PERFORMANCE MANAGEMENT AND CAREER PLANNING

Introduction to performance management

INTRODUCTIONOrganisation are run & steered by people the goals are set & objectives realised. The performance of an organisation thus dependent upon the sum total of the performance of its member.According to peter Drucker:- “An organisation is like a tune; it not constituted by individual sounds but by their synthesis.”

MEANING Performance management can be defined as a systematic process improving organisational performance by improving the performance individual & teams.Performance management is the process of recognizing measuring managing & improving the performance of the employee In an organisation.

DEFINITION According to mohrman & mohrman, “performance management is managing the business.”

DIFFERENCE BETWEEN PERFORMANCE APPRAISAL & PERFORMANCE MANAGEMENT1. It consists of top-down

approach to review.2. Annual appraisal meeting.3. Extensive use of ratings4. Rigid system of appraisal5. Focus on objectives that are

quantified 6. Connects performance to pay7. More documentation which

leads to hassles8. The HR departments has

ownership of the process

1. Joint process through dialogue.2. Continuous review with one or

more formal reviews. 3. Less use of rating.4. More flexible process of review.5. Focus on values and attitude along

with quantified objectives.6. Linkage of performance to

compensation less probable.7. Minimum possible documentation is

required. 8. Line managers own the process.

CHARACTERISTICS OF PERFORMANCE MANAGEMENT

Planned Process

Deals With Measurement Of Tangible Results

Defines Performance Management Criterion

Defines requirement for performance improvement and continuous development

Sustainability and flexibility

Emphasis on performance planning for the future.

COMPONENTS OF PERFORMANCE MANAGEMENT1.Clear definition of performance

standard.2.Enabling efficient performance.3.Fostering better performance.4.Monitoring performance.5.Feedback mechanism.

NEED OF PERFORMANCE MANAGEMENT.1. To employee individual and group performance with company goals mission

statements and work values.2. Helps to sustain greater level of performance and improvement in the same3. Enable participation of employee by providing input into setting of goals and

performance objectives 4. Distinguishing appreciation and addressing both high performers as well as low

performer.5. Analysing learning and developing requirement 6. Smoothing the process of succession planning 7. Employee are given a platform to voice their opinion and give feedback on the

effectiveness of operation systems, processes and procedure 8. Encouraging that the employee do the appropriate things at the appropriate time.9. Ensuring that the employee do the appropriate things at the appropriate time10. Ensuring that the employee do the appropriate things at the appropriate time11. Merger or alignments of the organisational objectives with those of its employees.

IMPORTANCE OF PERFORMANCE MANAGEMENT 1. The clarification of job responsibility.2. Self-insight and development are enhanced 3. Personnel actions are more fair and appropriate 4. Managers gain insight about subordinates 5. Motivation to performs is increased 6. Increased self-confidence 7. Managers obtain a better opinion about employee

SCOPEStrategic objectives

Administration objectives Information objectives

Development objectives

Organization human resources

maintenance Documentation

PERFORMANCE MANAGEMENT PROCESS The performance management process can be divided into three phases of operation: they are as followsPhase 1- Planning Phase 2- Monitoring Phase 3- Performance reviews

PHASE 1- PLANNING The planning phase is a joint effort consisting of both managers and employee during which they:

a) Make a review of employee’s current job and decide if it needs any updating or changes with respect to job expectations.

b) Align the employee’s job description, his or her work plan and the organisation’s goals, objectives and strategic plan.

c) Develop a work plan that outlines the tasks expected to be done, expected result and measures or standards or performance areas which are importance for the employee’s result and measures or standards of performance evaluation.

d) Identify training objectives that will help the employee grow his or her skills, knowledge, and competencies related to their work.

PHASE 2- MONITORING a) Assess progress towards meeting performance objectives.b) Identify any barriers that may prevent the employee

accomplishing performance objectives and what needs to be done to overcome them.

c) Share feedback on progress relatives to the goals.d) Identify any changes that may be required to the work plan as a

result of a shift in organisation priorities or if required to take on new responsibilities

e) Determine if any extra support is required from the manager or other to assist the employee in achieving his or her objectives

PHASE 3- PERFORMANCE REVIEW In the performance assessment meeting, employee and managers will :

a) Summarize the work goals achieve during the appraisal period to the goals that were set at the beginning of the performance period. This includes capturing the key result, achievements and shortfalls for each of the objectives.

b) Put down the challenges encountered during the year and identify areas for training and development to overcome the same.

c) Carry out discussion to identify any hindrance towards completion of any specific goal.

PERFORMANCE MANAGEMENT LINKAGES WITH OTHER HR FUNCTION The role of HR in performance management is an important one. They tend to be the people that who are responsible for designing and responsible for designing and reviewing systems, implementation new people that who are responsible for designing and reviewing systems, implementation new processes, organising training and development for managers and staff, providing advice and support materials to staff and managers and ensuring there is compliance with the system in every possible way and across the entire organisation.

In practice, HR should:-1. Promote ownership of performance management by line management. 2. Encourage integration and coherence of various HR function with

performance management.3. Evaluation and adoption of performance management.

PRE-REQUISITES OF EFFECTIVE PERFORMANCE MANAGEMENT SYSTEM It is obvious from the recent surveys and the high rate of modification that performance management system are not giving desired levels success in most businesses organisation.

There are some basic pre-requisites at an organisation level:-1. Clear purpose 2. Business performance management culture 3. Alignment of employee and organisation goals 4. Fairness in conduction of performance management process 5. Accurate measurement and assessment on basis of facts 6. Total commitment from all levels 7. System integrity

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