Think of workplace culture as the foundation of a building—no matter how sturdy the walls or advanced the design, weaknesses will emerge without a strong base, leading to potential failure. Similarly, even the most well-crafted strategies and key performance indicators (KPIs) cannot compensate for a weak workplace culture. In this interview, Mohannad Al-Ghazo, a management consultant at The KPI Institute, shares insights into why culture plays a significant role in fostering sustainable performance.
From your own professional experience, what key elements are indispensable in cultivating a performance-oriented culture, and how have they influenced your work?
A strong performance culture comes from clear goals, accountability, and openness. At Innovia Biobank, I introduced automation to track performance, which helped reduce bad debts and improve efficiency. Similarly, at The KPI Institute, I’ve seen how customized training and clear KPI frameworks help teams stay focused and improve results.
Strategic priorities today are being shaped by trends such as the rise of artificial intelligence (AI), reskilling efforts, and economic pressures, as highlighted in the World Economic Forum’s Future of Jobs 2025 report. In light of these trends, should we anticipate shifts in organizational culture? And if so, what might those changes look like?
Yes, organizations are moving toward AI-driven decisions, flexible work models, and continuous learning, and The KPI Institute helps companies adapt their KPIs to reflect these changes. For example, many companies now track digital skills development as a key performance measure, showing how important adaptability has become.
In light of ongoing workplace shifts, which cultural trends do you think are having the greatest impact on increasing work productivity and individual performance?
Remote and hybrid work flexibility, personalized performance incentives, and AI-driven decision-making are the key trends shaping productivity. Empowering employees with autonomy, leveraging AI for task optimization, and fostering a results-driven rather than process-driven approach have proven to enhance both engagement and efficiency.
In today’s agile work environment, sustainability continues to be a key strategic consideration. In your view, how can organizations truly embed sustainability values in their culture, beyond just meeting regulatory compliance?
Sustainability must be part of daily operations, not just policies. At Innovia Biobank, we automate lab processes to cut costs and reduce waste. At The KPI Institute, we help companies implement sustainability KPIs to improve efficiency, track progress, and enhance resilience. These KPIs ensure accountability, align with global standards, and drive measurable impact, helping businesses integrate sustainability into their core strategy for long-term success.
As organizations adapt to these cultural and strategic changes, what key actions can leaders take to make sure performance isn’t just maintained but enhanced?
Leaders must shift from monitoring tasks to coaching teams, leveraging real-time analytics for agile decision-making. In this shift, transparent goal-setting, continuous learning, and fostering innovation are crucial. By embedding a performance-driven mindset, as we did at The KPI Institute, we saw productivity surge through clear accountability and structured KPIs.
A major factor influencing workplace culture and performance is work structure. How do you see changes such as the back-to-office push influencing employee motivation and effectiveness? In your opinion, is a remote or office-based approach better?
A hybrid model is optimal as it balances collaboration with flexibility. While in-office work strengthens culture and alignment, remote setups boost productivity and work-life balance. The best approach depends on industry demands, but autonomy and trust in employees yield the highest performance levels.
Given these structural and cultural shifts, what methods have you observed that organizations use to assess employee performance nowadays, and do these methods really help people achieve better results?
Companies are moving away from traditional annual reviews to real-time tracking. At The KPI Institute, we work with companies that use performance dashboards to track progress throughout the year. This helps managers give faster feedback, keeping employees focused and improving overall performance.
How can organizations make a smooth transition from the traditional rating and ranking evaluation system to agile employee performance management?
Shifting focus from rigid numerical ratings to goal-based and competency-driven evaluations can evolve traditional ranking systems into a more agile and adaptive approach to performance management. Incorporating regular check-ins, self-assessments, and AI-driven insights can provide more meaningful feedback. Additionally, clear communication and training ensure employee buy-in, which makes the transition seamless and effective.
Looking at what works in practice, what is one tool, method, or approach that has proven most effective in your organization for driving employee performance?
Data-driven decision-making combined with automated KPI tracking has been the most effective. At Innovia Biobank, integrating systems, applications, and products (SAP) in data processing and customer relationship management (CRM) systems provided real-time insights that improved performance visibility and accountability across departments.
While performance incentives like targets and bonus systems are designed to drive results, they can sometimes lead to undesirable attitudes and consequences. How can organizations avoid the negative impacts of target setting at the employee level?
Organizations should balance quantitative targets with qualitative measures. Emphasizing collaboration, learning, and process improvements prevents a toxic, target-obsessed culture. Moreover, aligning individual goals with company missions ensures motivation remains purpose-driven rather than pressure-driven.
