the gap between individual aspirations and organizational objectives. It becomes a platform for:

  • Empowerment: Encouraging individuals to take charge of their careers.
  • Alignment: Ensuring personal and professional goals complement each other.
  • Recognition: Valuing contributions and celebrating achievements, big or small.

An individual should see performance management as a tool for self-improvement rather than a judgmental process. Simultaneously, organizations benefit from a motivated, engaged workforce aligned with their vision. This synergy creates a positive cycle of growth and success for both parties.

The shift from a fixed to a growth mindset in performance management is both a challenge and an opportunity. Adopting a growth mindset in performance management is not an overnight process. It requires consistent effort, introspection, and a willingness to adapt. It requires individuals to embrace change and organizations to create an environment conducive to learning and development. By working together, employees and organizations can transform resistance into growth, fostering a culture of continuous improvement and mutual success.

As Gautam Buddha wisely said:

What you think, you become.
What you feel, you attract.
And what you imagine, you create.


Gautam Buddha

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By Riah Srivastav

Riah comes with +10yr experience in the Quality and Analytics domain. She strongly believes in "You have to keep doing your karma without any expectation of reward and rest will surely fall in place". Riah holds a computer engineering degree from Pune University. In her personal front she loves photography and exploring new places.

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