The Performance Management Process

Manager Guide:

Table of Contents

THE PERFORMANCE MANAGEMENT PROCESS…..…….……………………………… 3

PHASE 1: PERFORMANCE PLANNING...………...………………………………………….. 4

PHASE 2: PERFORMANCE MONITORING…...….………………………………………….. 10

PHASE 3: PERFORMANCE APPRAISAL EVALUATION…...………………...………….. 17

PHASE 4: PERFORMANCE REVIEW DISCUSSION………………………………………. 25

KEY TERMINOLOGY………………………………………………………………………………….... 36

2

Within this guide you will find information regarding each phase of the Performance Management Cycle. You are

encouraged to leverage this guide by focusing on the section of the guide most applicable to the phase of the

performance management cycle you are experiencing, or by reviewing it in its entirety for a general overview.

The Performance Management End-to-End Process

The fundamental purpose of the Performance Management

process is:

• To set and align on key objectives, performance factors to be

showcased, and developmental focus areas

• To engage and empower TSMs through meaningful contributions

to the organization

• To provide continuous feedback and coaching on the execution of

established expectations

• To create a basis for reward and recognition recommendations

When the Performance Management process is fully

leveraged, both the TSM and the organization will benefit

greatly. The Performance Management process enables a

culture that embodies our Team Schein Values; the delivery

of key results; increased development, retention and

engagement of TSMs; and a sense of aligned purpose and

belonging. Additionally, it provides an opportunity for TSMs

to drive business success using their unique skills,

perspectives and backgrounds.

Continuous

Feedback

3

Performance Planning

Setting Expectations

Performance Monitoring

Check-ins

Performance Appraisal

Evaluation

Performance Review

Discussion

Performance Planning:

Setting Expectations & Establishing Goals

4

5

Setting Expectations & Establishing Goals Process Flow

Manager and

TSM discuss

Individual Goals

for the year

Matrix Manager

and TSM discuss

partnership/goals

for the year

TSM establishes

Individual Goals,

in Workday if

applicable

Manager reviews TSM’s

Goals, in Workday if

applicable

?

Manager determines if

goals are appropriate

4

Manager makes

recommended edits and

selects ‘Send Back’ to the

TSM for review/edits

5

Manager sends Goal

Form to Second Level

Review

Second Level Manager reviews

and approves TSM’s Goals, in

Workday if applicable. Second

level manager can send back

goals if not in agreement

3

4a

No

4b2

TSM action

Manager action

Matrix Manager* action

Second Level Manager & Above action

Key

*A matrix manager can be defined as an individual who works in close partnership with a

TSM to guide, coach and partner with them ensuring successful delivery of responsibilities

Note: Forms for Director and Above routes to Compensation for final approval

Manager meets

with Matrix

Manager to

ensure alignment

on TSM’s

objectives

1 2b2a

Goals Foster Alignment & Reflect the ‘What’ and the ‘How’

6

Individual Goals* should

be aligned with the

Company strategy,

Business Unit direction,

and Department objectives

leveraging a cascade

approach.

It is your role as a

manager and/or matrix

manager to ensure your

TSMs understand the

strategic direction in order

to craft their goals.

Company Vision, Mission, Strategic

Priorities

Business Unit Strategic Pillars

Department Objectives

Individual Goals

Fostering Alignment Reflecting the ‘What’ & the ‘How’

&The ‘What’ refers to what a

TSM/team sets out to accomplish:• Key Results

• Customer Centricity

• Solutions/Innovations/Efficiencies

The ‘How’ refers to how a TSM

accomplishes objectives:• Leverages Team Schein Values

• Demonstrates Leadership Competencies

• Prioritizes Team Development &

Relationships

Individual Goals should be written in a way that clearly

outlines expectations and demonstrates accountability

for both what and how a TSM achieves results.

What

How

*See Key Terminology for a definition of Individual Goals, formerly known as MBOs

Ensure Goals are in S.M.A.R.T. Format

SSpecific

Goals outline

what will be

achieved

MMeasurable

Criteria established

for measuring

progress

AAchievable

Goals are

challenging but

within reach

RRelevant

Goals are in

alignment with

strategic plans

TTime-bound

An end point is

set for achieving

the goal

7

“(Action verb + description) to accomplish (observable, measurable outcome) by

(sufficiently specific but reasonable) date.”

