Content

Is performance management effective? Can skills be increased through performance management? Is it possible to manage all? Can wages be capped through. performance management? Do individuals have control over their reward? Reviewing and reacting on results. Up skilling.

Introduction

Performance management is the process through which supervisors and those they lead gain a shared understanding of work expectations and goals, exchange performance feedback, identify learning and development opportunities, and evaluate performance results.

Cont..
It is through this process that organizations are able to create and sustain a workplace environment that: Values continuous improvement Adapts well to change Strives to attain ambitious goals Encourages creativity Promotes learning and professional development Engaging and rewarding for employees

Cont..
It is one of the key processes that, when effectively carried out, helps employees know that their contribution are recognized and acknowledged. It is an ongoing process of communication between employer and employee, in support of accomplishing the strategic objectives of the organization.

Conceptual frameworks

MANAGING EMPLOYEE PERFORMANCE

Performance management is a cycle, with discussions varying year-toyear based on changing objectives. The cycle includes, Planning Checking-In Assessment

Performance management process

Performance planning

Formal performance review

Alignment with vision & mission

Day to-day coaching and feedback

Quarterly performance check in

Cont
PERFORMANCE PLANNING

1. Ensure a mutual understanding of the job responsibilities What is the nature of the role? What are the primary responsibilities? 2. Ensure a mutual understanding of standards and expectations What expectations and standards must be met? What are the quality measures that will be used to determine success? What are the expectations that must be met? What are the time expectations? 3. Set performance smart goals

Cont..

3. Set performance smart goals

SPECIFIC: clearly defines outcome and results

MEASURABLE: states observable criteria for success

AMBITIOUS: challenging and inspiring

REACHABLE: realistic given the skill level and available resources

TIME BOUND: has a specific deadline for achievement

Cont..
DAY-TO-DAY COACHING & FEEDBACK

Discuss performance often Provide appreciative feedback recognize successes Address concern and solve problems

Cont..
QUARTERLY PERFORMANCE CHECK-IN

1.Check progress Whats working well? Whats not working? 2. Make mid-course adjustments where needed
WHAT WENT WELL? WHAT TO CONTINUE DOING?

WHAT IS NOT WORKING? WHAT TO CHANGE /DO DIFFERENTLY?

Cont..
QUARTERLY PERFORMANCE CHECK-IN

STOP

What were doing now that we should stop doing What were not doing now that we should start

START

CONTINUE

What were doing now that we should continue doing

Cont..
FORMAL PERFORMANCE REVIEW

During annual performance reviews managers and employees work together to: Review the employees work achievements and challenges over the past year, Establish work expectations and performance goals for the coming year, and Define the employees professional development goals and learning plan for the coming year.

An effective performance management process sets the foundation for rewarding excellence.

Shift performance focus as annual event to ongoing process

Linking employee work effort with organizations objectives

PM
Setting clear performance expectations (result+action) and career development goals

Allow ee & er to identify problem early and change the course of action

Do individuals have control over their reward?

Yes, they have control over rewards. According to EQUITY THEORY attempts to explain rational satisfaction in terms of perceptions of fair/unfair distribution of resources within interpersonal relationship.

Cont..

COMPETENCY MODELS

Implementing a comprehensive competency model targeted at increasing the employees skills and facilitating corporate growth strategies.

By defining the competencies needed to perform each performance goal / objectives. By integrating the competencies for the employees job into the PM process.

Cont..

In both cases, feedback provided on the employees competencies typically feeds into the development of a learning or action plan to address gaps in performance and development within or beyond the employees current role / job.

COMPETENCY MODEL
MULTI SOURCE 360 DEGREE UPWARD FEEDBACK

The behavioral indicators for the competencies needed within the target role / job are used as the standard for assessing the performance of the employee.

Determine policy for integrating Design a PM process Design communication & training program Pilot the process Revise and finalize ready for full implementation Review and evaluate the process during the first cycle of implementation & make revision.

IMPLEMENTATION OF MODEL

Is it possible to manage all?

A regular dialogue between line manager and their team members is at the heart of performance management.
Formal meeting for performan ce plan progress

Regular informal meeting

Annual appraisal review and feedback

Manager should not discriminate against employees in the way they manage performance

UPSKILLING
The most important thing course of action in HR side to have skills in FUTURING The changing context of the world Understanding all the points of leverage that will help for the future Making sure the company is capable of adapting to innovation practices.

Domain Results Measures Indicators Organizational goal Organizational preferred results Aligning results Weighting results Standards Performance plans Observing, measurements and feedback Appraisal / review Reward Performance gap Development plans

Wipro aims at leveraging the most out of a PMS through its 360-degree

feedback. Pratik Kumar, Corporate VPHR, one of the pioneers of 360-degree across India believes that employees must be involved early in the performance discussion and the mission (objective) of the feedback must be clear. He further states that the success or failure of a PMS system depends on how committed the top management are to it.

HCL Info systems has designed an interactive PMS tool iPerform

that tracks results achieved through daily, weekly, monthly and quarterly reviews

Infosys Technologies implemented 360-degree feedback and a direct Q &A link with the President himself, who is to respond within a given time. This was designed to address generational issues.

Microsoft, apart from a PMS online and frequent review meetings - Mid - year review called Career Compass

focussing on developmental plans also designed Mentor ring in which experts register themselves as mentors. Employees then can log on and choose their mentors.

A study related to competency based performance management Performance management in a HR framework A study to measure performance related pay A study related to competency based pay Managing high performance team Measuring employee performance A study on perceptual relationship between overtime and output A study on the effect of locus of control on performance of employees To investigate the effect of board

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Impact of organization evaluation tools on business performance Impact of diversity and conflict on performance Impact of non-monetary compensations on employee performance Perception of employees regarding formal and informal training and their impact on potential performance/growth

Lack of resources Conflicting priorities Lack of authority A quick lack of time analysis Lack of skills or knowledge Monitoring employee performance expectation vs. actual Is the gap between good practices and your practices

CONCLUSION
Good performance management helps everyone in the organization to know: What the business is trying to achieve Their role in helping the business achieve its goal The skill and competencies they need to fulfill their role The standard of performance required How they can develop their performance and contribution to development of the organization How they are doing When there are performance problems and what to do about them.