How to keep top peformers & ensure company growth

 VPAM DE

 

Many companies have a medium to high turnover rate. Obviously, there are many reasons for this. However, one reason is that good employees are not valued enough.
Many management theories suggest models, which help companies to improve the performance of their employees. However, employees who do already perform at their highest are many times not addressed.
One might claim that it is not important to make any effort in this direction, because why should a company try to improve employees who are already working perfectly.
Nevertheless, this is a very short-term view. As many companies are looking for exceptional employees, there is a huge demand on the job market for them.

 

The VPAM

The "visual performance assessment matrix" can help managers to properly evaluate their employees. The employees are placed in one of the 4 fields. The company can then work on the weaknesses of the employees in order to improve their performance.

Nowadays, it is important for companies to support employees who are not yet able to reach their full performance potential. Because in many cases, companies can save costs compared to a resignation.

However, for very high performing employees, companies also need to set up programs, as you can see from the VPAM. Very good employees are not only responsible for a significant part of turnover, but are also role models in the companies and thus motivate other employees.

VPMA EN

 

Boosting Motivation

What is motivation? It is the power of our mind that drives and controls our behaviour! Motivation is therefore the motivation for a certain behavior of a person.

Psychology distinguishes between extrinsic and intrinsic motivation.

Extrinsic motivation is everything that is influenced from outside: Bonus payments, shares/bonds (should enable good employees to participate in their own success) or e.g. warnings. Intrinsic motivation takes place in the employee him- or herself, because the action itself gives pleasure: I do it because I want to do it.

Extrinsic motivation such as bonus payments are therefore situational and maintain motivation as long as the reward lasts. Through extrinsic motivation you achieve focus.

 

SO WHEN DO EXTRINSIC REWARDS MAKE SENSE?

If…

  • The work is performed in constant routine (always the same work)
  • A target/objective is to be achieved (for example, a budget target)
  • A clear approach is given

 

BUT HOW DO YOU boost INTRINSIC MOTIVATION?

Top performers have many opportunities on the job market and there is a great interest in them. In order to keep these employees on a long-term basis and thus create commitment, companies could implement the following ideas as examples:

  • Empower autonomy
    Intrinsically motivated employees need a maximum of autonomy in order to fully use their potential in companies.
  • Coaching (as preparation for the next career step)
    No top peformer will stay at one career level in a long-term perspective and will use the frst chance to look for other positions. You should intervene at an early stage and offer the prospect of meaningfulness in form of a next career goal to set commitment.
  • Talent Management Program (Top-Perfomers meet Top-Perfomers)
    Top reformers never do not stagnate and an exchange with other top peformers inspires them and motivates them to even better performance.

 

More about this can be found in the TED Talk with Daniel H. Pink (Click here for the video).  These suggestions could help the company to keep top peformers and thus ensure a long-term growth of the company.

 

 


Source: Armstrong, M., Taylor, S. (2014). Armstrong’s Handbook of Human Resource Management Practice. 13th edition. London, Philadephia, New Delhi: Kogan Page
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