Managing Performance Process

KEY PRINCIPLES

Why have a process for managing performance?

The benefits of a process

The performance review criteria and tools

Annual review and performance rating

Important Dates

Preparing for meetings

Expectations and responsibilities

Outputs from the review meeting

QRG 11

1. Why Have a process for managing

performance

Managing individual performance is at the heart of every successful organisation as it links individual effort

and output to overall success.

The key messages

Managing individual performance is not a mechanistic process that takes place once a year. The assumption is that managers and colleagues will routinely be reviewing progress on an informal

basis so there should be no surprises.

The performance review meeting provides an opportunity to have greater confidence and credibility to asses

individual effort and achievement

This Guide outlines the benefits, the

approach and the responsibilities.

The aim of managing performance

• To unite everyone behind our

organisation’s goals and drivers and

our way of working

• To improve overall performance through the alignment of objectives

and the development of our people

• To increase motivation by adopting a fair, focused, transparent and

consistent approach

• To recognise achievement

2. The benefits of a process for

managing performance

To the Organisation

The process for managing performance

is a management tool for:

• Managing the performance of our

organisation

• Focusing attention on areas that “add

value”

• Communicating explicit expected

standards of performance

• Developing Performance

• Rewarding achievement

• Transparent decision making

• Greater clarity and career

progression

• Identification of individual strengths

To the Individual

• Shared understanding of what is

required

• Clear links between individual and

business objectives

• Clear focus

• Enables constructive feedback on

performance

• Aligns training and development with

the business

• Provides performance criteria to assess achievement in a fair and

objective way

3. The performance review criteria

and tools

If your work is going to be reviewed then it makes sense to clarify

expectations. You need to know:

• What the standards of output and

quality are

• What the desired behaviours are

• What resources you can use to help

you

• What resources you can ask for

• What support and development

opportunities are available to you

Core Qualities Framework

We have established a Core Qualities Framework that sets out the behaviours

expected of all employees:

Self-Awareness – is self-aware, learns continuously and effectively adapts behaviour in response to feedback.

Personal Effectiveness – Makes things happen, operates with resilience, flexibility and integrity.

Communication – Shares and listens

to information, opinions and ideas using a range of effective approaches.

Service Delivery – Understand customer needs and demonstrates our

Brand.

Making expectations explicit

In addition to behaviour frameworks, we also use individual objectives. An objective identifies the specific

achievements to be reached by the organisation, department, team or individual. For example, “Achieve a

50% reduction in customer complaints

within 3 months”

The number of objectives is not set but is likely to be between I and 5 business objectives probably increasing in

relation to seniority. Individuals are also likely to have personal development

objectives.

4. Annual review and performance

rating

Performance descriptors

One of the key outputs from the formal appraisal meeting is the allocation of a

rating based on defined performance descriptors that capture how well an individual has performed against the

set and agreed criteria.

To ensure fairness and transparency performance assessment decisions need to be supported with examples of achievement rather than subjective

opinion.

5. Important milestones

i. agree objectives

ii. development review

iii. performance review

In the time between these there

should be regular ongoing dialogue

including:

• Feedback

• Listening

• Reviewing

• Coaching

• Supporting

• Adjusting objectives

6. Preparing for meetings

Ideally manager and staff member will have an initial discussion to agree a

date for the formal review meetings and

clarify:

• The key criteria to assess achievement – performance

descriptors, objectives

• Underlying principles and benefits of

the approach

• The process and documentation

• Roles and responsibilities

7. Expectations and Responsibilities

The individual being reviewed

Take a bit of time to get ready for the

meetings:

• Consider how well you’ve done against the performance descriptors

and objectives

• Evaluate any development activity you have undertaken and consider how well they have enabled you to achieve

more

• Think about future training and development needs and how these

will improve performance

• Consider your potential career

aspirations

• Give yourself an overall performance

rating

• Identify examples to support your

thinking

The Manager

• Make the performance requirements

explicit

• Talk about performance needs

informally

• Assess achievement against the

criteria agreed

• Consider what development could

improve performance and enhance

the person’s career

• Give a performance rating and support your decisions with examples

and observations

• Draft new objectives which are

cascaded and SMART

The Senior Team

Give advice and guidance on:

• Objectives to be set

• Performance descriptors required

• Available resources and training and

development interventions

• Investigate what training and

development is available

• Future career opportunities

Ensure fair play and appropriate rewards

by:

• Maintaining standards and consistency by taking an overview of how well

everyone is doing

• Ensuring all performance decisions are

supported with examples of

achievements

8. Outputs from the review meeting

• Completed form

• Agreed performance rating

• New objectives

• Revised or new training and development record

Stratagem Learning and Development Ltd Tel: +44 (0)1962 848630 Fax: +44 (0)1962 870080 E-mail info@stratagem-uk.com Registered No: 2822632