Managing Human Capital through Performance Matrix

Performance Metrics
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Performance Metrics
Companies the world over have come to the realization that their employees are an important cog for their survival and competitiveness. As such, employees are regarded as assets as opposed to liabilities. In this regard, companies endeavor to create an environment that is conducive to their employees all year round. It is conventionally agreed that employees give motion to their respective companies through their energy, commitment, and focus (Messineo, n.d.). These cannot be achieved unless the members of the workforce feel appreciated, which in turn translates to happiness and satisfaction. In order to assess employees' performance and productivity, companies engage several metrics. Some key performance metrics that companies use to measure employee satisfaction are suggestions per employee, attrition, net promoter score, employee productivity rate, and average tenure.
Suggestions per employee are arguably the most important metric because it evaluates how employees are actively engaged in helping improve the company's endeavors. Engaging employees when making key decisions enhances openness between them and their employers (Messineo, n.d.). They feel appreciated and acknowledged as an integral part of the company. Employee engagement might fall if a company only conducts yearly surveys to evaluate employees' sentiments or needs. This, in essence, means that their suggestions will not be addressed in good time. Companies ought to prudently conduct quarterly surveys to ensure that employees' suggestions or needs are dealt with in good time (Seven habits, 2019). So doing will definitely see a rise in employee satisfaction, thereby enhancing their performance.
Another critical performance metric is attrition which refers to the rate at which employees of a given organization leave, either voluntarily or involuntarily. Several factors could influence employees to resign from an organization. Some may leave after being offered more lucrative incentives elsewhere. Others might leave because the working environment is not conducive; for instance, they may feel that there is no trust between them and their employers. When employees feel that there is a deficiency of trust, their levels of engagement fall as a consequence, while the contrary is true. Organizations must prioritize building trust among their employees and, when doing so, must factor in the ability, benevolence, and integrity of the employees (Gubbins et al., 2018). In instances where employees are laid off due to poor performance, employers must seek to find out what affected performance and address the issues raised.
Net promoter comes in as yet another critical performance metric in any given organization. This refers to the percentage of the likelihood of an employer to recommend an organization as a workplace. Organizations must always keep in mind that today's workforce values inclusion, coaching, and ongoing feedback (Seven habits, 2019). Any organization that embraces employees and actively engages them portrays itself to them in good light. As such, the employees will feel obl...