If manufacturing sets a target to build 500 units, while Sales plan to sell 1000 of the same, John’s company is on a fast ride to mayhem. It is imperative to link performance measures to strategic goals across the board.
With GroSum goal-setting, John & his colleagues get to choose from department-specific performance measure sets such that there are no conflicts.
Leaders are the ones who must provide a clear direction and ensure an environment of trust for John & his colleagues to do their best. With GroSum, the leaders of John’s company get the opportunity to showcase commitment to transparency in how performance is reviewed & rewarded and establish clarity in the company’s goals & identity.
If he sees that leaders are serious about the company working in an open & fair manner, John is more likely to stay on track & do his best.
A company needs to walk the talk of transparency & fairness. These should be reflected in the internal processes, controls & supporting systems that touch employees every day at work.
With GroSum, John & his colleagues’ performance measurement & rewards are done in a process driven method built on collaboration & transparency, thus aligning them to the organizational intent.