Curve in a Bell Curve

So much these days over Bell Curve that it has become infamous for its inability to earn employee trust. At least that is what one can read from the recent trend of HR moving away from Bell Curve method of performance management. Is the system at fault or the process at fault? or is it that the nature of organisation has changed over the last couple of decades that such a method is out of sync to the emerging business needs. It could also well be that all had its say.

Classification of performance standards is a scientific approach. However segregation methods adopted can dilute its integrity. For eg what criteria is laid down for a 'superlative'/'oustanding' performance. Is it based on 'a recent event' or over one year or rather a consistency in 'lower level of performance' for say , 'excellence/very good' last 3 years, or 'weighted average' rating from multiple raters or that rank within an alternate ranking  amongst such 'superlative' performers. In any case it cannot be based on short duration of a business cycle. In other words the reliability of the system depends on how well the 'curve' from 'excellence/very good' to 'outstanding/superlative' is managed; and how well this gets transparently administered restores the faith of employees in the system.

The duration of the curve is so vital that it should pre-empt such ratings from knee-jerk reactions or pre-conceived 'quota' fixations. Many companies fix some 'x' % as outstanding or 'y' percentage as poor ratings, and the requirement for testing for the curve process gets lost. The management/duration of the curve is more significant for 'poor' rating classification. Else , the main intent of performance management ie 'motivation' will get lost. That could also result in throwing the baby along with bath water during downside lay-offs.

succession for sustainability or growth ?

Organisations too grow via 'connecting dots'. Control on that connecting process alone can help ensure growth and development of an organisation. One can reflect on the  integrity of the process, its potential to fuel future business cycles. for eg we know that any succession planning aim for business continuity with progression rather than regression. often leaders take a short term view on this and lose sight of long term implications.

We know the process need to facilitate sustainability; that the successor should be able to take the mantle from where his predecessor left off and move forward.  Creativity and innovation values gets cultured in a 'people setting' ,from such capabilities. However leaders can be seen relying on market sources ( read new hires ) for props. The process ,then drains the knowledge momentum, leaving little potential for innovation or growth.

The successor has a great opportunity to infuse a positive climate, for employees  'to perform' and see value in 'capitalising' their potential. Lack of an alert succession planning system often point to leadership failure and non compliance to stated values of the organisation. Even in adverse market conditions, an effective succession planner will focus on building base strength, so that organisations can rebound with vigour when market normalises. Such companies often can be seen taking pivotal roles in an industry displacing companies which focused on downsizing alone during adverse market conditions. Some fail to see that window of opportunity during dips in the cycle.

C level analytics

Analytical ability transcends knowledge of tools or basic cognitive abilities. Delegating that activity to lower levels makes no sense. Real time analytics happens inside Board room. Data gets integrated to business priorities and to drive timely decisions to influence and steer future course of business direction. It is a forward oriented activity. Not a statistical dumb report.

One fails to understand why the analyitical tools and products in the market project their ability to dissect base data. Who needs that and for what ? Does it make sense to know demographics on a daily basis via a dashboard ?  Any analytical tool for that matter should help to steer business drivers , real time, with changing market dynamics. It is a strategic handle and not a ctv monitor. Not an OTC drug like the way many IT companies sells.

Business analytics is a cognitive activity that should help one to steer strength and weaknesses to manage external market to make it conducive. eg. The projected attrition rate for Sales personnel correlated with your Sales talent bank in recruitment should help you to drive expansion plans of marketing zones. You can then have a fair assessment of your marketing reach for next year. Any business analytics need to carry the potential to influence a C level decision. If not throw it in dust bin.