Effective employee performance management is about guiding future growth and aligning individual contributions with the company’s strategic vision. Clear and well-defined objectives are a fundamental aspect of this process. They provide essential clarity and focus, drive accountability, and boost motivation. Furthermore, they enable optimal resource allocation, align individual efforts with business goals, and facilitate meaningful professional development.
From Objectives to Outcomes: The Role of KPIs
Building on the importance of clear objectives, key performance indicators (KPIs) are measurable metrics used to evaluate the progress of a project or initiative toward those defined objectives. For KPIs to be effective, they must be quantifiable, directly relevant to organizational goals, and provide actionable insights to guide decision-making. Essentially, KPIs allow us to measure the success of our objectives and ensure we are on track to achieve our goals.
KPIs can be grouped into several categories based on their purpose and measurement approach:
Internal indicators focus on operational performance (e.g., # Hours absent per employee).
These categories help organizations select the right KPIs for different business needs and ensure a comprehensive view of performance.
Creating Effective KPIs for Performance Improvement
While the categorization of KPIs provides a framework for selection, effective KPIs are not simply chosen at random; they must be strategically aligned, measurable, and actionable. The following steps ensure the KPIs you choose drive meaningful performance:
Align with Strategic Goals: KPIs should directly support organizational objectives, whether financial, operational, or customer-focused. For example, if expanding market share is a priority, track metrics like % Customer acquisition, % Sales growth, or % Sales growth by market segment.
Apply the SMART Framework:
Specific: Clearly defined.
Measurable: Quantifiable with reliable data sources.
Attainable: Ambitious yet realistic.
Relevant: Tied to critical business outcomes.
Time-Bound: Include deadlines for accountability.
Prioritize Quality Over Quantity: Limit KPIs to 2–3 per goal to maintain focus. Balance leading indicators (predictive metrics like employee engagement) and lagging indicators (outcome metrics like $ Revenue per client (RevPEC).
Clarify Ownership and Methodology: Define how each KPI is calculated, its data sources, and targets. Assign ownership to teams or individuals to ensure accountability.
Review and Adapt: Regularly assess KPI relevance amid changing business conditions. Use feedback loops and analytics tools (e.g., Power BI) to refine metrics and drive continuous improvement.
KPIs in Action: Industry-Specific Examples
Specific and detailed KPIs should be used for each industry to provide a more holistic perspective on employee performance management. To illustrate how these KPIs are applied in practice, let’s take a look at the following examples used across various industries:
Marketing: Track campaign performance through click-through rates (CTR), conversion metrics, and return on investment (ROI) to assess an employee’s impact on lead generation (e.g., % Brand awareness).
Sales: Measure individual contributions using new accounts secured, deal closure rates, and average contract value (e.g., $ Sales by department).
Technology: Evaluate project efficiency with budget adherence, task completion rates, and sprint velocity in Agile teams. (e.g., % Application consolidation rate).
Healthcare: Patient satisfaction scores and peer reviews assess care quality and teamwork (e.g.,# Patient Satisfaction Score).
Supply Chain, Procurement & Distribution: Assess operational efficiency through on-time delivery rates, procurement accuracy, and cost optimization (e.g., % Purchases on time and within budget).
Human Resources: Employee engagement scores and training feedback measure workplace culture and development success (e.g., # Performance appraisal rating)
Customer Service: Monitor interactions per employee, resolution times, and customer retention metrics (e.g., % Key customer satisfaction)
Tools for Tracking KPIs
After establishing effective KPIs, the next step is to select the appropriate tools for tracking them. The most effective solutions fall into several key categories:
Dashboard and visualization tools like Microsoft Power BI and Tableau can transform raw data into actionable insights through interactive reports and real-time analytics.
For strategic performance management, dedicated OKR platforms and balanced scorecard (BSC) systems help align departmental KPIs with overarching business objectives. HR information systems similarly bridge employee performance metrics with organizational goals.
