Talent Talk Webinar Six Steps to Implementing a Performance Management System

“ Six Steps To Successfully Implementing Performance Management Software ” Hosted By: Ian Alexander Vice President Cytiva Software Inc.

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“ Implementing EPM Software”
Current Landscape
Ten Years of Employee Performance Management Software (EPM)
Growth of System Complexity
Explosion of Vendors
Key Considerations
Six Steps

“ Implementing EPM Software” The Year 1995 B.E.P.M.

“ Implementing EPM Software” The Year 1995 B.E.P.M.
Performance Management Process Ineffective
Typical lifespan: 3 years
Workforce Unclear on Benefits of Evaluations
Evaluations Inconsistent, Sporadic, Even Demoralizing
C-Level Sees Little Value
“ Necessary Evil”

“ Implementing EPM Software” EPM to the Rescue 1998 2008 First Gen w/modules First Gen Form Focused Second Gen People Focused First Generation: Electronic Forms and Workflow (Horseless Carriage) First Generation (Plus): Add Features Like Comp, 360, Succession, etc. Second Generation: Focus on people, user experience and interaction Automate Process Support Promise of Talent Management Integrate People/Process/TM

“ Implementing EPM Software” EPM Explosion Vendors 2005 2008 First Gen Form Focused Second Gen People Focused 2008: $409 Million Spent on EPM (Bersin) More than 30 Vendors Result: Complexity, slow line manager adoption, dissatisfaction First Gen w/modules Adopters 1998

“ Implementing EPM Software” The Year 2008 A.E.P.M.
Process Automation = More Efficient Reviews
Employees Often Forced to Use Confusing Systems in the Name of Data Collection/TM Process Integration
HR Often Overwhelmed with Technology/Data Issues at the Expense of Strategic Outcomes
C-Level Sees HUGE Value Beyond CYA (and are expecting results)
Performance Management Process Ineffective
Typical lifespan: 2 Years

OJ TRIAL ’08!
“ Implementing EPM Software” The Year 2008 A.E.P.M.

Today: EPM Data at the Heart of Most High Value Talent Functions
Improve Recruiting Effectiveness
Tie Pay to Performance
Identify High Potential Employees
Focus Training $ Around Strategic Objectives
Training/ Development Succession/ Workforce Planning Compensation Recruiting EPM

Key Consideration: PM is a People Process, Not a Technology Process
Focus on People/Process and Choose Technology That Supports Your Goals
Take It One Step at a Time
Get PM Right Before You Expand
New Gen 2 Tools Available
Priority One: Get This Right Training/ Development Succession/ Workforce Planning Compensation Recruiting EPM

“ Implementing EPM Software” Form Based Gen 1 Plus System

“ Implementing EPM Software” Employee Based Gen 2 Plus System

“ Implementing EPM Software” Six Steps
Don’t Ask for a Pony
Prepare Your Organization for Lasting Change
Start Small, Roll Out in Phases
Focus on the Employee-Manager Experience
Buy Experience Not Hype
Communicate Like a Marketer, Train Relentlessly, Adjust Accordingly

“ Implementing EPM Software ” Don’t Ask for a Pony – You May Just Need New Socks
Identify 2-3 key system objectives (i.e., all employees complete annual goals, all reviews completed on time) and evaluate feature “requirements” against those desired outcomes
Allow managers and employees to use the system. Use feedback to discover what features were core to their needs
Advanced functions such as metrics, dashboards, or gap analysis require at least a year, and often two years of consistent and reliable performance data to deliver value

“ Implementing EPM Software ” Prepare Your Organization for Lasting Change
Engage with senior executives early to define key business metrics such as reduced costs, or improved customer service scores, and clearly demonstrate how these metrics will be tracked, reported on, and achieved
Develop a communication and training plan to clearly communicate the changes that are coming and explain WIIFU (what’s in it for US).
Identify resources beyond IT and HR. Set specific roles and deliverables for others in the organization, including resources to address the myriad of change management issues
Don’t be opposed to fielding questions, complaints, push-back and excuses for why things won’t work