Example Format:

• If the Goals involve support from other people, be sure to work with your team

member(s) to ensure commitment from all interdependencies before finalizing Goals

• Apply different weights (or priority) to Goals as appropriate

o Ensures focus on the most important actions

• Recommend your TSM leverages the ‘Writing S.M.A.R.T. Goals Guide’ and/or attends

the ‘Understanding and Writing S.M.A.R.T. Goals Workshop’

Ensure the right level of

action verbs are used

when writing S.M.A.R.T.

Goals:

Str

on

ger

Go

od

implement

develop own

lead execute

drive

understand learn

suggest share interact

study

review analyze

manage promote

coordinate champion

recommend architect

familiarize

strategize

Str

on

g

Create Development Items/Goals Development Items/Goals are identified actions that will be taken by a TSM to grow skillsets and capability in alignment with their current role. They may also be established as a way to prepare for a next role or future leadership position. As a manager, ensure Development Items/Goals for your TSMs are equitable –based on where they are today (skill level, experiences, etc.) and where they aspire to grow.

When creating Development Items/Goals, feel free to recommend your TSM leverages the same format they used for their Individual Goals and create them in Workday, if applicable. Below is an example of a Development Item/Goal:

“By end of Q4(Time-Bound), attend a presentation skills workshop to develop presentation skills and join Toastmasters to practice regularly. Present at least twice during a leadership team meeting to

leverage skills learned (Specific, Measurable, Achievable and Relevant).”

Quick Tip: The 70:20:10 model refers to a typical ratio of the different ways in which a TSM may learn and grow. Leverage the Development Experiences Library for ideas relative to each portion of the model (Experiential, Social, Formal).

8

10%Formal

70%Experiential

On-the-job

Experience

20%Social

Learning from

others

Partnering on and Approving Your TSMs S.M.A.R.T. Goals

Use the following checklist to ensure successful completion of the Performance Planning Discussion:

Establishing Goals phase of the Performance Management cycle.

Activity Guidance

Strategy Cascade & Goal

Alignment

❑ Cascade to your TSM(s) the organizational strategy, Business Unit direction, and department objectives

❑ Liaise with your TSM’s Matrix Manager (if applicable) to be sure priority alignment

❑ Partner with your TSM(s) to identify how their role(s) and responsibilities align with the larger strategic direction

❑ Ask your TSM to share with you what they feel their specific focus areas are for the year and provide guidance in

response

Review Individual Goals and

Development Items/Goals

❑ Review your TSM(s) Individual Goals to ensure they are aligned with the Company, Business Unit, and Department's

priorities for the year

❑ Review your TSM(s) Development Items/Goals (in Workday if applicable) to ensure they are focused on building

capabilities for their current responsibilities and future opportunities

❑ Ensure Individual Goals and Development Items/Goals are written in the S.M.A.R.T. format

❑ When reviewing your TSM(s) Individual Goals assess if appropriate budget, resources and support required to achieve the

goals are available

❑ Confirm that the TSM has incorporated “stretch goals” (those that push them outside of their comfort zone)

Approve and Finalize Goals ❑ If changes are necessary to any of the goals, send back the form to your TSM(s) for revisions (in Workday if applicable)

❑ Approve all finalized goals, in Workday if applicable, and submit through the approval chain

9

Performance Monitoring:

Check-Ins

10

11

Conducting Check-Ins Process Flow

TSM action

Manager action

Matrix Manager action

Second Level Manager & Above action

Key

TSM prepares/documents

progress to date to share

with Manager (and Matrix

Manager if necessary), in

Workday if applicable

Manager and TSM discuss progress

made against Individual Goals and if

revisions need to be made based on

circumstances outside of the TSM’s

control. This discussion incorporates

insights from Matrix Manager discussion

2a

2b1

Matrix Manager and TSM discuss

progress made against Individual

Goals and if revisions need to be

made based on circumstances

outside of the TSM’s control

Engage in Check-Ins Continuously

12

Managers are encouraged to conduct check-ins and engage in continuous performance dialogue throughout the

year in order to enable two-way dialogue with a TSM that may both motivate performance and ensure

alignment. These check-ins don’t have to be long (15-30 minutes), but they should be uninterrupted to enable

robust, focused, and valuable dialogue. Make sure to create a safe space for the feedback discussions and

empower TSMs to initiate performance conversations with you on their own as well.

