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Business and Management
Strategic Human Resource
Management
BA (Hon) Business and Management
By Oguchi Martins Egbujor 1
Introduction
Strategic HRM
Code: MG622
By: Oguchi Martins Egbujor
By Oguchi Martins Egbujor 2
What Is Strategic HRM
Strategic Human Resource Management is a
module that explores issues relating to
organisation’s needs and direction to identify
the human requirement to achieve the
organisational objectives.
Learning Outcome
• LO1 - Critically analyse the context, challenges and issues
facing the management of people at work
• LO2 - Evaluate a range of strategic organisational HRM
interventions aiming to create employee engagement and
competitive advantage
• LO3 - Critically review and analyse the application of
strategic HRM models, theories and approaches in practice
• LO4 – Critically evaluate the impact that a strategic
approach to people management can have in
contemporary organisations.
Progression and Approaches
• Access to Blackboard
• Lectures and class work
• Tutorial and formative feedback
• Assignment Brief
• Assessment through course work and
examinations
• Turnitin submissions and plagiarism
• Assignment grading
Assessment criteria
• General HRM
• Organisational Strategy
• HR Planning
• Recruitment and selection
• Talent management
• Staff retention
• Reward
• Employee engagement
• Leadership and development
• Knowledge management
• Motivation
• Performance management
Strategic HRM
Strategic Human Resource Management refers
to HR that is co-ordinated and consistent with
the overall business objectives in order to
improve business performance. SHRM focuses
on actions that differentiate the business from
its competitors.
(Purcell, 1999)
By: Oguchi Martins Egbujor 7
Strategic HRM
Strategic human resource management is the
practice of attracting, developing, rewarding,
and retaining employees for the benefit of both
the employees as individuals and the
organization as a whole. As a result, the goals of
a human resource department reflect and
support the goals of the rest of the organization.
By: Oguchi Martins Egbujor 8
Organisational Strategy
Organisational Strategy is the long term
planning of an organisation direction, scope and
needs that seeks to understand the environment
and provides for the resources and competences
that are aimed at achieving competitive
advantage over its competitors that meets
stakeholders’ expectations
By: Oguchi Martins Egbujor 9
Strategic HRM Alignment
• Organisational Strategy
• Strategic HR Formulation
• Strategic HRM Choices
• Strategic Implementation
By: Oguchi Martins Egbujor 10
Strategic HRM
• HR Planning
• Manpower Planning
• Recruitment and selection
• Compensation and Benefits
• Employee relations
• Training and development
• Retention and Succession Planning
• Human Capital Development
• Health and Safety
• Skills and Competences
By: Oguchi Martins Egbujor 11
Human Resource Development
• Education
• Training
• Organisational Learning
• E-Learning
• Management Development
• Career Planning/Development
• Orientation
• Induction
• Onboarding
• Performance Management
By: Oguchi Martins Egbujor 12
Strategic HR Process
Identifying Organisational:
• Vision (Direction)
• Mission (Purpose)
• Objectives
• Strategic formulation
• Organisational Capability
• Commitment and Performance
• Organisational Culture and Values
By: Oguchi Martins Egbujor 13
Strategic HR Formulation
• Strategic Position
• Mission Statement
• Environmental Scanning
• SWOT analysis
• Strategic Objectives
• Generate alternatives for achieving objectives
• Evaluation and Selection of Strategies
• Strategic Choices
• Strategic Implementation
By: Oguchi Martins Egbujor 14
HRM and Strategic Position
• Organisational Purpose
• Organisational Scope
• Organisational Needs
• Organisational capability
• Environmental Analysis
• Organisational Image
• Delivery
• Competences
By: Oguchi Martins Egbujor 15
Strategic HRM Design
Organisational Structure
• Flat
• Tall
• Centralised
• Decentralised
• Hierarchical
By: Oguchi Martins Egbujor 16
Organisational Structure
Flat Structure
By: Oguchi Martins Egbujor 17
CEO
HOD
Marketi
ng
HOD
HRM
HOD
Operati
ons
HOD
Finance
Sale
Adv
ert
Rec/
Sele
ct
Train
ing/
Dev
Acco
unts
Deliv
ery
Cust
Serv
Organisational Structure
Hierarchical
By: Oguchi Martins Egbujor 18
MD
Other Directors
Head of Departments
Regional Managers
District Managers
Departmental Managers
Supervisors
S
RECRUITMENT AND SELECTION
Different Approaches
(Strengths and Weaknesses)
By Oguchi Martins Egbujor 19
Recruitment and Selection
Panel
By Oguchi Martins Egbujor 20
Recruitment
Recruitment is the process of attracting the right
candidates to the right job and at the right time.
