Does your organisation struggle with employee performance? We can help with that! This month we share 5 Steps to Moving Low Performers Up or Out. Studies have shown top performers, in nearly any business, will out-produce low performers from 200-to-900 percent. That means your low performing employees are costing you money.

DID YOU KNOW? We found some shocking statistics on the number of applicants who use false information and the high cost of negligent recruitment. Take a look at this month's DID YOU KNOW section then give us a call to see how you can keep that from happening to you.


From the desk of...            Bud Haney, President Profiles International

Featured Article

Building Performers

Low Performers? 5 Steps to Moving Low Performers Up or Out

Every business, despite best efforts in recruiting, hiring and motivating employees, eventually faces the problem of low performers. Tasks get done but seldom on time. Absenteeism and tardiness creep up. The manager gradually shifts some of the workload to other, higher-performing workers.

As the manager, you wish people like this would just disappear, but it seems they never do. They just seem to hang on and on… In some circles this is labeled presenteeism," and having these low performers at work may be costing you more than if you paid them to stay home!

Top performers, saddled with the extra load of carrying dead weight, may simply choose to move on. What can you do, then, to solve this dilemma? Here are five key steps to change the performance pace in your organisation.

1. Identify the problem in clear, measurable terms. If you've been meaning to set performance standards for each job in your area, now is the time. Absenteeism, tardiness, missed productivity levels and timeline delays could all become part of a set of performance standards (although you will be well-advised to set these standards in their more positive polar opposite verbiage.)

2. Communicate. Meet with your low performers, lay out the expectations and the places where performance regularly falls short and make clear what the specific expectations are for future performance. Make it clear these expectations will be tracked and frequently evaluated. Then do just that—make the consequences of failing to meet these goals clear and enforceable. Consider coaching these employees toward improvement. The PXT Coaching Report can help managers communicate and coach employees.

3. Work your plan. Execution is the key. Follow your scheduled evaluations of performance with clear feedback. If expectations are not being met, give the feedback immediately. While your fondest hope may be to see these people improve their performance, it's much more likely you are simply documenting the path to the door. Either way, timely feedback, action on promised consequences and consistent application are your key to solving the problem.

4. Document your process. One successful manager said, "The most expensive time an employee is on my payroll is the interval between when I decide to fire them and when they go out the door." Because firing someone, especially someone who has been with the business for a long time, is very painful, you may find yourself procrastinating. Your delay at this stage can only compound the damage. Following Jack Welch's advice to remove the bottom 10 percent of employees each year is not an easy path, and you may differ in your approach to making your business better, but to ignore a consistently low-performing employee is to ensure your operations will never be as good as they could be.

5. Take Action. If you've followed steps one through four, you are ready to make the necessary decisions for the good of your company and other employees.
 
Of course, when it is time to hire a new employee, we would all like to avoid replicating the departed one! This is the opportunity to use a well-structured hiring process, information from assessments, background checks and other valid information you can gather to add a top performer to your business.

Studies have shown top performers, in nearly any business, will out-produce low performers by anywhere from 200-to-900 percent! Imagine the effect on your company, if you could replace one low performer with one top performer. Then, imagine you did it again and again... The good news: You can!

Did You Know?

Shocking HRStats: Why Pre-Employment Screening Is Important

Sometimes words can't do justice to the story of pre-employment screening. The statistics below describe the kinds of workplace risks Profiles International assessment solutions and pre-employment screening will help you avoid. Contact us to learn more. 

HR Statistics: False Information 
53% of all job applications contain inaccurate information.  
*Source: Society of Human Resources Management, 2003   

In a survey conducted by CareerBuilder.com, 49% of the 3,100 hiring managers surveyed had caught a job applicant fabricating some part of his/her resume.  
*Source: CareerBuilder.com Survey, 2008 

34% of all application forms contain outright lies about experience, education, and ability to perform essential functions on the job.  
*Source: Wall Street Journal, 2003   

9% of job applicants falsely claimed they had a college degree, listed false employers, or identified jobs that didn't exist.  
*Source: Resume Inflation: Two Wrongs May Mean No Rights, by Barbara Kat Repa, Nolo.com, 2001   

HR Statistics: Bad Hires 
Negligent hiring cases have had verdicts of up to $40 million.  
*Source: Gurtin vs. Nurse Connection, et. al., 2002   

The average settlement of a negligent hiring lawsuit is nearly $1 million.    *Source: Human Resources Management, 2008   

Employers have lost more than 79% of negligent hiring cases.  
*Source: Fortune, 2000   

Replacing supervisory, technical and management personnel can cost from 50 to several hundred percent of the person's salary.  
*Source: Society for Human Resource Management, Recruitment and Selection Presentation, 2008

PROFILES VICTORIA
SEPTEMBER 2011


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