Below are some examples of opportune times to conduct a performance check-in with your TSM:

At the beginning of a project to ensure

alignment

At the beginning of each quarter to

reinforce alignment of priorities

At year-end to reflect on past

performance and look ahead to future

development

During key milestones of a project to

ensure a TSM is on track, has proper

support, and to provide coaching

At the conclusion of a project to discuss

accomplishments and provide feedback

If a TSM changes roles or responsibilities

If there has been a shift in priorities

To set the stage for, and follow-up on, a

learning opportunity

If a TSM’s performance begins to declineNote: This is not a formal disciplinary or

documentation discussion

DID YOU KNOW?

Research shows that TSM’s should receive feedback at least once per month from their direct

managers to maximize usefulness of timely feedback, ultimately leading to higher performance

Motivate Performance and Limit Surprises Through

Check-Ins

13

During check-ins make sure to provide positive feedback on accomplishments to date and constructive feedback

on areas where improvement may be beneficial. Focus on understanding what has been done and how.

Below are some example topic areas and associated questions you may want to reference during a check-in to

engage your TSM in providing their perspectives prior to your delivery of feedback:

Accomplishments

to Date

Areas of

Opportunity

Challenges

Encountered

Support

Necessary

Goal

Revisions

• What have you

accomplished this

year to date?

• What do you feel

most proud of?

• How did you

accomplish what

you did?

• Where do you feel you

can improve your

performance?

• Are there any goals

you have yet to make

progress against?

Which and how come?

• What do you look

forward to focusing on

more greatly?

• What has been your

biggest challenge

thus far in achieving

your goals?

• Why has that been a

challenge and how

has it impacted your

achievement?

• How has the current

business environment

(internal or external)

affected your goal

progress?

• Which goals, if any, do

you believe need to be

revised?

• How do you recommend

they be revised?

• What further support do

you need from me, the

team, your

stakeholders?

• What kind of

development

opportunities may aid

your success?

Considerations for Goal Revisions

14

When engaging with your TSM(s) throughout the year, you may uncover the need for revisions to a TSM’s

Individual Goal(s). To ensure proper justification to adjust goals or their associated weightings, leverage the

following questions:

• Of your goals, which do you think are still relevant in the current business environment (both internal and external)? Which

are not and why?

• For goals that are still relevant, which ones are you on track to achieve? Which ones may you not be able to achieve and

why?

• How do you recommend your goal(s) be changed?

• How will you measure success for your adjusted or new goals?

• What help do you need from me, the team and other stakeholders throughout the organization to achieve your new

recommended goals?

Be mindful when approving revised goals that the changes are necessary due to circumstances outside of the

TSM’s control. Additionally, goals must continue to add up to a weighting of 100% and will require levels of

approval outside of the direct manager.

15

Goal Revision Process Flow

For TSMs in Workday: Manager clicks on Team Performance

under “Applications” on the homepage → Clicks on Edit

Individual Goals (MBO) task under “Goals” → Clicks on Create

Request under “Actions” →In the Request Type box clicks on

All and then Edit Individual Goals (MBO) → Clicks OK?

Manager determines if revised

goals are appropriate

TSM adjusts and submits

revised Individual Goals

based on discussions, in

Workday if applicable

21

5b

TSM action

Manager action

Matrix Manager action

Second Level Manager & Above action

Key

For outside of Workday:

Manager confirms TSM

may revise goals

Manager reviews TSM revised Goals, in

Workday if applicable. Ensures Matrix

Manager approves revised goals as applicable3

Manager selects ‘Send Back’ to

route the Goal Change form to the

TSM to make recommended edits

Manager approves of

goals, in Workday if

applicable

Additional Levels of Approval-Director and Above forms will be sent

through the management chain up to

EMC level and then Compensation

Partner for final approval

-Below Director level will go to

Second level manager for approval

and then Compensation partner for

final approval

4

5a 6

Conducting a Check-In

Use the following checklist to ensure successful completion of the Performance Monitoring Discussion:

Check-In phase of the Performance Management cycle.

Activity Guidance

Discussion Logistics ❑ Schedule the session in advance thinking through the modality of the discussion, time zones, length of discussion, etc.

