Performance Management Session 6

8/10/2019 Performance Management Session 6

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MBA (HRM) 5th

Performance Management

Performance Planning and Development

Discussion 06

16-05-2013

B!aseeh "r #ehman

ffaseeh$gmail%com

&'P( Multan

&ntroduction&ntroduction


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Performance Management ) Discussion#ole Profiles*+,ective 'etting

Performance Measures and AssessmentPerformance PlanningDevelopment Planninghe Performance Agreement

Performance and Development Planning - .hec/list

.ontents.ontents


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as the o+,ective-setting process +een +ased on an agreed and up-

to-date role profilethat sets out /e result areas

as o+,ective setting +een carried out,ointlith our manager

Are our standards and targetsclearl related to the /e result

areasin our role profile

Do our o+,ectives clearl and specificall supportthe

achievement of our team and functional o+,ectivesand(ultimatel( corporate o+,ectives% &f so( ho

Are our o+,ectives specific

*+,ective 'etting ) .hec/list*+,ective 'etting ) .hec/list


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Do the provide some challengeto ou

Are the realistic and attaina+le

as a time limitfor their achievement +een agreed

o ill ou /no that our o+,ectives have +een achieved

ave an pro+lemsou ma meet in attaining our o+,ectives+een identified and has action to overcome these pro+lems +een

agreed

*+,ective 'etting ) .hec/list .ont%*+,ective 'etting ) .hec/list .ont%


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Performance Measures andAssessment


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Measurement and assessment issues

*utputs and *utcomes

&nputs

Performance Measures and AssessmentPerformance Measures and Assessment


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Measurement and assessment issues

&f ou can4t measure it( ou can4t manage it4

hat gets measured gets done4 Peter Druc/er7 8dardsDeming9%

:;ot everthing that counts can +e counted( and not everthing

that can +e counted counts< Al+ert 8instein9%

.ertainl( ou cannot improve performance until ou /no hatpresent performance is%



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*utputs and *utcomes .ont%

*utput measures include?

!inancial measures) income( shareholder value( added value(rates of return( costs

"nits producedor processed( throughput@evel ofta/e-up of a service

'ales( ne accountsime measures) speed of response or turnaround( achievements

compared ith timeta+les( amount of +ac/log( time to mar/et(

deliver times



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*utputs and *utcomes .ont%

*utcome measures include?

Attainment of a standard=ualit( level of service etc9.hangesin +ehavior.ompletionof or/pro,ectAc=uisitionand effective use of additional /noledge and s/ills

#eaction) ,udgment + others( colleagues( internal and e>ternalcustomers



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&nputs

oever( hen assessing performance it is also necessar to consider

inputs in the shape of the degree of /noledgeand s/illattained

and +ehaviorthat is demonstra+l in line ith the standards set

out in competenc frameor/s and statements of core values



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&nputs .ont%

Assessing competenc

Positive and negative indicatorsfor competenc headings in a

frameor/ can +e devised and used as the +asis for assessments in

the folloing e>ample for leadership%



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&nputs .ont%

Positive indicators

Achieves high level of performance from team%Defines o+,ectives( plans and e>pectations clearl%.ontinuall monitorsperformance and provides good feed+ac/%Maintains effective relationshipsith individuals and the team as

a hole%

Develops a sense of common purposein the team%Builds team moraleand effectivel motivates individual mem+ers

of the team + recogniing their contri+ution hile ta/ing

appropriate action to deal ith poor performers%



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&nputs .ont%

;egative indicators

Does not achievehigh levels of performance from team%!ails to clarif o+,ectivesor standards of performance%Pas insufficient attentionto the needs of individuals and the

team%;either monitorsnor provides effective feed+ac/ on performance%&nconsistent in rearding goodperformance or ta/ing action to

deal ith poor performance%



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&nputs .ont%

.ompetencies can also +e set out in the form of a scaleto provide a

+asis for assessment as in the folloing e>ample for a personal

drive competenc?Decisive even under pressure( assertive and tough-minded in

arguing case( self-confident( shrugs off set+ac/s%Ma reserve ,udgment here uncertain( +ut stands firm on

important points( aims for compromise( fairl resilient%

Avoids ma/ing rapid decisions( ta/es an impartial coordinator

role rather than pushing on ideas%Does not pursue on ideas( goes along ith the group( deterred +

criticisms and set+ac/s%



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.riteria for performance measures

Performance measures should?

