5 Challenges Addressed By Employee Performance Tracking

In today’s complex work environment, performance reviews are often accompanied by stress and anxiety, both for employees and managers, particularly when the outcome is already anticipated. The simple methods of evaluating performance may have served their purpose in the past, but the future demands a fresh perspective to tap into the workforce’s untapped potential. An essential factor in unlocking this potential lies in employee performance tracking.

This allows regular monitoring, evaluation, and improvement of employee performance leading to organizational and individual growth. Unfortunately, many employers overlook the significant impact that employee performance tracking can have on their business. To harness its transformative potential, organizations must prioritize investments in systems and processes that facilitate its effective implementation.

Here, we outline five notable challenges that can be effectively mitigated through the practice of employee performance tracking.

1. Inconsistent or Inaccurate Feedback :

“Feedback is an invaluable aspect of personal and professional growth, and it should never be overlooked. I firmly believe that feedback must be consistently and periodically given, while ensuring its accuracy. The inability to accept feedback with an open mind poses challenges and hampers the essence of effective feedback” ~ Hitesh Soni, Senior Consultant – HR Practices and Solutions, NamanHR.

With regular employee performance tracking, organizations can ensure that feedback is timely, consistent, and objective. By preventing biased reviews and ensuring accuracy, this analysis allows for the provision of verbal and written feedback reports that are consistent, enabling employees to enhance their productivity and efficiency.

2. Failure to set expectations :

When there is a lack of clear expectations for employees’ roles, it becomes challenging for them to understand what is expected and what they should strive for. In fact, almost 50% of employees are usually unclear about their role. This ambiguity can lead to confusion regarding the criteria for poor versus excellent performance.

Zil Pandya, Consultant- Organization Development & Strategic HR Practices at NamanHR mentionsAddressing this issue involves prioritizing talent growth by providing continuous developmental guidance and taking timely actions via employee performance tracking to help employees maximize their strengths and reflect on their potential.” This enables employees to align their efforts and work towards specific goals, resulting in more engagement.

3. Insufficient data for decision-making :

Reviews can be time-consuming, with managers spending an average of 210 hours on reviewing activities, making the process both tiresome and ineffective. However, even after the time investment they lack credibility and rely on subjective dialogue, leading to forced rankings. “It is obvious that effective feedback and performance dialogues rely on data, facts, and observable behaviors for improvement, rather than mere interpretation or assumption.” ~ Hitesh Soni, Senior Consultant – HR Practices and Solutions, NamanHR.

With employee performance tracking, organizations can derive qualitative data that provides comprehensive and reliable information. This data, along with analytics, allows employers to identify what is contributing to the achievement of business goals, leading to more informed decisions. This facilitates the development of effective performance improvement strategies and enables optimal resource allocation, ultimately enhancing overall performance.

4. Lack of accountability & ownership :

Without executive emphasis, managers may not prioritize performance rating efforts, and employees may not take their goals seriously, leading to performance fluctuations. When there is a lack of ownership, both employees and managers may not take responsibility for their work.

With employee performance tracking, employers can openly communicate organizational goals that are the shared responsibility of the entire workforce. By making goals visible and measurable, employees can align their efforts with what the organization expects from them. This leads to a culture of accountability, aligning performance with organizational goals.

5. Average performance dilemma :

The average performance dilemma arises when the focus tends to be on high-performing employees, neglecting the needs of average performers. This can result in frustration, demotivation, and low productivity. With employee performance tracking, employers can connect performance data with experience metrics from surveys, interviews, etc. which can provide insights into what makes the highest-performing employees successful.

Utilizing these insights, employers can develop targeted plans, adding specific milestones to enhance the skills and performance of average employees. This approach ensures that the needs of all employees are addressed comprehensively.

Effective Way Of Employee Performance Tracking

In a world where people’s livelihoods are at stake, a scientifically designed fair performance management process becomes paramount. Transparency is key, not only in the review processes but also in the resulting decisions. By infusing regular employee performance tracking which utilizes a combination of objective metrics, qualitative assessments, and regular feedback loops, organizations can unlock the full potential of individuals and drive overall success.

At Naman, we understand the transformative impact of effective employee performance tracking. That’s why we specialize in designing transparent Performance Management Systems that are tailor-made to your organizational goals, job types, and performance standards. To learn more about our services, connect with us or visit our website at

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