This involves following the job market trend, and
analysing the human resource needs of the
organisation and attracting suitable candidates
to meet the objectives.
By Oguchi Martins Egbujor 21
Selection
Selection is the process of identifying and
choosing the right candidate with the right skills
at the right time to meet the organisational
objectives. The right candidate must be suitable
to the needs of the organisation
By Oguchi Martins Egbujor 22
Recruitment and Selection
HR Function
STRATEGIC HRM
HR Planning
Job Analysis
Advertising
CV Matching
Shortlisting
Interview
Selection
Induction
Rules and Regulations
Onboarding
Sales
Department
Operations
Department
Finance
DepartmentMarketing
Department
By Oguchi Martins Egbujor 23
Recruitment and Selection
Approaches
• Identify and analysing job vacancies
• Prepare for Job Analysis
• Advertising the vacancy (the right channel)
• Managing Responses (CVs and Applications)
• Shortlisting the Suitable Candidates
• Arranging and Conducting Interviews
• Selecting the right candidates
By Oguchi Martins Egbujor 24
Job Analysis
Job Analysis is the Process of studying and
collecting information relating to the operations
and responsibilities of a specific job. The
immediate products of job analysis are job
description and job specification.
By Oguchi Martins Egbujor 25
Job Analysis
Job Description
• Job Title
• Pay
• Location
• Summary
• Duties
• Machinery and Materials
• Supervision
• Working Conditions
• Hazards
Job Specification
• Education/Qualification
• Experience
• Training
• Skills
• Physical demand
• Initiative
• Responsibilities
• Communication skills
• Attitude
• Emotional Characteristics
By Oguchi Martins Egbujor 26
Sources of Recruitment
Internal
• Current employees
• Former employee
• Database of applicants
• Referrals from employees
• Internal job vacancy
External
• Advertisement
• Job Centre Plus
• Employment Agencies
• Referrals from friends
• College recruitment
• Company’s website
By Oguchi Martins Egbujor 27
Selection Approaches
• Application
• CV matching
• Shortlisting
• Aptitude tests/or Psychometric tests
• Telephone surveys
• E-Assessment
• Interviews
• Group selection techniques-panel, tasks, role
play, presentation, observation, etc.
• Assessment centres/or Assessment Agencies
By Oguchi Martins Egbujor 28
Recruitment and Selection
Different Approaches
Strengths
• Organisational image
• Advertising widely
• Experience HRM
• Shortlisting the best
candidate
• Targeting the right
candidates
• Ability to ask the right
question at interviews
Weaknesses
• Advertising is expensive
• Using wrong channel of
communication
• CV and Applications forms
may be written by
professional
• Stereotyping
• Inexperience HRM analysing
the job wrongly
By Oguchi Martins Egbujor 29
Process
• Aligning business objectives and HR strategy
• Analysing labour market trend/environment
• Attracting the best candidates
• Motivating workforce
• Training workforce
• Retaining workforce
• Rewarding workforce
By Oguchi Martins Egbujor 30
Demand Forecast
Demand Forecast is a system with the process of
analysing the direction and the objectives of an
organisation, and establishing the skills, talent
and the required number of people to meet the
current and future needs.