Over the years, what’s been the most surprising or counterintuitive lesson you’ve learned about organizational culture, and how has it shaped your approach to leadership?
Culture is more important than strategy or KPIs alone. At The KPI Institute, I’ve seen that even the best systems won’t work unless employees feel valued and supported. When people believe in the company’s vision, they perform better—not because they have to, but because they want to.
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Editor’s Note: This article was originally published in Performance Magazine Issue No. 23, 2025 – Employee Performance Edition.
About the Expert: An award-winning management consultant, Mohannad Al-Ghazo was recognized in 2023 as the Most Visionary Healthcare Diversification CEO. With over 13 years of leadership in healthcare, biobanking, and business transformation, he drives innovation and operational excellence across industries. He believes long-term success depends not just on strategy or KPIs but on agile performance management, which emphasizes adaptability, collaboration, and growth.
Governments worldwide are undergoing significant transformations, notably through the strategic utilization of information technologies to drive innovation. Throughout these transformations, the performance of government employees is crucial, as they serve as both the implementers who deliver e-services from the government to the citizens and the users who utilize e-services to facilitate their daily work.
The Dutch government has embarked on a journey to redefine its strategic human resources policy after identifying several focal points that are crucial to its transformative journey.
Challenges
One of the major challenges that the Dutch government is confronting is the aging workforce within its public sector. The ratio of staff who are between the ages of 25 and 49 compared to those aged 50 or above is lower than the European Union (EU) average (see Figure 1). The aging of the population could lead to rising absenteeism and reduced mobility among many older employees, potentially leading to lower performance levels. Studies argue that older workers who embody negative age-related stereotypes may require a more supportive environment for them to develop their capabilities.
While the administrative sector is a popular industry among young people in the Netherlands, the increasing turnover could threaten the delivery of services. In 2022, a 20% increase in turnover was recorded compared to 2020.
According to the European Commission, the share of public administration employees with higher education in the Netherlands was registered at 59.3% in 2022, slightly above the EU average of 52%. Additionally, the participation rate of public administration employees in adult learning is among the highest in the EU, with 33.7% registered in 2022, compared to the European average of 16.9%.
Another important challenge faced by the Dutch government is the deregulation of the Dutch employment market, leading to a rise in temporary contracts and self-employment. While this offers flexibility, it also risks reduced performance, limited commitment, and fewer development opportunities for workers. Internal mobility within the government remains low, posing difficulties in addressing changing skill demands effectively.
Also, traditional career trajectories—i.e., progressing from learning to working, managing, and retiring—are evolving. In the future labor market, individuals will fluidly shift between working, learning, developing, and resting, or even do more than one of these simultaneously.
Putting People First
In line with these challenges and to enhance employee performance, the Dutch government is implementing the Strategic Government Human Resources Policy 2025, which emphasizes the following focal points:
Permanent profiling and positioning
Creating an inclusive and more diverse organization, especially in the higher grades.
Put people first.
Make the organization and its employees agile.
Continuous development.
The work experience is paramount.
Public leadership
This transformation marks a departure from traditional governance models, empowering citizens, fostering collaboration, and emphasizing outcomes over outputs. As leadership evolves towards servant leadership, the focus shifts towards serving the needs of citizens, heralding a new era in governance (see Figure 2).
In addition, the Dutch government has made significant progress in digitalization, particularly in the realms of e-government services, digital infrastructure, and innovation, securing the third position in the Government Services Index (GSI) 2023, with a Digitalization score of 88.03.
Technological growth involves adapting to the impact of automation on job roles and skill demands. While it offers efficiency gains, it also necessitates upskilling the workforce and reshaping leadership priorities towards human-centric qualities. Achieving sustainable employability across government sectors requires proactive, long-term human resources planning.
The NL Leert Door initiative is a key educational program launched by the Dutch government to support lifelong learning and workforce development. Recognizing the importance of continuous skill development in a rapidly changing job market, the program offers free training and educational opportunities to help individuals stay relevant in their professional fields or pivot to new careers.
Also, the Make IT Work program, initiated by the Amsterdam University of Applied Sciences, plays an important role in adapting to the evolving job market. This initiative re-skills individuals from non-IT backgrounds, equipping them with the necessary expertise to fill high-demand tech roles, thus directly addressing the IT skills gap and enhancing workforce employability in the digital sector.
