Future Trends in Performance Management 2023

This technical report discusses the evolution and current state of performance management as of 2023. It outlines the significant decline in U.S. productivity, highlighting a 1.6% drop in 2022 and a further 2.1% decline in the first quarter of 2023. The report identifies the primary objective of performance management as improving overall corporate performance, a shift from previous years where employee development was the focus. It details the findings from a survey conducted with HR professionals, revealing that many organizations struggle to meet performance management goals effectively. The report emphasizes the importance of structured performance management processes and the need for training managers in performance management skills. It also notes the reliance on digital technologies for performance management and the challenges organizations face in accurately measuring employee performance. Key findings indicate a need for organizations to enhance their performance management frameworks to achieve better outcomes.