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GENS9005 Presentation Group 40


A presentation on Managing Performance in the workplace.

A presentation on Managing Performance in the workplace.

Published in Business , Technology
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  • Likert scale questionnaires was developed consisted on 5 for strongly agree, 4 for agree, 3 for indifferent, 2 for disagree and 1 for strongly disagree
  • The Coaching and mentoring system in these organizations can be growth and development-oriented if the employees of the organizations are provided performance based feedback. Counseling employees will increase their faith on the Job Description and the employee participation will have a strong influence on the individual as well as team behavior.
  • Companies form private and public sector interested in high growth and employee satisfaction must focus on regular coaching and mentoring, employee participation in decision making, performance base rewards and proper job description.


  • 1. GENS9005:Psychology of WorkMANAGING PERFORMANCEGroup 40:NingZhangWendy Chen Lola OyetunjiBrodie FinlaysonBrian TranWilson Huynh
  • 2. Traditional Performance Management
    Traditional performance management is generally described within the context of Management by Objectives (MBO). This concerns the management of individual performance in the workplace by first setting individual objectives and then assessing whether these objectives have been achieved.
    What should it accomplish?
    Increased management control over work tasks and results
    Increased management ability to identify problems at an early stage
    Alignment of employee objectives and organisation objectives
    Employee motivation through self-set objectives and performance standards
    Enhanced communication between managers and employees in terms of understanding expectations
    Clear standards so that breach of standards can be objectively identified and disciplinary action can be taken
    A system of objective feedback from managers to employees without any subjective influences
    Measurable objective criteria upon which management can determine rewards such as promotion
    Centralised record of performance for each employee
  • 3. Traditional Performance Management
    Most managers agree with the concepts of performance management, however few actually implement them
    In reality,
    Managers: reluctant to give honest and objective feedback due to the fear of damaging relationships with employees, upon whom they rely on to complete tasks
    Employees: believe that managers are not qualified enough to discuss their performance and coach them to improve their skills
    A survey conducted by Watson Wyatt showed that only 3 out of 10 workers agree that their company’s performance management system helps improve performance. Less than 40 percent of employees said their systems established clear performance goals, generated honest feedback or used technology to streamline the process.
    (E.D. Pulakos, 2004, Performance Management, p.1)
  • 4. Performance Management Process
  • 5. Automated Performance Management
    Theory: Traditional performance management systems are insufficient to support and sustain the advanced levels of shared thinking required for high performing organizations.
    Benefits of Performance Management Automation
    Implement performance management best practices more easily
    Increase goal visibility and boost shared accountability
    Gain powerful insights by using collected data more effectively
    Ensure compliance
    Eliminate paperwork hassles
    Improve feedback quality and strengthen management skills
    Save time
    Gather feedback that’s more honest, objective and open
    Improve your bottom line
  • 6. Automated Performance Management
    SuccessFactors Professional Edition
    Designed specifically for small and medium-sized businesses
    This solution claims to provide higher employee engagement, better HR and executive oversight, and more efficient business practices
    Key features
    Online Performance Reviews
    Anonymous 360 Reviews
    Streamlined Goal Planning
    Stronger Compensation Planning
    Robust Reporting and Analytics
    "This solution has enabled me and my senior management to make sound decisions about how to grow the business efficiently, with greater transparency and accountability."
    Jim Hooker, Chief Executive Officer and President - Televerde
  • 7. Management By Objectives (MBO) Case Study: Pakistani Industries
    Aim: Identify the relationships between effective Management By Objective practices, organisational productivity and employee performance of organisations
    Only companies listed for more than 3 years were selected
    36 responses were collected
    Organizations operating in the twin cities (Rawalpindi and Islamabad) were personally visited and the questionnaires were distributed to the HR Managers/Executives of the organizations
    Telephone interviewing and email methods were used (24 responses were collected)
  • 8. Management By Objectives (MBO) Case Study: Pakistani Industries
    Human Resource Management professionals of the targeted organizations were requested to reply to all the questions
    About the MBO practices implemented in their organizations and employee’s performance of their organizations
    Control variables: Age of the organization and number of employees
    Independent variables: MBO practices, including Coaching and Mentoring, Performance Based Reward, Employee Participation and Job Description.