❑ Send in advance a note to the TSM explaining the purpose of the check-in, what they may want to do to prepare, and

how/when the check-in will take place

Discuss Progress to Date ❑ Engage in two-way dialogue regarding accomplishments to date and areas for continued focus and progress

❑ Provide recognition of accomplishments and constructive feedback on developmental areas where appropriate

❑ Ask the TSM to share feedback they’ve heard from others regarding their achievements to date; share feedback you’ve

solicited and garnered

❑ Focus feedback on behaviors and results

❑ Leverage the conversation to be constructive and motivating

Evaluate the Need for Goal

Revisions

❑ Gather clarity regarding any challenges your TSM is facing that is outside of their control

❑ Partner with your TSM to discuss how the goal(s) can be appropriately revised

Approve and Finalize Revised

Goals, if Necessary

❑ If changes are necessary to any of the goals, send back the form to your TSM(s) for revisions (in Workday if applicable)

❑ Approve all finalized goals, in Workday if applicable, and submit through the appropriate approval chain

16

Performance Appraisal:

Year-End Evaluation

17

18

Year-End Performance Evaluation Process Flow

1

?

4

5a

1

3a

TSM action

Manager action

Matrix Manager action

Second Level Manager &

Above action

Key

3b

5

2

Performance Appraisal and

Individual Goals form

launches (in Workday if

applicable) to TSM

TSM completes the

Performance & Individual

Goal Self Assessment (in

Workday if applicable); then,

submits to Manager

Manager rates Performance Factors and

provides an overall comment on the

TSM’s Performance Appraisal; and rates

and assesses Individual Goals (in

Workday if applicable). Then, submits to

Second Level Manager

Note: Matrix Manager should

provide comments to Manager

(outside of Workday) on TSM’s

performance and achievement

of Individual Goals pertaining

to their partnership

Second Level Manager

reviews ratings and comments

on Performance Appraisal and

Individual Goal form and

provides additional comments,

edits and approval

Second Level Manager determines if

necessary to send back to TSM’s Manager

Second Level

Manager approves

and sends to EMC

Review Step

Second Level Manager

selects ‘Send Back’ to the

Manager and provides

explanation as to why the

form is returning

5b 6

Compensation

Management

process

launches

Compensation/HRIS

process

Please Note: The DC Performance Appraisal launches directly to the TSM’s

Manager and therefore Managers of DC TSMs begin the process at step 3.

Evaluating Your TSM’s Performance

Step 1: Review your TSM’s self-assessment to

understand from their point of view their

accomplishments for the year

Step 2: Provide a rating for each Performance

Factor leveraging the 5-point rating scale*

Tips to consider when rating performance:• Rate performance in relation to the job responsibilities and results achieved

• Consider feedback from others to provide an objective evaluation

• Be mindful of potential bias and evaluation traps that can impact your

assessment of a TSM’s performance

• Refrain from rating TSMs in a particular order and comparing their ratings

until all are complete

• Utilize the ‘Performance Evaluation Ratings Guide’

Step 3: Craft an ‘Overall Comment’ regarding your

TSMs performance for the year• Leverage the ‘Writing a Constructive Performance Appraisal Overall

Comment Guide’ for example comments and thought-starter language

• Provide remarks that are factual, straightforward, specific, and detailed

• Focus on behavior and results

• Ensure your Overall Comment aligns with the Performance Factor rating

19* Please note not all forms consist of the same rating scale

Avoiding Evaluation Bias When evaluating your TSM’s performance, it is imperative that you are mindful of the many forms of bias that

can influence your evaluation of a TSM. When you reflect on check-in discussions, feedback from others, and

the individual’s results and behaviors, you enable a more objective performance evaluation. Below are a few

examples of biases that most often may influence the performance management process.

In-Group BiasThe tendency to give preferential

treatment to those whom people perceive

to be members of their own groups

Confirmation BiasSearching for, interpreting, emphasizing

and recalling information that supports

our assumptions/preconceived notions

Halo/Horn EffectAllowing a person’s positive or

negative results in one area to impact

the overall evaluation of results

Gender BiasThe tendency to focus performance

feedback on personality/attitudes of

women compared to

behaviors/accomplishments of men

Availability BiasMaking a decision based on the most

accessible information, rather than on

more objective evidence

Recency BiasIgnoring outcomes of the beginning or

middle of a sequence and instead

focusing on the most recent memories

that are easiest to recall

Distance BiasThe tendency to rate things/those that

are physically closer in proximity

higher than others

Mitigation technique: Leverage

dashboards to identify and address

trends in evaluation. Gather feedback

from others. Additional levels of

review

Mitigation technique: Review

insights from TSMs self-assessment

and feedback from others. Additional

levels of review

Mitigation technique: Review insights

from the check-ins, TSMs self-

assessment and feedback from others.

