Basics of Performance management

1. PERFORMANCE MANAGEMENT

2. CONCEPT OF PERFORMANCE MANAGEMENT
Performance management can be defined as a systematic
process for improving organizational performance by
developing the performance of individuals and teams.
Performance management is about aligning individual
objectives to organizational objectives and ensuring that
individuals uphold corporate core values.

3. DIFFERENCE BETWEEN PERFORMANCE
APPRAISAL AND PERFORMANCE MANAGEMENT
• 1. Performance appraisal can be defined as the formal assessment
and rating of individuals by their managers. In contrast performance
management is a continuous and much wider, more comprehensive
and more natural process of management.
• 2. Performance appraisal was often backward looking,
concentrating on what had gone wrong, rather than looking forward
to future development needs. On the other hand performance
management focuses on values ,behaviors and objectives. It
involves continuous review with one or more formal reviews.

4. OBJECTIVES OF PERFORMANCE MANAGEMENT
The six main objectives of performance management are:
•To align individual and organizational objectives
•To improve organizational performance
•To improve individual performance
•To provide the basis for personal development
•To develop a performance culture
•To inform contribution/performance pay decisions

5. PROCESS OF PERFORMANCE MANAGEMENT

6. PERFORMANCE MANAGEMENT ACTIVITIES
• Role Definition
• The Performance agreement
• The performance improvement plan
• The personal development plan
• Managing performance throughout the year
• Performance review

7. PERFORMANCE REVIEW PROBLEMS
The main problems that arise in conducting performance reviews are:
•1. Identifying performance measures and criteria for evaluating
•performance
•2. Collecting factual evidence about performance
•3. The existence of bias on the part of managers
•4. Resolving conflict between reviewers and the people they review
•5. defensive behavior exhibited by individuals in response to
criticism.

8. CONDUCTING A PERFORMANCE REVIEW
MEETING
There are 12 golden rules for conducting performance review
meetings:
1.Be prepared
2.Work to a clear structure.
3.Create the right atmosphere
4.Provide good feedback
5.Use time productively
6.Use praise

9. CONDUCTING A PERFORMANCE REVIEW
MEETING CONTINUES………………….
7. Let individuals do most of the talking
8. Invite self-assessment
9. Discuss performance, not personality.
10. Encourage analysis of performance
11. Don’t deliver unexpected criticisms.
12. Agree measurable objectives and a plan of action

10. IMPROVING INDIVIDUAL PERFORMANCE
To improve performance, therefore, attention has to be paid to:
•Increasing ability by recruitment (people will want to join the
organization), selection (choosing the right people) and learning and
developing (people will want to enhance their knowledge and skills).
•Increasing motivation by the provision of extrinsic and intrinsic
rewards.
•Increasing opportunity by providing people with the opportunity to
use, practice and develop their skills.

11. PERFORMANCE MANAGEMENT
DEVELOPMENTPROGRAMME
• Stage 1: Decide on the business case for introducing performance
Management
• Stage 2: Determine objectives and guiding principles for
performance management
• Stage 3: Get the commitment and active participation of top
management and line managers
• Stage 4: Draw up guiding principles on how performance
management should work

12. PERFORMANCE MANAGEMENT DEVELOPMENT
PROGRAMME CONTINUES……
• Stage 5: Define performance management processes and
Documentation
• Stage 6: Pilot-test
• Stage 7: Communicate to all concerned people

13. THANK YOU
Presented By
Dr. Anju Tripathi