+e related to the strategic goalsand measures that areorganiationall significant and drive +usiness performance7+e relevant to and derived from the roles and o+,ectivesof the

individuals concerned7 focus on outputs( outcomes( inputs and +ehaviorsthat can +e

clearl defined and for hich evidence can +e made availa+le7 indicate the data or evidence that ill +e availa+le as the +asis for

measurement7



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.riteria for performance measures .ont%

+e verifia+le) provide information that ill confirm the e>tent to

hich e>pectations have +een met7

+e as preciseas possi+le in accordance ith the purpose of themeasurement and the availa+ilit of data7

provide a sound +asis for feed+ac/and action7+e comprehensive( covering all the /e aspects of performance so

that a famil of measures is availa+le( +earing in mind thateffective performance is measured not merel + the deliver of

results hoever outstanding9 in one area( +ut + delivering

satisfactor performance across all the measures%



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"se of Performance Measures

he .&PD surve of performance management in 200C revealed

that( in order of importance( the folloing performance measures

ere used + the respondents?

Achievement of o+,ectives.ompetenceualit

.ontri+ution to team.ustomer careor/ing relationships



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"se of Performance Measures .ont%

Productivit!le>i+ilit'/ills@earning targetsAligning personal o+,ectives ith organiational goalsBusiness aareness!inancial aareness



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Eariations in Performance Measures

he focus and content of performance agreements and measures

ill( of course( var considera+l +eteen different occupations

and levels of management as shon in !igure%



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Eariations in Performance Measures .ont%

he focus for senior managersis li/el to +e +ased on definitions of

/e result areasthat spell out their personal responsi+ilit for

groth( added value and results% he emphasis ill largel +e on

o+,ectives in the form of =uantified targets( ith less prominence

given to competences%heir performance ill +e measured +

hatthe do to get results7 hothe do it ill +e less important(

as long as the avoidupsetting shareholders( the .it or fellodirectors too much%



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he performance of managers( team leaders and professional staff

generall ill also +e measured + reference to definitions of their

/e result areas% he achievement of =uantitative targetsis still

important +ut more emphasis ill +e placed on competence

re=uirements% &n some ,o+s continuing performance standards for

certain aspects of the or/( hich ma not +e =uantified( ill +e

used%



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&n administrative( clerical and support ,o+s(performance measures

ill +e related to definitions of main tas/s or /e activitiesto

hich continuing standards of performance role or or/

o+,ectives9 ill +e attached as the main means of measuring

performance% *utput targets ma( hoever( +e set here the are

appropriate( for e>ample num+er of cases to +e dealt ith per da%

'/ill and competence re=uirements in line ith the level of the ,o+ill still +e important%



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he performance of production or/ers ma +e measured in

relation to or/-measured standards for output or time ta/en

ith additional reference to competence re=uirements% 'ales staff

are a special case% heir performance is usuall measured against

sales targets +ut competences in matters such as relating to

customers and providing good service ill also +e important%



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Performance Planning


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he performance planning part of the performance management

se=uence consists of a,oint e>plorationof hat individuals are

e>pected to do and /no and ho the are e>pected to +ehave to

meet the re=uirements of their role and develop their s/ills andcapa+ilities%

Performance PlanningPerformance Planning


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he plan also deals ith ho their managers ill provide the

support and guidancethe need% &t is forard loo/ing( although

an analsis of performance in the immediate past ma provide

guidance on areas for improvement or development%

Performance Planning .ont%Performance Planning .ont%


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he performance aspect of the plan o+tains agreementon hat has

to +e done to achieve o+,ectives( raise standards and improve

performance% &t also esta+lishes priorities) the /e aspects of the

,o+ to hich attention has to +e given% hese could +e descri+ed asor/ plans( hich set out programs of or/ for achieving targets(

improving performance or completing pro,ects% he also

esta+lish priorities ) the /e aspects of the ,o+ to hich attention

has to +e given( or the order of importance of the various pro,ects

or programs of or/ the individual is e>pected to underta/e%



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he aim is to ensure that the meaning of the o+,ectives and