Assess performance on demonstration of

performance factors and leadership

competencies, goal completion & impact

Mitigation technique: Review

insights from check-ins, TSM’s self-

assessment and feedback from

others. Use language that reflects

behaviors/impact rather than

personality/style

Mitigation technique: Reflect on

insights from 1:1 discussions, the

TSM’s self-assessment and feedback

from others gathered throughout the

year

Central Tendency BiasThe tendency to provide ‘middle of the

road’ evaluations most often (perhaps

out of a desire to avoid conflict or due

to inadequate preparation)

Mitigation technique: Ensure well

documented notes on goal progress,

accomplishments and feedback

throughout the year to enable

effective year-end evaluation

Leniency BiasAlso known as Overly Permissive –

The tendency to give higher/more

favorable evaluations

Mitigation technique: Leverage

dashboards to identify and address

trends in evaluation. Additional levels

of review

Mitigation technique: Ensure well

documented notes and feedback

throughout the year

Strictness BiasAlso known as Overly Severe –

The tendency to give lower/harsher

evaluations

Mitigation technique: Leverage

dashboards to identify and address

trends in evaluation. Additional

levels of review

Mitigation technique: Reflect on

insights from 1:1 discussions and check-

ins, TSM’s self-assessment and

feedback from others gathered

throughout the year. Assess

performance on demonstration of

performance factors and leadership

competencies, goal completion & impact 20

Evaluate for Behavior, Not Personality

21

When evaluating your TSM’s performance, it is important to be mindful of evaluating a TSM’s behavior (how they

do things) and the result of those behaviors (what happens), rather than their innate personality traits.

Below you will find examples of how you can ensure your feedback is focused on behaviors and the outcome of

those behaviors in order to provide constructive and meaningful feedback.

Personality

Traits

Observed

Behaviors as a

Result of Traits

What Not to Do What to Do

Example Feedback on Personality

Traits

Example Feedback on Observed

Behaviors

Introverted and Quiet Does not readily share

insights

× [Name] is quiet in meetings. It is important for

[Name] to talk up in meetings more.

✓ [Name] has valuable insights to share with the

organization. It is important for [Name] to share

his/her thoughts and recommendations regularly

with key stakeholders.

Kind and Social Collaborates and forges

partnerships

× [Name] is such a nice person – all his/her

customers love him/her!

✓ [Name] consistently forms collaborative

relationships which has enabled cross-

departmental synergies to be realized.

Impatient and Driving Follows-up too often with

others

× Throughout the year, [Name] was impatient at

times when partnering with others to deliver on

goals.

✓ Throughout the year, [Name] continuously

followed up with stakeholders to ensure

deliverables were on track as planned.

Frequently, the follow up was conducted too

often. It would benefit [Name] to build out a

project plan in partnership with

interdependencies to ensure effective

collaboration.

Manager Assessment- Overall CommentCompleting the Overall Comment provides an opportunity for managers to provide written feedback on

common measurement criteria to a TSM for the year. When writing an Overall Comment, provide remarks that

are factual, straightforward, specific, and detailed. Focus on behavior and results, and ensure your comment

aligns with the Performance Factor rating you assigned.

Click here to access the ‘Writing a Constructive Performance Appraisal Overall Comment Guide’ for more

sample language like you see below.

Recommended Feedback Structure:

[TSM NAME] [OBJECTIVE LANGUAGE ON ACCOMPLISHMENTS] this year, and as such, I’ve rated her/him ‘[Rating]’. She/He [IDENTIFY

AT LEAST. 3 PERFORMANCE FACTORS TO COMMENT ON]. [DETAILED EXAMPLE OF PERFORMANCE].

