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Chapter 4: Performance Execution


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Chapter 4: Performance Execution

  1. 1. HRM751 Perfomance Execution Nasiha Sakina binti Ramlan 2012211672 Prepared for: Assoc.Prof.Dr. Roshidi Hassan
  2. 2. Outline 1. Performance Execution: Definition Important factors of performance execution Employer and employee roles 2. Components of Performance Executions: Training and Coaching - Definition - Functions - Process Motivation and counseling - Definition - What is the need - Guidelines Feedback and alignment: - Definition - Purposes - Example
  3. 3. Performance Management Process
  4. 4. Other terms of the second stage 1) Performing Monitoring: Routine or continuous measurement of progress while the project is ongoing. 1.Checking and measuring progress 2.Analyzing the situation 3.Reacting to new events, opportunities, and issues 2) Performance Management: Continuous process of identifying, measuring and developing the performance of individuals and teams and aligning performance with the strategic goals of the organization. 3) Performance Execution
  5. 5. Performance Execution
  6. 6. Performance Execution: Definition
  7. 7. Explanation of performance execution
  8. 8. In the performance execution stage, the following factors must be present. Aguinis (2013)
  9. 9. Responsibilities of (Stanley, 2007)
  10. 10. Example Procter & Gamble management model Link to the career advancement and motivation to work.
  11. 11. Performance Management Cycle (University of Missouri guideline, 2008)
  12. 12. Components of Performance Management 1. Performance Planning: A dialogue between a supervisor and an employee to establish clear, specific performance expectations at the beginning of the performance cycle. 2. Coaching: Two-way discussions which focus on recognizing employee excellence and areas for improvement and learning, as well as identifying barriers to performance. 3. Multiple Sources of Feedback: A process which provides employees with performance information to supplement supervisory feedback; may include feedback sources such as self-evaluation, peers, constituents or direct reports. 4. Performance Review: A summative two-way discussion and written documentation focusing on employee performance: areas of excellence, goals for improvement and development needs. (Alston, 2008)
  13. 13. Components of Performance Execution: 1. Training and Coaching
  14. 14. Training: Definition
  15. 15. Purposes of training Most of managers give training to their employees for three main purposes which are: (1) To increase productivity or the performance of employees. (2) To achieve organizational goals. (3) To invest in employees to succeed in the unpredictable and turbulent business environment. (Belcourt, Wright and Saks, 2000)
  16. 16. The organizational benefits of training (Raymond, 2010)
  17. 17. Effective training  Training requires an objective assessment of training needs, a clearly defined policy, the support of top management, the cooperation of line managers, adequate finance and resources, time, skilled staff and a supporting appraisal system.  It has to be a genuine commitment — from top management and throughout all levels of the organizations.  Effective training or development depend on knowing what is required- for the individual, the department and the organization as a whole. Cames, 2007
  18. 18. Evidence Study done by Ubeda-Garcı´a, Marco-Lajara, SabaterSempere and Garcı´a-Lillo (2013) Finding of research: in hotel sector in Spain shows evidence that the resources allocated by hotel firms to staff training contribute to improving their profit levels. Training provides employees with full understanding of performance management system that needed skills and tools to do a good job implementing the system and in the same time increase satisfaction
  19. 19. Coaching: Definition
  20. 20. Coaching Process
  21. 21. Coaching Functions (Hotek,2002; Humphrey and Stokes, 2000).
  22. 22. Why Coaching is needed?  Coaching has traditionally been perceived as a remedy for poor performance and as an approach that links individual effectiveness with organizational performance (HR Focus, 2001).  Other scholars have incorporated the importance of providing relevant learning opportunities so that improved performance (Mink et al., 1993; Redshaw,2000).  Aguinis (2013) states that “A system that involves employee evaluations once a year without an ongoing effort to provide feedback and coaching so that performance can be improved is not a true performance management system”.
