Recent research shows that employers and employees are not staunch supporters of performance management. Despite the widespread implementation of these important processes in organizations, you may be shocked to learn that merely 3% of respondents claim they work perfectly.

As if this wasn’t bad enough, the number of remote workers is increasing at a quick pace which makes it even more complicated. A staggering 83% of workers don’t think that they need to be in the office to be efficient and productive.

As organizations increasingly embrace remote work, managers face unique challenges in monitoring, guiding, and assessing the performance of their remote teams.

In this article, you will explore why performance management is important both in-office and remotely and delve into essential best practices that can help managers navigate these challenges.

In-Office vs Remote Performance Management

Some elements haven’t changed since the beginning of the remote work trend. Providing regular one-on-one feedback and setting clear goals are still of utmost importance to measure employees’ performance effectively both in-office and remotely.

Yet, there are more differences than commonalities between those two settings which present a challenge for managers and employees.

Difference #1 – Collaboration and Communication

Unlike people working at their office desks, remote workers don’t have the luxury of face-to-face chats. Relying on tools like video calls, chat apps, and shared documents became crucial to collaboration and staying connected.

Difference #2 – Goal-Setting and Alignment

Discussing goals and making sure everyone’s on the same page during meetings or casual conversations is the bread and butter in the office setting. But with remote work, it’s not so simple anymore.

You need to be extra precise in setting goals, using written instructions, holding virtual meetings, or introducing project management tools to keep everyone aligned.

Difference #3 – Monitoring and Evaluation

Remote workers rarely have the opportunity to receive instant feedback on their progress from managers. Instead, they have to find other ways to keep track of their operations, like scheduled check-ins, progress reports, and using performance tracking tools.

Difference #4 – Engagement and Team Bonding

The office naturally creates opportunities for socializing, like grabbing a coffee or going out for lunch. In remote work, you have to make a conscious effort to foster engagement, whether through virtual team-building activities, informal video chats, or creating space for social interaction. Still, many employees find that challenging.

Best Practices to Measure Performance Remotely

Encourage open and transparent communication

Staying connected is the key. Think of it like having a virtual campfire where you can freely share updates, challenges, and feedback. When you create an environment where everyone feels comfortable speaking up, it’s like having a roadmap to success.

Open communication helps to understand how you’re progressing, identify any hurdles, and provide the right support. Plus, it builds trust and collaboration among the team.

You may try to establish guidelines for how and when team members should communicate. Define preferred communication channels like Slack or Microsoft Teams, response times, and availability windows. This clarity helps team members understand how to reach out to one another effectively.

Invest in technology for all team members

Technology has led to a surge in the freelance industry as 1.57 billion people in the world consider themselves freelancers. As remote work continues to gain popularity, managers must reconcile the needs of freelancers with the needs of regular employees.

However, not every software is suitable for both groups of employees.

A good example here is an enterprise resource planning system (ERP). While ERP systems such as NetSuite can be highly valuable for permanent staff due to their comprehensive functionalities and integration capabilities, freelancers often require more focused and task-specific tools that align with their project-based work like Trello or Monday.

Consider the unique requirements of both freelance workers and permanent staff to find common ground in terms of technology solutions. In this way, you can create a work environment that promotes productivity and collaboration for all team members.

Collect Feedback

Collecting your employees’ feedback comes with numerous benefits. Not only can you gather their thoughts on current policies, but you can also gain suggestions for future improvements.

One effective way to boost the involvement of remote workers is to leverage tools like SurveySparrow or SurveyMonkey. Introduce employee Net Promoter Score (eNPS) by conducting surveys either quarterly or annually. Make sure you’re doing everything in your power to demonstrate how much you value their opinions.

Set clear OKRs

Employees want clarity and purpose in their work. They want to know how their contributions fit into the bigger picture. Unfortunately, many managers still rely on outdated goal-setting methods that leave their teams feeling lost in the shuffle. 

OKRs are shorter-term, and make your priorities clear. By training managers to break down tasks and make them measurable for quarterly reviews, you can ensure your goals and objectives remain focused and achievable.

Avoid micromanaging

Keeping a watchful eye on every single detail of your remote team member’s work is neither necessary nor productive. As a manager, try to shift your focus from micromanaging to trusting your team members to do what they do best. This doesn’t mean ignoring performance monitoring completely, but rather rethinking how you approach objectives and assessments.

Conclusion

Ready or not, remote work is now an integral part of the modern work landscape. It’s time to adapt to it by implementing effective performance management in your organization and prepare for the future of remote work.

Arkadiusz Terpilowski is a co-founder of Primetric – one the biggest B2B SaaS in Poland for managing profitability and people workload for professional services firms.