Performance management
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Performance management is used to align employee performance with organizational goals through establishing frameworks to direct, monitor, evaluate, and reward individual performance. It is widely used and has both strategic and individual importance, but can be difficult for managers. Effective performance management systems include setting objectives, reviewing performance against objectives, identifying development needs, and linking individual and team objectives. Key aspects include conducting appraisal interviews with open questions, active listening, providing evidence-based feedback, and ending positively with agreed action plans.
Performance management
- 1. Performance Management By Abhiram A. Sadhu Roll No:TYMCA 21
- 2. Index: Objective Introduction What do we mean by performance management? Performance management: why is it used? How does a performance management system look? Objectives of Performance Management Systems Performance Management Some Problems HowTo Implement Effective Performance Management? Performance appraisal: interviewing skills Ideally an appraisal meeting is where Summing Up Features of Performance Management Systems
- 3. Objectives To recall why performance management is important – in theory and practice. To understand the purpose and nature of the appraisal interview in the performance management process.
- 4. Introduction Performance Management… -has a critical role to play in organisational performance. -is widespread (found in nine out of ten firms). -is vital to all employees. -is increasingly carried out by line managers. -is one of the most difficult tasks managers have to carry out.
- 5. What do we mean by performance management? ‘the policies, procedures and practices that focus on employee performance as a means of fulfilling organisational goals and objectives.’ -(Lowry (2002) in Marchington andWilkinson) ‘establishing a framework in which performance by individuals can be directed, monitored, evaluated and rewarded, and whereby the links in the cycle can be audited.’ -(Mabey and Salaman (1995) inTorrington et al)
- 6. Performance Management: why is it used? Key role in linking the goals of the organisation to the individual (vertical integration). Gives a synergy with other HR practices e.g. reward systems (horizontal integration). Seeking to improve performance at an organisational and individual level. Ritualistic aspects.
- 7. How does a performance management system look?
- 8. Objectives of Performance Management Systems Set objectives and review performance against objectives/standards. Personal development: identify training and development needs and potential. Linking team and organisational objectives.
- 9. Performance Management: some problems Conflicting purposes: judge/coach dilemma. Role of the appraiser: competence, motivation and values. Role of the appraisee: promotion and development. Appraiser/appraisee relationship: quality is key. Validity of the criteria: are they related to the job? What is the quality of the data collected? Impact of performance appraisal on performance.
- 10. HowTo Implement Effective Performance Management?
- 11. Performance appraisal: interviewing skills Ask the right questions: open, probing, follow up and reflective. Engage in active, careful listening to all forms of communication. Provide feedback based on evidence and examples. Avoid: a focus on failure, control by the appraiser, ends with disagreement. (CIPD Performance Appraisal Fact Sheet at cipd.co.uk)
- 12. Ideally an appraisal meeting is where… Appraisees do most of the talking. Appraisers listen actively and provide feedback. Scope for reflection and analysis – an exchange of views. Performance is analysed not personalities. Whole period is reviewed not just isolated incidents – evidence based. Achievement is recognised and reinforced. Identify areas for improvement – set agree objectives. Ends positively with agreed action plans to improve performance. (CIPD Performance Appraisal Fact Sheet at cipd.co.uk)
- 13. Summing Up Key strategic and individual role of performance management – new developments. Key task for line managers but difficult to carry out successfully. Powerful influence on behaviour – both positive and negative. Requires careful support and implementation by line managers.
- 14. Features of Performance Management Systems % use % effective Individual annual appraisal 65 83 Objective setting and review 62 82 Personal development plans 62 81 Career management 37 47 Coaching 36 46 Performance related pay 31 39 Competence assessment 31 39 Self appraisal 30 53
- 15. % use % effective Twice yearly 27 38 360 degree 14 20 Continuous 14 20 Subordinate 11 17 Rolling 10 21 Peer 8 12 Competence related 7 11 Team 6 10 Contribution 4 6 Team pay 3 5 Source: Performance Management Survey Report September 2005CIPD