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Prentice Hall, Inc. © 2006 Herman Aguinis, University of ...

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  • 1. Implementing a Performance Management System: Overview
    • Preparation
    • Communication Plan
    • Appeals Process
    • Training Programs
    • Pilot Testing
    • Ongoing Monitoring and Evaluation
  • 2. Preparation
    • Need to gain system buy-in through :
      • Communication plan regarding Performance Management system
        • Including appeals process
      • Training programs for raters
      • Pilot testing system
    • Ongoing monitoring and evaluation
  • 3. Communication Plan answers:
    • What is Performance Management (PM)?
    • How does PM fit in our strategy?
    • What’s in it for me?
    • How does it work?
    • What are our roles and responsibilities?
    • How does PM relate to other initiatives?
  • 4. Cognitive Biases that affect communications effectiveness
    • Selective exposure
    • Selective perception
    • Selective retention
  • 5. To minimize effects of cognitive biases:
    • A. Consider employees:
    • Involve employees in system design
    • Show how employee needs are met
  • 6. To minimize effects of cognitive biases:
    • B. Emphasize the positive
    • Use credible communicators
    • Strike first – create positive attitude
    • Provide facts and conclusions
  • 7. To minimize effects of cognitive biases:
    • C. Repeat, document, be consistent
    • Put it in writing
    • Use multiple channels of communication
    • Say it, and then – say it again
  • 8. Appeals Process
    • Promote Employee buy-in to PM system
      • Amicable/Non-retaliatory
      • Resolution of disagreements
  • 9. Appeals Process
    • Employees can question two types of issue:
      • Judgmental
        • (validity of evaluation)
      • Administrative
        • (whether policies and procedures were followed)
  • 10. Appeals Process
    • Level 1
      • HR reviews facts, policies, procedures
      • HR reports to supervisor/employee
      • HR attempts to negotiate settlement
    • Level 2
      • Arbitrator (panel of peers and managers) and/or
      • High-level manager – final decision
  • 11. Rater Training Programs
    • Content Areas to include
      • Information
      • Identifying, Observing, Recording, Evaluating
      • How to Interact with Employees
    • Choices of Training Programs to implement
      • RET
      • FOR
      • BO
      • SL
  • 12. Content
    • A. Information - how the system works
      • Reasons for implementing the performance management system
      • Information
        • the appraisal form
        • system mechanics
  • 13. Content
    • B. Identifying, observing, recording, and evaluating performance
      • How to identify and rank job activities
      • How to observe, record, and measure performance
      • How to minimize rating errors
  • 14. Content
    • C. How to interact with employees when they receive performance information
      • How to conduct an appraisal interview
      • How to train, counsel, and coach
  • 15. Choices of Training Programs
    • Rater Error Training (RET)
    • Frame of Reference Training (FOR)
    • Behavioral Observation Training (BO)
    • Self-leadership Training (SL)
  • 16. Rater Error Training (RET)
    • Goals of Rater Error Training (RET)
      • Make raters aware of types of rating errors
      • Help raters minimize errors
      • Increase rating accuracy
  • 17. Intentional rating errors
    • Leniency (inflation)
    • Severity (deflation)
    • Central tendency
  • 18. Unintentional rating errors
    • Similar to Me
    • Halo
    • Primacy
    • First impression
    • Contrast
    • Stereotype
    • Negativity
    • Recency
    • Spillover
  • 19. Possible Solutions for Types of Rating Errors
    • Intentional
      • Focus on motivation
      • Demonstrate benefits of providing accurate ratings
    • Unintentional
      • Alert raters to different errors and their causes
  • 20. Frame of Reference Training (FOR)
    • Goal of Frame of Reference Training (FOR)*
      • Raters develop common frame of reference
        • Observing performance
        • Evaluating performance
      • * Most appropriate when PM appraisal system focuses on behaviors
  • 21. Expected Results of Frame of Reference Training (FOR)
    • Raters provide consistent, more accurate ratings
    • Raters help employees design effective development plans
  • 22. Behavioral Observation Training (BO)
    • Goals of Behavioral Observation Training (BO)
      • Minimize unintentional rating errors
      • Improve rater skills by focusing on how raters:
        • Observe performance
        • Store information about performance
        • Recall information about performance
        • Use information about performance
  • 23. Self-leadership Training (SL)
    • Goals of Self-leadership Training (SL)
      • Improve rater confidence in ability to manage performance
      • Enhance mental processes
      • Increase self-efficacy
  • 24. Pilot Testing
    • Provides ability to
      • Discover potential problems
      • Fix them
  • 25. Pilot Testing - benefits
    • Gain information from potential participants
    • Learn about difficulties/obstacles
    • Collect recommendations on how to improve
    • Understand personal reactions
    • Get early buy-in
    • Get higher rate of acceptance
  • 26. Implementing a Pilot Test
    • Roll out test version with sample group
      • Staff and jobs generalizable to organization
    • Fully implement planned system
      • All participants keep records of issues encountered
      • Do not record appraisal scores
      • Collect input from all participants
  • 27. Ongoing Monitoring and Evaluation
    • When system is implemented, decide:
      • How to evaluate system effectiveness
      • How to measure implementation
      • How to measure results
  • 28. Evaluation data to collect:
    • Reactions to the system
    • Assessments of requirements
      • Operational
      • Technical
    • Effectiveness of performance ratings
  • 29. Indicators to consider
    • Number of individuals evaluated
    • Distribution of performance ratings
    • Quality of information
    • Quality of performance discussion meetings
    • System satisfaction
    • Cost/benefit ratio
    • Unit-level and organization-level performance