Professional Documents
Culture Documents
Performance Management
Performance Management:1) An agreed framework of planned goals, standards and attribute competence requirements. ( Managing Expectations) 2) Process to manage performance improvements and to achieve the delivery of results. 3) Shared Understanding 4) Achievement of job related success for individuals for best use of their abilities, realize their potential & maximize their contribution to the success of the organisation 5) An approach to managing and developing people How managers & team leaders work effectively with those around them How individuals work with their managers & teams How individuals can be developed to improve their knowledge, skills, & expertise and their levels of competence and performance.
Performance Management is to establish a culture in which individual & group take responsibility for the continuous improvement of business processes & their own skills & contributions. Integration to achieve PM: Reward- Driven integration Development- Driven integration.
Implications of PM
HRM (PM is interrelated processes of work, management, development & reward.) - Achieve high levels of performance from the organization's human resource - develop people to their full capacity & potential - establish an environment in which the latent potential of employees can be realized. - reinforce or change the organization's culture Continuous Development - Continuous learning for self development Team working
Performance Effectiveness
Low Performance
* Coaching / Counseling
Actual Performance
Start Year
The organization has a shared vision of its objectives, or a mission statement, which it communicates to all its employees. The organization sets individual performance management targets which are related both to operating unit & wider organizational objectives It conducts a regular, formal review of progress towards these targets It uses the review process to identify training, development & reward outcomes. It evaluates the effectiveness of the whole process & its contribution to overall performance to allow changes and improvements to be made.
Application of the Basic Model:Principles of effective performance management1) That it is owned & driven by line management & not by the HR Department. 2) That there is an emphasis on shared corporate goals & values 3) That performance management is not a package solution, it is something that has to be developed specifically & individually for the particular organization. 4) That it should apply to all staff, not just part of the managerial group.
Performance Rating Mission & Objectives Value Statements Performance Agreement Continuous Performance Management Preparation for Review Performance Review
Feedback
Feedback
Corporate, Departmental And team Objective and Plan The Performance Management Cycle
Performance Agreement
Performance Review
Action
Performance Plan
Introduction
Employees generally see performance evaluations as having a direct effect on their work lives. The performance management systems need to include:
decisions about who should evaluate performance what format should be used how the results should be utilized
Appraisal Methods
Three approaches: Absolute standards Relative standards Objectives
Appraisal Methods
Evaluating absolute standards: An employees performance is measured against established standards. Evaluation is independent of any other employee.
Appraisal Methods
Evaluating absolute standards:
Essay Appraisal: Appraiser writes narrative describing employee performance & suggestions. Critical Incident Appraisal: Based on key behavior anecdotes illustrating effective or ineffective job performance.
Appraisal Methods
Evaluating absolute standards:
Checklist Appraisal: Appraiser checks off behaviors that apply to the employee. Adjective Rating Scale Appraisal: Appraiser rates employee on a number of job-related factors.
Appraisal Methods
Evaluating absolute standards:
Forced-Choice Appraisal: Appraisers choose from sets of statements which appear to be equally favorable, the statement which best describes the employee.
Appraisal Methods
Evaluating absolute standards: Behaviorally Anchored Rating Scales (BARS): Appraiser rates employee on factors which are defined by behavioral descriptions illustrating various dimensions along each rating scale.
Appraisal Methods
Relative standards: Employees are evaluated by comparing their performance to the performance of other employees.
Appraisal Methods
Relative standards: Group Order Ranking: Employees are placed in a classification reflecting their relative performance, such as top onefifth.
Appraisal Methods
Relative standards:
Individual Ranking: Employees are ranked from highest to lowest. Paired Comparison:
Each individual is compared to every other. Final ranking is based on number of times the individual is preferred member in a pair.
Appraisal Methods
Using Achieved Outcomes to Evaluate Employees
Management by Objectives (MBO) includes mutual objective setting and evaluation based on the attainment of the specific objectives
Appraisal Methods
Using Achieved Outcomes to Evaluate Employees
Common elements in an MBO program are:
goal specificity participative decision making an explicit time period performance feedback
Halo error: Evaluator lets an assessment of an individual on one trait influence evaluation on all traits.
If poor performance is attributed to internal control, the judgment is harsher than when it is attributed to external control.