Good agencies measure performance — of their projects, their business, and their employees.

On this episode of the Agency Leadership Podcast, Chip Griffin and Gini Dietrich examine why employee goals matter, as well as how to set them appropriately.

QUOTES

* Chip, on the importance of good manager judgement: “Employee reviews are not an algorithm…. [you] shouldn’t have a fixed formula that you use because there’s all sorts of times where someone may technically reach their objectives, but they didn’t really get the spirit of it.”

* Gini, on applying KPI reviews to compensation: “There is some human piece to it. It’s not just an algorithm that helps you decide who’s going to get a raise and a promotion.”

* Chip, on unintended consequences of quantitative goals: “If you’re managing towards [a specific] number, and that’s the only way you’re looking at it, employees have a tendency to try to hit those numbers any way they can.”

* Gini, on creating custom KPI’s for team members: “One size does not fit all fit all. But it’s something you should be thinking about. And there’s probably should be at least three if not four different areas that you’re considering, as you think about KPIs and metrics for your, for your team.”

RESOURCES

* Measure What Matters by John Doerr

* AIM-GET Framework for Agency Success

* Spin Sucks Community on Slack

[read the transcript]