In conclusion, the Dutch government’s response to workforce challenges is marked by strategic foresight and adaptability. The GSI 2023 ranking reflects a commitment to digital innovation, while the Strategic Government Human Resources Policy 2025 demonstrates a proactive approach to address an aging workforce and changing career dynamics.
By also integrating diversity and continuous learning into its approach, the Dutch government is poised to navigate the ever-changing landscape of public sector employment, ensuring a resilient and high-performing workforce well-equipped for the challenges of the future.
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Editor’s Note: This article was originally published in Performance Magazine Issue No. 30, 2024 – Government Edition.
Remote work and the implications of continuing the process, including its potential impact on employee performance, are widely discussed. However, there is no right answer, and it is not one-size-fits-all.
The future of work includes flexibility, employee experience, agility, and the responsible use of artificial intelligence (AI)—these significant shifts impact where and how employees work. With an increase in remote work options, we have seen positive trends in work-life balance, employee empowerment, inclusivity, and an increase in diverse talent. These factors are also known to increase employee productivity and retention. According to BCG, a considerable population of employees are ready to leave their jobs if they find their flexible work arrangements unsatisfactory. Based on their survey, approximately 90% of women, caregivers, individuals identifying as LGBTQ+, and those with disabilities, deem flexible work options as crucial in determining whether they will continue or resign from their current employment.
Remote work productivity is subject to debate due to various factors that must be considered. Some suggest remote work can increase productivity due to a flexible schedule, no commute, and fewer interruptions. While many employees thrive in a remote work environment, some find it challenging due to the discipline it demands.
Remote work was on the rise even before the COVID-19 pandemic. A July 2023 report from Stanford University found that working remotely has doubled every 15 years. Then, when the pandemic occurred, although devastating, it provided a new perspective for those previously constrained, forced to relocate, or live in less favorable locations to work for a specific company and advance their career. Worldwide ERC states that around 56 million Americans moved to new residences between December 2021 to February 2023 due to COVID-19-related shutdowns and the surge in remote work and online education. With such a huge increase in their number over the past few years, this begs the question: do employees working remotely demonstrate productivity?
Taking a deeper look into the study by Standord University, researchers shared that remote work employees’ productivity differs depending on perceptions—the nature of the research and the conditions under which it was conducted. The report revealed that workers believed productivity was higher at home (approximately 7% higher), while managers perceived it lower (around 3.5% lower). Another example, according to a poll by the video presentation applications mmhmm, 43% prefer office work and 42% favor working from home for peak productivity. Moreover, 51% of employees stated that working asynchronously or having the flexibility to set their schedules contributed positively to their productivity. Perceptions aside, the Stanford analysis found a 10% to 20% reduction in productivity across various studies.
The bottom line is today’s company culture is crucial. Ensuring work-life balance and putting the employees in the driver’s seat are the best ways to retain and increase productivity because they will feel valued and empowered. In a 2022 Microsoft employee engagement survey, 92% of employees say they believe the company values flexibility and allows them to work in a way that works best for them. An even higher percentage (93%) are confident in their ability to work together as a team, regardless of location. People have different preferences—some individuals opt for a hybrid approach, while others choose either remote or in-person work exclusively.
Regardless of the work setup, company leaders and human resources (HR) or human capital management (HRM) executives should ensure that they can still make a lasting impact on employee performance. One measure involves establishing key performance indicators (KPIs) that assess innovation, program, project, and product success—the output, not the physical location. Another crucial step is developing a strategy that includes all future work options, such as in-person, hybrid, and remote choices. Employees tend to be more productive if there is a level of empowerment that allows them to decide where to do their best work.
Planning in person events makes a difference. Leaders who bring new hires and internal transfers, new to the team, on-site for several days should see an uptick in productivity post-gathering. In-person team or company-wide gatherings 1-4 times per year provide employees an opportunity to reset and socialize. Moreover, managers should bring teams together for major program and project kick-offs. When onsite in person, people being present makes a difference. Discourage using Teams or Zoom when employees are in the general vicinity. I have seen companies spew the importance of in-person just to fly employees into a specific location and have people take meetings from their desks or in a different on-site building-conference room, defeating the purpose of in-person interaction.
Having organizations foster all work options is critical and foregoes having to decide which is best. There is no right or wrong answer to this challenge; it should be considered a new way of working and requires future-forward ways of thinking, just as we do with emerging technologies.
