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Rethinking Performance Reviews for Innovation Teams

Performance reviews for innovation teams require a nuanced approach; it goes beyond traditional metrics. When your team is in discovery mode, navigating uncertainty, and solving crucial customer problems- the standard performance measurement falls short.

The Challenge of Measuring Innovation

Innovative teams don't produce linear results. They operate in a landscape of uncertainty, where:

  • The first solution is rarely the right one
  • Learning is as valuable as delivering
  • Failure is often a stepping stone to breakthrough insights

Example Performance Indicators for Discovery Teams

Instead of focusing solely on outputs, evaluate these critical behaviors:

  • Learning and Customer Understanding
  • How deeply are team members exploring customer problems?
  • Are they setting meaningful learning goals?
  • Are they leveraging existing customer insights effectively?

Risk Management and Decision-Making

  • Are they making evidence-based decisions driven by data and insights?
  • How do they identify and prioritize critical assumptions?
  • How are they testing those critical assumptions?
  • Are they making evidence-based decisions driven by data and insights?

Outcome-Oriented Approach

  • Are they focusing on outcomes rather than mere outputs?
  • How are they prioritizing their work?
  • How are they progressing toward established success metrics?
  • Can they demonstrate meaningful customer and business impact by delivering value incrementally?

The Power of Measurement

Remember: What you measure defines behavior. Performance reviews should incentivize exploration, calculated risk-taking, and continuous learning.

A one-size-fits-all approach kills innovation. Tailor your performance reviews to recognize the unique value of discovery teams – their ability to learn, adapt, and ultimately deliver transformative solutions.

Your goal is to unleash the extraordinary potential of those who dare to explore the edges of what's possible.

Written by: Pam Krengel