海云地产：绩效管理

This case describes how Haiyun Real Estate, a real estate developer founded in the early 21st century, overhauled its performance appraisal system to achieve the strategic goal of improving efficiency in a time when many Chinese real estate enterprises focused on projects with short turnaround times. In December 2018, Ling Yun, Founder and CEO of Haiyun, discovered that a key project was behind schedule, though almost all his employees had achieved their performance goals. He then realized that there were problems with performance management, and asked the HR Director Liu Min to design a new staff appraisal system. The new system addressed the following problems: There was no direct link between performance appraisal results and mid-level and junior employees' remuneration; Neither was there any link between corporate strategy and the benchmarks and standards used to evaluate performance; Senior executives were appraised annually, as a result, when a management problem was spotted during the year-end performance review, it was already too late; Cross-departmental collaboration was ineffective. Under the new system, mid-level and junior employees would receive additional performance-based salary, which was determined by individual and departmental appraisals. In addition to the job responsibilities listed in self-assessments, the KPIs and key processes specified by their managers were also used to evaluate their performance; Senior executives were appraised on a quarterly rather than annual basis. The results of 360-degree feedback would be considered when assessing their personal competence for a higher position; People from different departments would be assigned to one key process. In practice, the new system significantly improved the company's performance, but managers might take advantage of loopholes in the new system – for example by conspiring with mid-level and junior employees and taking it in turns to receive the lowest rating. There were still a number of issues to resolve.