Example: Met Expectations Overall Comment

Chris consistently performed at the level of which the role requires, and therefore has received an overall rating of ‘Met Expectations’. Chris

successfully demonstrated knowledge of the role & products, maintained focus on results, and leveraged the Team Schein Values when

working with colleagues and external customers. In Chris’ role in Telesales, it is imperative to meet sales targets, build rapport with customers,

and maintain knowledge of our products. Chris consistently met sales targets, and positive feedback was regularly provided on Chris’ level of

support from some of our key/larger customers. I look forward to Chris continuing this successful path next year and mentoring new Team

Schein Members on our systems, processes and products. Good job, Chris!

22

Evaluating Your TSM’s Individual Goals

Step 1: Review your TSM’s comment per goal to understand from their point

of view their completion of the outlined deliverable

Step 2: Provide a rating for each Individual Goal

Tips to consider when rating performance:• Rate Individual Goal accomplishment in relation to the outlined objective and expectations

• Identify if any external factors outside of the TSM’s control could have negatively impacted their goal completion

• Consider feedback from others who observed the TSM’s goal delivery to ensure well-rounded insights (both what

was achieved and how it was)

• Assess the impact of the goal

• Be mindful of potential evaluation bias that can impact your assessment of a TSM’s achievements

• Refrain from rating TSMs in a particular order and comparing their ratings until all are complete

• Ensure alignment between the overall Performance Appraisal rating and the Overall Calculated Rating for the

Individual Goal (if applicable)

• Reference the Leverage Table, shown to the right, to understand the payout % based on the Individual Goal

Achievement % (if applicable)

Step 3: Provide a comment in alignment to the rating you are providing for

each Individual Goal• Provide remarks that are factual, straightforward, specific, and detailed

• Focus on behavior and results

• Ensure the language you use is in alignment with the rating provided

• Be mindful of potential bias that may influence your comments

Leverage Table

23

Individual Goal

Achievement %

Calculated

Rating % or

Payout %

69% 0%

70% 50%

71% 52.5%

72% 55%

80% 75%

81% 76.5%

82% 78%

90% 90%

91% 91%

92% 92%

100% 100%

105% 105%

115% 115%

116% 115%

Evaluating Effectively

Use the following checklist to effectively conduct a year-end performance appraisal evaluation.

Activity Guidance

Review your TSM’s Self-

Assessment

❑ Review your TSM’s self-assessment and Individual Goal comments to understand from their perspective their greatest

achievements for the year as well as potential challenges they faced

Solicit & Gather Feedback ❑ Ask for objective feedback from individuals who directly partnered with your TSM (peers, internal/external customers, etc.)

or led your TSM (task force/project leader, matrix manager, etc.) throughout the year on the behavior and results observed

to ensure a more objective evaluation

❑ Reflect on check-in discussions and continuous dialogue conducted throughout the year to ensure evaluation of the TSM

is based on the entire year

Focus on Behavior and Results ❑ Base a TSM’s evaluation (Performance Factors and Individual Goals) on their behavior and results/impact – HOW

something was done and WHAT was done

❑ Be mindful of potential bias that could impact your evaluation

❑ Separate personality and likability from the evaluation – focus on observed behaviors

Rate and Comment ❑ Consider all data points to rate your TSM’s Performance Factors and Individual Goals (if applicable) in an objective

manner

❑ Provide constructive feedback in order to help your TSM continue to strengthen their strengths and develop in areas of

opportunity

❑ Remember, to effectively complete the Performance Management process it involves focus and time – make sure to allow

yourself both when rating and commenting on your TSM’s performance in order to provide them with objective,

constructive and meaningful feedback

24

Performance Review:

Year-End Discussion

25

Year-End Performance Discussion Process Flow

26

TSM action

Manager action

Second Level Manager & Above action

Key

Compensation Statement

and Performance

Appraisal available to

Managers of TSMs below

Director Level

Manager meets with TSM

(below Director Level) to

discuss Performance Appraisal

and review Compensation

statement; Manager sends

Acknowledgement Form to TSM

Compensation Statement and

Performance Appraisal available

to Managers of TSMs Director

Level and Above

Manager meets with TSM

(Director Level and Above) to

discuss Performance Appraisal

and review Compensation

Statement; Manager sends

Acknowledgement Form to TSM

TSM completes

acknowledgment

TSM completes

acknowledgment

Compensation/HRIS process

1 2 3

1 2 3

Please note the process flow demonstrated here is applicable to those leveraging Workday for their performance

management process. The timeframe to discuss performance with TSMs below the Director Level occurs prior to,

and extends throughout, the timeframe to discuss performance with TSMs Director Level and above.

