Performance Management Practices in Hybrid Work

Abstract

The traditional work model, where employees commute to a shared location, has evolved significantly over the past decades, particularly in the form of hybrid work models. This paper explores performance management practices in hybrid work, a topic that has gained popularity in recent research but remains under-researched in Finland. The COVID-19 pandemic accelerated the adoption of remote work models, leading to a hybrid working culture that combines practices from traditional and remote models. This study aims to understand hybrid work through the context of performance management by addressing the challenges of hybrid work in performance management, and the prerequisites for managing performance in hybrid settings.

Through a qualitative research method involving five semi-structured theme-centered interviews with middle managers and team leaders from different Finnish organizations, the study provides insights into the manager perspective of performance management in hybrid work. The data was analyzed using data driven content analysis and divided into four categories that describe performance management practices in hybrid work. With previous research about this topic focusing on the advantages and challenges of hybrid work, the focus of performance management practices brings a new perspective to existing research.

The findings highlight the dual nature of hybrid work, with its advantage of offering flexibility and increased job satisfaction while presenting challenges such as communication issues and reduced social interaction. The research results emphasize the need for flexibility, trust, physical encounters, and good communication. Presence and leading by example were also found to be vital prerequisites for good performance management in hybrid work. The results recognize the post-covid shift in performance management practices towards goal oriented performance management, focusing on outcomes rather than monitoring work hours. The research results demonstrate the change in working arrangements that was accelerated by the COVID-19 pandemic, and how it affects performance management practices. Research of hybrid work is important so that organizations can improve their operating methods, and the management of performance can be developed in a direction that takes the needs of employees and managers into better consideration.