Operational KPI tracking often relies on project management solutions, such as Asana, Jira, or Monday.com.
For organizations seeking simpler solutions, spreadsheet-based tools (Excel, Google Sheets, Smartsheet) offer flexible yet more involved approaches to KPI monitoring.
Connecting Individual Goals, KPIs, and Company Targets
It is important to emphasize that the examples above illustrate how KPIs can be tailored to various roles and industries. However, their true power lies in their ability to connect individual employee goals with broader company targets. This alignment ensures that each employee’s efforts directly contribute to the organization’s strategic objectives.
For instance, if a company aims to increase its market share, this high-level goal might translate to a sales department’s objective to acquire a certain number of new customers. Individual sales representatives would then have KPIs such as # New accounts secured per month and % Deal closure rate, which directly contribute to the departmental and company-wide goals.
This connection between individual, departmental, and organizational goals ensures that employees understand the importance of their work and are motivated to achieve their targets. It also enables managers to track performance effectively, identify areas for improvement, and provide targeted feedback and development opportunities.
The Impact of KPIs on Employee Performance Management
Extensive research demonstrates the significant role of KPIs in enhancing employee and organizational performance. A study published in the International Journal of Economics and Management Studies confirms that KPIs have a strong positive impact on employee performance management. Similarly, research featured in Emerald Insight highlights the dual benefits of KPIs, showing they both drive workplace performance and establish measurable benchmarks for objective employee evaluation.
Another study reinforces these findings, demonstrating that well-designed KPIs optimize productivity by clarifying expectations through defined goals, motivating employees with tangible targets, and enabling data-driven progress tracking. They also strengthen accountability across teams, support fair performance evaluations, and drive continuous improvement initiatives.
Collectively, these research studies underscore KPIs as powerful tools for employee performance management.
The individual is always part of something bigger. We cannot ignore that much of our self-concept is shaped by the groups we belong to, influencing us through shared norms, values, symbols, practices, and even the language we use. Even in the workplace, the groups we form give rise to culture. Consequently, this raises the question of whether embracing a shared culture comes at the cost of individual identity.
Organizations often assume that a strong culture is fully unified. But the reality is that within them, smaller groups naturally develop their own ways of working, thinking, and relating, built upon the identities that distinguish them. How these microcultures create harmony or friction and impact how teams succeed is not always straightforward.
Microcultures are the distinct subcultures that emerge within the broader organizational culture. They develop their own norms, practices, symbols, and even artifacts—inside jokes, memes, or something as simple as a shared Excel template can become defining markers of a group’s identity. These microcultures form naturally, aligning with social identity theory: people seek out groups where they find shared meaning, connection, and belonging.
Instead of searching for quick solutions to the challenge of aligning employees with organizational culture, it helps to recognize the many ways microcultures shape the workplace, like how they influence rules, how employees navigate conflicting loyalties, and what happens when their values diverge from those of the broader organization. Some evolve to drive innovation, while others resist change. Even in organizations with strong oversight, certain microcultures persist in unexpected ways, and the shift to virtual work adds another layer of complexity.
Being aware of these dynamics and their underlying elements provides a starting point for viewing workplace culture in a more nuanced way and inspires the ability to recognize, respect, and learn from microcultures.
The Intersection of Personal and Social Identity in the Workplace
Our social groups shape our sense of belonging and add layers to who we are. As we move beyond national or ethnic affiliations, we find our identity in smaller, more intimate circles: the traditions of our families, the bonds with our closest friends, or even the teams we cheer for.
In the workplace, our affiliations provide a sense of purpose, self-worth, and belonging, and as individuals, we, in turn, influence the groups we belong to. This dynamic interaction creates an organic culture—one that naturally arises from our shared experiences, similarities, and commonalities (see Figure 1). However, for organizations to function effectively, some formalization is necessary. We need structure, rules, and guidelines—things like mission, vision, values, governance structures, and processes—to ensure consistency and alignment across the organization.
