8th Dec

A new approach to performance management

Over 88 per cent of leaders are convinced that their organisation does not manage performance well. Neuroscience is opening up a new perspective on this, and showing that the success of performance management processes depend more on an individual’s mindset than was previously thought. It also suggests the critical role that leaders can play in changing this mindset.

As a result of nurture from birth, people develop either a ‘fixed’ or a ‘growth’ mindset. If in childhood we’re consistently rewarded for being clever, or good at a particular activity, then we may develop a ‘fixed’ mindset. Alternatively, if we’re repeatedly praised for our effort rather than achievements, then we may develop a ‘growth’ mindset.

The good news is that these are flexible and can be changed by the environment created by leaders.

The implications of a fixed mindset

• Feedback shuts it down, as it either confirms what they already know or produces a threat response.
• Goals are regarded as dangerous as they can lead to failure.
• Motivation comes from external approval and not from internal satisfaction of growth.
• Effort is avoided, as they prefer to continually prove how good they are at something they already thrive at.
• The success of others is threatening.

The implications of a growth mindset

• Feedback is a chance to learn and improve.
• They find that goals are helpful to direct and drive effort.
• Motivation comes from the mastery of a new skill.
• They view effort as being critical to becoming successful.
• The success of others is something to learn from.

So what should leaders do?
• Implement goals based on the behaviours needed for success, rather than the goals required.
• Ensure that feedback focuses on the effort, why it worked, and where the leader would like to see effort put in next.
• Measure rate of change, progress, activity, and behaviours, rather than fixed measures.

Interesting stuff!