Below Manager Level Process

Director and Above Level Process

Preparing for the Year-End DiscussionUse the following checklist to prepare for the Year-End Performance Review Discussion.

Activity Guidance

Discussion Logistics ❑ Schedule the session in advance thinking through the modality of the discussion, time zones, length of discussion,

inclusion of a Matrix Manager, etc.

❑ Send in advance a note to the TSM explaining how and when the discussion will be delivered

Reflect on your TSMs Self-

Assessment and Individual Goal

(MBO) Comments (if applicable)

❑ Review your TSM’s self-assessment and Individual Goal comments to proactively identify and plan for any misalignment

on perceived performance (surprises)

Prepare your Feedback ❑ Identify the TSM’s strengths and areas of opportunity

❑ Gather concrete examples of the TSM’s performance that demonstrates the reason behind their performance ratings

❑ Meet with the TSM’s Matrix Manager, if applicable, to align on performance messaging and feedback

Mentally Prepare ❑ Take a moment before the discussion to position yourself with the right frame of mind understanding the importance and

impact of this discussion on your TSM

❑ Limit distractions in order to provide the attention the conversation deserves

Take time to rehearse the conversation leveraging the G.U.I.D.E. Framework to ensure that you are confident and prepared for

the discussion with your TSM.

G U IGather

performance

examples

Understand

results/goals

and actions to

achieve the

results

Identify

strengths and

weaknesses

to discussD

Develop

suggestions to

improve areas

of opportunityE

Expect

varying reactions,

questions and/or

points for

clarification

27

Preparing for Different Conversation Types

When preparing for your Performance Review Discussions, it is important to recognize that there are

three types of conversations you may engage in.

The

Inspiring

Conversation

The

Empowerment

Conversation

The

Motivation

Conversation

The inspiring conversation is one that

takes place with your High Performers

– those that receive a ‘Substantially

Exceeds Expectations’ or ‘Exceeded

Expectations’ rating. This is an

opportunity to recognize their

achievements and the impact they’ve

had on the organization. Inspire and

further engage them with an overview

of new and exciting opportunities for

them to contribute during the upcoming

year that is in alignment with their

career aspirations.

The empowerment conversation is one

that takes place with your solid and

consistent contributors – those that

receive a ‘Met Expectations’ rating.

This is the conversation that will likely

take place most often. During this

conversation recognize the TSM’s

achievements and empower them to

continue to succeed and elevate their

performance by reinforcing with them

that they own their career, and you are

here to coach and guide them.

The motivation conversation is one

that takes place with your TSMs who

require performance improvement –

those that receive a ‘Below

Expectations’ or ‘Did Not Meet

Expectations’ rating. It is important to

recognize during this conversation the

TSM may display negative reactions to

the conversation. Focus your

discussion on providing constructive

feedback and share with the TSM how

you will partner with them to improve.

1 2 3

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Conducting the Year-End Discussion

Use the following checklist to conduct the Year-End Performance Review Discussion. Further tips and guidance

on how to conduct the discussion will follow on upcoming pages.

Activity Guidance

Provide the TSM with all Relevant

Materials

❑ Share with your TSM their Performance Appraisal and Individual Goal form (if applicable)

❑ Share with your TSM their Compensation Statement following the discussion

❑ Share with your TSM their Bonus Statement (if applicable) following the discussionNote: Recognize each TSM has unique preferences when receiving feedback. It is recommended, if you choose to send in advance based

on TSM preference, that the discussion takes place within 24 hours

Review the Performance Appraisal

and Individual Goal (MBO) form (if

applicable)

❑ If delivering virtually, you are encouraged to keep cameras on

❑ Review with your TSM the different components of the Performance Appraisal and Individual Goal form (if applicable)For example, feedback on demonstration of the Performance Factors, evaluation of completion of the Individual Goals, etc.

