This document discusses performance management in organizations. It defines performance management as a systematic process that involves employees in improving organizational effectiveness through accomplishing goals and missions. Key aspects of performance management include planning work, monitoring performance, developing capacity, periodically reviewing performance, and rewarding good performance. The overall aims are to align individual goals with organizational goals and improve performance at individual, departmental, and overall levels. Performance management helps clarify expectations, set goals, and encourage coaching and feedback to enhance commitment and performance.
Introduction to Performance Management - Meaning, Process, Need, Difference between Performance Appraisal and Performance Management, Components of Performance Management System
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Performance management cycle helps the employee to align their goals with organizational goals. The four stages in performance management cycle are planning, monitoring, reviewing and rewarding
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Introduction to Performance Management - Meaning, Process, Need, Difference between Performance Appraisal and Performance Management, Components of Performance Management System
Performance Management Process {Lecture Notes}FellowBuddy.com
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Performance management cycle helps the employee to align their goals with organizational goals. The four stages in performance management cycle are planning, monitoring, reviewing and rewarding
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Performance management (PM) includes activities which ensure that goals are consistently being met in an effective and efficient manner. Performance management can focus on the performance of an organization, a department, employee, or even the processes to build a product or service, as well as many other areas.
PM is also known as a process by which organizations align their resources, systems and employees to strategic objectives and priorities.[1]
Performance appraisal principles will serves as a simple guide to conduct an effective performance review.
Performance appraisal | Principles of performance appraisal | Guide | Leadership and Management | Learningade
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Using and applying performance management in the organization
Identify measurable results, consistent with the strategic plan and operational goals
Be able to identify key performance indicators
To identify the strengths and weaknesses of employees to place right men on right job
To maintain and assess the potential in a person for growth and development.
To provide a feedback to employees regarding their performance and related status It serves as a basis for influencing working habits of the employees.
To review and retain the promotional and other training programmers
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2. Overview
Performance management is the systematic process by which an
agency involves its employees, as individuals and members of
a group, in improving organizational effectiveness in the
accomplishment of agency mission and goals.
Employee performance management includes:
• planning work and setting expectations,
• continually monitoring performance,
• developing the capacity to perform,
• periodically rating performance in a summary fashion, and
• rewarding good performance.
2
3. Performance management aims at improving individual,
departmental, and overall organizational performance by
helping align individual and departmental goals with the
overall goals and mission of the organization. It helps in
setting specific employee performance goals, clarifying
expected performance standards/results/levels of outputs,
enhancing commitment to these performance goals and
expectations, and encouraging coaching, mentoring, and
feedback processes
3
4. PURPOSE OF PERFORMANCE
MANAGEMENT
‘Performance management helps schools to improve by
supporting and improving the work of head teachers as
individuals and leaders of school teams. It sets a framework
for teachers and leaders to agree and review priorities and
objectives in the context of the school’s improvement plan. It
focuses attention on making teaching and leadership more
effective to benefit pupils, teachers, and schools.’
Performance management for headteachers
(Welsh Government, 2012)
5. WHY IS PERFORMANCE
MANAGEMENT IMPORTANT?
For HR For the organisation
Evidence base for everything
Reduces conflict
Vehicle for communication – a 2 way process
Succession planning and talent management
Survival of the organisation
Retention of staff and reputation
Tool for developing trust across the organisation
motivate and manage staff
identify and rectify poor performance at an early stage
Prioritize what gets done and ensure there are sufficient resources to do it
learn from past performance and improve future performance
increase employee, learner, employers’ and public’s satisfaction with the organisation
7. 7
Performance Appraisal v. Performance
Management
A Matter of Perspectives of Performance
Appraisal Management
One time event Ongoing
Retrospective Prospective
Short Term Long Term
Correction oriented Progress steps
Completing form Planning/goal setting
10. ELEMENTS OF PERFORMANCE
MANAGEMENT
The performance management process is comprised of the following stages: -
1. Performance planning which takes place at the beginning of the review
period and involves setting and reviewing performance plans and
expectations. –
2. Coaching and mentoring which takes place throughout the review period
and involves holding meetings with employees on a periodic basis to
provide regular coaching, mentoring, and feedback on employee
performance.
3. Performance appraisal which takes place at the end of the review period
and involves writing constructive performance appraisals, conducting the
appraisal interview, acknowledging past accomplishments and planning
future performance goals.
10
11. ELEMENTS OF PERFORMANCE
MANAGEMENT
1) Reliable measures
2) Clear goals
3) Performance monitoring
4) Rewards and recognition
5) Initiatives and corrective actions
11
12. COMPONENTS OF PERFORMANCE
• Four components of performance
– A performer
– Behaviour
– Situation
– Results
Morhman et al ,1989
12
13. CONNECTS TO MISSION, VISION, VALUES &
STRATEGIC INITIATIVES
Job Description
Professional Dev.
