Performance Management• Manager Training

Objectives of Training1. Understand Performance Management2. Clear purpose & goal for undertaking

Performance Management3. Have a feeling it is worth doing well and

has a clear benefit to all4. Agreed Manager Guidelines5. Know how to use the system

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What is performance Management?•The process of managing people to do the right thing; driving constant and continuous improvement of people in your organisation and work unit.•Goal = Improve the performance and the abilities of our employees to contribute to the company goals and the goals of their work unit.

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Right things Right way Contribution

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Why Performance Management?

• Performance Management is part of a line managers everyday job.

• A System formalises that process.• It helps to:

• Align employees goals & objectives to the companies goals & objectives

• Make the process Equitable and Fair – Legal issue• Drive employee engagement – they feel like they are contributing• Drive a culture of values and continuous improvement• Increase the companies overall skills• Recognise stars and improve or weed out non-performers• Improve employee turnover

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•Mainly it addresses Legal issues:• Fair and equitable• Consistent process for all• We all sing from the same song

sheet

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Why a Performance Management system?

Formal Informal

Appearance of Fair and Objective Intimate and personal

More accurate Flexible

Less personal bias High Personal bias

Can assist inexperienced managers Harder to police

More control Lacks comprehensive reporting

Systematic process Perceived as being unfair

May become to cumbersome Record keeping more difficult

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Benefits and pitfalls of a formalised process?

Factors effecting job attitudes

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According to Herzberg’s theory - 1959

Leading to Dissatisfaction•Company policy•Supervision•Relationship with boss•Work conditions•Salary•Relationship with peers

Leading to Satisfaction

•Achievement•Recognition•Work itself•Responsibility•Advancement•Growth

Four key steps1. Define Business Goals and Objectives

Identify a clear set of business goals and objectives.

3. Coach Performance

Coach the person to achieve the goals within the given time period.

4. Review Performance• F

ormally review the performance for a given period against the performance goals.

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Contribution

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Stages of Performance Management

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Problem Awareness “not doing what they should be doing” or “doing something that they are not supposed to be doing”

Problem Assessment How serious? Is it worth your time?

Problem Identification What is the root cause? It could be you.

Performance Planning Ensure they understand what is needed.Sense of direction, benchmark and confidence.

Performance Coaching Ongoing feedback, reinforcement, encouragement.

Performance Review No surprises meeting. Planning for the following period.

Coaching Steps

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Stage 1Feedback

Identify, agree, discuss, action

plan, supported accountability

Stage 2Monitor

performanceFollow up, encourage

Stage 3Further

FeedbackCongratulate or identify, clarify,

document

Stage 4Monitor

performance

Stage 5Warning

Causes of Inflated Ratings

The belief that accurate ratings would have a damaging effect on the subordinate’s motivation and performance

The desire to improve an employee’s eligibility for merit The desire to avoid airing the department’s dirty laundry The wish to avoid creating a negative permanent record of poor performance

that might hound the employee in the future The need to protect good performers whose performance was suffering

because of personal problems The wish to reward employees displaying great effort even though

contributions are relatively low The need to avoid confrontation with certain hard-to-manage employees The desire to promote a poor or disliked employee up and out of the

department

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Lowered Ratings

To scare better performance out of an employee To punish a difficult or rebellious employee To encourage a problem employee to quit To create a strong record to justify a planned firing To minimize the amount of the merit increase a

subordinate receives To comply with an organization edict that

discourages managers from giving high ratings

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Legal1. Documentation for legal protection

• used to protect against unfair dismissal claims

2. Possibility of condoning poor performance by inaction

• Employee can argue that this is the behaviour expected

3. Employer’s duty to the poor performer

• Give an employee an opportunity to rectify poor performance

4. Adequate warning before dismissal

• Document and make clear the consequences of poor performance

5. Effects of Equal Employment Opportunity (EEO)

• This can be avoided by making sure the appraisal criteria are work related, the criteria have been checked and appraising managers have been trained to do appraisals.