By Oguchi Martins Egbujor 31
Supply Forecast
• Supply forecast is to determine whether the
HR department will be able to procure the
required skills and number of workforce
needed at any particular point in time to
achieve business objectives:
• Internal Sources of Supply
• External Sources of Supply
• Current Employees
By Oguchi Martins Egbujor 32
Labour Market Trend
HR will be focusing on the behaviour of labour
market and what is driving the behaviour. The
should also look at what is obtainable within
their industry regarding the development of
skills and knowledge:
• PESTLE
• SWOT
By Oguchi Martins Egbujor 33
By Oguchi Martins Egbujor 34
HRM Goals
Staffing
Strategic HR
Planning
Recruitment
Selection
Motivation
Motivation
theories & job
Design
Performance
appraisal
Rewards &
compensations
Employees
Benefits
Maintenance
Health & safety
Communications
Employee
relations
Training and
development
Orientation
Employee training
Employee
Development
Career Development
Employment Law
• Data Protection Act 1998
• Employment Act 2008
• National Minimum Wage Act 1998
• Employment Relations 2004
• Sex Discrimination Act 1995/97
• Equality Act 2010
• Disability Discrimination Act 1995/2005
• DBS
• Working Time (Amendment) Regulations 2003
• Freedom of Information Act 2000
By: Oguchi Martins Egbujor 35
Work-Based HRM Practices
• Job and Person Specification
• Recruitment and Selection
• Design and Place Job Advertisement
• Shortlisting and Processing Applications
• Interviewing Preparation and Best Practtice
• Selection Best Practice
• Technology
• Social Networking
By: Oguchi Martins Egbujor 36
Work-Based HR Application
• Aligning business objectives with HR Plan
• Environmental analysis
• Workforce Planning
• Identify, Attracting and Recruitment
• Selection of Best Candidates
• Induction and Onboarding
• Training and Development
• Motivation, Rewarding and Retention
By: Oguchi Martins Egbujor 37
Strategic HRM
MG622
Performance Management
By Oguchi Martins Egbujor 38
Strategic HRM
By Oguchi Martins Egbujor 39
Workplace HR Manager
Responsibilities
• Recruitment and Selection
• Disciplinary Policies and Procedures
• Grievances Policies and Procedures
• Staffing Plans
• Training
• Employee Relations
• Performance Appraisal
• Health and Safety
• Holiday Entitlement
• Rate of Pay
• Pension Entitlement
• Equal Opportunities and Diversity
• Working Hours
• Employee Welfare
By Oguchi Martins Egbujor 40
Performance Management
The fundamental goal of performance
management is to promote and improve
employee effectiveness. It is a continuous
process where managers and employees work
together to plan, monitor and review an
employee's work objectives or goals and his or
her overall contribution to the organization.
http://hrcouncil.ca/hr-toolkit/keeping-people-
performance-management.cfm
By Oguchi Martins Egbujor 41
Performance Management
Performance management can be described as a
process by which organisations set goals,
determine standards, assign and valuate work,
and distribute rewards.
(Varma et al., 2008)
By Oguchi Martins Egbujor 42
Performance Management
Performance Management is used to improve
organisational, team and individual performance
and development, including activities designed to
ensure that goals are consistently being met in an
effective and efficient manner. It is an on-going
activity relating to people meeting the purpose of
attaining objectives. The management of
performance, whether formally or informally, is an
on-going and essential process to the attainment of
goals.
(Gerard McMahon, 2013)
By Oguchi Martins Egbujor 43
Performance Management
Tools
• Appraisal
• Skill Review
• Management by Objectives (MBO)
• 360 Degree Appraisal
• Peer Review
• Performance Related Pay
• Coaching
• Shadowing
• Mentoring
• Behaviour Anchored Rating scale (BARs)
• Graphic Rating Scales (GRS)
• Ranking
• Critical Incident Report (CIR)
• Work Standards Approach
By Oguchi Martins Egbujor 44
Performance Management Process
• Plan
• Set Objectives
• Benchmarking
• Monitor
• Review and Evaluate
• Re-appraise
By Oguchi Martins Egbujor 45
SMART Objectives
To successfully manage performance, there
MUST be SMART objectives and indicator
• Specific
• Measurable
• Achievable
• Realistic
• Time-bound
By Oguchi Martins Egbujor 46
Monitoring Performance
• Assess progress towards meeting performance objectives
• Identify any barriers that may prevent the employee from
accomplishing performance objectives and what needs to
be done to overcome them
• Share feedback on progress relative to the goals
• Identify any changes that may be required to the work plan
as a result of a shift in organization priorities or if the
employee is required to take on new responsibilities
• Determine if any extra support is required from the
manager or others to assist the employee in achieving his
or her objectives
(Gerard McMahon, 2013)
By Oguchi Martins Egbujor 47
Performance Management System
Performance management is an on-going process
that consists of several sub-processes during the
year:
• Goal Setting Process
• Personal Development Plan
• Interim Performance Appraisal
• Performance Appraisal
• Succession Planning
• Talent Management
By Oguchi Martins Egbujor 48
Sample of Rating Scale
By Oguchi Martins Egbujor 49
1
Very
bad
2 3 4 5
Average
6 7 8 9 10
Exce
llent
Employee Wellbeing
Employee wellbeing is a key issue that
companies are striving to address to ensure that
their employees remain happy and motivated at
work. After all, a happy workforce is a
productive workforce. Workplace wellbeing
covers both your physical and mental state.
