Developing Performance Standards for Service Industry

DRAs Process DRA: Desired Result Areas

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Dr. Subhash C. Kakkar

5-Strategic Decisions in Establishing Performance Management

How System Will Be Used


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Employee Development Determine rewards and compensation Enhance motivation Facilitate legal requirement Facilitate human resource planning
Supervisor Peers Subordinates Customers Self
Dr. Subhash C. Kakkar

Who Evaluates

Cont.

 What to evaluate
Traits Behaviors Results

How to evaluate
Absolute Relative

Means of Evaluation
Graphic Rating Scale Weighted Check List BARS BOS
Behavioral Observation Scale

Critical Incident Objective Based

1/13/2014

Dr. Subhash C. Kakkar

BOS-Behavioral Observation Scale

1
Almost Never

2
Less Often Than yes

3
On average

More often Almost than not always

1/13/2014

Dr. Subhash C. Kakkar

Three Common Oversights can inhibit the effectiveness of objective based feedback system
Setting objectives that are too vague Setting objectives that are unrealistic Not clarifying, how performance will be measured

1/13/2014

Dr. Subhash C. Kakkar

Comparing BARS and BOS

A potential problem with BARS may be that an employee might merit 6 on a scale of 1 to 7; at other times performance will be close to 2. BOS addresses the problem of inconsistent performance by measuring frequencies along the scale

1/13/2014

Dr. Subhash C. Kakkar

Critical Incidents
Critical incidents measures do not utilize scale The evaluator must maintain a log or diary for each employee and make periodic notation of noteworthy behaviors and results

1/13/2014

Dr. Subhash C. Kakkar

 There is probably no ideal model for performance management system. An effective performance management system is strategic, designed with the needs of many constituents and purposes balanced with the organizations strategy The systems are as varied as the organizations in which they are located, but all display innovation and insight toward creativity supporting the organizations strategies
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Point To Be Noted

Dr. Subhash C. Kakkar

DPS in Service Industry

Development of SLAs
SLA: Service Level Agreement

ATR: Average Time to Resolution

ATR is a multi-dimensional indicator that reflects organizations response to customer-driven activity ATR includes
First call resolution Call Closure Rate Hold-time and abandon rate
1/13/2014

Dr. Subhash C. Kakkar

Productivity
Productivity
This is another multi-dimensional measure that considers the staff required to resolve an experienced call volume Productivity is a bit difficult to calculate for a specific time
Calls are closed over a time Average time to resolution for calls Divide it by number of staff utilized
1/13/2014

Dr. Subhash C. Kakkar

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Where to begin-Some facts

Organizations tend to focus on those things which are easy to measure
Because theyre easy to measure What are easy to measure, targets are set Management focuses on targets Teams reach the target-though not in a manner that was expected or desired It is seen that What gets measured, gets manipulated
1/13/2014

Dr. Subhash C. Kakkar

Cont.

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 No targets to avoid targets/manipulation syndrome Teams should measure leading indicators Targets
Current measures be presented Acceptability be established Modification or revision be introduced Focus on behavior that are responsible for numbers
1/13/2014

Dr. Subhash C. Kakkar

Cont.

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 Leading indicators are interrelated, hence proficiency be measured Proficiency is functional component of measurement Leading indicators provide a sense of direction
Organizations should drive the leading indicators Organization, teams, and individuals should focus on continually developing their understanding and proficiency at doing the right things and doing increasingly well This attention to effectiveness and efficiency will result in the appropriate trends in the leading indicators and the desired results areas(DRAs)

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Dr. Subhash C. Kakkar

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Some Terms
ATR-Average Time to Resolution ES-Employee Satisfaction CS-Customer Satisfaction CPR-Cost Per Resolution SCS-Solution Centered Support CSR-Customer Specific Requests

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Dr. Subhash C. Kakkar

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Process
Demonstrates a solid understanding of SCS processes Demonstrate good problem solving techniques Consistently leverages the work flow to solve problem Consistently displays effective work flow technique(participation, capture, clarify and statement match, search, link) Manages rework and closes CSRs effectively and within standards
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Dr. Subhash C. Kakkar

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Content
Consistently develops solid content that doesnt require modification to meet content standards Captures problem solving approach within the context of published solution Consistently improves solutions of others when encountered Consistently captures the customer experience Consistently uses statements & terms to increase relevance and connectivity to solution set
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Dr. Subhash C. Kakkar

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Technology
Fully knowledgeable of the product set they support Demonstrates effective problem-solving skills for the product set they support

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Dr. Subhash C. Kakkar

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Team Profile Matrix

Member A B C D E F G H Process 1 1 2 1 3 2 2 1 Content 1 2 1 1 3 3 2 2 Technology 2 3 1 1 2 3 1 2 Total 4 6 4 3 8 8 5 5

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Dr. Subhash C. Kakkar

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