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How to Measure Employee Performance (The performance management series)

Jack Zigon

A step-by-step workbook that shows managers and employees how to create clear, results-based performance measures, goals, and tracking systems for any job—even hard-to-measure white-collar work.

Clear expectations are one of the most reliable levers for improving employee performance, yet most organizations struggle to define what 'a good job' looks like for jobs in R&D, marketing, HR, and customer service. Jack Zigon's How to Measure Employee Performance distills 23 years of consulting into a practical, seven-step process: review organizational goals, identify a position's customers and their needs, list the results (not activities) the job produces, weight those results by importance, create general and specific measures, set numeric ranges and descriptive goals, and design a lightweight tracking system for feedback. Backed by 40 real-world example performance plans across dozens of job families, the guide turns vague duties into verifiable, observable measures—giving employees the feedback they need to self-correct and giving managers a fair, focused basis for evaluation and reward.

The model it argues

A framework linking design levers (customer alignment, results definition, weighting, measures, goals, tracking systems) to psychological and behavioral states (clarity of expectations, feedback receipt, self-correction) and ultimately to performance and organizational outcomes.

Key ideas

Organizational Goal Alignment
The linkage between a position's results/measures and the documented goals of the organization and manager.
Customer Needs Identification
Correct identification of a position's internal and external customers and the products/services they require.
Results Orientation
Defining performance as value-added outputs (results) rather than activities.
Result Weighting
Assigning relative importance to results by distributing 100 percentage points.
Measure Quality
The verifiability, observability, and appropriateness of measures for each result.
Goal Setting Quality
The degree to which goals meet criteria of verifiability, achievability, practicality, ranges, and defined meets/exceeds levels.
Tracking System Effectiveness
The quality of documents and procedures used to collect and summarize performance data for feedback.
Clarity of Expectations
Employees' understanding of what results are expected and what meets versus exceeds performance.