Performance in a Hybrid World: Rethinking Management for Modern Work
The shift to hybrid and remote working has permanently changed the fabric of work. But while many companies have adapted in terms of technology and communication tools, one area still playing catch-up is performance management.
How do you fairly measure, support, and develop performance when teams are split across home offices, co-working spaces, and traditional workplaces? Are we still rewarding visibility over value? And crucially—what does “good performance” even look like in this new context?
Let’s explore how hybrid working is forcing us to reimagine performance management, and how businesses can respond.
Why the Traditional Model No Longer Works
For decades, performance reviews often hinged on face time, presenteeism, and physical cues of productivity. But in hybrid setups, the old metrics don’t apply—and clinging to them creates blind spots.
Managers may fall into “proximity bias,” unconsciously favouring employees they see in person. Others may struggle to assess remote workers' contributions, leading to disengagement, misjudgements, or missed opportunities for recognition and development.
A CIPD report on performance management (2023) highlights that only 27% of employees believe their organisation’s approach to performance is fair in a hybrid setting. That’s a problem—especially as performance management directly influences pay, progression, and job satisfaction.
The New Priorities for Performance Management
To manage performance effectively in a hybrid world, we need to shift focus:
1. From Presence to Output
Good performance isn't about hours logged on a screen—it’s about results. Are objectives being met? Are employees contributing meaningfully to team goals? Clear KPIs and outcome-based objectives help focus attention on what really matters.
2. From Annual Reviews to Continuous Conversations
Performance management should be a dialogue, not a once-a-year event. Regular check-ins help surface challenges early and give employees the feedback and support they need to grow.
3. From Standardisation to Flexibility
Hybrid working isn’t one-size-fits-all. Performance expectations must reflect the role, the individual, and their working pattern. Fairness doesn’t mean treating everyone the same—it means giving everyone the opportunity to succeed.
The Role of Managers: Coach, Not Overseer
In hybrid environments, managers must become coaches—guiding and supporting rather than simply supervising. This involves:
Helping employees prioritise effectively.
Recognising effort and progress—not just outcomes.
Supporting wellbeing and workload management.
According to CIPD’s Health and Wellbeing at Work report (2024), teams with supportive managers are 30% more likely to report good mental health and engagement, even in hybrid or remote setups.
Technology Can Help—But Isn’t the Answer Alone
Digital performance tracking tools can aid visibility and consistency, especially in large or distributed teams. But tech should enhance conversations, not replace them. Performance management is still a human process—and trust, nuance, and empathy can’t be automated.
Common Pitfalls in Hybrid Performance Management
Over-reliance on self-reporting: Without visibility, managers sometimes assume “no news is good news.” This can lead to poor performers slipping through the cracks—or high performers going unnoticed.
Unclear goals: Ambiguity around expectations creates frustration. Clear, SMART goals are even more important when teams are dispersed.
Ignoring development needs: Remote employees can be overlooked for stretch assignments or promotions. Managers must consciously offer equal development opportunities.
What Good Looks Like
Organisations getting it right are:
Embedding flexible but clear goal setting processes.
Training managers on bias awareness and inclusive performance conversations.
Using performance data to spot trends—not just for individuals, but across demographics (e.g. are hybrid workers rated differently?).
Ensuring recognition happens regardless of where people work.
Final Thoughts: A Chance to Do Better
Hybrid work is here to stay, and with it comes the opportunity to reimagine performance management for the better.
When we shift from presenteeism to purpose, from surveillance to support, and from annual reviews to continuous growth, we build performance cultures that are fairer, healthier, and more future-proof.
For HR professionals, this is a chance to lead the way—equipping managers with the mindset, tools, and training to truly understand what great performance looks like in today’s world of work.