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Next Generation Performance Management - The Triumph of Science Over Myth and Superstition (Hardcover)
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Next Generation Performance Management - The Triumph of Science Over Myth and Superstition (Hardcover)
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There is no HR-related topic more popular in the business press
than performance management (PM). There has been an explosion in
writing on this topic in the past 5 years, condemning it as a
failure and calling for fundamental change. The vast majority of
organizations use the same basic process which I call "Last
Generation Performance Management" or PM 1.0 for short. Despite
widespread agreement that PM 1.0 is failing, few companies have
abandoned it or made fundamental changes to it. While everyone
agrees it is broken, few agree on how to fix it. Companies continue
to tinker with their systems, making incremental changes every few
years with no lasting improvement in effectiveness. Employees
continue to achieve amazing things in organizations every day,
despite this process not because of it. Nothing has worked because
organizations, business leaders and HR professionals focus on PM
practices instead of the fundamental purpose of PM and the
paradigms, assumptions, and beliefs that underlie the practices.
Companies ask their performance management process to do too many
things and it fails at all of them as a result. At the foundation
of PM 1.0 practices is the ideology of a meritocracy and paradigms
rooted in standard economic and psychological theories. While these
theories were adequate explanations for motivation and behavior in
the 19th and 20th centuries, they fail to account for the
increasingly complex nature of organizations and their environments
today. Despite the ineffectiveness of PM 1.0, there are powerful
forces holding it in place. Information on rigorous, evidence-based
recommendations is crowded out by benchmarking information, case
studies of high-profile companies, and other propaganda coming from
HR think tanks and consultants. Business leaders and HR
professionals learn about common practices not effective practices.
This book confronts the traditional dogma, paradigms, and practices
of PM 1.0 and holds them up to the bright light of scientific
scrutiny. It encourages HR professionals and business leaders to
abandon PM 1.0 and it offers up a more appropriate purpose for PM,
alternative paradigms to guide them and practical solutions that
are better supported by scientific research, referred to as "Next
Generation Performance Management" or PM 2.0 for short.
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