6. Termination

• Sufficient notice, fairness and grounds for the termination

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Legal obligations can be met by: Transparent performance system, consistently applied

Review is made against clearly specified criteria (for example a job description, performance plan and performance goals)

Previous performance assessments are taken into account

Systems to deal with counselling and warnings are in place

Nature, reason and duration of the actions are clearly written and acknowledged.

Understanding how performance could be improved & assessed

Informed of the consequences of not improving performance and the procedures to be followed if this occurs

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CRITERIA SHOULD BE:

• objective rather than subjective• job-related or based on job analysis• based on behaviours rather than traits• within the control of the ratee• related to specific functions, not global

assessments

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Counselling

• Vital skill as a manager• Worth your time and effort• Deal with personal problems only if they effect

performance• Use a counselling service (Lifeline)

• Focus on solving the problem let them take the lead

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What can counselling achieve?

Providing advice This is appropriate to work-related problems when there is a clear-cut solution. However, it is inappropriate in dealing with personal problems and emotional situations.

Providing reassurance While this can give an employee encouragement or renew confidence, I t may fail to address the root cause of the problem.Facilitating communication. The manager can gain insight into the employee's thoughts and feelings and enhance two-way communication.

Releasing emotional tension. The manager can allow the employee to unburden by sharing worries/ concerns.

Clarifying thinking. Sometimes merely by talking things over, a person can get a new perspective on the nature of a problem and begin to look at it more objectively. This will go a long way towards enabling the employee to work out solutions.

Encouraging a change in an individual Their goals, values or behaviour, especially if the problem is of a work-related nature.

If, however, the problem is a personal one, the manager may wish to refer the employee to a professional counsellor. 20

Counselling Guidelines

• Talk early in day and week and in private• Be non-directive, non-judgemental, non-moralising and non-

prying• Set a tone of working together as a team to resolve • Be patient, jumping to conclusions will not get to the source• Question and probe to help them clarify and resolve problem• Get them to recognise the consequences of not dealing with it• Assure confidentiality, encourage and engage in follow up• Close without rushing, make sure they are comfortable• Expecting an ideal outcome may be unrealistic• Consider writing it all down either during or after as a summary

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Feedback

•Tell them how well they are doing•Sell them on the idea•Flow is downward

Tell & Sell

•Tell them how well they are doing•Strengths and areas of improvement needed•Listen to response to gauge attitude and feelings, then discuss•Aim to increase job satisfaction

Tell & Listen

•Open clear two-way communication•Aim to solve for barriers to performance•Non-threatening, reduces hostility•Recommended for most situations

Problem Solving

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Feed forward• Rather than feedback on what has gone wrong, give

ideas for the future.• Much the same way we are focusing on what and

how a person is contributing to the company, we focus on what the person can do better going forward

• Let go of the past• Feedback usually means the other person is wrong• Nothing to be learnt from defending that you are

right• More @ http://www.marshallgoldsmithlibrary.com

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Feed Forward top ten

1. We can change the future2. More productive to help people learn to be “right”3. Who likes negative feedback, giving or receiving it4. Just requires have good ides to move forward5. Not as personally taken6. Feedback reinforces self fulfilling prophecy and failure. Feedforward

reinforces the possibility of change7. Corrects mistakes not dwell on them8. “Here are 2 ideas, if you only use one you are ahead, please accept them

in the positive spirit they are intended”9. Feedback is seen as judgemental10. Easier to listen to as you are not composing a reply in your head.

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Receiving Feedback1. Listen carefully2. Seek feedback - See it as an opportunity to learn something3. Don’t be reactive or let defenses build, mentally note

questions or disagreements4. Summarise what you think you hear to check your

perception for accuracy and understanding.5. Ask questions & for examples for clarification. Paraphrase

answers again6. Carefully evaluate accuracy & potential value7. observing your own behaviour & other's reactions to it8. Do not overreact to feedback, modify your behaviour &

evaluate the outcomes. Avoid explaining or excuses.

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Keys to success

Focus on the contribution by employee,Pay attention to barriers to performance

Check your bias, establish the habit of constantly gathering information about performance.

Be aware of legal issues, main focus is on improvement

Become a good counsellor, give feed forward, know how to take feedback

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