Performance Management Process & Cycle

8/18/2019 Performance Management Process & Cycle

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PERFORMANCE MANAGEMENT

PROCESS & CYCLE


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PERFORMANCE MANAGEMENTCYCLE


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Recognition

Performance

monitoring

Objective

setting

Resorces

Fee!bac"

T#e$n!ivi!a%

Objective Setting

= Individual know when to perform

and what is expected?

=

Performance targets, measures

and standards exists

= Identify which objectives are

essential and which are desirable= Objectives need to be Defined,

agreed and written and be !"#$%

Performance Management


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Recognition

Performance

monitoring

Objective

setting

Resorces

Fee!bac"

T#e$n!ivi!a%


The Individual

• Capability to perform asdesired - skills andknowledge

• Willing to perform


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Recognition

Performance

monitoring

Objective

setting

Resorces

Fee!bac"

T#e$n!ivi!a%


Resorces

• People

• &'uipment, materials

• Information

• Plans

• "oney


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Recognition

Performance

monitoring

Objective

setting

Resorces

Fee!bac"

T#e$n!ivi!a%


Fee!bac"

• $elevant, immediate and fre'uent

• (ocused on critical success factors of

task behaviour

• )onstructive, balanced and specific


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Recognition

Objective

setting

Resorces

Fee!bac"

T#e$n!ivi!a%


Performance monitoring

• Interim reviews of performance

• Identify interim targets

• %ake action to remedy poor

performance as necessaryPerformancemonitoring


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Objective

setting

Resorces

Fee!bac"

T#e$n!ivi!a%


Recognition

• Positive if performance is as

expected

• )ould be linked to performance

related pay or bonus

• If performance is not up to

standard identify problem andcommunicate need for

improvement

Performance

monitoring

Recognition


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%anning ' erformance agreement• role definition• objectives• competencies• performance improvement• personal development

Act• carry out role• implement performance

improvement plan• implement personal

development plan

Manage erformance

t#rog#ot t#e (ear

• monitor performance• provide continuous feedback• provide coaching• deal with under*performers

Revie) erformance• dialogue and feedback• agree strengths and any

areas for improvement• build on strengths + you are particularly strong in this area

how can you make

even greater use of them?

PERFORMANCE MANAGEMENT CYCLE


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PERFORMANCE PLANN$NG &

AGREEMENT

- Ro%e Profi%ing

- Objective Setting

- Performance measrement an! Assessment

- Performance P%anning

- *eve%oment P%anning

- T#e erformance Agreement


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ROLE PROF$L$NG

*eve%oing Ro%e Profi%es

*efining +e( Res%t Areas

*efine Tec#nica% Cometencies

*efine ,e#aviora% Cometencies

Core -a%es


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*EF$N$NG +EY RES.LT AREAS ' /0AT & /0Y

.hat do you think are the most important thingyou have to do?

.hat do you believe you are expected toachieve in each of these areas?

/ow will you + anyone else know + whether ornot you have achieved them?


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*EF$N$NG TEC0N$CAL COMPETENC$ES

+NO/LE*GE1 S+$LLS AN* E2PER$ENCE

%o perform the role effectively, what does therole holder must do with regards to each 0eyresult areas1

.hat knowledge and skills in terms of technical,procedural, problem solving, communication

skills does role holder possess?

/ow will anyone know when the role holder hasdone work well?


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*EF$N$NG ,E0A-$ORAL COMPETENC$ES

- Personal drive

- 2usiness #wareness

- %eam work

- )ommunication skills- )ustomer focus

- Developing and motivating others

- (lexibility

- 3eadership

- Problem solving

- Planning , organi4ing skills


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CORE -AL.ES

- Integrity

- Impartiality

- Professionalism

- )lient focus

- &fficiency

- "utual $espect

- /onesty


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GOAL SETTING


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Specific + Clearly stated what to do and how to do?Measurable + States how the performance will be

measured?

Achievable + Goal targets are agreed between the

manager and employee.

$ealistic + Is relevant to the employees job role and

to the organization.

