The Importance of Performance Models

Performance models are important to help a business resolve talent-related issues. Using a performance model for new hires can help their success and happiness in the role, which affects how well the company performs. A performance model looks at placement of individuals using that individual’s characteristics, as well as the characteristics of top and bottom performers in similar roles, and measures the job match.

Performance models should be thought of as a range, not a “cookie-cutter.” Although a number of different and unique individuals can fit into the desired range, it’s clear who is outside of the model, easily eliminating prospects who aren’t likely to perform well at the given job. A performance model is applicable to all employees in various industries.

In order to properly assess a good “range” for a position, a company must understand a few things.

• A performance model is needed for each position. Someone who excels in human resources might not do as well in accounting. If you use one performance model for all your positions, you will get the best people for one position in all of your positions.
• A performance model is recommended for difference branches. Even if you are hiring for the same position, but in a different branch, it’s wise to reassess the performance model you’re using to hire. Someone who has the right characteristics for working with customers in Manila isn’t necessarily going to excel as highly with customers in New York.
• Employee performance should be evaluated carefully. A good performance model is made based on a company’s employee recommendations. When a company gives their top three and bottom three performers in a position, those employees are used to create a suitable performance model. However, if a company mistakenly sends one top performer, two bottom performers, and three mid-level performers, the performance model may be skewed.
• Performance models require a business’ hard data to evaluate success. In order to determine whether a performance model has been effective, everything must be evaluated; from sales to turnover.
• It isn’t just about intelligence. Although it’s vital to look at cognitive performance, both cognitive and behavioral scales should be used in a performance model.

Want to know more about performance models and how your company can utilize them to onboard better talent? Visit ProfilesAsiaPacific.com, email solutions@profilesinternational.ph, or call 635-0016.