We asked members of the Entrepreneurs' Organization (EO) to share their best tactics for evaluating their team members.
Get Everyone Involved
"Every employee is evaluated on a quarterly performance plan. These plans are collaboratively developed at our quarterly company meetings, which means everyone knows about and provides input on each other's plans. They are kept in a shared file and tied to a company scorecard so we can keep each other accountable. Our staff has full transparency and knows how their performance will be assessed because they helped create targets and regularly discuss them with their manager and mentor."
John Dillard, EO Charlotte
President, Big Sky Associates
The "Coin" Approach
"Wherever possible, we try to use the 'Coin' approach to measure performance. That means measuring both sides of the coin. For example, in a sales environment, it would mean measuring revenue as well as average profit margins; with customer service, measuring volume of calls as well as customer satisfaction. The key is to find the right mix where each key metric is balanced by an opposing metric."
Tom Kuhne, EO Colorado
Managing Partner and CTO, The Booth Company
Consider Core Values
"Our company recently implemented the Entrepreneurial Operating System (EOS) and found the scorecard method invaluable. Internally, we score our staff monthly, on how we're living out our core values. Annually, colleagues will score each other on how they are demonstrating these values. We also share them with our clients and ask to be scored on how well we are showcasing the core values. This method enables us to keep a finger on the pulse of our company culture."
Jessica Nunez, EO Dallas
Founder and President, Nunez PR Group
"I have been using a simple process with great success for the last few years. Twice a year, I schedule lunch with each employee. The CFO and I will go to lunch with the employee on the company's account. If an employee is managed by another direct manager, they attend, but are discouraged from talking. We provide a list of questions ahead of time and will discuss two more during the lunch. All we have to do is really listen, and act based on information."
Kirk King, EO Detroit
President, Continuity Programs, Inc.