This document discusses strategic performance management and outlines three levels of performance (implementation, improvement, and innovation) that provide business benefits. It provides examples of how these levels impact organizational processes, marketing, technology, and other areas. It also discusses how the three levels relate to organizational, group, and individual needs. Finally, it discusses evaluating training efforts based on reaction, learning, behavior, and results.

1. STRATEGIC HRM
PERFORMANCE MANAGEMENT
Presentation
by
Prof.M.S.S.Varadan
Chairman
Om Consultants (India) Pvt. Ltd.
C O N S U L T A N T S
U N L O C K IN G P EO PL E P O T E N T I A L

2. BUSINESS BENEFITS AT THE THREE LEVELS OF PERFORMANCE
Level of Need - Performance
Level 1 Level 2 Level 3
Business areas Implementing Improving Innovating
and possible
Doing things well Doing things better Doing new and
benefits
better things
Organizational Successful Improvement of Better strategy for
processes implementation of and efficiency of choosing which
systems systems systems to use
Marketing Matching the Beating the Growing the market
competition competition Engaging
Satisfying Delighting customers
customers customers
Legislation Meeting the Improving on the Creating the
requirements requirements requirements
C O N S U L T A N T S
U N L O C K IN G P EO P L E P O T E N T I A L

3. BUSINESS BENEFITS AT THE THREE LEVELS OF PERFORMANCE
Level of Need - Performance
Level 1 Level 2 Level 3
Technology Introducing technology Using technology Developing your
effectively more efficiently own new technology
Government Meeting the standards Exceeding the Setting new
initiatives (eg. (Getting the award) standards standards
Investors in
People)
Relationships Businesslike Collaborative Creative new
relationships and relationships and relationships and
behaviour behaviour behaviour
Individual Meeting minimum Moving along a Carrying your own
aspirations career qualifications career path career forward
and requirements
C O N S U L T A N T S
U N L O C K IN G P EO P L E P O T E N T I A L

4. ORGANIZATIONAL GROUP AND INDIVIDUAL NEEDS AT THE
THREE LEVELS OF PERFORMANCE
Area of need Organizational Group Individual
Level of
business
benefit
I1 : Implementing Meeting current Working together to meet Being competent at the
doing things well organizational existing targets and level of existing
objectives standards requirements
I2 : Improving doing Setting higher Continuous improvement Having and using
things better objectives and teams systematic, continuous
reaching them improvement skills and
processes
I3 : Innovating doing Changing Working across Being able to work
new and better things objectives and boundaries to create new differently and more
strategies relationships and new creatively with a shared
products and services sense of purpose
C O N S U L T A N T S
U N L O C K IN G P EO P L E P O T E N T I A L

5. HR SCORECARD
Rankings in
5. Strategic Performance Metrics
industry service Profit margins, and Percent shares of
(Are we achieving our strategic Anual revenues
satisfaction total annual profits market
goals?)
surveys
Various customer and Hotel
Paris outcome metrics,
Number of written
4. Strategically Relevant Customer including; frequency of
Guest service guest compliments
and Organiational Outcomes guests' returns; average
satisfaction index and / or complaints
Metrics (How can we measure length of stay; and guest
per year
whether our customer service is expenditure per guest per
actually improving and having the stay
desired effects?)
Various employee service-oriented
3. Strategically Relevant Emergent
behavior metrics, including percent Percentage of
Employee Capabilities and
calls answered with required greeting; Employee service employees scoring
Behaviors Metrics (What skills and
Employee turnover Employee morale speed of check in/out; percent room commitment and at least 90% on
actions must our employees
cleaning infractions; and, percent engagement index Hotel Paris core
demonstrate if our company is to
guests receiving Hotel Paris required values quiz
achieve its strategic goals?)
greeting on arrival
2. Strategic HR Activities Metrics Chapter 8, Training Number of hours Chapter 9, Appraising Number of
Chapter 10, Careers Percentage of
(What HR function should we focus training for employee for employee employees getting feedback;
employees with formal career
on, and how should we measure its per year; number of hours training for percentage of appraisals completed
development plan
efficiency and effectiveness?) new employee on time
1. Hotel Paris Basic Strategic
Themes
Encourage Personal Employee Ephasize Partnership and Sense of
(What basic themes must we in HR Create Service-Oriented Workforce Embed Core Values
Growth and Learning Ownership
pursue to help Hotel Paris achieve its
strategic goals?)

6. EVALUATING THE TRAINING EFFORT
Four basic categories of training outcomes:
1. Reaction
2. Learning
3. Behavior
4. Results
C O N S U L T A N T S
U N L O C K IN G P EO P L E P O T E N T I A L

7. EVALUATING THE TRAINING EFFORT
Four basic categories of training outcomes:
1. Reaction
2. Learning
3. Behavior
4. Results
C O N S U L T A N T S
U N L O C K IN G P EO P L E P O T E N T I A L