Time*bound + a target set for achieving the objective

SMART GOALS


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34 /#at s#o%! (o !o5

64 /#en5

74 /#at Stan!ar!s5

SMART GOALS


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E8am%e9

%he employee will write report for the department at the end

of each week with 4ero grammatical errors1

/#at is e8ecte!5 .rite report for the department

/#en5 &nd of each week

/#at stan!ar!s5 5ero grammatical errors

SMART GOALS


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T!ES O" GOALS

On*going role or work goals

%asks6projects

%argets

Performance standards

* 2ehavior

* 7alues

Performance improvement

Developmental6learning


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GOO# O$%ECTI&ES

- Consistent

- !re'ise

-C(allenging

- )eas*rable

- A'(ie+able

- Agreed

- Time related

- "o'*s on team work


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INTEG,ATION O" O$%ECTI&ES

External factors influence

• Competition

• Market factors

• Customer feedback

• LegislationTeam Objectives

Functional

objectives

Corporate

objectives

Individual

objectives

Internal influence

• Strategic plans

• Resource

available

• Core Values

• Performance


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O$%ECTI&E SETTING CEC.LIST

0as t#e objective:setting rocess been base! on an agree! an! :

to !ate ro%e rofi%e t#at sets ot "e( res%t areas5

0as objective setting been carrie! ot joint%( )it# (or manager5

Are (or stan!ar!s an! targets c%ear%( re%ate! to t#e "e( res%t areas

in (or ro%e rofi%e5*o (or objectives c%ear%( an! secifica%%( sort t#e ac#ievement

of (or team an! fnctiona% objectives an!1 %timate%(1 cororate

objectives4 $f so1 #o)5

Are (or objectives secific5 Are t#e( rea%istic an! attainab%e5

*o t#e( rovi!e some c#a%%enge to (o50as a time %imit for t#eir ac#ievement been agree!5

0o) )i%% (o "no) t#at (or objectives #ave been ac#ieve!5

0ave an( rob%ems (o ma( meet in attaining (or objectives been

i!entifie! an! #as action to overcome t#ese rob%ems been agree!5


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!) )EAS/,E)ENT AN# ASSESS)ENTO.TP.T O.TCOMES AN* $NP.TS

C%assification of ott an! otcome measres

Output is the result that could be measured 'uantifiably1

- (inancial measures + income, shareholder value, addedvalue, rates of return, costs8

- 9nits produced or processed, throughput8

- level of take*up of a service8

- !ales, new accounts8- %ime measures + speed of response or turnaround,

achievements compared with timetables, amount ofbacklog, time to market, delivery times1


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OUTCOME MEASURES INCLUDE

Outcome is visible effort in the result but cannot be

measured 'uantifiably

#ttainment of a standard :'uality, level of service etc1;8

)hanges in behavior

)ompletion of work6project

#c'uisition and effective use of additional knowledgeand skills

$eaction + judgment by others, colleagues, internal and

external customers1


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$NP.TS;COMPETENCY AN* .P0OL*$NG CORE -AL.ES<

- Degree of no!ledge" #ill# and $ehaviorde%on#&ra&ed &o a'hieve &he &arge& goal#

&xample<- 2uilds effective working relationships with others- %akes the initiative to address problems

- !eeks knowledge related to emerging issues

- !hares know*how and information with co*workers

- $esponds effectively to customer concerns


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ASSESSING CO)!ETENCIES

Po#i&ive Indi'a&or# #chieves high level of performance

from team1

Defines objectives, plans andexpectations clearly1

)ontinually monitors performanceand provides good feedback1

"aintains effective relationshipswith individuals and the team as a

whole1

Develops a sense of commonpurpose in the team1

2uilds team morale and effectivelymotivates individual members of theteam by recogni4ing theircontribution while taking appropriate

action to deal with poor performers1

Nega&ive Indi'a&or#

Does not achieve high levels of

performance from team1

(ails to clarify objectives or

standards of performance1

Pays insufficient attention to the

needs of individuals and the

team1

=either monitors nor provideseffective feedback on

performance1

Inconsistent in rewarding good

performance or taking action to

deal with poor performance1


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!%&P! %O .$I%& >O#3! :0$#!; ($O"O2 D&!)$IP%IO=!

- Ste 39 >o through the ob Description of the employee1

- Ste 69 "ake a list of the functions and responsibilities that

are critical to the job1

)ategories in two sections <

@1 %hose that can be measured in numbers, percentages oryes6no answers1

A1 %hose that cannot be measured easily in numbers orcalculated1

http://empxtrack.com/performance-management/goal-settinghttp://empxtrack.com/performance-management/goal-setting


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!%&P! %O .$I%& >O#3! :0$#!; ($O"O2 D&!)$IP%IO=!

