Wow, most would probably agree that 2024 has been a wild ride. Heck, the last few years have been this way. It makes me wonder about how much has changed in our work life and some of the increasing challenges we face as humans. It takes me to the macro and world-scale trends that influence the way we work and what it means to us in present times compared to a decade ago. It makes me reflect on the topic of human performancewith this view as well. To think about what performance management means and how it can be fit-for-purpose in our modern times. I am interested in the stuff beyond compliance or whether we should still have annual reviews. I want to delve into the deeper foundational and relational elements that impact on performance management heading into the future.
When we look back at the last decade, it’s hard to miss a few things. The fact that the world on a whole has gotten more complex, more diverse, the rate of change has increased exponentially, technology has introduced both new concerns and positive promise, and thanks to global events like the COVID pandemic, we have altered our relationship with work and our employee-employer expectations. Every one of these factors has had an impact to some degree on the choices we make around work and howwe look at performance at work. Let’s explore it bit more deeply.
If you don’t believe that the world has become more complex then I’d love to be living in your universe, truly. Looking across several indicators, it’s hard to deny this is the reality. With the topic of this article being human performance management, I’ll call out a few people-related examples.
• The continuing global population growth creating more relationships, interactions, and networks between people.
• We are more hyperconnected thanks to technology generally and our obsession with social media. It means our network of relationships has grown who and how much we are influenced by. What we need to know and have to align with across a specific network has also exploded.
• Advancements in automation and AI is revolutionising the way we work, and live. It gives rise to concerns around the possible ethical and social impacts, adding further complexity.
With so many variables and exposure to an excessive amount of information of course many of us would find it difficult to make sense of things, plan the future, and predict the outcomes of our actions. Our sense of control is lowered and when this is prolonged it creates disconnection on multiple levels. A super important point for leaders and organisations to observe when wanting to uplift engagement and sustain strong performance. How we experience the world around us influences how we perform.
We then have the matter of the increasing diversity. It’s probably one I could include above as another contributor to complexity but I think it deserves its own spotlight. It’s an attribute and state that more people value in today’s world even though many of us can feel overwhelmed or apprehensive at times when trying to navigate through it. This is a truth I encounter of countless leaders I speak to. It begs the question of whether the world is diversifying on a scale that is more rapid and nuanced than we can cope with.
The claim for there being an increase in diversity is supported by factors like the expansion of diverse societies, the growth of multiculturalism and the impact hyperconnectivity has on diversity. It thrusts us into rethinking our perspectives on “social norms”, to learn and at the same time plot our way through uncomfortable territory, testing our capability for handling conflict. As humans, our need for connection compels us to engage with diversity because we know implicitly that we are part of the mix, and there is a real struggle humans experience between accepting this in ourselves and being accepted by others. A struggle that can be transformed through having experiences where our differences are respected and not a threat to our need to belong, to feel safe or valued. I really want to highlight here the power that organisations and leaders have to create those very experiences so employees can live with diversity in an empowered way. Compromising this will lead to deep cracks in your culture and ultimately the breakdown of performance. Yes, it takes guts step ahead of the curve, to think beyond the short term financial cost, but trust that the return on investment will be worth it, and it will come in the form of optimal future performance and sustainable growth.
Lastly, to wrap it all up we arrive at the speed and volume of change. The Pulse of Change: 2024 Index from Accenture reports that we are experiencing an unprecedented rate of change. It lists the major drivers of this being technology (top driver), talent conditions, economic disruptions, geopolitical risks , climate related issues and the consumer & social climate. That’s certainly a lot to get our heads around in one lifetime.
Tying this back to human performance, the way we process information and act on it is not going to change just because things have sped up or have become more complex. The structure of our brains and bodies will not suddenly evolve in correspondence with how the world has evolved. It’s why so many of us feel exhausted and scattered more often than we’d like. So where does this leave us?
One very crucial thing I have learned is that performance is enabled by effective design and operates as a holistic system. In the context of human performance, I see the bigger system as being the organisational system and the human system where the human system sits within the organisational system.
Usually, more priority is given to establishing and maintaining the organisation system which comprises of all the elements that set the structure, process, expectations, and basically the full environment in which people perform work. For the organisational system to function optimally, we want to apply good organisational design and operating models that speak to how humans work. Repeat after me, humans are not machines. It’s like providing a detailed map and GPS to your people of what it takes to get from A to B with an awareness of any navigational issues to overcome. The system address the WHY (clear direction & purpose), WHAT (alignment to plan), WHO (accountability both individual and shared) and HOW (parameters to observe), relating to the environment in which we conduct work. It does not overburden the driver (i.e. worker) to have to build out the map or look for missing signposts, people just get in and do their best to drive where they need to go. In the real world, there is a tendency to have an over-reliance on the person performing the work to figure everything out. It directs focus onto external drivers that people have little to no influence over. It makes sense then that the responsibility of the organisation is to set up its organisational system to minimise friction to performance.
The lesser considered system, the human system refers to all the facets that influence human performance (you could say this represents the internal environment of the person performing the work and represents the “HOW WELL”). Essentially we are talking about our mental, emotional, physical state which modifies our capacity, our behaviour and our ability to apply the skills we have as it’s not just about having the skills. In this regard, the employee has greater control and accountability of maintaining this system.
Like it or not, the human system forms part of the organisation system and the two need to co-exist to support one another or else the limitations of one system will impact on the other. When it comes to looking after the human system, the idea is to identify what will assist the human to take agency, to enhance the internal environment whilst keeping threats to this at bay. So what can leaders look at more immediately? Here are three considerations.