“ Implementing EPM Software” Start Small, Roll Out in Phases
Roll out functionality in phases which can be monitored and adjusted, and expect the full solution implementation to take months, not weeks
Consider starting with a business unit or location as a pilot group. Pick disciplined, motivated leader who values performance management and will champion the system
Focus initial efforts on a few key outcomes (i.e., reviews completed on time, or all employees receiving a review) and measure results. Then expand feature implementation or enterprise-wide utilization. Extra features get discounted or ignored because their value is neither established nor understood by users

“ Implementing EPM Software” Focus on the Employee-Manager Experience
Median tenure of U.S. workers ages 25 to 34 is 2.9 years (BLS)
Employers will replace upwards of 60% of their staff over the next 3 years ( National Institute of Business Management)
Cost of replacing a typical professional: 1.5 X salary (SHRM/ASTD)
A company of 250 employees could spend upwards of $11M

“ Implementing EPM Software” Focus on the Employee-Manager Experience
Employees Quit Managers- Not the Company
Focus On Employee/Manager Interaction Over Back End Functionality
Design Your Process to:
Provide employees insight into expectation and measurement
Give visibility to employees’ contribution to organizational objectives
Include/encourage regular face-to-face time for career aspirations and personal development
Provide tools for tracking performance, feedback and providing coaching
Include peer, self and manager feedback
Make evaluations a two-way dialog

“ Implementing EPM Software” Buy Experience Not Hype
More vendors = more choice/better products
Who are you buying from?
Experience/domain expertise (developers, product managers, sales reps, executives, etc)
Gen 1-plus or Gen 2?
How hands-on will vendor be?
Longer, phased roll outs mean need for more support from vendor
Will you be a key customer or one of thousands with an 800 support number
Avoid buzz words like web 2.0, tag clouds, spinning baseball cards, social networking

“ Implementing EPM Software” Communicate Like a Marketer, Train Relentlessly, Adjust Accordingly
Selection/Implementation Just the First Step
Sell the benefits of using the system in term of WIIFU – what’s in it for us
Solicit and distribute internal success stories.
Reward employees that make the most performance notes, complete reviews on time, etc
Develop a “boot-camp” to quickly get new users up to speed on the system

“ Implementing EPM Software” Communicate Like a Marketer, Train Relentlessly, Adjust Accordingly
Selection/Implementation Just the First Step
Provide regular “feature-focused” training to allow those in need to dive into areas of interest and get the most out of their experience
Create a forum to elicit feedback from users
Communicate feature changes, upgrades, and system maintenance times well in advance and provide specifics relating to new feature training or down time
Be willing to adjust the process

“ Implementing EPM Software” Six Steps
Don’t Ask for a Pony
Prepare Your Organization for Lasting Change
Start Small, Roll Out in Phases
Focus on the Employee-Manager Experience
Buy Experience Not Hype
Communicate Like a Marketer, Train Relentlessly, Adjust Accordingly

Cytiva’s Free Webinar series
Interview Techniques and Strategies for Hiring Top Performers
- 10/09/08 10-11 AM PDT
Retention: The Key to a Successful Recruiting Plan
- 11/20/08 10-11 AM PT
Register at: www.sonicrecruit.com/company/events.htm

“ Implementing EPM Software”
Cytiva Software Inc. offers a wide variety of products and services to help you get the most out of your recruiting efforts.
Talent Acquisition System
Custom career sites
Employee referral management
Career agents
Ad posting and tracking
Manager self-service
Contact management/Outlook integration
EEO/OFCCP compliance
Vendor Management Module
Onboarding Module
Hourly Recruiting System
Consulting
SonicPerform Performance Management System
To learn more contact:
David Freeman
Talent Management Solutions Consultant
877-775-0888
www.sonicrecruit.com

Talent Talk Webinar Six Steps to Implementing a Performance Management System

by David Freeman

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