But here’s where it gets tricky: the moment we formalize this culture, it can become static. It’s no longer the fluid, evolving, ever-changing entity it once was. A formal culture has to be adhered to, enforced, and clarified. This leads to the assumption that people can simply conform to this collective identity when they enter the workplace.
When organizations artificially create culture, they’re essentially trying to force an answer to the question: “Who am I when I am here?” The greater the gap between “Who am I?” and “Who am I at work?” the weaker the alignment between the employee and the company’s culture.
In addition, a high workload, intergroup conflicts, constant change, or rigid procedural structures make it nearly impossible for individuals to embrace the bigger company identity. Instead of feeling connected to the whole, employees retreat into their more familiar microcultures, whether those are teams, departments, or informal social groups.
The Power and Risks of Microcultures
The various subgroups influencing our work identity can range from formal work groups and departments to more informal networks, like lunch buddies or even hobby groups. Imagine a group of employees from different departments who meet for a daily coffee break simply because they all drink decaf. Even this seemingly trivial connection contributes to a unique microculture. A microculture could be a workgroup, a department, or even smaller subgroups, like the group of people who share coffee breaks.
Microcultures allow organizations to maintain a unified culture while fostering diversity and inclusion. They provide employees with a sense of belonging beyond the overarching corporate identity, making workplaces more engaging and dynamic. Strong microcultures can boost morale, enhance collaboration, and even drive innovation as they create spaces where employees feel psychologically safe to express ideas and challenge norms.
However, there is a risk. Given the number of groups we belong to, our social identity becomes a complex and sometimes intricate puzzle. This multiplicity of roles often leads to role conflicts. Imagine an HR professional deeply invested in supporting their employees. They work closely with individuals from various departments, each with different values, priorities, and experiences. Now, suppose this HR professional wants to give raises to all employees based on merit, but the financial department has a strict budget and is hesitant. This creates a potential conflict: the HR professional’s desire to reward the team clashes with the financial constraints imposed by the company. But it goes deeper. The HR professional happens to be close friends with a member of the finance team, and they share a passion for veganism. Outside of work, they bond over their shared values, but within the office, their professional identities create friction between them.
In moments like these, employees are torn between their personal values and professional duties. This is the role conflict that arises from belonging to different groups, each with its own set of values, goals, and identities. The workplace is full of these competing dynamics, and sometimes, navigating them feels like juggling multiple versions of ourselves.
The reason is that microcultures are never neutral. Every microculture, no matter how positive, naturally creates a distinction between insiders and outsiders—an us vs. them dynamic. In the workplace, this often means that the broader organization itself becomes the “them.” Microcultures form around shared values, practices, or grievances, which can sometimes put them at odds with company-wide policies, leadership decisions, or the overarching corporate culture. Moreover, the meaning of concepts, goals, and behaviors can shift significantly from one microculture to the next.
When microcultures are healthy, they strengthen teams, enhance engagement, and improve retention. But when they feel threatened—whether by restructuring, policy changes, or leadership decisions—the fallout can be catastrophic. If left unaddressed, these tensions can lead to communication breakdowns, high turnover, low morale, decision-making paralysis, and workplace divisions.
Stop Fixing, Start Understanding
The instinct in organizational culture work is often to jump straight to solutions: to standardize, formalize, and proceduralize. But microcultures don’t work that way. They can’t be managed through another corporate initiative, another checklist, or another best practice borrowed from a different company. The biggest mistake organizations can make is assuming that what worked once will work again or that a single approach will fit all microcultures.
So before trying to “fix” microcultures, stop. Observe. Listen. Shift from doing to being aware.
Rather than forcing integration, start by understanding how microcultures naturally emerge and function. Instead of prescribing engagement tactics from the top, pay attention to where people already feel engaged. What keeps teams together? What unspoken norms make them thrive? And where do microcultures resist, disengage, or turn toxic?