Ste 79 write short self*explanatory definition of each >oal1

If you plan to follow 2!) :2alanced !core )ard; Pattern, thencategori4e each goal into one of the following categories<

)ustomer (inancial

Internal 2usiness Process

3earning B >rowth1

S&e( )* Describe each >oal :0$#;1 "ake sure you mentiona measurable target and a realistic timeframe based on yourbusiness plan1

-

http://empxtrack.com/performance-management/goal-settinghttp://empxtrack.com/performance-management/goal-setting


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E1A)!LE O" GOAL SETTING ",O)

%O$ #ESC,I!TION O" A SALES)ANAGE,

Goa% ;+RA< Categor( *efinition an! Measres


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$mrove Performance

of Sa%es E8ectives

3earning B

>rowth

%o ensure that all sales executives meet6exceed the sales

targets provided to them1

%rack the performance of sales team and guide them

consistently meet sales targets1

%arget< 9!C EE,EEE per 'uarter for the whole team1

*eve%oment of Sa%es

Action P%ans

)ustomer )onducts market research and develops sales plans and

updates periodically based on changing market scenarios and

insights from the prior 'uarters1

!ales plan must be reported every 'uarter to management

team for analysis and approval1

%arget< $eview, update, management approvals on a 'uarterly

basis

Management

reorting on Sa%es

Performance

Internal

2usiness

Process

)reate and send accurate monthly reports1

$eports should indicate the following<

• Plan vs achieved

• $easons for any shortfalls

• !.O% analysis1• =ext month targets

%arget< $eports to be submitted by Fth of &very "onth for the

prior month1

Cstomer

engagement

)ustomer %o ensure that customers are happy with our services and their

needs are being met

%o meet customers, get their feedback on customer feedback

Goa% ;+RA< Categor( *efinition an! Measres


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Create an! sbmit

roosa%s an!

resonses to RF=s

Cstomer Re%( to Re>est for Proosa%s1 Ten!er Notices1 an! Price

=otations in a Time%( manner4

Sbmit a cometitive ana%(sis1 b!geting1 e8ecte!

c%osre rice an! cstomer !etai%s in t#e searate

cstomer rofi%e !ocment4

Target9 A%% Proosa%s to be sbmitte! for management

revie) at %east 7 !a(s rior to sbmission !ate

Time%( Co%%ections (inance %o ensure that the customers clear their dues within existing

timelines1

.ork with the accounts to identify any delays and with the

Operations to mitigate any issues being seen at the client end1%arget<

• Improvement in cash flow by FH o

• Decrease in receivables by over JE days by AH in @,

AEH in A, GH in G and AEH in K

A!#erence to coman(

o%ic(

Internal

business

process

%o ensure that the company policies are followed by all team

members and the following activities are carried out as per the

assigned !3#

• #pplication for leave and its approval within G days1

• (illing in the travel sheets with approvals from you

• !ubmission of expense reimbursements within days of

completion of travel

• =ominations for rewards on 'uarterly basis• +

; < g (


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.,A2 .!A AN# .!I

- +e( Res%t Areas;+RA< 9 is like overall function of anemployee1 >eneral areas of outcomes or outputs for whichthe departmentLs role is responsible

- +e( Performance Area ;+PA< 9 Performance $e'uiredareas, the areas within the business unit, for which anindividual or group is logically responsible1

- !ubdivision of 0$#

- +e( Performance $n!icator;+P$< 9 /ow , .hen you knowyou have achieved your assigned targets? It is simply matricattach to the target.