Remembering back to earlier times in my career, the landscape was very different when the cultural construct that set the way we worked spoke very little to diversity and inclusion, the balance of power sat more with the employer which meant decisions were mostly made top-down and hierarchies towered. This was generally accepted and not really questioned. Fast forward to present day and we have shifted to flatter organisational structures opening access to direct channels of engagement, the power dynamic is shifting toward the employee, there is greater transparency as well as exposure to risks and opportunities for all people at all levels of the organisation. The quest for DE&I is challenging outdated practices that don’t promote our core human needs and rights. People simply are less tolerant of serving organisations or leaders that conflict with their values and human aspirations.
The COVID pandemic pushed the global workforce caused us to look inward, transforming how we value connection, manage work life balance and choose to work. With macro trends like the accelerating rate of technological change, rising costs of living and decline in mental health, we know there’s a lot for people to juggle and reports like the Gallup 2024 Global Workplace Report reinforces that many ARE struggling (58% of reported population). This may have something to do with why we have adjusted what we need out of the relationships we hold to resolve some of the struggle. This would extend to the employee-employer relationship which has become more involved, especially as the boundary between work and life is fading away.
The new dynamic now emphasises the employer’s responsibility for employee wellbeing, shared accountability and decision-making, creating space for leadership growth at all levels, and the overall balance of performance and care. This is the current human response to what the world is presenting today. Organisations and leaders have a crucial choice to make, to adapt in synergy with these relational shifts or wait till it is urgent, because they’re not likely to revert back to past times. It will take a systemic approach coupled with some personalisation to individual circumstances to enable work relationships and performance to thrive, when before we would could just cite policy, wave the process or call it standard practice. I mean, is this not the idea of creating a workplace where we can bring more of our whole self to work because we can trust in the relationship growing with our needs not just the other way around? Leaders, make the choice to adapt if you want to set up for a lasting relationship with your people.
Not wishing to dilute the significance of diversity in any way, but it’s other half, inclusion, is what I believe will powerfully unlock the potential for greater human performance. DCA’s 2023-24 Inclusion @Work Index revealed that more workers feel their manager does not behave in an inclusive way, with 27% reporting their managers did not value difference. So what’s the point of pursuing diversity if we are not going to nurture or value it?
In Australia we are blessed with multiculturality. Though most of us don’t receive education on what this really means, how to manage diversity or how to practice inclusion, until we enter the workforce. Once in the workforce we are expected to know how to think and navigate across diverse work settings without any training and little prior experience. This in itself is a first step that all organisations can take. To really get to know your people, the demographics and how much people connect with DE&I. Follow it up with honest conversations about how well the organisational system promotes the shape of diversity unique to your workplace as well as how it can reshape teams for greater diversity. I am often surprised by how little leaders know about their team composition and discuss inclusion in regular forums. Keeping DE&I alive in the work culture is not about big gestures and holding constant events. It’s organic, and happens through the everyday habits we stay conscious of and encourage in others. How are you empowering your people to keep DE&I front of mind in an organic way?
With all the change and complexity going on, the human capacity and ability to keep on top of things is being massively tested. it’s then not surprisingly they there’s been a decline in mental health alongside a rise globally in loneliness and isolation. Did you know that 1 in 5 people worldwide feel lonely? People cannot meet performance in the current climate without supporting knowledge and tools.
In speaking to numerous leaders and partnering with a range of organisations on their organisational development strategy, I am still seeing learning agendas that are training-centric rather than being in the flow of work, leadership learning being too narrow and outdated for what’s needed today and access to the right learning, at the right time in flexible ways is also lagging. On that note, let me leave you with a couple of ideas if you’re looking to level up your learning game.
• Learning that flows with work – this is about discovering what it takes for people to be successful and fulfilled in their work. When you have this you are then able to identify the best opportunities to facilitate learning and growth geared for the right development areas. The idea is to map the development area to specific moments in employees’ career, work encounters, or any other scenarios that growth can take place. It’s important to consider the type of growth in the timing. For instance, if the growth is acquiring new knowledge then you’d want it to happen before it’s necessary with a refresh available at a future point (so yes, give the leader that leadership course before they become one). When it comes to applying new skills, consider selecting moments that the person feels safer to fail in. The same would apply if the growth is around confidence building. Having this mapped out will help embed an active learning culture and reduces the reactivity.
• Leadership learning that transforms work-life, not just the work – this assumes that the definition of leadership has already been revised to mean more than just leading on the work front and bridges the “life” at work gap. Put plainly, we need to expand the leadership remit to include attributes that promote success and fulfilment in life more generally because it will equip people with the skills to enhance their human system (whole self) and lead in a sustainable way. When we really open our minds to it, there is a huge overlap between skills to lead with in life and in the professional setting. Of course there will be certain parameters we need and be sensible to keep in the workplace (e.g. safety above all is one that comes to mind). Assuming that part is done properly, this perspective of leadership development gives more people access to learning they have not been exposed to. It helps get everyone to a similar point in their self-leadership more swiftly and with less pain through learning on topics like intentional values, emotional regulation or managing inner critics etc. Going by what leaders have shared with me, they would definitely up for it!
I’ve enjoyed spilling my thoughts onto paper and if you read it to the end, I hope it has been worth your time. Now over to you, the future shapers, the changemakers to take it forward.
