Staff is the largest expense for most companies. Maximizing return from staff expense is a highly complex problem. People by nature are complex.

I read a book by Anne Bruce, Brenda Hampel and Erika Lamont called "Solving Employee Performance Problems - How to Spot Problems Early, Take Appropriate Action and Bring Out the Best In Everyone".

I tend to prefer books with more positive titles (although bringing out the best is positive). I wonder if thinking of things as a problem can become self fulfilling.

The first chapter has a perfect title "Set Expectations to Avoid Performance Problems". It is so much easier to not have a problem in the first place.

The book goes on to set out a model of performance management that includes things like assess, set expectation and monitor.

The book has tons of examples with sample conversations that could be useful for any manager.

I often find performance challenges can be a result of people being in the wrong job. The ideal is to find them a position that more closely aligns to their passion. Passion creates engagement and then performance.

One thing I like to do (although clearly am not perfect at) is coach, train and mentor. Often performance is a result of lack of understanding of how to do the job well.

It would be great if the boss was all knowing and knew the correct answer to everything but that is not the case. I actually think we suffer from too much meddling by bosses that does not add value. I much prefer to set the goals and let people do their jobs. Not doing that can limit the size an organization can grow to.

Performance appraisal should be ongoing. There is a great performance appraisal template from Halogen that can help make it simple.

Truly solving HR problems would be the magic bullet for all businesses.