This document discusses the key components of an effective performance management process: performance planning, execution, assessment, review, and renewal. It outlines the prerequisites of understanding an organization's mission/goals and employees' job descriptions. Performance planning establishes objectives, standards, and development plans. Regular feedback during execution is important. Assessment incorporates self, manager and other ratings. Reviews evaluate past performance and set new goals. The cycle renews with insights from previous phases. The process works best when all components are implemented well and clearly linked.

1. Herman Aguinis, University of Colorado at Denver
Performance Management
Process
Prof. Preeti Bhaskar
Symbiosis Centre for Management Studies,
NOIDA

2. Herman Aguinis, University of Colorado at Denver
Performance Renewal and Recontracting
Performance Review
Performance Assessment
Performance Execution
Performance Planning
Prerequisites
2–2

3. Herman Aguinis, University of Colorado at Denver
Performance Renewal and Recontracting
Performance Review
Performance Assessment
Performance Execution
Performance Planning
Prerequisites
2–3

4. Herman Aguinis, University of Colorado at Denver
Prerequisites
Knowledge of the organization’s
mission and strategic goals
Knowledge of the job
2–4

5. Herman Aguinis, University of Colorado at Denver
Knowledge of mission and strategic goals
• Strategic planning
–Purpose or reason for organization’s
existence
–Where organization is going
–Organizational goals
–Strategies for attaining goals
2–5

6. Herman Aguinis, University of Colorado at Denver
Mission and Goals
Cascade effect throughout organization
2–62–6
Organization
Unit
Employee

7. Herman Aguinis, University of Colorado at Denver2–7
B. Knowledge of the job
• Job analysis of key components
– Activities, tasks, products, services,
processes
• KSAs required to do the job
– Knowledge
– Skills
– Abilities
2–7

8. Herman Aguinis, University of Colorado at Denver2–8
Job Description
• Job duties
• KSAs
• Working conditions
2–8

9. Herman Aguinis, University of Colorado at Denver
Job analysis
• Use a variety of tools
–Interviews
–Observation
–Questionnaires (available on Internet)
2–9

10. Herman Aguinis, University of Colorado at Denver
Job analysis follow-up
• All incumbents should
–review information and
–provide feedback
–Task
• Frequency
• Criticality
2–10

11. Herman Aguinis, University of Colorado at Denver
Performance Renewal and Recontracting
Performance Review
Performance Assessment
Performance Execution
Performance Planning
Prerequisites
2–11

12. Herman Aguinis, University of Colorado at Denver2–12
Performance
Planning

13. Herman Aguinis, University of Colorado at Denver
Results
• Broad areas of a job for which the
employee is responsible for producing
results
Key
accountabilities
• Statements of outcomes
• Important
• Measurable
Specific
objectives
• Measure” to evaluate how well employees
have achieved each objective
• Information on acceptable and
unacceptable performance, such as
Performance
standards
“quality, quantity ,cost &time

14. Herman Aguinis, University of Colorado at Denver
Behaviors
2–14
Competencies
• How a job is done
• Behaviour criteria such as : communication skill ,
attitude, customer service etc.
• Measurable clusters of KSAs
• Critical in determining how results will be achieved

15. Herman Aguinis, University of Colorado at Denver
Performance Planning:
Development Plan
 Areas for improvement
 Goals to be achieved in each area
of improvement
2–15

16. Herman Aguinis, University of Colorado at Denver
Performance Renewal and Recontracting
Performance Review
Performance Assessment
Performance Execution
Performance Planning
Prerequisites
2–16

17. Herman Aguinis, University of Colorado at Denver
Performance Execution:
Employee Responsibilities
 Commitment to goal achievement
 Ongoing requests for feedback and
coaching
 Communication with supervisor
 Collecting and sharing performance
data
 Preparing for performance reviews
2–17

18. Herman Aguinis, University of Colorado at Denver
Performance Execution:
Manager Responsibilities
• Observation and documentation
• Updates
• Feedback
• Resources
• Reinforcement
2–18

19. Herman Aguinis, University of Colorado at Denver
Performance Renewal and Recontracting
Performance Review
Performance Assessment
Performance Execution
Performance Planning
Prerequisites
2–19

20. Herman Aguinis, University of Colorado at Denver
Performance Assessment
• Manager assessment
• Self-assessment
• Other sources (e.g., peers,
customers, etc.)
2–20

21. Herman Aguinis, University of Colorado at Denver
Multiple Assessments Are
Necessary
Increase employee ownership
Increase commitment
Provide information
Ensure mutual understanding
2–21

22. Herman Aguinis, University of Colorado at Denver
Performance Renewal and Recontracting
Performance Review
Performance Assessment
Performance Execution
Performance Planning
Prerequisites
2–22

23. Herman Aguinis, University of Colorado at Denver
Performance Review
Overview of Appraisal Meeting
• Past
– Behaviors and results
• Present
– Compensation to be received
• Future
– New goals and development plans
2–23

24. Herman Aguinis, University of Colorado at Denver
1. Identify what the employee has done
well and poorly
2. Solicit feedback
3. Discuss the implications of changing
behaviors
2–24
Six Steps for Conducting
Productive Performance Reviews

25. Herman Aguinis, University of Colorado at Denver
Six Steps for Conducting
Productive Performance Reviews
4. Explain how skills used in past
achievements can help overcome
any performance problems
5. Agree on an action plan
6. Set a follow-up meeting and agree
on behaviors, actions, attitudes to be
evaluated
2–25

26. Herman Aguinis, University of Colorado at Denver
Performance Renewal and Recontracting
Performance Review
Performance Assessment
Performance Execution
Performance Planning
Prerequisites
2–26

27. Herman Aguinis, University of Colorado at Denver
Performance Renewal and
Recontracting
• Same as/different from Performance
Planning
–Uses insights and information from
previous phases
–Cycle begins again
2–27

28. Herman Aguinis, University of Colorado at Denver
Performance Management Process
Summary: Key Points
Ongoing process
Each component is important
If one is implemented poorly, whole
system suffers
Links between components must be
clear
2–28

29. Herman Aguinis, University of Colorado at Denver
Thank
You