The modern workforce exists in a delicate balance between personal identity and social belonging, between choice and collective expectations. Organizations that fail to recognize this reality risk alienating employees rather than fostering connection. The most effective leaders won’t be those who impose uniformity but those who navigate complexity with curiosity, adaptability, and a deep respect for the different identities that shape their organizations.
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Editor’s Note: This article was originally published in Performance Magazine Issue No. 32, 2025 – Employee Performance Edition.
Return-to-Office (RTO) mandates gained momentum throughout 2024, with major corporations advocating for in-person work under the premise of boosting productivity and strengthening workplace culture. Heading into 2025, tensions were rising, employee backlash was growing, and yet another wave of resignations seemed inevitable.
This shift comes after nearly five years of remote and hybrid work becoming the norm. During this period, employees embraced flexibility and autonomy, while organizations adapted by developing new work models to meet evolving needs. Yet, as companies like Amazon, X (formerly known as Twitter), and JPMorgan enforced stricter RTO policies, requiring employees to be in the office full-time or for a set number of days per week, one question remains: Are these mandates genuinely focused on strengthening workplace culture?
RTO Policies: Culture-Driven or Control-Based?
A Society for Human Resource Management (SHRM) survey found that the stated top drivers of RTO include the need for in-person teamwork (75%), workplace culture and engagement (69%), leadership preferences (65%), restoring normalcy and routine (54%), and concerns about productivity (41%). Similarly, a Resume Builder study revealed that among the companies increasing office days, 86% believe it will boost productivity, 71% see it as essential for company culture, 57% aim to improve employee well-being, and 55% seek to enhance retention.
Despite these justifications, many employees remain resistant to RTO, seeing it as a disruption to flexibility rather than a cultural benefit. Making matters worse, a research study published in the S&P Global Market Intelligence Research Paper Series found that many managers admit they based RTO decisions more on intuition rather than data, further weakening employee buy-in. The consequences are already visible.
Several studies have examined the impact of RTO mandates on employee satisfaction, corporate culture, and business outcomes. The same research study found that RTO mandates negatively impact employee satisfaction in areas such as work-life balance, perceptions of top management, and overall corporate culture. In fact, the decline in employee perception of corporate culture challenges the claim that RTO policies strengthen it.
Moreover, the study found no significant improvements in firm performance, whether measured by profitability or stock market valuation, following the implementation of RTO policies. If the goal of RTO is to drive better business outcomes, the evidence does not support its effectiveness.
Beyond culture and performance, another analysis from the same research series reveals that RTO mandates also directly impact talent retention. On average, companies enforcing RTO see a 13% increase in turnover, with women leaving at nearly three times the rate of men. More senior employees are also more likely to exit, and it now takes firms 23% longer, or approximately 12 extra days, to fill positions post-RTO.
These results highlight the growing concern that RTO policies may cost firms their most valuable talent instead of strengthening their culture.
Productivity Focused on Performance, Not Presence
Delving into productivity, despite the push for RTO, data does not support the notion that in-person work equals better productivity. According to Microsoft’s Work Trend Index, 85% of business leaders say that the shift to hybrid work has made it difficult to assess employee productivity. Yet, there is a significant disconnect between leaders’ confidence in their teams’ productivity (only 12%) and employees’ self-assessment (87% feel productive).
Furthermore, many managers struggle with remote work dynamics, expressing doubts about their ability to effectively oversee employees outside the office. This so-called “productivity paranoia”, as mentioned in Microsoft’s Work Trend Index, has led organizations to focus on tracking visibility rather than actual impact. However, in organizations with worldwide ecosystems, I believe managing productivity through visibility is an outdated management mindset that no longer holds up.
To move past performative work habits, such as the “green status effect” or “productivity theater“, organizations need to shift toward results-driven performance management systems. Frameworks like the balanced scorecard (BSC) or objectives and key results (OKRs) provide structured ways to set clear expectations. When productivity is measured by outcomes, employees are empowered to be more accountable, engaged, and focused on achieving results.
