Performance Management Program Basics

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Performance Management Program Basics

• Wendy M. Johnson, PHR
• Asst. Vice President, Human Resources
• United Way of Greater Houston

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Why Do I Need A Performance Management Program?

• Ask an employee their job requirements and
  performance level.
• Then, ask their manager.
• Do they match?
• This why you need a good process!
• Compare, Negotiate, Agree!

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Basics of a Performance Management Program

• Objective Setting
• On Going Feedback
• Annual Evaluation
• Reward System
• Performance Improvement Plan

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Components of a Successful Performance Management
Program

• Self assessments.
• Clearly defined and communicated objectives.
• Ongoing feedback (scheduled and on the spot).
• Evaluate the What and the How of performance.
• Development and Career Plan.
• Reward Mechanisms.
• Coaching performance challenged employees.

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Value of Self Assessments

• Gets employee involved vs. feeling like the
  review is being done to them.
• Sets the stage for two-way communication.
• Forces employee to think about their performance.

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Self Assessment Format

• Evaluation of progress toward development goals
  from previous year.
• Top three accomplishments.
• Top three strengths with examples.
• Completion of objectives from previous year.
• Biggest challenges and how they overcame them.
• Relationships with colleagues.

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Self Assessment Challenges

• Always ask What one single change could you
  make that would have the biggest positive effect
  on your work? and, How can I help?
• Your assessments may not matchthats ok.
• Offer your differences on their assessment based
  on specific facts.
• Use the information from the assessment as a
  beginning point for the evaluation.

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Clearly Defined Objectives and Expectations

• Communicate agreed upon objectives and their
  level of importance What.
• Paint a clear picture of expectations and what
  good performance looks like How.
• Communicate your expectations clearly with
  examples and deadlines.
• Dont let expertise be a get-out-of-trouble-free
  card or get-out of confrontation-free card.

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Evaluating the What

• What-
• Goals and objectives.
• Ongoing, major duties identified in the current
  job description and one-time assignments or
  projects.
• Quantifiable and measurable.
• What is the level of importance as it relates to
  job duties?

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Evaluating the How

• How-
• Performance competencies and their specific
  behaviors.
• Agree on level of importance.
• Behavior consistent with organizational values.
• The biggest challenge for leaders is to take
  corrective action with an employee that is a top
  producer but whose behavior is not consistent
  with company values.

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Create Mechanism for Ongoing Feedback

• Managers generally think they give employees good
  feedback, employees generally think otherwise.
• Feedback should be specific and not too general
  to be useful.
• Raise performance concerns while they are fresh.
• Options
• Create a tool to remind people to give feedback
• Make giving feedback part of the supervisors
  objectives
• Create process to collect feedback from others
• Competency assessments
• Incorporate behavioral indicators with ratings
• 360 feedback
• EVALUATIONS SHOULD NOT BE A SURPRISE

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Performance Measures and Feedback Watchouts

• Negative surprises at appraisal time
• Focus on results little attention to how
• Coaching-not recognizing conditions for
  receptiveness to feedback
• The Must Prevail syndrome Not a debate just
  deliver the message
• Lack of distinction between success factors in
  one job vs. another

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Employee Development

• Development goals vs. career goals.
• Combine with the evaluation process.
• Development goals should relate to the areas of
  improvement detailed on the evaluation.
• The employee should leave the meeting with a
  blueprint for development not dwelling on past
  performance.
• Use the evaluation form to clearly define
  development goals based on competencies.
• Review development goals annually.

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Rewards

• Tied to results
• Pay for performance
• Explain the connection between pay and
  performance to the employee in 30 seconds or less
  
• Celebrate small victories the progress toward
  improvement
• Recognize that not all rewards are monetary
• Celebrate talents, energy and effort!

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Positive, Productive Evaluations

• Self assessment should be completed, reviewed and
  discussed before the scheduled meeting.
• During the evaluation, offer your assessment of
  the employees strengths and weaknesses based on
  facts and examples.
• Resolve differences between your evaluation and
  the employees self-evaluation.
• Agree on future goals.
• Be a coach as well as an evaluator.

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Continual Process
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Performance Challenged Employees

• Have you been explicit in conveying your
  expectations?
• Does the employee have the tools, resources and
  skills necessary to be successful? Will or Skill?
• Focus on the issue or the task.
• Provide the employee with an opportunity to
  respond and listen to what he or she has to say.
• Decide on course of action.
• Follow up.
• Be fair and consistent.
• Implement Performance Improvement Plan.

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Components of Performance Improvement Plan

• Ongoing feedback.
• Verbal warning.
• Written warning.
• Extensions where warranted.
• Successful completion or termination.

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Its Not All About the Plan

• Proactively reach out to your top talent on a
  regular and ongoing basis.
• Assume your best employees are getting calls and
  offers.
• Top talent must be continually challenged if you
  are to keep them.
• Probe how employees feel about their jobs.

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10 Retention Questions

• If you could make any changes about your job,
  what would they be?
• What things about your job do you want to stay as
  they are?
• If you could go back to any previous position and
  stay for an extended period of time, which one
  would it be and why?
• If you suddenly became financially independent,
  what would you miss most about your job?
• In the morning, does your job make you jump out
  of bed or hit the snooze button?
• What makes for a great day?
• What can we do to make your job more satisfying?
• What can we do to support your career goals?
• Do you get enough recognition?
• What can we do to keep you with us?

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Benefits

• Discovering things about your culture or work
  environment that need fixing.
• If you are hearing the same dissatisfaction or
  contentment, its easy to determine whats
  working and whats not.
• Promptly address issues that could lead to losing
  a key member of the team or make sure that
  employees have a full understanding of situations
  that cannot easily be changed.

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Its Not All About Performance

• Strengthening retention
• Driving recruitment
• Meeting legal compliance requirements
• Increasing employee engagement

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What You Can Do

• Survey employees
• Focus on intent
• Explain measures
• Emphasize sustained performance
• Use evaluations as springboard to meaningful
  conversations

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Resources

• SHRM Library
• Business and Legal Reports
• SilkRoad Technology, Inc.