Human Capital Perfomance: 5 Effective Ways to Measure Evaluation Columbus, GA Friday, February 25, 2011 Performance evaluations have been criticized by individual contributors often because they are susceptible to various forms of bias and are often conducted by incompetent idiots.

Human Capital Performance Development programs typically serve five distinguished corporate functions or phases.

1. Lead human capital initiatives such as hiring, firing, cross training, and promoting. Performance data is needed to validate selection procedures in order to make informed decisions on promotions and terminations. Without the data, human performance decisions have to be made randomly or subjectively.

2. Provide individual contributors with feedback for their own personal development. Individual Contributors need feedback on performance to help them improve; this facilitates the learning of new behaviors or change agents. Dr. Jakes believes more individual contributors want to know how well they are doing and what do they need to improve?

3. Identify cross training needs for the organization. A well developed human capital performance system tells which individual contributors, departments and divisions could benefit from the cross training. It also assists in establishing the knowledge, skills, and abilities needed for each job and setting minimum performance standards to achieve.

4. Implement HR Planning and organize other HR Functions. Human Capital Performance Appraisals provide the basis for an integrated Human Capital System.

5. Reward Employees. Money, Status, Promotions, and Recognition, should be based on performance. Without data everyone has to be rewarded equally or rewards have to be distributed subjectively. Human Capital Performance Appraisals also provide intrinsic rewards, since high performers receive high recognition for their efforts.

Experience and cross training can help team leaders, supervisors, managers, directors and senior management do a better job in evaluating human capital performance. How does your organization measure performance?