Similarly, leaders must recognize that simply mandating a return to the office won’t automatically improve culture or engagement. Instead, intentional efforts are required to foster a strong company culture that boosts productivity, engagement, and job satisfaction, regardless of the teams’ work settings.
Some companies have successfully redefined their work models to balance flexibility with cultural cohesion. Airbnb’s flexible work model is a great example of how a company can adapt to the evolving work landscape without sacrificing culture or productivity. Airbnb has embraced flexibility by allowing employees to work from home or the office—and even relocate within their country without a pay cut. Rather than enforcing rigid office attendance, the company prioritizes meaningful in-person interactions through regular team gatherings, offsites, and social events designed to foster collaboration, connection, and creativity. These interactions are not about physical presence for its own sake but about creating valuable connections and deepening the sense of belonging.
Similarly, Dropbox’s Virtual First model strikes a balance between a remote-first approach and strategic in-person collaboration. While the company primarily operates remotely, it schedules quarterly sessions for team-building, brainstorming, and strategic planning. This approach ensures that creativity and community-building remain strong, even in a distributed workforce.
The aforementioned models show that with strategic in-person touchpoints, companies can maintain a strong culture without sacrificing flexibility. The evidence so far suggests that RTO mandates have not produced the cultural and productivity improvements many leaders expected. While it is still too early to predict the long-term impact of these policies, one thing is clear: returning to the traditional office model disregards the progress made in workforce management in the past five years.
A one-size-fits-all approach no longer aligns with the modern workforce. Organizations that recognize this shift and offer employees the flexibility to choose how they work best will be better positioned for long-term success. Moreover, fostering a strong company culture requires more than just physical presence—it demands intentional efforts to build engagement, trust, and a sense of belonging.
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Editor’s Note: This article was originally published in Performance Magazine Issue No. 32, 2025 – Employee Performance Edition.
Being a jack of all trades and a master of none used to put professionals at a disadvantage. But in today’s dynamic employment landscape, individuals with a diversified skill set are sharing the stage with specialists. Enter the age of the skills-first approach.
The skills-first approach is a transformative solution to employment challenges across the board. Removing traditional qualifications, such as academic requirements, could create a more inclusive labor market and empower individuals regardless of country, race, and gender—all while addressing global unemployment and labor shortages.
At the corporate level, embracing a skills-first approach allows companies to expand their talent pool and match candidates to the specific skills required for a job posting, as reported by LinkedIn in “Skills-First: Reimagining the Labor Market and Breaking Down Barriers 2023.” Moreover, the shift could increase a company’s chances of reaching financial targets by 63%, according to findings from the World Economic Forum (WEF) in “Putting Skills First: A Framework for Action.”
Here are the action areas for organizations based on the World Economic Forum’s proposed initial framework for systematically implementing skills-first practices:
Identify current and future skills needs and gaps and map skills to work tasks.
Articulate skills needed in job descriptions, and leverage and recognize innovative skills assessment methods.
Co-develop and co-deliver skills-based training programs with industry, learning providers, and government.
Boost lifelong learning and access to skills-based learning opportunities.
Create skills-based pathways for development and redeployment.
The WEF’s data also shows that a skills-first approach could enable over 100 million people to fully utilize their capabilities across different global economies. Furthermore, the WEF suggests that a wide variety of individuals will benefit, including those whose jobs are becoming obsolete as a result of advances in technology as well as people from different walks of life, including migrants and refugees who are struggling to be recognized in their host countries, parents and caretakers who have taken breaks to support their families, and people with disabilities who have face discrimination when it comes to showcasing their skills.
The spreading movement appears to be a relevant response to the findings of the WEF’s Future of Jobs Report for 2023, which underscores the urgency for businesses to address the skills gap as they compete to fill “the jobs of tomorrow.”
The game plan for workers is clear: Gain competencies for their preferred job or industry or choose from today’s most in-demand skills and build a “portfolio of skills”. According to LinkedIn’s data, since 2015, the skills that employees need for a specific job have changed by about 25%, and by 2027, that figure is projected to double.
