Leveraging Performance Management to Enhance Rebranding

Opportunity:

Create a new performance management program that, among other objectives, would quickly and effectively help to communicate an extensive rebranding effort to employees.

Results:

The executive team agreed on a balanced scorecard of corporate goals and an action plan for accomplishing them. Performance management implementation included a vehicle for effectively communicating these company goals, including the rebranding, and helping employees understand of their contribution to achieving those goals. The successful implementation resulted from the performance management program design team’s clear understanding of what barriers could derail the new program, enabling them to preemptively build solutions into the new plan’s implementation, and move ahead swiftly. The work ultimately resulted in a hugely successful IPO yielding total shareholder return of 154% (an average annual return of 41%), a 29% increase in enterprise value from time of purchase, and steady revenue growth with an increase of 21% in a little less than three years from the IPO.

Approach:

We facilitated alignment on culture/internal brand, performance management, short-term goals to support post-acquisition corporate strategy, and store-level product mix. Working with a cross-functional design team of managers, we developed a performance management program that gave employees a stake in the company’s success. The design team distilled performance management concepts, core competencies, values, and potential barriers to implementation from the shared viewpoints of a representative sample of managers and employees. TSP also facilitated the executive team in its goal setting and action planning discussions. Communication about the new performance management program was branded using the same theme used for the rebranding to customers.