An Effective Method to Choose Employee Performance Software



Senior editor

Parul Saxena

Chief editor

Last updated: May 21, 2021

Employees are the asset for every organization. When the employees work at their optimum productivity level, they enhance the productivity of the organization, which in turn, increases the revenues. However, employees are not equally productive each day. They need to be motivated from time to time to work at their optimum productivity level. For this, employee performance software can be exploited by the HR team.  

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It is important to understand what employees expect from employers in order to keep them motivated. The common expectations include genuine engagement and their professional growth. An organization should thus invest in robust tools like employee performance software in order to gauge the performance of the employee and to keep the employees motivated. Furthermore, the software can even serve as a boon to the HR team.    

The performance management software streamlines the tasks of HR. It simplifies the process of performance appraisal and yields timely communication to the employees. In this way, it reduces the task of the HR team. However, before buying software, a lot of homework needs to be done to choose the most suitable software for your organization.

Today the HR teams face multifaceted challenges as performance review is not that easy. So, it becomes vital to select employee performance software that aligns with the philosophy of the company and suffices its needs. At the same time, it should ease the HR pain points. Then only the software can bring value to the organization.    

So, here’s our step-by-step guide that will facilitate you in choosing the best performance management tools that ease HR pain points and enhances the productivity of employees.

Steps to Choose Right Employee Performance Software

Step 1: Identification of HR Pain Points

Prior to investing in employee performance software, you must first find the loopholes in your existing system. The businesses should analyze their existing system of performance review and clearly identify the challenges faced. The businesses may even need to include those features in the software that are missing in the existing system.     

There is a need to decipher the problems faced both by the employees as well as the organization. The organizational challenges may include nonstreamlined process, failure to engage the employee, etc. From the employees’ perspective, the loopholes may be related to unclear communication, ambiguous compensation & promotion process, lack of motivation, etc.

The organizations can carry a fundamental need assessment where the employees can be inquired in order to figure out the HR pain points. This step will even win the trust of the employees as it shows that you value their opinions. While assessing, you should consider areas such as productivity, professional growth & development, compensation & promotion, and communication.  

Step 2: Listing of goals

Once you know the challenges and the problems, you need to lay down the goals that you endeavor to achieve by implementing the software. Here, you can enlist both the short term and long term goals that you intend to achieve by leveraging the employee performance software.

The long-term goals can include core HR pain points such as increasing employee retention rate, improving productivity level, enhancing employee engagement. On the other hand, the short-term goals include aspects such as a reduction in the paperwork, enhancement in employee performance tracking process, higher participation rate, better feedback collection process from each employee, etc.    

Establishing the goals helps in making a well-informed buying decision as you choose software that aligns with your requirements and expectations.

Step 3: Listing down the core features

After setting up both short-term and long-term goals, you need to find out the essential elements that your employee review software should possess. You don’t have to get lost in heaps of features, but you need to look for only those features that are inevitable for your company’s success.

Some of the must-have features include user-friendliness, integration with existing HR systems, compatibility with other devices like mobile, security issues, legal issues, etc. Once you have a list of these features, you can easily select software that resonates with these.  

Step 4: Analyzing HR Solutions

Once you have identified the goals and listed down essential features, you have to select a suitable software that caters to your needs and suffices your proposed budget.

There are scores of solutions available in the market. You may find several performance management tools that may confuse you in making a choice. However, you don’t have to get overwhelmed by these options, but you need to critically analyze each opportunity for its features, pricing, and extended support.

You can use a software comparison tool that will assist you in choosing the most cost-effective and feature-laden software out of the lot. While choosing, consider user-friendly interface. As the employees will use your software, so it should not add any complications in their life.  Ultimately, you should select employee performance software that reduces your worries instead of mounting them.  

Step 5: Familiarize your HR team

Even if you choose the best employee performance software, it will go in vain without the approval and backing of your leadership team. So, you should demonstrate the chosen software in front of the entire organization and take their opinions.

You should clearly explain the benefits of performance management to the entire team so that they can understand how the software helps them in enhancing their productivity.  More than the functionality and working of the software, you should lay impetus on explaining its benefits to the team as that matters the most.

You should also explain the entire plan to the team of how you intend to implement the software into the existing performance review system. In this way your team will get to know about the software and, they can also offer their advice on the software.

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