(Morgan Lovell, London)
By Oguchi Martins Egbujor 50
Employee Wellbeing
Why are you investing in wellbeing?
• To increase staff satisfaction
• To increase staff morale
• To improve staff retention
• To increase productivity
• To reduce absenteeism
• To foster better relationships between staff and
management
• To increase open communications
• To lower costs
• To work towards a more sustainable workforce
By Oguchi Martins Egbujor 51
Forbes 2017 Wellbeing Initiatives
Workplace health and well-being programs not
only have a positive impact on your employees’
wellness, they can also lead to a significant
increase in your team’s engagement,
cohesiveness and overall productivity. According
to research, a healthy and happy workforce can
reduce costs by more than $1,600 per
employee, with reduced leave days caused by
disability or unplanned sickness.
By Oguchi Martins Egbujor 52
Sources of Information
• https://www.morganlovell.co.uk/knowledge/c
hecklists/what-is-employee-wellbeing/
• https://www.forbes.com/sites/forbescoachesc
ouncil/2017/07/05/14-employee-well-being-
initiatives-that-will-boost-engagement-and-
productivity/#6ea9f12067bc
• https://www.investorsinpeople.com/sites/def
ault/files/IIP%20Health%20and%20Wellbeing
%20Guide.pdf
By Oguchi Martins Egbujor 53
The Impact of Workplace Wellbeing
(Investors in People, 2014)
• Fairness & equality
• Planning health & wellbeing
• Appropriate interventions
• Evaluating health & wellbeing
• Reviewing impact
• Consultation
• Ownership & responsibility
• Continuous improvement
• Recognition
• Constructive feedback
• Skills & competences
• Assessing needs
• Managing stress
• Available resource
• Work-life balance
• Reviewing impact
• Supportive culture
By Oguchi Martins Egbujor 54
Benefits of Employee Wellbeing
(Investors in People, 2014)
• Increased motivation
• Increased loyalty
• Increased productivity
• Reduced stress
• Reduced absenteeism
• Employer of choice
• Better positioned in community
• Retaining talent
• Healthier workforce
• Increased quality
• Interventions that work
• Better customer service
• Attract the best new employees
By Oguchi Martins Egbujor 55

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Strategic human resource management (oguchi) 04 march 2018

  • 1. Business and Management Strategic Human Resource Management BA (Hon) Business and Management By Oguchi Martins Egbujor 1
  • 2. Introduction Strategic HRM Code: MG622 By: Oguchi Martins Egbujor By Oguchi Martins Egbujor 2
  • 3. What Is Strategic HRM Strategic Human Resource Management is a module that explores issues relating to organisation’s needs and direction to identify the human requirement to achieve the organisational objectives.
  • 4. Learning Outcome • LO1 - Critically analyse the context, challenges and issues facing the management of people at work • LO2 - Evaluate a range of strategic organisational HRM interventions aiming to create employee engagement and competitive advantage • LO3 - Critically review and analyse the application of strategic HRM models, theories and approaches in practice • LO4 – Critically evaluate the impact that a strategic approach to people management can have in contemporary organisations.
