Performance management dr. s hira
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Transcript of Performance management dr. s hira
Performance Management
Dr. Subhash HiraDirector
IIPH Bhubaneswar
A repetitive process at many levels in a System: •goal-setting, communication, observation ,and evaluation•to retain and develop all employees for organizational success.
Performance Management?
Performance management?...contd.
communication between a supervisor and an employee is the key: clarifying expectation setting objectives identifying goals providing feedback and evaluating performance.
Why Manage Performance?
Curb or redirect non-productive activities
Encourage and reward behaviors aligned with organizational mission and goals
Manager’s performance is only as good as his/her team’s performance
Types of Performance MxTraditionalManagement-by-ObjectiveAssessment CenterPeer Review PanelCritical EventsUpward Feedback360 DegreeResult Based Management (RBM)
Techniques of PM1 Essay (open-ended)2 By Objectives3 Ranking4 Paired Comparisons5 Forced Distribution6 Ratings: - Checklist - Scales7 Behaviorally Anchored Ratings (BARS)8 Critical Incidents
1. Essay Technique (example: Govt department)
Describe in detail the quantity and quality of the employee’s performance during the past twelve months.
Describe the employee’s strength and weakness.
How do you describe the employee’s potential within the organization?
What leadership skills does the employee bring to the job?What future development activities do you recommend for the employee?
1. Essay System (Example: Corporates)
Consider objectives identified in prior year’s Summary as wellas this year’s objectives.
Evaluation: Strengths Comments 1. 2. 3.
Development Areas Comments 1. 2. 3.
2. Management-by-Objectives(Example: IT, Banking sector)
Employee will contribute to organizationalprofit margin by lower costs in departmentby 3.5percent.
To implement new recruitment system, theemployee will evaluate the effectiveness ofthe advertisements placed during the year.
3. Ranking (Example: Retail sector)
Manager ranks all employees from best to worst:
Overall performance
On specific criteria (communication, customer relations skills, etc.)
4. Paired Comparisons (Example: Sports)
Rank each employee grouping overall or on a characteristic:
Employee A and Employee BEmployee B and Employee CEmployee A and Employee CEmployee C and Employee D
etc.
5. Forced Distribution (Example: University)
Pace each of the employees in your department in the following categories based upon overall or specific category performance:
Top 10 percent: Outstanding50 – 89 percent: Good10-49 percent: AverageBottom 10 percent: Unacceptable
6. Ratings (Example: Audit sector)
_____ 1. Unable to separate important from irrelevant data._____ 2. Omits important info from summaries._____ 3. Cross-references to improve reporting._____ 4. Produces summaries which lead to good reports._____ 5. Requires excessive instruction to produce work._____ 6. Unable to reduce data to manageable form._____ 7. Communicates well with peers on reports._____ 8. Fails to meet deadlines._____ 9. Provides detailed, professional work._____ 10. Protects confidentiality of information.
7. Ratings Example: BARS
Indicate the appropriate level of performance on each factor:
Quantity of work
Judgment
Volume low & erratic Satisfactory steady volume
Volume above expectations
Results always accurate; model work
Results accurate and thorough
Results generally inaccurate and not thorough
Systematic, analytical, good with complex problems
Practical judgment, solves problems,
difficulty with assessing relative value of factors
Does not always show goodjudgment; problem analysis
not always adequate
8. Critical Incident (Example: Defense)Employee Name:___________________________________Date of Incident:__________________Type of Incident:___________________________________Individuals Involved:
Description of Incident:
Outcome of Incident:
Recommendations:
Date Discussed with Employee:____________Supervisor Signature:______________________________Employee Signature: ______________________________
Some examples from the industry
Citibank’s Performance Scorecard
Measurements Below Par
Par Above Par
Standards Manager’s assessment
Leadership,
Ethics/Integrity
Customer Interaction
Community Involvement
Contribution to Overall Business
People Manager’s assessment
Performance
Teamwork
Training & Development
Employee Satisfaction
Control Auditors’ standards
Audit
Legal
Regulatory
Citibank’s Link to Compensation
Ratings Bonus
“Above Par” 30%
“Par” 15%
“Below Par” 0%
Microsoft’s PA SystemOverall Employee Rating:
5 = Exceptional performance rarely achieved; precedent setting results
4.5 = Consistently exceeds all requirements & expectations work highly valued
6 = Consistently exceeds position requirements and expectations; work often noteworthy
3.5 = Exceeds position requirements; successful in all objectives
7 = Meets position requirements and expectations; meets most
or all objectives; needs some development for quality2.5 = Falls below performance standards and expectations;
has performance deficiencies1.0-2.0 =Does not meet minimum requirements in critical aspects
of job
Microsoft: Adding Distribution to Rankings
4.0 + = 35% of employees3.5 = 40% of employees3.0 or lower = 25% of employees
Causes ofperformance problems
-Lack of ability-Low motivation-Poor work ethic-Substance abuse-Personal problems-Lack of time-Poor inter personal relationships-Unfamiliarity with equipment or job or mismatch
WHO Should Assess Performance?
WHO Should Assess PerformanceSuperior OnlySubordinate(s)Peers/CoworkersSelfCustomersAll StakeholdersMix of many categories
When to assess performance?
Probation Period
Annually (anniversary date, assigned date, set date for all)
Semi-annually
For Cause
On-going
As needed
Performance ProblemsResearch shows that there is a huge performance gap between high and low performers in any organization
between 30%-50% for unskilled jobs
and up to 100% for highly technical ones.
Source : www.workrelationships.com/site/articles/performance_management.htm
Performance opportunities
--- OK
TrainingOrg
Development
Poo
r Per
f
Exce
llent
Per
f
No/Low Knowledge High Knowledge
Challenges…
• Employee understanding how that jobs contributes to the organization.
• Manager understanding on how to manage performance: good and poor performer ?
• How to differentiate performer?• Quality of performance data? • Organization has not set well defined,
measurable and logically linked objectives
PA in Health System in Odisha• Good news:
– PA system in place– large amount of data generated– right from the grass root level – some system exists to collate data and send it upwards.
• Bad news: – grass root level data keeps moving upwards– usage of data is often overlooked, which leads to poor data
quality – data quality never improves unless it is used– regular feed-back going down the chain is the missing link.
Thanks