Oktober 7-2025

By: Marisa

In today’s fast-moving business world, organizations are required to constantly adapt and innovate. This dynamic environment also calls for a transformation in how we manage employee performance. The traditional, rigid, and centralized annual performance evaluation model is becoming obsolete — replaced by a more flexible, responsive, and development-oriented approach.

Why Annual Evaluations Are No Longer Enough

Traditional performance evaluation models often have several weaknesses:

• Too focused on the past: Annual evaluations tend to review what has already happened rather than prepare employees for future challenges.
• Lack of real-time feedback: Feedback given only once a year is ineffective for quick improvement and adaptation. Employees need timely guidance to overcome challenges or sharpen new skills.
• Neglect of continuous growth: The end-of-year evaluation focus often overlooks ongoing learning and development throughout the year.
• Potential bias: Yearly reviews are more prone to evaluator bias since too much information must be recalled and assessed at once.
• Limited employee empowerment: Employees feel they have little control over their own growth when the process is overly formal and top-down.

Moving Toward Sustainable Performance Management

Sustainable performance management represents a paradigm shift — from merely assessing to actively developing employee potential. It involves a series of integrated, recurring practices that focus on frequent feedback, adaptive goal-setting, and continuous development.

Here are the key pillars of sustainable performance management:

1. Continuous Feedback and Two-Way Conversations

Instead of waiting for the annual review, feedback is given regularly and informally. This could take the form of short weekly conversations, bi-weekly check-ins, or ad-hoc feedback sessions. Such feedback should be specific, constructive, and solution-oriented.
It is equally important to encourage two-way communication, allowing employees to provide feedback to their managers as well. This helps build a culture of transparency and trust.

2. Adaptive Goal Setting (OKRs, SMART, etc.)

Goals are no longer fixed for an entire year. In sustainable performance management, goals are flexible and adaptive — frequently aligned with the organization’s evolving strategy.
Approaches such as Objectives and Key Results (OKRs) or SMART goals (Specific, Measurable, Achievable, Relevant, Time-bound) can be used to set clear and measurable goals that align with business priorities. These goals are reviewed and adjusted periodically.

3. Continuous Employee Development

The primary focus is on employee growth and long-term capability building — not just identifying skill gaps, but also creating opportunities for continuous learning. This can include:

• Training and workshops: Investing in relevant learning programs.
• On-the-job learning: Assigning new and challenging projects.
• Mentoring and coaching: Connecting employees with experienced mentors or coaches.
• Career path development: Helping employees plan and achieve their long-term career goals.

4. Leveraging Technology for Facilitation

Technology plays a critical role in supporting sustainable performance management. Software platforms can help facilitate:

• Feedback recording: Allowing managers and employees to document and track feedback.
• Goal management: Assisting in goal setting, tracking, and adjustments.
• Development needs identification: Analyzing performance data to identify areas for improvement.
• Recognition and rewards: Enabling instant acknowledgment of employee contributions.

Benefits of Sustainable Performance Management

Implementing this approach brings several significant benefits:

• Improved individual and team performance: Frequent feedback and guided development help employees reach their full potential.
• Higher employee engagement: Employees feel valued and motivated when they see genuine investment in their growth.
• Better retention: A supportive development environment reduces turnover rates.
• Greater organizational agility: Companies can respond to market changes more quickly and effectively.
• A stronger learning culture: Promotes an environment where continuous learning and improvement become the norm.

Starting the Transformation

The transition from annual evaluations to sustainable performance management requires top management commitment and a shift in organizational culture. Initial steps may include:

1. Education and training: Equip managers and employees with the skills and mindset for continuous feedback and development.
2. Pilot projects: Start small with a department or team to test the new approach.
3. Choosing the right technology: Invest in software tools that support the process.
4. Start small: Avoid trying to change everything at once. Focus on one or two key pillars first.

Sustainable performance management is a long-term investment in the company’s most valuable resource: its people.
By shifting from static evaluation to continuous development, organizations can build a workforce that is more resilient, adaptable, and future-ready.

To make this vision a reality, companies need to foster systems, cultures, and habits that support open feedback, adaptive goals, and lifelong learning. These are the foundations of truly sustainable high performance. Visit campsite.bio/qqgroup and follow our social media channels for daily inspiration on leadership, work-life balance, and personal growth.

Together, let’s move forward toward a stronger Indonesia!