  • 9. Management By Objectives (MBO)Case Study: Pakistani Industries
    Correlation of Employee Participation and Coaching & Mentoring (0.55)
    a mentoring system caused better employee participation
    Correlation between Job description and Coaching & Mentoring system (0.6)
    showing mentoring effect
    Between Performance Based Reward and Job Description, correlation is highest (0.59)
    whenever a highly scientific and rigorous performance based reward is delivered to employees, they act on job description in a proper manner, so their performance increased significantly
  • 10. Management By Objectives (MBO)Case Study: Pakistani Industries
    Correlation between Employee Participation and Job Description (0.59)
    employee’s increased participation in MBO practices automatically describes his/her job area and goal
    Coefficient of correlation between ‘Organizational Productivity’ and ‘Employees Performance’ is (0.46)
    usage of transparent coaching and mentoring, performance based reward, employee participation and job description lead to higher organizational productivity and employee performance
    Significant association between Job Description, Organizational Productivity and the employee’s performance of organization (0.46)
    psyche of the Pakistani organizations i.e. the performance of the employee is measured on the basis of quantifiable results.
  • 11. Management By Objectives (MBO)Case Study: Pakistani Industries
    Impact of Coaching and Mentoring on the employee’s performance of the organizations is showing a positive relationship up to (0.24)
    among individual MBO practices, Coaching and Mentoring in routine decision-making as well as in strategic decision-making, is a very important factor which is likely to increase the organizations' market share
    employees in the organizations are allowed to make decisions related to cost and quality matters, they are asked by their supervisors to participate in operations related decisions and suggest improvements in the way things are being done
    Highest mean of Performance Based Reward (3.75)
    majority of the managers in the corporate sector are thinking that Performance Based Reward is the most important factor in organizational productivity but Job Description is showing the lowest mean (3.57)
    Positive correlation amongst several MBO practices
  • 12. Management By Objectives (MBO)Case Study: Pakistani Industries
    Positive relationship amongst effective MBO practices, organizational productivity and employee performance.
    Job Description system has a positive and significant impact and is one of the main indicators of the high organizational performance
    Employee participation/empowerment is another Effective MBO practice that has a significant impact on the employee performance and proving that an employee’s participation in decision-making leads an organization to perform much better than its competitors in the industry
    Investing in Coaching and Mentoring tends to have a high employee productivity level that ultimately contributes towards high organizational productivity
    MBO practices have positively affected the Pakistani corporate sector, and is acting like a catalyst towards the growth in organizational productivity and better employee performance
  • 13. Balanced Scorecard
  • 14. Balanced Scorecard
    Introduced by Kaplan and Norton
    ‘A balanced scorecard is a performance measurement system that identifies and reports on performance measures for each key strategic area of the business’ (Langfield-Smith et al. 2006)
    It measures organisational performance across four different but linked perspectives that are derived from the organisation’svision, strategy, and objectives
  • 15. Financial Perspective
    Question to answer: How should we appear to our shareholders?
  • 16. Customer Perspective
    How should we appear to our customers?
    The unique mix of product, service, relationship and image that a company offers to its target customers; for example:
    Lowest total cost
    Product innovation and leadership
    Complete customer solution
  • 17. Internal Business Process Perspective
    What business processes must we excel?
    Need to consider a number of processes:
    Operating processes
    Customer management processes
    Innovation processes
    Regulatory and social processes
  • 18. Learning and Growth Perspective
    How will we change and grow?
    Identify initiatives to continuously improve our capabilities in order to support our processes and customers
    Human resources (employee competencies)
    Information technology
    Organisational culture and alignment
  • 19. Limitations of BSC
    Difficulty in evaluating the relative importance of measures (i.e. are all measures equally important?)
    Large number of measures dilute overall impact
    Requires quantification of qualitative data
    Time and expense involved
    Requires a highly-developed information system
    Linkages between measures can seem too linear/simplistic
    Linkages to reward systems: how do we weigh different measures in the reward system?
