“Promotion” is a frequently heard word in progressing organizations. It is not only a very important decision for both the employer and the employee, but it also has a severe impact on the future of the company.
The stability of the company structure relies on promotions and the organizational chart is the mirror that reflects the hierarchy.
Getting promoted from the current position is a great deal for the employee as it could mean getting a pay raise, a new title and a new work station with a superb view.
On the surface a promotion may seem like a step upward on the career ladder,but in reality it’s much more than that; it means that the employee is getting more responsibilities and exposure to new knowledge and experience.
Why promoting is important?
The question on the mind of most employers is “Why should I promote them?”.
But the real question should be “What if I don’t promote them?” Here is why?
Recruitments are Not that Easy
In a competitive startup battle ground, it is really hard to recruit and retain an employee in a company. When the employee doesn’t get rewarded for his hard work, he might lose interest in working for the company with time. Being stuck in the same position for many years will disappoint them and leaving the company for a better offer would start to seem like a compelling option.
Motivate to work more
Getting promoted motivates employees to do more for it creates opportunity to improve more.
From the perspective of an employee, the new opportunity is seen as an upgrade of status, experience and most importantly, an increase in wage. Rewarding is a proven method of motivating and boosting the enthusiasm of your employees to work more.
Give more responsibilities
Receiving more responsibilities doesn’t mean that you have to do twice the work you did yesterday. If you teach them to work better through workshops, seminars, training etc. they will learn how to work smarter in the future. This will help increase their stability and job security at the same time. The reason for this is that having more responsibilities makes the employee feel more important around workplace.
Opportunity to learn more
When a person is challenged often, it creates opportunity for him to learn more. With time the employee may correct his mistakes and try to be as productive as possible.
Qualification and experience
Promotion is not only an upgrade of wage and status, but a unique opportunity to expose oneself to new knowledge and experience. I’ve seen employees upgrade their paper qualifications just to get promoted to the next level. It’s the same as being more experienced that makes an employee more credible and worthy of climbing up to the next level.
In every company there is a process of promoting an employee. It is commonly known as the appraisal and it’s done usually at the end of a business term. There are some companies that do mid reviews as well. Nevertheless, following are some of the common evaluating factors that can be seen on those reviews.
- Performance on current position
- People skills
- Response to challenges
- Future with the company
In the appraisal process, these points are evaluated in different terms. However each time when you have to get an idea about an employee, you will have to go through his profile over and over again just to get an idea. This process takes long, and over the years as data collects, accessing information will become a hassle.
In larger organizations where they have 1000s of employees, handling appraisals can become a headache due to outdated data. Organizational structures in these types of companies are more complex, and due to this reason appraisals and promotions won’t take place often.
The solution to this question lies within the organizational chart of the company. Most companies use org charts as a method of keeping up with their recruitments and maintaining the hierarchy of the organization. KPI is a way of indicating performance that you could use with an org chart. Some people think those are the only uses of org charts.
But there are so much you can do with an org chart than just using it for balancing the staffing structure of your company.
What we are talking about is picking up employees who can be promoted using an org chart by profiling employees on the org chart. A typical organizational chart would consist of the name of the employee with job title. But what if you can include all the information related to your employees’ evaluation on one single org chart?
Above org chart example is the perfect way of doing this. As you can see, it is more than just a typical organizational chart. Each position in the org chart is filled with more details. All those performance factors are listed on the org chart.
These points are given based on their appraisal and you can evaluate them according to the 5 points above as well. Add the scores along with the evaluating terms to the org chart.
In each year, when your org charts get updated, you can assess the employee based on his current score in comparison to the past score in the org chart. That’s not all, you can even set an expectation level to determine whether the person should be promoted or not. Isn’t that easy?
Advantages of the System
- You will never have to go through old documents to find out about an employee’s history. You just have to compare the two states of the org chart updated over the years.
- Right people will get promoted at the right time as the information is available to the management with updated statistics and in the hierarchy it’s easy to understand who needs to be moved based on facts.
- Managers can understand where employees needs improvements and based the needs, they send employee to respective improvement programs.
- Can easily understand who needs and where . For an example, if company needs to decide on who to send for closing out a sales deal, they can select a person with higher success on people skills by just looking at the org chart.
As explain isn’t this method easy to find whom to promote? Using an updated organizational chart this is very easy. You can easily update the org chart with online organizational chart software.