Adopting a skills-first strategy will trigger changes in different areas of an organization, from talent development to performance measurement. It will amplify the call for a holistic approach to implementing employee performance management systems.
It is important to keep in mind that while employers are seeking candidates with abilities akin to a Swiss Army knife, it is equally important for these individuals to continuously learn and ensure that each of their tools is finely tuned to function effectively.
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Editor’s Note: This was originally published in Performance Magazine Issue No. 28, 2024 – Employee Performance Edition.
In recent years, the global labor market has faced a challenging mix of health crises, economic turbulence, and geopolitical uncertainties, with vulnerable populations most severely affected. In response, companies are taking on greater roles in supporting vulnerable groups while championing diversity, equity, and inclusion (DEI). The surge in companies adopting DEI programs underscores the growing recognition of DEI as a strategic imperative and a driver for improving work performance.
DEI is a framework that promotes fair treatment and equal opportunities for all employees across a spectrum of protected characteristics, including age, race, religion, gender, and more. The three components of DEI are deeply intertwined (see Figure 1). Each plays a role in establishing workplaces where all employees can thrive. They cannot be addressed as stand-alone criteria, requiring a collective approach to create a truly inclusive and equitable workplace.
The significant value and impact of DEI in various aspects of work make it a moral imperative and an essential strategic requirement that businesses must not underestimate or overlook.
For instance, the “2022 Global Inclusion and Diversity Transparency Report” by intelligent power management company Eaton emphasized the success of its Stretch Assignment Marketplace (SAM), where diverse teams of employees handled 86 business challenges across multiple areas. Employees can select projects that interest them, with up to six people per team allowed six months to finish each challenge. Notably, the company saw an 18% increase in the number of projects submitted compared to the previous year. One of Eaton’s notable achievements is its inclusion in Newsweek’s 2023 Top 100 Global Most Loved Workplaces® list and certification by Great Place to Work® in 2023.
In the US, a survey conducted in early 2023 among 4,744 workers revealed that the majority of those whose workplaces offer specific policies or resources related to DEI reported a somewhat or very positive impact on their work. Meanwhile, in a Worldwide ERC® study of more than 600 top HR leaders, 98% responded that their organization has a DEI strategy in place, highlighting its value in the worldwide market.
According to Global Industry Analysts Inc.’s report, the global market for Diversity and Inclusion (D&I), estimated at US$7.5 billion in 2020, is expected to rise to US$15.4 billion by 2026, at a CAGR of 12.6% throughout the forecast period.
As cited in the International Labour Organization’s (ILO) report “Transforming enterprises through diversity and inclusion,” several studies have demonstrated that organizations fostering diverse and inclusive cultures consistently perform well, exhibiting enhanced adaptability, productivity, and resilience. The ILO conducted a survey in 2021 in which respondents were asked to identify the primary “drivers for action” on D&I that have the most significant impact on their companies (see Figure 2). The findings suggest that DEI initiatives correlate with both employee and overall business performance. In fact, 39% of respondents credited such initiatives with improving overall company performance.
This finding holds true because diverse teams bring together individuals with different backgrounds and perspectives. Diversity leads to innovative outcomes when combined with an inclusive culture that encourages employees to contribute their ideas. Moreover, inclusive workplaces instill a sense of belonging among all employees, regardless of their characteristics. Feeling valued and supported translates into increased engagement and motivation.
DEI-focused companies are appealing to job seekers, especially those from underrepresented groups. Recruiting leaders from diverse backgrounds also sets a powerful example of an inclusive leadership culture. Inclusive organizations tend to retain employees for longer. Reduced employee turnover saves time and cuts back on the costs associated with recruitment and training new staff.
Key Performance Indicators for DEI Programs
To fully harness DEI’s positive impact, organizations must not only implement dedicated programs but also rigorously measure their effectiveness. Thoughtfully selected key performance indicators (KPIs) enable companies to assess outcomes, monitor progress, and align DEI efforts with their goals.