Individual
Mission, Vision, Initiatives
Policies, Procedures,
Expected Competencies
Division/Department
Mission, Vision and Values
Strategic Initiatives
Policies, Procedures, Expected Competencies
Company
15. 1. Develop/Review
Position Description
2. Establish Performance
Expectations
3. Identify Tools and
Training Needed
4. Ongoing Feedback and
Communication
5. Handle Issues as
they Arise.
6. Adjust Assignments
as Needed
7. Formal Performance
Evaluation (no surprises!)
8. Discuss Possible
Professional
Development Plan
9. Merit
Rewards Process
The
Annual
Performance
Management
Process
15
18. PLANNING FOR PERFORMANCE
Setting Performance Objectives
Employees and managers meet to clarify expected outcomes for
the year and set objectives that link the employee's job to
department and campus objectives. Objectives define "what"
employees are expected to accomplish. Managers and
employees should aim to defineS.M.A.R.T. objectives.
Specific
Measurable
Attainable
Relevant
Timely
18
19. "Planning" means setting performance expectations
and goals for groups and individuals to channel their
efforts toward achieving organizational objectives. It
also includes the measures that will be used to
determine whether expectations and goals are being
met. Involving employees in the planning process
helps them understand the goals of the organization,
what needs to be done, why it needs to be done, and
how well it should be done.
19
20. Examples of S.M.A.R.T. objectives
Implement update of on-line graduate application
program by October 1, 2006
Reduce telephone expenses by 15% within the first half
of the fiscal year.
Identify three new funding sources by the end of FY
2006, and ensure that all grant requests are written,
reviewed, and submitted to the granting
agency/foundation by the respective deadlines.
20
21. Performance Review
• The performance review is a summary of the
ongoing feedback the employee has received
throughout the specified time period and
working with them on their goals for the
future.
• It is not just retrospective, looking behind; it is
future focused for the employee and the
organization.
21
23. 2
RATING CRITERIA
Excellent
• Consistently exceeds performance
standards
• Continuously contributes to the
organization’s success by adding
significant value
• Demonstrates a comprehensive
understanding of work; takes action to
identify needs and solve problems
24. 24
Good
• Meets performance standards
• Competently performs all aspects of job
functions and meets goals
• Capably adjusts to changing workplace needs
and work requirements
25. 2
Acceptable
• Generally meets expectations of the position
• Competently performs aspects of the job function
or goal
• May require Performance Improvement Plan to
concentrate on areas of weakness
• May require additional resources or training to
move above rating
26. 26
Unsatisfactory
• Fails to perform most aspects of the position
• Performance levels are below expectations
• Requires close guidance in performing routine
job duties
• Requires Performance Improvement Plan to
address areas of weakness with progress
review dates
27. 27
Rating Perils
• Halo/Horn Effect – rate employees the same on every trait
• Central Tendency – lack of rating differentiation between employees
• Leniency – avoids honest ratings to avoid conflict
• Recency – narrow focus on recent events
• Similarity/Like me – favorable rating to employees who have similar
values or interests to the rater
• Constancy – rate employees via rank order
28. 28
Avoiding Other Rating Perils
Make objective statements
Consider the totality of the employees performance
Inadequate record keeping – lack of specific examples
Lack of establishing milestones for progress reviews
Discuss specific performance issues and behaviors objectively
Legal impact of inflated performance ratings
Maintain clear and open communication channels
Specific comments should avoid any connotations which are
connected to: age, race, sex, religion, national origin, veteran,
or a specific disability
29. IMPORTANCE OF PERFORMANCE
REVIEWS
• Gives an employee a summary of how they have performed
and goals for the future.
• Provides clear and objective feedback based on organizational
and employee goals.
• Stating the areas the employee needs to improve in and
whether they are meeting the expectations of the position.
• Is a written record of employee performance.
30. WHAT TO DO BEFORE THE
PERFORMANCE REVIEW
• Have frequent conversations with your employees on their
goals, their performance.
• Train supervisors in Performance Reviews.
• Make certain that supervisors understand rating employees
equitably, i.e. those that rate higher vs. those that rate lower.
• Discuss the halo/horn effect and how to avoid it.
31. WHAT TO DO BEFORE THE
PERFORMANCE REVIEW
• Communicate the Performance Review process to all
employees and how it relates to their compensation.
• Do this frequently so it is understood.
• Let employee know that the performance review is coming up
and ask them to put together areas they would like to discuss.
32. DURING THE PERFORMANCE
REVIEW
• Go over each of the areas with the employee in a conversational manner,
asking them if they have any questions and listening to their feedback
throughout the process.
• Give thorough examples in addition to what is written on the review to
give the employee a good understanding of what is being communicated
to them.
• Focus on strengths.
• Do not ignore the areas they can improve upon; they won’t know unless
they are told. Do not give the areas of improvement sandwiched between
the strengths.
33. DURING THE PERFORMANCE
REVIEW
• Go over the goals together with input from the employee.
• Describe how the goals are in line with the organizational
goals.
• Touch upon these goals throughout the year.
34. EXAMPLES OF VERBIAGE USED IN
PERFORMANCE REVIEWS
• “Employee name takes great x-rays and is very proficient at removing
calculus and doing oral hygiene. Her scaling and tissue management is
very good, is excellent with triaging and charting”. This is very specific, lets
employee know exactly what they are doing well.