  23. 23. Key Coaching Behaviors (Aguinis, 2013)
  24. 24. Coaching Styles Sometimes providing direction Sometimes persuading Sometimes showing empathy Sometimes paying close attention to rules and established procedures Aguinis (2013), Schermerhorn (2010)
  25. 25. Four guiding principles that provide a good framework for understanding successful coaching Aguinis (2013)
  26. 26. Components of Performance Execution: 2.Motivation and counseling
  27. 27. Motivation: Definition
  28. 28. Mujtaba (2008) highlights that a true performance management system makes the following contributions with regard to employee performance, morale and organization:
  29. 29. Guidelines for supervisor accordingly to Grote (2002), there are six techniques that can have a “predictable effect on increasing an individuals motivation”:
  30. 30. How motivation impact on performance? Employee motivation impacts performance by turning work normal expectations. organizational beyond their They are always on the lookout for opportunities that will bring them to the attainment of whatever goal they have set for themselves. They unleash their energy and look at their work as a key to realization of their desired aspirations. (Crane, 2002)
  31. 31. How to keep them motivated?  Make sure employees are familiar with the goals of the organization. Do not allow room for misunderstandings. Take the time to sit with them and share the goals. Allow the employees to ask questions.  Lead by example. Be involved in working with employees to execute the goals  Hold employees accountable. Once an employee understands his or her part  Reward employees for success. If well-motivated employees' efforts have of the organization. In addition, be willing to listen to the recommendations of employees. Allowing them to be involved in the goal-making process will spark enthusiasm. in meeting organizational goals, he must be held accountable for meeting measurable targets. The best way to do this is to set deadlines and specific targets, and make employees aware of their importance. contributed to the success of the business, they should be rewarded. Rewards will vary depending on the size and financial means of a business. However, make sure that they are given something that shows genuine recognition.
  32. 32. Counseling: Definition
  33. 33. Counseling Functions  To create job satisfaction  Improve performance in the organization  Help employees avoid the fall in personal problems, family, colleagues and interpersonal relationships  Help employees in improving their personal development to achieve productivity and quality of productive work. (Spector, 2003)
  34. 34. Guidelines of key elements in one on one to ensure a great session:
  35. 35. Effective counseling  Establish a one-on-one counseling and feedback system. Each manager should meet with employees on an individual basis and devise a personal plan for goal achievement. Provide praise for good performance and seek feedback about how the employee can achieve her individualized goals.  Develop ideas for employee awards and recognition. Employees who receive recognition get a sense that the company appreciates their hard work. Of course, company promotions and raises can motivate workers. However, inexpensive alternatives like an "Employee of the Month" award can promote higher employee morale and motivation. Award dinners and small gifts can also foster a feeling of appreciation.  Run prize contests for employees. Announce the prize and rules before the contest begins. An employee performance contest is ideal for sales teams. Publicize the contest standings throughout the contest. This will motivate employees near the top to work even harder to take over the lead.  Have upper management meet face to face with employees to praise and encourage their hard work. Establishing face-to-face communications gives employees a sense that the management appreciates them. This fosters stronger employee morale and an environment of team building.
  36. 36. “one on ones” Meeting This type of manager or employee meeting helps foster communication as well as aid in the development and strengthening of relationships within the organization. Regularly scheduled one on ones promote 1) Opportunities to uncover methods for improvement 2) Reinforce good behaviors 3) Remove obstacles that may hinder performance 4) Support and strengthen accomplishments. And it is with advanced planning that one on ones will be more effective.