Figure 3 is an example of how organizations can monitor and enhance their DEI practices using The KPI Institute’s structured approach as outlined in their Terminology Standards. Each objective is aligned with specific initiatives and their corresponding KPIs, highlighting the essential link between setting DEI objectives, implementing well-defined initiatives, and tracking their outcomes. Moreover, the initiatives outlined in the table are characterized by their practicality and adaptability, making them applicable to a wide spectrum of industries and organizational structures.
Figure 3. DEI Initiatives and KPI Examples Arranged According to The KPI Institute’s Terminology Standards | Examples From Forbes, 2022; and Qooper, 2023
DEI in Action: the Comerica Bank Experience
Comerica Bank, dubbed by Newsweek as one of “America’s Most Responsible Companies,” has implemented several initiatives to foster inclusivity and promote diversity across all levels of the workplace. Some of them are the following:
Executive Diversity Committee (EDC): Composed of executive leadership, this committee develops and implements the organization’s DEI strategy. Its purpose is to address key issues, such as talent attraction and retention and the growth of a diverse workforce.
Diversity Recruiting Strategy: Comerica aims to prioritize creating a well-qualified and diverse applicant pool that mirrors the markets it serves. The bank forms partnerships and sponsors recruiting events with organizations supporting vulnerable communities.
Education: The DEI Education Council was formed to promote diversity, equity, and inclusion on a corporate-wide scale. This initiative hosts programs, events, and activities that aim to nurture a culturally competent organization. DEI education is mandatory for all Comerica employees.
Employee Resource Groups (ERGs): Comerica aims to encourage the formation of ERGs. These groups provide a platform for colleagues to connect, share experiences, and contribute to DEI efforts.
Supplier Diversity: Comerica also works on cultivating a diverse supplier base and supporting businesses owned by individuals from vulnerable groups. The bank’s standard agreements with suppliers enforce Comerica’s non-discrimination and diversity practices.
Figure 4. A Compilation of Comerica’s Results for DEI Initiatives | Adapted From Comerica DEI Report
Figure 4 shows Comerica’s DEI metrics as of the end of 2022. According to Comerica’s DEI report, the figures reflect the progress achieved by implementing the company’s DEI initiatives.
Comerica’s commitment to DEI initiatives has seemingly delivered positive results, benefiting its workforce and bolstering its reputation as a diversity and inclusion advocate. This commitment has been recognized by national and regional organizations and publications, placing Comerica “among the top US companies for its efforts to recognize and support DEI practice,” as stated in the report.
Comerica also utilizes an Annual Diversity Scorecard as a quantitative measurement tool to track progress toward documented short-term and long-term goals (see Figure 5). In the same report, the company states that every senior officer within the company, including executive officers, is responsible for contributing toward achieving their goals annually, directly affecting their performance rating and compensation. According to Comerica, all business units met their DEI performance targets in 2022.
Figure 5. Comerica’s Annual Diversity Scorecard | Adapted From Comerica DEI Report
Long-Term Commitment
Despite the growing recognition of DEI, challenges persist. Some companies tend to favor short-term, superficial solutions over comprehensive initiatives capable of driving lasting change. For genuine success, organizations must commit to driving positive change through a strategic approach to DEI, making it an integral part of their organizational culture. Companies must realize that DEI is a long-term commitment, necessitating continuous initiatives, dedicated budgets, and adequate resources.
Furthermore, it is important to prioritize the long-term outcomes of DEI initiatives over immediate outputs, while realizing that measuring progress should encompass not only quantitative KPIs but also qualitative insights that capture the sentiments and experiences of employees. It is through this transformative approach that organizations have the potential to craft inclusive, empowering workplaces that enable employees from all walks of life to thrive.
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Editor’s Note: This was originally published in Performance Magazine Issue No. 28, 2024 – Employee Performance Edition.
