- Organizations often take executive evaluations for granted.
- Most often than not, more time is spent on finding the right “cookie-cutter” executive to fit in the role rather than refining the evaluation criteria that will measure the effectiveness of their own executive.
- This is why evaluating executives require more than just gut feel.
- Determining the different areas that will identify an executive’s strengths and weaknesses is important to give an objective performance review for executive evaluation.
The effectiveness of executive evaluation has long been a neglected issue in organizations. Organizations often falter when executives are not equipped with the skill set that will add value to the company.
It is challenging for most organizations to accurately predict whether one of their executives are competent enough to have the potential to succeed in a senior leadership role in the company.
Executive evaluation is a dynamic and multi-disciplinary process, but most often than not, more time is spent on finding the right “cookie-cutter” executive to fit in the role rather than refining the evaluation criteria that will measure the effectiveness of their own executive.
The Importance of Executive Evaluation
What makes executive evaluation so challenging for organizations? Simply because evaluating executives require more than just gut feel. A proper assessment mechanism needs to be set in place to determine whether an executive is succeeding in their leadership role.
Traditional assessment approaches were not designed to predict whether an executive has the ability to grow into their job and adapt to the changes of a fast-paced economy. Selecting the right executive with excellent executive leadership characteristics is essential to help the company grow and create a lasting positive impact on the business.
Spencer Stuart, a leadership consulting firm, identified several characteristics of the most effective executive leadership assessments:
Measure the capabilities that are central to effective leadership.
Not all approaches to measuring professional executive competencies are effective. An executive’s leadership role is aimed towards driving long-term positive results for the company through its people.
An effective assessment will objectively measure the critical leadership capabilities of an executive. Regardless of their role, industry, or demographic, executives need to be assessed and compared to one another with the required degree of leadership competence for their position.
Consider the relevant leadership context.
Context matters for any given job in the organization. An executive’s leadership style and expertise are directly related and aligned with the demands of their position in the company. Thus, a proper executive evaluation should be based on the organization’s understanding of an individual’s leadership context pertaining to their particular job.
Evaluate future potential with a developmental lens.
An executive’s performance is just one part of the equation when it comes to executive evaluation. Executives also need to be able to conceptualize a concrete plan that will help motivate and engage the members of the organization.
Executive evaluations need to provide insights on an executive’s capacity to evolve and respond to the changing business landscape. When an executive assessment is conducted on a developmental lens, the approach will ensure that the individual will have the potential to continue to develop and enhance their performance to improve the organization.
Embrace multiple evaluation methods for precision.
One assessment method is not enough to evaluate an executive. No matter how comprehensive the method, one assessment cannot fully grasp the critical aspects of executive leadership.
Executive evaluations need to cover a range of methodologies from multiple approaches and perspectives. Besides measuring their capabilities and knowledge on the job, a multi-dimensional executive evaluation will help give the organization a rich and comprehensive insight into an executive’s motivation, values, and personality.
Getting started on your organization’s executive evaluation.
To help your organization get started on crafting your own executive evaluation, we have identified five areas that will define an executive’s strengths and weaknesses. An objective performance review is needed to rate executives from the following criteria:
An effective executive understands that leadership involves more than just telling people what to do. Leadership involves motivating and energizing the staff. It’s also about consistency and leading by example. True leaders are not exempted from the rules in the organization, nor do they make exceptions for themselves. To make the people value an executive’s leadership in the organization, they also need to value the people they are leading.
Here are some questions that need to be answered by the executive to assess their leadership capabilities:
- Are your executive decisions in line with the company’s mission statement?
- Do you set an example by following the rules in the organization?
- Are you actively leading the organization for continuous development?
- Do your employees know that you value them?
An effective executive can identify the right strategies and tactics to be implemented in the organization. They also need to ensure that all executions of their executive decisions are working together symbiotically. It starts with having long-term goals for the organization and implementing strategies that will contribute to achieving that goal. A coordinated and well thought out plan for the company will produce good results and yield a positive return on investment.
Here are some questions that need to be answered by the executive to assess if they have the right strategic capabilities that will help the company grow:
- Do you annually set targeted goals for your employees?
- Do you have a strategy for how the organization is positioned in the industry that will increase the employer brand?
- Do all the strategies you implemented support your targeted goals?
Every member of the organization is a tremendous resource that needs to be utilized appropriately. When executives set the right expectations to their staff, the organization will be more in sync to meet their targeted goals. Each member of the organization wants to have a meaningful job where they feel like they can grow. An effective executive will implement ways to help each individual in the organization reach their fullest potential.
Here are some questions that need to be answered by the executive to assess if they have the right people management skills:
- Are the right people in the right job?
- Is everyone proficiently tested and trained for their respective positions?
- Do you have regular staff meetings?
An effective executive knows how to objectively see the changes that need to be made to improve the overall performance of the organization. Thus, an effective executive needs to understand how to benchmark the performance of their own staff. Executives need to implement the right approach to have meaningful performance metrics that will set the target for future performance measurements.
Here are some questions that need to be answered by the executive to assess if they have the right operating metrics skills:
- Do you objectively measure the performance of your team on a regular basis?
- Have you selected the best metrics to measure employee performance?
- Do you take action based on your measurements?
- Are your team hitting or surpassing your performance metrics?
RELATIONSHIP WITH EXTERNAL STAKEHOLDERS
An effective executive thinks beyond the confines of his organization and also focuses on making efforts for the improvement of the community and other stakeholders of the organization. To be genuinely effective in steering the organization to the right track, executives also need to be well-versed in managing and communicating issues involving various clients, customers, suppliers, vendors, and other stakeholder groups.
Here are some questions that need to be answered by the executive to assess if they have the right skills in managing organizational stakeholders:
- Do you have a good relationship with your vendors and suppliers?
- Does your team participate in community building activities?
- Do you encourage the team to participate in community building activities?
Let us help you set the bar high for executive leadership.
Finding the right executive in key positions of the company can be a pretty daunting task for any organization. Curran Daly + Associates, one of the top recruitment agencies in Vietnam, are experts in finding the right business leaders that fit your executive evaluation criteria.
With our extensive geographic reach, a vast network of professionals, and top-of-the-shelf headhunters, we guarantee to help you get top-notch candidates for your organization’s executive positions.
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How to Think About Assessing Leaders. (2019). Spencerstuart.com. Retrieved 22 June 2019, from https://www.spencerstuart.com/research-and-insight/how-to-think-about-assessing-leaders
Kaufman, R. (2018). Toward Increasing the Probabilities of Successful Executive Decisions: A Checklist. Performance Improvement, 57(6), 53–56. https://doi.org.ezproxy.upd.edu.ph/10.1002/pfi.21795
Wright, M. R. (2008). Evaluating Yourself as a CEO. Optometry & Vision Development, 39(4), 214–216. Retrieved from http://search.ebscohost.com.ezproxy.upd.edu.ph/login.aspx?direct=true&db=a9h&AN=36350722&site=ehost-live