performance standards as the appl to everda or/ is

understood% he are the +asis for converting aims into action%



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Agreement is also reached at this stage on ho performance ill +e

measuredand the evidence that ill +e used to esta+lish levels of

competence% &t is important that these measures and evidence

re=uirements should +e identified and full agreed no +ecausethe ill +e used + individuals as ell as managers to monitor

and demonstrate achievements%



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Development Planning


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!or individuals( this stage includes the preparation and agreement of

a personal development plan% his provides a learning action plan

for hich the are responsi+le ith the support of their managers

and the organiation% &t ma include formal training+ut( moreimportantl( it ill incorporate a ider set of development

activities such as self-managed learning( coaching( mentoring(

pro,ect or/( ,o+ enlargement and ,o+ enrichment% &f multi-

source assessment 360-degree feed+ac/9 is practiced in the

organiation this ill +e used to discuss development needs%

Development PlanningDevelopment Planning


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he development plan records the actions agreed to improve

performance and to develop /noledge( s/ills and capa+ilities% &t

is li/el to focus on development in the current ,o+ ) to improve

the a+ilit to perform it ell and also( importantl( to ena+leindividuals to ta/e on ider responsi+ilities( e>tending their

capacit to underta/e a +roader role% his plan therefore

contri+utes to the achievement of a polic of continuous

development( hich is predicated on the +elief that everone is

capa+le of learning more and doing +etter in their ,o+s% But the

plan ill also contri+ute to enhancing the potential of individuals

to carr out higher-level ,o+s%

Development Planning .ont%Development Planning .ont%


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he PerformanceAgreement


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Performance agreements defined?

#ole re=uirements) these are set out in the form of the /e result

areas of the role? hat the role holder is e>pected to achieveoutputs and outcomes9%

*+,ectivesin the form of targets and standards of performance%

Performance measuresand indicators to assess the e>tent to

hich o+,ectives and standards of performance have +een

achieved%

he Performance Agreementhe Performance Agreement


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Performance agreements defined? .ont%

Fnoledge( s/ill and competence) definitions of hat role

holders have to /no and +e a+le to do competences9 and of hothe are e>pected to +ehave in particular aspects of their role

competencies9% hese definitions ma +e generic( having +een

prepared for occupations or ,o+ families on an organiation- or

function-ide +asis% #ole-specific profiles should( hoever( +e

agreed( hich e>press hat individual role holders are e>pected to

/no and do%

he Performance Agreement .ont%he Performance Agreement .ont%


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Performance agreements define? .ont%

.orporate core values or re=uirements) the performance

agreement ma also refer to the core values of the organiation for=ualit( customer service( team or/ing( emploee development

etc( hich individuals are e>pected to uphold in carring out their

or/% .ertain general operational re=uirements ma also +e

specified in such areas as health and safet( +udgetar control(

cost reduction and securit%



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Performance agreements define? .ont%

A performance plan) a or/ plan that specifies hat needs to +e

done to improve performance%

A personal development plan( hich specifies hat individuals

need to do ith support from their manager to develop their

/noledge and s/ills%

Process details) ho and hen performance ill +e revieed and

a revised performance agreement concluded%



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Performance andDevelopment Planning -

.hec/list


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o hat e>tent have the folloing re=uirements +een met

Plans are +ased on an analsis of past performance and an

assessment of future demands ne s/ills to +e ac=uired( ne

tas/s for the role holder( changes in the role or scope of thefunction9%

Managers encourage individuals to formulate for themselves

performance improvement and personal development plans%

PGD Planning - .hec/listPGD Planning - .hec/list


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.ontH

Plans are finalied and agreed ,ointl + the manager and the

individual%

Plans set out clear o+,ectives to +e achieved + the individual ith

hatever support is re=uired from the manager ) the plans do not

spell out in too much detail ho these o+,ectives should +e

achieved as much scope as possi+le is alloed to individuals to

manage their on performance and learning9%

PGD Planning ) .hec/list .ont%PGD Planning ) .hec/list .ont%


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o +e .ontdH%

Documents

Performance Management Session 6