Lead Nurturing

We often talk about the advantages of using talent and performance management systems to drive results and gain a competitive edge over other organizations. Our research and the research of our thought leader partners shows how human capital management really works, but sometimes nothing speaks better to the impact of people and performance management than a success story.

One question we often get is exactly how much improvement can I expect from talent and performance management systems. SuccessFactors Research engaged with Gen-Probe over a year ago to develop a case to show them how they could drive improvement in their organization through people. After successfully implementing SuccessFactors, the results have been very impressive.

• 10% Increase in the retention of high performers
• 37% Decrease in the retention of low performers
• 20% Increase in the employees who felt they had a good understanding of how their pay is determined
• 19% Increase in employees who understand the measure used to evaluate performance

Furthermore, Gen-Probe was able to reform their compensation process. High performers could now earn 150% of their bonus awards, while low performers were limited to less than 100%. In fact the visibility and transparency built into the system allowed Gen-Probe to look at the total distribution of merit and bonus pay, as well provide immediate insight into performance appraisals.

How did Gen-Probe drive change in their organization? Then recently answered this question in an article about the success of their performance management system:

“The new performance management system focused on four critical elements. The first was to provide support for defining and aligning individual goals with Gen-Probe corporate goals. The second was to provide frequent opportunities for feedback to maintain focus on achieving the already-established goals. The action plan also focused on a rewards system that tied achievement of individual and corporate goals to the allocation of merit and bonus awards. Lastly, the plan focused on strengthening the foundational skills for all employees and managers to effectively communicate goals, performance expectations and address issues before they become hurdles to achieving results.”

Can you afford to let your competitors gain that kind of advantage? Particularly now, with the economy slowing and companies renewing a focus on cost and performance, talent and performance management is critical to driving success. Companies who cede this advantage will emerge from the slow economy weaker and less competitive. Gen-Probe has proved that when companies take human capital management seriously, they win.