  • 20. 360 Degree Feedback
    360 Degree Feedback is a system in which employees receive confidential, anonymous feedback from fellow workers.
    Feedback comes from subordinates, peers and supervisors. It also includes a self assessment component from the employee.
    Results from 360-degree feedback are typically used for training and development purposes.
  • 21. 360 Degree Feedback
    Development tool to recognise strengths and weaknesses
    360 is a highly effective development tool. This type of feedback process gives people an opportunity to provide anonymous feedback to a fellow worker, that they might otherwise feel uncomfortable giving. Feedback recipients gain insight into how others perceive them and have an opportunity to adjust behaviours and develop skills that will enable them to excel at their jobs.
    Performance Appraisal tool to measure employee performance
    Using a 360 degree feedback system for Performance Appraisal is a common practice, but not always a good idea. It is difficult to properly structure a 360 feedback process that creates an atmosphere of trust when you use 360 evaluations to measure performance. Moreover, 360 feedback focuses on behaviours and competencies more than on basic skills, job requirements, and performance objectives. These things are most appropriately addressed by an employee and his/her manager as part of an annual review and performance appraisal process. It is certainly possible and can be beneficial to incorporate 360 feedback into a larger performance management process, but only with clear communication on how the 360 feedback will be used.
  • 22. 360 Degree Feedback
    What it measures
    360 feedback measures behaviours and competencies
    360 assessments provide feedback on how others perceive an employee
    360 feedback addresses skills such as listening, planning, and goal-setting
    A 360 evaluation focuses on subjective areas such as teamwork, character, and leadership effectiveness
  • 23. 360 Degree Feedback
    What it doesn’t measure
    360 feedback is not a way to measure employee performance objectives (MBOs)
    360 feedback is not a way to determine whether an employee is meeting basic job requirements
    360 feedback is not focused on basic technical or job-specific skills
    360 feedback should not be used to measure strictly objective things such as attendance, sales quotas, etc.
  • 24. Westpac Banking Corporation
    Westpac is Australia’s second largest bank
    Group has a handful of other business units (Rams, St. George, BT Financial)
    As a large group, a solid performance management structure is required for their staff
    Westpac transitioned to become more decentralised, with a lot of staffing issues (hiring, performance reviews) done at the branch level
    Interviewed the manager and other employees to get both views of the performance management systems in the bank
  • 25. Westpac Banking Corporation
    People Interviewed
    Employees in different roles were asked on what they thought of the current performance management systems
    Frank Speranza (Bank Manager) provided information on Westpac’s Performance Management Systems
    How were they asked?
    Questions emailed to manager
    Approached the manager after work and asked the following questions
    • How the club managed performance? (traditional or automated)
    • 26. Type of performance management methods used by the club
    • 27. Do the performance management systems put in place work?
    • 28. Are managers basing appraisals on hard facts or opinions?
    • 29. What does the company define as ‘best practice’ in performance management?
    Via email, I asked randomly selected employees to rate the system
  • 30. Westpac Banking Corporation
    Westpac uses a combination of both traditional and automated performance management systems
    The performance management system uses methods including appraisals and 360 degree feedback
    WBC makes career plans through communication with individual
    Short and long term goals are set during half yearly appraisals
    WBC has an appraisal every 6 months starting from the financial year
    Both the Bank Manager and Assistant Bank Manager conduct the half yearly appraisal
    Awards and bonuses are provided if the employee meets certain Key Performance Indicators
    Weekly results are logged on the intra-net and ranked nationally to others in the same role
    Performance goals are followed up closely by managers
  • 31. Westpac Banking Corporation
    Discussion of results
    Performance is based mainly on sales revenue figures, however attitude to work is also a factor in the employees overall performance.
    Each employee has his or her own unique career plan set by the acting managers
    Staff at the Burwood branch have given strong feedback in the branch’s performance management system
    However, staff felt they were not provided with enough options to learn new skills
    Burwood branch is currently ranked 20th nation-wide in terms of revenue generated and customer service feedback
  • 32. Canterbury Leagues Club
    Research by group member into Canterbury Leagues Club to help relate the link of theory and practice behind managing performance
    Canterbury Leagues Club is one of the biggest clubs in NSW, thus efficient performance management is required
    Separated into two sections Food and beverage and Gaming.