• “Employee Name takes pride in accuracy and always makes an effort to
improve her work. She has worked diligently over the past year to try to
improve audit scores” Shows an area that has been improved upon.
• Excellent book “Perfect Phrases for Performance Reviews” available on
SHRM and other sites.
35. AFTER THE PERFORMANCE REVIEW
• Commit to employee development.
• Continue to work with employee throughout the year on their
performance and their goals.
• Get the employees opinion and thoughts on the performance
review process.
36. Performance Appraisal
A formal performance review must be conducted each year consisting of
discussions between the supervisor and the staff member and a written
record of the appraisal.
Discussions should occur more frequently if needed, such as when new
objectives are developed, or if the staff member requires a more
structured approach in order to encourage improved performance.
The content of the formal appraisal should not be a surprise.
Performance Management
36
37. Performance Appraisal
Guidelines
• Frequent Communication Throughout the Year
• Judge Your Own Performance
• Warm-Up Period
• Be Candid & Be Specific
• Build on Strengths
• Be a Positive Listener
• Judge Performance - Not the Person
Performance Management
37
38. Performance Appraisal
Assignment of Overall Performance Rating
Overall performance ratings are qualified by four areas:
1. Exceeds Job Expectations
2. Meets Job Expectations
3. Partially Meets Job Expectations
4. Does Not Meet Job Expectations
Performance Management
38
39. The Appraisal Discussion
Discussion Tips
• Clearly state the purpose of the meeting and explain the process
• Tell staff member what can come out of meeting, including future
assignments, clear communication, and increased duties
• Help the staff member feel at ease and receptive
• Avoid criticism of personality or personal traits
• Use listening skills to separate facts from opinions
• Conclude with a summary of the main points of the discussion
• Inform staff member of the option to respond to the appraisal
• Have employee sign the form, or set a mutually agreeable date for
signing the final form
Performance Management
39
40. The Appraisal Discussion
Supervisor's Self Evaluation
• Did things go well/poorly? Why?
• What topics were handled successfully/unsuccessfully?
• What subjects aroused the staff member's interest and involvement?
• Were all important points thoroughly discussed?
• What remains as unfinished business?
• What points should be raised at the next meeting?
• What performance should be monitored in the future?
• What objectives should be set?
• Is the staff member a possible candidate for promotion?
40
41. CAREER DISCUSION & INDENTIFYING
DEVELOPMENT NEEDS
Identifying Developmental Needs
• The six steps below, which we've adapted from the American
Society for Training and Development's Strategic Needs
Analysis, will help you better understand people's training
needs:
1. Reviewing team members' job descriptions.
2. Meeting with them.
3. Observing them at work.
4. Gathering additional data.
5. Analyzing and preparing data.
6. Determining action steps.
41
42. LEARNING REVIEW & ACTION
PLANNING
• A self-management support tool based on the
principles and practice of Motivational Interviewing
• It is
– Structured
– Patient-centered
– Evidence-informed
42
43. Counseling and Coaching Tips
• Share knowledge and experience
• Share feedback and observations
• Use questioning to stimulate thinking
• Facilitate by listening
• Encourage brainstorming
• Explore options and consequences together
• Allow the employee to find their own conclusions and solve their
own problems when possible
Performance Management
43
44. Performance Management Tools for
Performance and Development Review
• Performance Reviews - Why do them?
– To review employee performance vs. expectations
– To clarify job responsibilities and understanding
– To help plan developmental needs
– To provide honest and constructive feedback
45. Performance Management Tools for
Performance and Development Review
• Preparation for Review
– Review past 12 month’s performance record
– Gather input from others
– Review documents from coaching/feedback sessions
– Review written notes or communications
– Compare performance objectives to results
– Examine results against their impact on the College’s goal
– Encourage employee’s to submit their list of
accomplishments
– Review employee’s development objectives
46. Performance Management Tools for
Performance and Development Review
• During the meeting:
– State purpose of discussion
– Give recognition for each objective, accomplishments,
areas of strength
– Specify areas for each objective where performance
can be improved
– Summarize overall performance
47. Performance Management Tools for
Performance and Development Review
• During the meeting:
– Ask employee to give comments
– Review employee’s progress with development
– End on a positive note
– Plan a meeting to create a new performance and
development plan
48. Performance Management Tools for
Performance and Development Review
• Supervisors - Keep in mind:
– Listen carefully
– Ask for examples, questions, solutions
– Summarize or restate your understanding of the
feedback
– Try not to act defensively or make excuses
– Acknowledge the feedback and offer thanks
– Be open to change -- nobody’s perfect
49. Performance Management -
Roles and Responsibilities
• Employee
– Responsible for development
of self
– Life-long employability focus
– Maintain skills required for
current job
– Define career interests and
goals
– Complete individual
development plan
• Supervisor
– Create a learning/development
environment
– Provide support for acquisition of
new skills
– Discuss development needs for
current job
– Discuss career development with
employees
– Provide opportunities consistent
with plan