Convincing your Chief Executive Officer (CEO) to invest in new performance management software should be simple. There are so many benefits to adopting a best practice performance management approach. From improved productivity and profitability to higher employee engagement and a more cohesive culture. Yet many HR Directors don’t get buy-in when they try to pitch new HR software to the CEO.
You need to present return on investment (ROI), business benefits, and the opportunities for employee development. Your CEO needs to recognize the potential of a new performance management approach. And buy-in to the short and long term benefits to the organisation. So, you must consider:
- What performance management software is and why it matters to your CEO.
- The business benefits of changing your performance management approach.
- How the right performance management software drives the right behaviors.
- Demonstrating clear ROI.
Pitching new software to the CEO – what it is and why it matters
Let’s be realistic – your CEO won’t use performance management software often. Yet their buy-in to changing your performance management approach is critical.
So start by giving them a 10-second summary on what performance management software is:
A system to help managers and employees track performance against goals, provide regular feedback and support employee development and engagement. And all that leads to better business performance.
Then help them understand why it matters:
Alignment is key: You must clearly link Objectives and Key Results (OKRs) to business goals. So employees and managers understand why their contribution matters, review progress regularly and adjust course if priorities change.
Regular feedback: Weekly employee check-ins help build resilience and recognition. Employees are better able to manage change and take action when given timely feedback. And recognition becomes standard as teams collaborate more than compete.
Your pitch to the CEO isn’t just about new HR software though. It’s about a change in your performance management approach. So they need to recognize the benefits of adopting a new way and support that across the whole business.
Why you need a new approach to performance management
Once or twice a year annual appraisals don’t work. Often, they deliver poorly constructed feedback when it’s far too late to do anything. So employees and managers get frustrated. And the process becomes a tick box exercise. Instead, you need an approach to drive performance, identify issues and value your employees.
Pitching improved employee performance management to the CEO
Engage365 check-ins and monthly reviews allow employees to update progress and flag concerns. So managers help remove blockers, provide timely feedback and teams keep on track with business priorities. It becomes proactive. So pitch the right software to the CEO to enable this change.
Upskill bad managers to protect your business
Managers can make or break a company as significant influencers of employee engagement. You must be able to spot issues and take action quickly. Using reports, like those in Zensai, you can highlight gaps in completion and shifts in sentiment. So you can raise concerns and proactively address them.
Highlighting opportunities for employee development
Annual review processes often side-line development discussions to little more than an occasional quick chat. But that isn’t enough when you face high employee turnover and quiet quitting. So you need to encourage quarterly discussions of career aspirations and development needs. And to create plans that support employees as they learn and grow.
Behavior change – your pitch to the CEO for using new HR software
Changing your approach to performance management needs systems that make the shift easy. So you must invest in new software to drive the behaviors of a high performing organisation:
Great communication drives better contributions
Employees and managers commit to the company vision. They understand their contribution and are happy to share ideas and solutions with other teams, functions and senior leaders.
Using flexibility in software to aid your performance management approach
Traditional annual reviews are rigid – long forms and fixed dates. Instead you need flexibility and less administration. So pitch performance management software to your CEO that empowers managers to manage. Then they can hold reviews at quieter times and reduce the admin using weekly check-ins.
Higher employee engagement that values people
Put simply, regular conversations to share opinions, raise concerns and talk personal development all help employees feel valued. So productivity increases and engagement improves as employees work for a company with a genuine interest in what they want.
5 ways to demonstrate return on investment (ROI) when you pitch new HR software to CEO
You’ve got the CEO’s time for your pitch for new performance management software. They understand why this is a good idea. Now there’s just the final piece – the money. But don’t just talk about the costs of implementation. That’s where too many HR Directors go wrong.
The average ROI for performance management software is 17 months (11 months for Zensai). So look, at costs and also opportunities to improve company culture and employee engagement overall.
1. Increased retention while you compete for talent
There may not be a global recession, but those businesses who can harness the joy of work are benefiting from committed employees who want to work for them. And improved retention and well-being thanks to companies that care.
2. Better productivity is key in your software pitch to the CEO
Greater employee engagement leads to higher productivity and profitability (up to 23%). So find software that encourages frequent conversations, stronger relationships and better understanding overall. Then employees get excited about delivering something amazing and pull together to make it happen.
3. Better business decisions
Weekly check-ins provide real-time data on how people are feeling and performing. So you get a clear understanding of successes and challenges. And lead the business based on solid evidence, rather than vague guesses.
4. True business alignment and company-wide blockers
OKRs highlight gaps in alignment with business priorities. So you can use the performance management software to drill down to specific teams or individuals and spot where things are veering off course. And Engage365’s pass up and across functionality flags common blockers when something gets stuck and celebrates successes at all levels.
5. Connecting your CEO with their teams
Great performance management software allows the unexpected. You can view high level statistics, of course. And you can boost morale and drive a culture of recognition and communication, through a personal message from the CEO for a job well done.