  • 5. Progression and Approaches • Access to Blackboard • Lectures and class work • Tutorial and formative feedback • Assignment Brief • Assessment through course work and examinations • Turnitin submissions and plagiarism • Assignment grading
  • 6. Assessment criteria • General HRM • Organisational Strategy • HR Planning • Recruitment and selection • Talent management • Staff retention • Reward • Employee engagement • Leadership and development • Knowledge management • Motivation • Performance management
  • 7. Strategic HRM Strategic Human Resource Management refers to HR that is co-ordinated and consistent with the overall business objectives in order to improve business performance. SHRM focuses on actions that differentiate the business from its competitors. (Purcell, 1999) By: Oguchi Martins Egbujor 7
  • 8. Strategic HRM Strategic human resource management is the practice of attracting, developing, rewarding, and retaining employees for the benefit of both the employees as individuals and the organization as a whole. As a result, the goals of a human resource department reflect and support the goals of the rest of the organization. By: Oguchi Martins Egbujor 8
  • 9. Organisational Strategy Organisational Strategy is the long term planning of an organisation direction, scope and needs that seeks to understand the environment and provides for the resources and competences that are aimed at achieving competitive advantage over its competitors that meets stakeholders’ expectations By: Oguchi Martins Egbujor 9
  • 10. Strategic HRM Alignment • Organisational Strategy • Strategic HR Formulation • Strategic HRM Choices • Strategic Implementation By: Oguchi Martins Egbujor 10
  • 11. Strategic HRM • HR Planning • Manpower Planning • Recruitment and selection • Compensation and Benefits • Employee relations • Training and development • Retention and Succession Planning • Human Capital Development • Health and Safety • Skills and Competences By: Oguchi Martins Egbujor 11
  • 12. Human Resource Development • Education • Training • Organisational Learning • E-Learning • Management Development • Career Planning/Development • Orientation • Induction • Onboarding • Performance Management By: Oguchi Martins Egbujor 12
  • 13. Strategic HR Process Identifying Organisational: • Vision (Direction) • Mission (Purpose) • Objectives • Strategic formulation • Organisational Capability • Commitment and Performance • Organisational Culture and Values By: Oguchi Martins Egbujor 13
  • 14. Strategic HR Formulation • Strategic Position • Mission Statement • Environmental Scanning • SWOT analysis • Strategic Objectives • Generate alternatives for achieving objectives • Evaluation and Selection of Strategies • Strategic Choices • Strategic Implementation By: Oguchi Martins Egbujor 14
  • 15. HRM and Strategic Position • Organisational Purpose • Organisational Scope • Organisational Needs • Organisational capability • Environmental Analysis • Organisational Image • Delivery • Competences By: Oguchi Martins Egbujor 15
  • 16. Strategic HRM Design Organisational Structure • Flat • Tall • Centralised • Decentralised • Hierarchical By: Oguchi Martins Egbujor 16
  • 17. Organisational Structure Flat Structure By: Oguchi Martins Egbujor 17 CEO HOD Marketi ng HOD HRM HOD Operati ons HOD Finance Sale Adv ert Rec/ Sele ct Train ing/ Dev Acco unts Deliv ery Cust Serv
  • 18. Organisational Structure Hierarchical By: Oguchi Martins Egbujor 18 MD Other Directors Head of Departments Regional Managers District Managers Departmental Managers Supervisors S
  • 19. RECRUITMENT AND SELECTION Different Approaches (Strengths and Weaknesses) By Oguchi Martins Egbujor 19
  • 20. Recruitment and Selection Panel By Oguchi Martins Egbujor 20
  • 21. Recruitment Recruitment is the process of attracting the right candidates to the right job and at the right time. This involves following the job market trend, and analysing the human resource needs of the organisation and attracting suitable candidates to meet the objectives. By Oguchi Martins Egbujor 21
  • 22. Selection Selection is the process of identifying and choosing the right candidate with the right skills at the right time to meet the organisational objectives. The right candidate must be suitable to the needs of the organisation By Oguchi Martins Egbujor 22
  • 23. Recruitment and Selection HR Function STRATEGIC HRM HR Planning Job Analysis Advertising CV Matching Shortlisting Interview Selection Induction Rules and Regulations Onboarding Sales Department Operations Department Finance DepartmentMarketing Department By Oguchi Martins Egbujor 23
  • 24. Recruitment and Selection Approaches • Identify and analysing job vacancies • Prepare for Job Analysis • Advertising the vacancy (the right channel) • Managing Responses (CVs and Applications) • Shortlisting the Suitable Candidates • Arranging and Conducting Interviews • Selecting the right candidates By Oguchi Martins Egbujor 24