  37. 37. Components of Performance Execution: 3. Feedback and Alignment
  38. 38. Feedback: Definition
  39. 39. Feedback should promote reflection and self review and be developmental. To be effective the process should: • • • • • Be a dialogue which invites the views of the practitioner recognize achievement Provide constructive comments Be based upon sufficient evidence Identify areas for development Give clear, unambiguous, even uncomfortable messages if required (Lee, 2006)
  40. 40.  Peter McLaughlin (2007) declared “ conversations are essential. They force you to face reality, confront the problems that are causing your team to underperform, and rise out of the swampland to a higher level of productivity – and a more enjoyable work environment.”  McLaughlin gives seven tips on how to make feedback effective: Ask permission to give feedback,  Set a tone of energy and optimism,  Focus on specifics  Show appreciation and say thank you  Confront non-performance  Remember it’s a dialogue, not a monologue, and  Encourage and energize 
  41. 41. Feedback and performance  Regular dialogue between a supervisor and an employee about work performance can have a positive impact toward improving both work performance as well as employee morale (Ritter et al.,2002)  Immediate feedback provides the employee informal performance information while directing future performance behavior. These informal sessions allow a continuous channel of communication which is used to manage, regulate and improve employee performance.  Feedback can become a more effective part of the reviewing process by simply moving forward, embracing change and looking into the future. Supervisors should talk specifically about how employees need to improve rather than blaming, thus giving goals of continuous improvement for the employee to work towards.  When giving feedback it is the manager’s responsibility to set up the meeting in such away that sets the employee at ease. Also, managers should remain free from distractions and able to listen.  Listening promotes calmness in the other person allowing the employee to be more receptive and open to the feedback that is being offered. Open ended questions are helpful in maintaining the right structure for the conversation. “The true benefit of feedback comes from creating opportunities for continuous growth, learning and improvement…on both sides” (Gunnet al., 2005)
  42. 42. Alignment: Definition
  43. 43. Challenge in alignment: The understanding of an agreement with vision, values and strategy. Competent, creative and determined people often do not buy into what they have not invented themselves. They have to be convinced of the value of what was invented elsewhere, and that is the first challenge in establishing total alignment. Solution: executives should take as much time as necessary to involve people in formulating vision, values, and strategy. Involvement produces ownership and understanding, the key to uniting divergent corporate cultures. (Khadem, 2008)
  44. 44. Company Example of Goal Alignment Best Practices: Seagate Seagate was facing three major challenges. First, function and geographic silos created duplicated and conflicting goals which eventually led to inefficient resource utilization. Second, disconnect between employees and the organizational objective was causing major misalignment. Third, the current process created static goals that were insensitive to external changes. To combat those challenges Seagate crated a new approach to goal alignment. “Collective Assessment of Executive Goals” – during March, the CEO and EVPs discuss the organization mission and vision and set annual goals. In April, the SVPs construct an understanding of the organizational direction and create personal goals based on annual goals. In May, SVPs attend a Goal Alignment Workshop where individual goals are revisited and evaluated. The model followed by the workshop includes Goals Posting and Voting, Goals Evaluation, Goals Refinement and Evaluation and Goals Presentation. By early May SVPs’ goals should be available online. “Phased Rollout” – between late June and early July, VP-level employees and above attend a Goal Alignment Workshop to analyze corporate and executive level goals. Then VP-level individual goals, measures and targets are created and entered online. In July, directors create individual goals based on VPs direction. During August, the remainder of the hierarchy should have their goals and measures created and recorded in the online system. “Transparency” – the system enables upwards and downwards goal visibility to improve and maintain alignment. “Preventing Goal Dilution” – the company provides accessible support such as Suggested Goal- Setting Team Meeting Agenda, Goal-Setting Process E-Learning and Customized Calendar for Key HR Dates to mitigate the risks of diluting goals as they cascade down the hierarchy. “Others” – the system provides adjustment mechanism to increase external changes sensitivity. Those adjustments are visible to the employee manager, peer and direct report to prevent misuse. The system also provides on-demand reports that can be utilized in periodic review meetings and performance evaluations.
  45. 45. Conclusion Performance execution is an important stage in the performance management. Execution process converts the strategic objectives into the results. Bringing the oganization to achieve competitive advantage.