    Interviews were conducted by group member aimed at human resources, management and fellow work colleagues to get a overall view of performance management in the club.
  • 33. Canterbury Leagues Club
    People Interviewed
    Several employees were interviewed in the workplace to gather information on what they thought about performance management.
    Scott Ballesty (Human Resources) was interviewed in depth
    How were they asked?
    Some Key questions that were asked were:
    - How the club managed performance? (traditional or automated)
    - Type of performance management methods used by the club
    - Do the performance management systems put in place work?
    - Are managers basing appraisals on hard facts or opinions?
    - What does the company define as ‘best practice’ in performance management?
    Food and Beverage attendants and gaming attendants were given rating survey and ask to rate the performance management that the club was providing.
  • 34. Canterbury Leagues Club
    Results of study
    Club uses traditional and automated elements in performance management and uses short term goals yearly in defining it’s performance management criteria to employees.
    Methods used for performance management are NTF’s (note to files), appraisals, 360 degree feedback and pager analysis.
    Club will assess career goals of certain individuals piror to start of employment and regularly set short or long term goals with employee during appraisals.
    Appraisals are performed in intervals of 6 week, 3 month, 6 month and yearly depending on length of time employee has been employed.
    Only supervisors and managers conduct appraisals and discuss with human resources
    Employee of the month and year awards, are rewards measure for improved performance in employees.
    Appraisals are performed on regular basis and logged on spreadsheet database for human resources to manage.
    Performance criteria goals regularly discussed and made clear in staff meetings and self-assessment appraisal.
  • 35. Canterbury Leagues Club
    Discussion of results
    Managers and supervisors base appraisals on hard facts rather than opinions and this is done by assessing note to files, as well as self observation.
    360 degree feedback is then used by supervisors and managers to back up the facts
    Club understands the different needs and goals of certain employees and manages their performance accordingly.
    From rating surveys given out to employees, most employees rated the club’s performance management system to be efficient and effective and meeting their requirements.
    Process can be streamlined a bit better (more automated) but for the size of the business is not critical
  • 36. Canterbury Leagues Club
    From evidence given though club provides employee improvement such as further training and courses to take, club will not enforce this on employees
    The club 30 years ago had no performance management put in place and was on the verge of bankruptcy. New management then put in long term goals.
    Club is now the biggest revenue making club in NSW, now basing performance criteria on short term goals.
    When asked if the current system for evaluating employee performance obtains the desired results?
    Interesting answer given back by Scott Ballesty was," In cases where the employees goal is to improve.”
  • 37. Comparison between Westpac and Canterbury Leagues
    Interview style performance appraisals
    360 degree feedback
    Rewards based on performance (bonuses, end of year holidays, employee of the month, half yearly awards)
    Use of both traditional and automated theories of performance management
  • 38. Comparison between Westpac and Canterbury Leagues
    Westpac performance management more results based, compared to Canterbury which is more traits and orientated based.
    Canterbury assess employees with use of self assessments, whilst Westpac will use more of a results based approach to performance appraisals
    Employees in Westpac are compared and ranked accordingly internally and nationally whilst Canterbury assess employees more individually.
  • 39. Reference List
    2011, Performance Management & Appraisal Help Center, reference library, Bacala and Associates, viewed 8 April 2011, < http://performance-appraisals.org/appraisal-library/>;
    Elaine D. Pulakos, 2004, Performance Management, effective practice guidelines, SHRM Foundation, viewed 8 April 2011, <http://www.shrm.org/about/foundation/research/Documents/1104Pulakos.pdf>;
    SuccessFactors, Inc, 2007, 9 critical reasons to automate performance management, The CBS Interactive Business Network, viewed 8 April 2011, http://jobfunctions.bnet.com/abstract.aspx?kw=9+critical+reasons+to+automate+performance+management&;docid=253343&tag=bn-left
    Qureshi, M, Khan, A, Khan, B, 2008, 'Management by objectives, an effective tool for organisational performance: a case study of Pakistani industries' American Society of Business and Behavioral Sciences, vol 15, no.1, February, pp. 22-33