  • 25. Job Analysis Job Analysis is the Process of studying and collecting information relating to the operations and responsibilities of a specific job. The immediate products of job analysis are job description and job specification. By Oguchi Martins Egbujor 25
  • 26. Job Analysis Job Description • Job Title • Pay • Location • Summary • Duties • Machinery and Materials • Supervision • Working Conditions • Hazards Job Specification • Education/Qualification • Experience • Training • Skills • Physical demand • Initiative • Responsibilities • Communication skills • Attitude • Emotional Characteristics By Oguchi Martins Egbujor 26
  • 27. Sources of Recruitment Internal • Current employees • Former employee • Database of applicants • Referrals from employees • Internal job vacancy External • Advertisement • Job Centre Plus • Employment Agencies • Referrals from friends • College recruitment • Company’s website By Oguchi Martins Egbujor 27
  • 28. Selection Approaches • Application • CV matching • Shortlisting • Aptitude tests/or Psychometric tests • Telephone surveys • E-Assessment • Interviews • Group selection techniques-panel, tasks, role play, presentation, observation, etc. • Assessment centres/or Assessment Agencies By Oguchi Martins Egbujor 28
  • 29. Recruitment and Selection Different Approaches Strengths • Organisational image • Advertising widely • Experience HRM • Shortlisting the best candidate • Targeting the right candidates • Ability to ask the right question at interviews Weaknesses • Advertising is expensive • Using wrong channel of communication • CV and Applications forms may be written by professional • Stereotyping • Inexperience HRM analysing the job wrongly By Oguchi Martins Egbujor 29
  • 30. Process • Aligning business objectives and HR strategy • Analysing labour market trend/environment • Attracting the best candidates • Motivating workforce • Training workforce • Retaining workforce • Rewarding workforce By Oguchi Martins Egbujor 30
  • 31. Demand Forecast Demand Forecast is a system with the process of analysing the direction and the objectives of an organisation, and establishing the skills, talent and the required number of people to meet the current and future needs. By Oguchi Martins Egbujor 31
  • 32. Supply Forecast • Supply forecast is to determine whether the HR department will be able to procure the required skills and number of workforce needed at any particular point in time to achieve business objectives: • Internal Sources of Supply • External Sources of Supply • Current Employees By Oguchi Martins Egbujor 32
  • 33. Labour Market Trend HR will be focusing on the behaviour of labour market and what is driving the behaviour. The should also look at what is obtainable within their industry regarding the development of skills and knowledge: • PESTLE • SWOT By Oguchi Martins Egbujor 33
  • 34. By Oguchi Martins Egbujor 34 HRM Goals Staffing Strategic HR Planning Recruitment Selection Motivation Motivation theories & job Design Performance appraisal Rewards & compensations Employees Benefits Maintenance Health & safety Communications Employee relations Training and development Orientation Employee training Employee Development Career Development
  • 35. Employment Law • Data Protection Act 1998 • Employment Act 2008 • National Minimum Wage Act 1998 • Employment Relations 2004 • Sex Discrimination Act 1995/97 • Equality Act 2010 • Disability Discrimination Act 1995/2005 • DBS • Working Time (Amendment) Regulations 2003 • Freedom of Information Act 2000 By: Oguchi Martins Egbujor 35
  • 36. Work-Based HRM Practices • Job and Person Specification • Recruitment and Selection • Design and Place Job Advertisement • Shortlisting and Processing Applications • Interviewing Preparation and Best Practtice • Selection Best Practice • Technology • Social Networking By: Oguchi Martins Egbujor 36
  • 37. Work-Based HR Application • Aligning business objectives with HR Plan • Environmental analysis • Workforce Planning • Identify, Attracting and Recruitment • Selection of Best Candidates • Induction and Onboarding • Training and Development • Motivation, Rewarding and Retention By: Oguchi Martins Egbujor 37
  • 39. Strategic HRM By Oguchi Martins Egbujor 39
  • 40. Workplace HR Manager Responsibilities • Recruitment and Selection • Disciplinary Policies and Procedures • Grievances Policies and Procedures • Staffing Plans • Training • Employee Relations • Performance Appraisal • Health and Safety • Holiday Entitlement • Rate of Pay • Pension Entitlement • Equal Opportunities and Diversity • Working Hours • Employee Welfare By Oguchi Martins Egbujor 40
  • 41. Performance Management The fundamental goal of performance management is to promote and improve employee effectiveness. It is a continuous process where managers and employees work together to plan, monitor and review an employee's work objectives or goals and his or her overall contribution to the organization. http://hrcouncil.ca/hr-toolkit/keeping-people- performance-management.cfm By Oguchi Martins Egbujor 41