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SA)!LE .,A AN# .!A

Role 3 !rod*'t )anager

- Goal 3 Ens*ring deli+ery of 4*ality prod*'t wit(in s'(ed*le5

- ,e- Re#ul& Area

- C*stomer Satisfa'tion5

- !rod*'t )anagement5

- Operational Cost Control5

- 6*ality C(e'k5

- ,e'ord keeping5

- ,e- Perfor%an'e Area#- )aintaining good working 'ondition in plant5

- Optim*m ,eso*r'e /tili7ation5

- !ro'ess Impro+ement5

- Safety and !re+ention planning and 'ontrol5


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PAGE ?3 OF ARMST RONG ,OO + 6

RE-$E/ SAMPLE ROLE PROF$LES


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ASS$GNMENT 3 ;PRESENTAT$ON<GRO.P OF T/O

!elect a ob 6 D and make its role profile$ole title

Department

Purpose of role

$eport to

0ey $esult #reas B 0ey Performance Indicators

%echnical )ompetencies : 0nowledge, skills, experience;

2ehavioral )ompetenciesDimensionsAttac# %agiarism reort @ a%%o)e! ;sen! (or assignment at

ani>a4s#ai%Bc4e!4" before coming to t#e c%ass<

mailto:[email protected]:[email protected]


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AL$GNMENT OF STRATEG$C PLAN /$T0

PERFORMANCE

Organi.a&ion/# S&ra&egi' Plan)ission2 &ision2 Goals2 Strategies

Uni&/# S&ra&egi' Plan)ission2 &ision2 Goals2 Strategies

0o$ De#'ri(&ion Tasks2 .SAs

Individual

.!A2 .!I" ,es*lts2 $e(a+iors2 #e+elopmental !lan


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&A,IATION IN !E,"O,)ANCE)EAS/,ES

PAGE 12 3 ARMSTRONG4OO, 5


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!E,"O,)ANCE !LANNING

T(e performan'e planning part of t(eperforman'e management se4*en'e 'onsists of a

8oint e9ploration of

W(at indi+id*als are e9pe'ted to do W(at indi+id*al is e9pe'ted to know

ow t(ey are e9pe'ted to be(a+e

#e+elop t(eir skills and 'apabilities5

T(e plan also deals wit( (ow t(eir managers willpro+ide t(e s*pport and g*idan'e t(ey need5


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#E&ELO!)ENT !LANNING

"or indi+id*als2 t(is stage in'l*des t(e preparation andagreement of a personal development plan5

It may in'l*de formal training b*t2 more importantly2 it

will in'orporate a wider set of de+elopment a'ti+ities:

Self-managed learning2

Coa'(ing

)entoring !ro8e't work

%ob enlargement

%ob enri'(ment

%ob s(ift


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TE !E,"O,)ANCE AG,EE)ENT

,ole re4*irement

Ob8e'ti+es

!erforman'e meas*re and indi'ators

.nowledge2 skills and 'ompeten'e

Corporate 'ore +al*es and re4*irements

A performan'e planA personal de+elopment plan

!ro'ess details


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E1A)!LE O" #I""E,ENT!E,"O,)ANCE )ANAGE)ENT

!,OCESS


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MANAG$NG PERFORMANCE AT STAN*AR* C0ARTERE* ,AN+ ;6<

T#e rocess• >lobal for all employees• #ccelerate a high performing organi4ation

Objective setting ;anar(<• (inancial6business objectives•

%wo core management objectives• 7alues objectives for all

Fina% revie) ;NovD*ec<• @+ business rating scale• #+D values rating scale• #dditional feedback form• )ascaded level down ratingreviews

$nterim revie) ;%(<

• (ormal step*back

• %racking rather thanrating

Performance coac#ing

t#rog#ot t#e (ear

$egular open discussion<• integrates performance, learning and development, reward and individual engagement• addresses performance issues• under*performance not tolerated


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Performance planning

Development

Performance review

%otal compensationOngoing

coac#ing an!

fee!bac"

>uidance< /ave a dialogue and document it

PERFORMANCE MANAGEMENT AT PF$ER $NC

PERFORMANCE MANAGEMENT AT ASTRA ENECA ;6


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PERFORMANCE MANAGEMENT AT ASTRA ENECA ;6<

Stage 3

,siness ro%es

Plan

Stage 6

Performance

%anningEvaluate Stage Stage 7

Performance Performance

measrement !eve%oment

Do


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PERFORMANCE MANAGEMENT AT T0E -$CTOR$A & AL,ERT M.SE.M

ob description

:updated;

&vidence

:departmental;&vidence

:individual;

)orporate

planDepartmental

objectivesIndividual

objectives

Performance

standards

#ttributes

#ssessment

)ountersigning officer review

Personaldevelopment

plan

$atings +pay

decisions

Performance Management Process & Cycle

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