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Thursday, September 14, 2006

People Performance Management

The folks at Warrilow report that "...One of the most powerful yet overlooked success factors for small businesses is implementing effective HR management practices."

According to a study by the University of California Center for Effective Organizations, employee management practices have a proven impact on the top and bottom line – resulting in returns of up to 66% in sales and 13% in equity.

Gevity, a provider of professional human resource capabilities to small and medium-sized businesses, established its Institute to delve deeply into small business HR issues and build insights into how they can most contribute to improving business performance. David Sikora, the head of the Institute says, “The typical small employer defines HR as payroll, benefits and perhaps compliance. Most don’t think about the other side of the coin, which encompasses practices like having formal appraisal processes and job descriptions, and linking compensation to business objectives.”

BOTTOMLINE: Formalized HR best practices like performance appraisals, 360 feedback and systematic hiring processes -- can effectively be conducted in smaller organizations, leading to improved people performance. You'll find these best practices as integral components of the Six Disciplines program.

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