  • 42. Performance Management Performance management can be described as a process by which organisations set goals, determine standards, assign and valuate work, and distribute rewards. (Varma et al., 2008) By Oguchi Martins Egbujor 42
  • 43. Performance Management Performance Management is used to improve organisational, team and individual performance and development, including activities designed to ensure that goals are consistently being met in an effective and efficient manner. It is an on-going activity relating to people meeting the purpose of attaining objectives. The management of performance, whether formally or informally, is an on-going and essential process to the attainment of goals. (Gerard McMahon, 2013) By Oguchi Martins Egbujor 43
  • 44. Performance Management Tools • Appraisal • Skill Review • Management by Objectives (MBO) • 360 Degree Appraisal • Peer Review • Performance Related Pay • Coaching • Shadowing • Mentoring • Behaviour Anchored Rating scale (BARs) • Graphic Rating Scales (GRS) • Ranking • Critical Incident Report (CIR) • Work Standards Approach By Oguchi Martins Egbujor 44
  • 45. Performance Management Process • Plan • Set Objectives • Benchmarking • Monitor • Review and Evaluate • Re-appraise By Oguchi Martins Egbujor 45
  • 46. SMART Objectives To successfully manage performance, there MUST be SMART objectives and indicator • Specific • Measurable • Achievable • Realistic • Time-bound By Oguchi Martins Egbujor 46
  • 47. Monitoring Performance • Assess progress towards meeting performance objectives • Identify any barriers that may prevent the employee from accomplishing performance objectives and what needs to be done to overcome them • Share feedback on progress relative to the goals • Identify any changes that may be required to the work plan as a result of a shift in organization priorities or if the employee is required to take on new responsibilities • Determine if any extra support is required from the manager or others to assist the employee in achieving his or her objectives (Gerard McMahon, 2013) By Oguchi Martins Egbujor 47
  • 48. Performance Management System Performance management is an on-going process that consists of several sub-processes during the year: • Goal Setting Process • Personal Development Plan • Interim Performance Appraisal • Performance Appraisal • Succession Planning • Talent Management By Oguchi Martins Egbujor 48
  • 49. Sample of Rating Scale By Oguchi Martins Egbujor 49 1 Very bad 2 3 4 5 Average 6 7 8 9 10 Exce llent
  • 50. Employee Wellbeing Employee wellbeing is a key issue that companies are striving to address to ensure that their employees remain happy and motivated at work. After all, a happy workforce is a productive workforce. Workplace wellbeing covers both your physical and mental state. (Morgan Lovell, London) By Oguchi Martins Egbujor 50
  • 51. Employee Wellbeing Why are you investing in wellbeing? • To increase staff satisfaction • To increase staff morale • To improve staff retention • To increase productivity • To reduce absenteeism • To foster better relationships between staff and management • To increase open communications • To lower costs • To work towards a more sustainable workforce By Oguchi Martins Egbujor 51
  • 52. Forbes 2017 Wellbeing Initiatives Workplace health and well-being programs not only have a positive impact on your employees’ wellness, they can also lead to a significant increase in your team’s engagement, cohesiveness and overall productivity. According to research, a healthy and happy workforce can reduce costs by more than $1,600 per employee, with reduced leave days caused by disability or unplanned sickness. By Oguchi Martins Egbujor 52
  • 53. Sources of Information • https://www.morganlovell.co.uk/knowledge/c hecklists/what-is-employee-wellbeing/ • https://www.forbes.com/sites/forbescoachesc ouncil/2017/07/05/14-employee-well-being- initiatives-that-will-boost-engagement-and- productivity/#6ea9f12067bc • https://www.investorsinpeople.com/sites/def ault/files/IIP%20Health%20and%20Wellbeing %20Guide.pdf By Oguchi Martins Egbujor 53
  • 54. The Impact of Workplace Wellbeing (Investors in People, 2014) • Fairness & equality • Planning health & wellbeing • Appropriate interventions • Evaluating health & wellbeing • Reviewing impact • Consultation • Ownership & responsibility • Continuous improvement • Recognition • Constructive feedback • Skills & competences • Assessing needs • Managing stress • Available resource • Work-life balance • Reviewing impact • Supportive culture By Oguchi Martins Egbujor 54
  • 55. Benefits of Employee Wellbeing (Investors in People, 2014) • Increased motivation • Increased loyalty • Increased productivity • Reduced stress • Reduced absenteeism • Employer of choice • Better positioned in community • Retaining talent • Healthier workforce • Increased quality • Interventions that work • Better customer service • Attract the best new employees By Oguchi Martins Egbujor 55