About the guest author:
Dr. Malika Viltz-Emerson is a Senior Global Human Resource Leader at Microsoft. She has over 20 years of experience in human capital management. Her mission is to identify and address the real-world challenges and opportunities for employees and the company, and design and implement optimal solutions that leverage the latest tools, technologies, and processes.
Employee performance management has long been regarded as a key player in the territory of talent development and organizational excellence. However, in our modern world, one characterized by relentless digital transformation, the way we approach employee performance management is undergoing a profound shift. The infusion of technology into this pivotal aspect of human resources has ushered in a new era filled with opportunities and challenges alike. This article aims to examine the future of employee performance management, underscoring the imperative to strike a harmonious balance between technology-driven solutions and a resolute human-centered approach. Over the course of this discussion, we will explore three central themes that encapsulate the evolution of performance management in our digital age.
Technology’s vital role in employee performance management
In the current era defined by digitization, technology is a crucial partner to optimize the performance management processes. It is obvious that the arrival of artificial intelligence (AI) has changed the business environment. AI tools offer immediate performance tracking, data analysis, and the ability to provide real-time insights—which were previously not visible. For example, machine learning (ML) procedures can discover complex trends within employee performance data, which supports management to take proactive actions that are designed to improve productivity and enhance job satisfaction. Moreover, cloud-based platforms have made performance evaluations more accessible, facilitating the maintenance of consistent and efficient performance management practices, particularly for geographically spread teams and organizations.
Technology’s role in performance management extends beyond the scope of data sifting. It also encompasses the streamlining of administrative tasks, which fosters transparent communication channels, and the accessibility of performance data. Ultimately, this results in a shift towards more agile and approachable performance management processes. Keeping in mind that technology assists in automating routine tasks, HR professionals will be able to allocate more time and resources towards the all-important human elements of performance management, such as coaching and mentorship. In essence, technology is the engine that drives employee performance management into the digital age, allowing organizations to harness the full spectrum of new opportunities that come with it.
Maintaining a human-centered approach
While technology assumes a pivotal role, it is paramount to recognize that it should serve as an enabler and not a replacement of the human element in employee performance management. Employee engagement and motivation remain deeply rooted in personal interactions and the provision of constructive feedback. HR professionals must thus prioritize these core aspects, leveraging technology to facilitate, rather than displace, these crucial facets of the employee performance management process.
In a world increasingly characterized by virtual communication and remote work, the importance of face-to-face interactions cannot be overstated. Employees derive immense value from the opportunity to engage with their managers and colleagues in real-time. Constructive feedback, delivered through personalized conversations, holds the potential to drive substantial performance improvements. A technological revolution should not signify the obsolescence of these personal connections but should instead facilitate their continuation in unique ways.
Mentorship and coaching, too, remain essentially human activities. While AI can provide valuable insights, there is no substitute for the guidance and wisdom that experienced professionals can convey to their peers. Employee performance management should encompass these essential human elements, leveraging technology to create an environment where mentorship and coaching thrive alongside data-driven insights.
Transparency and fairness through data
When leveraging technology, organizations can establish objective performance benchmarks and metrics that reduce the influence of biases in evaluations. These data-driven insights serve as a foundation upon which fair and consistent decisions can be made regarding promotions, compensation, and developmental opportunities.
Moreover, the utilization of technology allows organizations to share performance data with employees, which fosters a culture of transparency, accountability, and self-improvement. Once employees understand the criteria by which they are evaluated and witness the fairness with which these evaluations are conducted, it creates a more productive workplace.
However, organizations should exercise caution when using data, especially where ethical considerations are involved, such as protecting employee privacy and ensuring the responsible handling of sensitive data. Moreover, they must also avoid the pitfalls of algorithmic bias, making it a priority to continue assessing and fine tuning their algorithms to mitigate unfairness.
The right equilibrium
The synergy between technology and human expertise will not only drive individual and organizational performance, but also ensure fairness, transparency, and employee satisfaction. By navigating this growing model, organizations that strike the right equilibrium between technology and humanity will not just adapt but thrive in the digital age. The future of employee performance management should be an appropriate balance of technology and humanity—a path that leads to greater prosperity and progress for individuals and organizations alike.
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This article is written by Chadia Abou Ghazale, a seasoned banking professional with 24 years of experience and who excels in budgeting, sales performance management, data analysis, and resource planning. Beyond banking, she is a dedicated reader of self-development topics and passionate networker. Chadia believes that life’s purpose is the pursuit of knowledge. Her extensive expertise and unwavering enthusiasm are a dynamic combination, driving success in her career and enriching her life’s adventurous journey.
