Performance Management in Manufacturing: Hiring and Retaining Top Talent

Manufacturing organizations that embrace performance management best practices (like those listed below) as a business strategy create high-performing cultures that attract top talent beyond the salaries and benefits offered. Businesses that view performance management as a top priority show team members that their talent is needed, desired, and worthy of growth and development. 

1. Incorporate One-On-Ones/Check-Ins

Finding top talent begins with keeping the current talent satisfied and engaged. Team members who have a healthy, trusting relationship with their direct managers and know their presence is valued become internal ambassadors and are more likely to tell friends and family outside of the organization that it is a great place to work. This level of internal promotion starts with frequent, scheduled one-on-one time with each employee. 

Performance check-ins, or one-on-ones, are a great way to streamline communication and feedback between managers and team members. A preferred check-in process is one where employees fill out a check-in form prior to meeting with their manager so the manager has time to review it before meeting together. One-on-one meetings should be brief, focused on the employee’s needs and performance, frequent, and documented. 

For manufacturing employees, it is most important to remember that the perfect check-in process is less vital than a check-in process that works for you. Workdays are in constant motion, so one-on-ones will need to be intentional and creative. The bullets below highlight what check-in meetings should include and how they should occur.

• No more than 15-20 minutes
• Minimum of once a month
• Documented, with no more than 3 standard questions for the employee to answer ahead of time
• Consider incorporating performance objectives, core values, and goals
• Utilize a simple, easy-to-use digital check-in tool
• Managers document brief notes and provide a quick summary of the meeting
• Customize check-in meetings to fit the environment. Make them work for you. 

The WorkDove Check-In tool includes employee sentiment tracking that highlights trends over time and can be used as an indicator of turnover risk and general engagement. It is also equipped with reporting tools, automatic reminders, and the ability to update goal progress. The employee’s voice is heard and managers are given a resource for coaching and guiding performance with minimal effort.

2. Gauge Employee Engagement

Creating time and resources to capture the manufacturing employees’ feelings about their work and organization is a daunting task given how quickly everyone is moving. While surveys are a common way to gather this information they may not be realistic all the time. Much like all other performance management practices in manufacturing companies, HR leaders may need to get creative. 

The following list highlights a few options for gauging employee engagement in the manufacturing world.

• eNPS Survey– The Employee Net Promoter Score is not a typical survey in that it poses one simple question: “How likely are you to recommend to others that our organization is a great place to work?” The responder is asked to select a number from 0 to 10, with 0 being the least likely and 10 being the most likely. Responses are segmented as such:
  • 0-6- Detractors (not engaged or disengaged)
  • 7-8- Neutrals (not engaged or disengaged)
  • 9-10- Promoters (engaged)
• Include sentiment analysis in check-ins– As stated above, the WorkDove check-in tool incorporates a sentiment pulse tracker that asks employees, “How are you feeling lately?” and they can select a picture response ranging from Not Okay to Great. Consistent pulse checks on how employees are feeling lead to healthy engagement conversations.

• Measure workplace satisfaction- Paired best with the performance review, directly asking employees how satisfied they are with the workplace and what could be done to improve that satisfaction encourages employees to be honest and open. WorkDove offers an option for measuring satisfaction in the review and produces a report that allows leaders to analyze responses alongside performance and workplace behavior ratings for a comprehensive picture of engagement. 

3. Develop and Track Goals

Setting long-term goals is critical to manufacturing businesses attaining the ultimate vision. Ideally, goals are aligned with the organizational mission and purpose and are created at the individual, department, and company levels. When goals are defined and tracked at all levels it increases accountability and encourages team unity, especially for groups that are dispersed across different locations. A suggested best practice is for managers and employees to sit down and develop goals together, giving employees a voice in the process and encouraging them to take ownership of their commitments. When employees see that their contributions affect bigger department or company-wide goals, especially through the use of visual goals software, their engagement increases knowing that their performance has a tangible impact. 

As mentioned above, consider including goal updates during performance check-ins. Managers can keep a keen eye on goal progression and offer coaching in the moment before it becomes a performance issue. Employees are also reminded during each one-on-one that their efforts go beyond just completing tasks but rather create real change for their team. 

The list below details the components that individual goals should contain:

• Goal title
• Person responsible + any contributors
• Due date
• The department or company-level goal its aligned to
• How the goal is measured (dollars, percentage, units., etc.)
• Additional information

4. Lean on Performance Reviews

Finding time for manufacturing employees to sit down and complete a formal performance review once or twice a year can feel impossible. However, when used alongside frequent check-ins, performance reviews become a simple documented summary of ongoing conversations. Performance reviews allow HR leaders in manufacturing organizations to track the right metrics, workplace behaviors, and goals for each individual. It ensures that those meeting and exceeding expectations are being rewarded appropriately and those who are not meeting expectations are receiving the coaching and direction they need. 

For an industry with a retiring workforce that is struggling to replace talent, documented performance reviews highlight those employees who are primed for promotion. Review results tracked over time offer historical data that showcases the growth and development of individual employees, managers, teams, and departments. These data points help to identify stellar performance and create opportunities for career advancement. WorkDove’s Performance-Values Matrix measures performance and workplace behaviors separately and plots the points on a matrix, making it easy to visualize employee performance and value fit.

5. Define, Measure, and Embed Core Values

In an industry where competition is tight, aspects beyond salary and benefits help to attract and retain top talent. Fully embracing core values helps manufacturing organizations stand out in the marketplace and also ensures the right people are hired and remain employed. 

Core values are more than 5-7 words or phrases that read well in job listings and marketing material. They are subsequent behaviors that should be exhibited by all team members and aim to make the company’s mission real and visible. Core values must be well-defined and tracked alongside performance. When performance and workplace behaviors are measured equally but separately, it sends a message to employees that exhibiting positive behaviors is just as important as meeting performance expectations. Tracking core values also helps to eliminate potential bias in performance evaluations by more comprehensively measuring employee efforts. 

Lastly, core value displays of behavior should be the basis for recognizing team members. Observable actions that peers can see portrayed by their teammates and leaders are fuel for recognition programs. When positive behaviors are rewarded publicly, it encourages more positive behavior and provides a real-life example of what core values look like practically.