❑ Provide concrete examples of the TSM’s performance that demonstrates the reason behind their performance rating

❑ Focus on the TSM’s behaviors and results rather than personal traits

❑ Be specific and concise when providing feedback

❑ Remember, this is a two-way dialogue. Practice active listening and make sure you ask your TSM if they have any

questions along the way and to provide their perspective

Discuss your TSM’s Strengths and

Areas of Opportunity

❑ Ask your TSM what they felt were their greatest strengths throughout the year and provide feedback on your perspective

❑ Ask your TSM what they feel their areas of opportunity are for future development and provide feedback on your

perspective

❑ Share with your TSM insights that their colleagues provided to you demonstrating their strengths or areas of opportunity

Reflect Back While Being Future

Focused

❑ Leverage the discussion on their performance to date to lean into conversation about their future growth potential

❑ Discuss future business and development opportunities

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Leverage Active Listening

2 31 4 5 6

Give your

complete

attention

Ask open-ended

questions

Ask probing

questions for

clarity

Paraphrase Be attuned to and

reflect feelings

while withholding

judgement

Check back for

confirmation

For Example:Limit distractions

Leverage eye contact

For Example:What do you believe your

greatest accomplishment

was this year and why?

For Example:Do you feel that is

something you want to

continue working on this

year?

For Example:So, while that was your

greatest accomplishment

this year it’s not

something you want to

continue focusing on.

For Example:Am I correct in that

understanding?

For Example:Be mindful of both verbal

and nonverbal cues

Showcase empathy

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Be Mindful of Your Language & Positioning

When conducting your TSM’s Year-End Performance Review Discussion, it is important to be mindful of the language

& positioning you use to ensure the conversation remains constructive and engaging.

Below you will find examples of suggested ‘Do’s’ and ‘Don’ts’.

✓ Be specific and concise using objective

examples when providing feedback

✓ Be authentic and courageous in your

conversation to provide both positive and

constructive insights to the TSM

✓ Emphasize words of encouragement to

maintain engagement

✓ Frame the conversation using positioning

such as ‘strengths’ or ‘development

areas/areas of opportunity’

✓ Ask your TSM for their thoughts and

perspectives

× Focus solely on development areas without

recognizing accomplishments

× Leverage subjective examples when

providing feedback

× Compare TSMs to each other

× Use words demonstrating an absolute

stance (e.g., always, never)

× Apologize after delivering constructive

feedback – you are doing this for the TSM’s

and organization’s benefit

× Start with a discussion regarding

compensation

DO’S DON’TS

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Poor Performance,

Realistic

Expectations of

Growth

Poor Performance,

Unrealistic

Expectations of

Growth

Poor

Performance

Good

Performance

Realistic Expectations

Unrealistic Expectations

Good Performance,

Realistic

Expectations of

Growth

Good Performance,

Unrealistic

Expectations of

Growth

TSM who

wants to

stay in

place for

now

Common Conversation Situations

During the Year-End

Performance Review

Discussion, there are 5

potential conversation

situations that may

arise when you

consider a TSM’s

potential in relation to

their performance.

Depending on which

situation you encounter,

your response to your

TSM will differ. Tips on

how to respond can be

found on the next page.

Performance Conversation Situations You May Encounter

32

Note: Realistic expectations represent the

agreement of a Manager and a TSM on what can

be expected and achieved.

• Thank the TSM for providing insights

• Give redirecting feedback regarding

current performance

• Review the complexity, skills,

competencies and other requirements of

the TSM’s current and aspirational role

• Thank the TSM for engaging in the

dialogue

• Give feedback regarding current

performance

• Reinforce with the TSM the expectations

to deliver on commitments for the current

role and check in frequently for progress

• Thank the TSM and showcase that you value

them and their contributions

• Share with the TSM that you will partner with

them to identify opportunities aligned with their

strengths and aspirations

• Ensure the TSM understands you feel they have

a good future at the org.

• Share with the TSM how their performance

has been strong

• Have an honest, courageous and empathetic

conversation regarding their expectations

• Paint a realistic picture regarding their growth

opportunities

Tips to Respond in Each Situation

• Thank the TSM and showcase that you value them and their contributions

• Share with the TSM that you will continue to empower them to remain successful in their current role

• Facilitate discussion on how the TSM can continue to enhance/hone their current skillsets

• Ensure the TSM understands that you will continue to have career conversations with them

TSM who

wants to stay

in place for

now

No matter which situation you encounter, aim to redirect the conversation while being mindful not to disengage the TSM

Responding to Each Performance Conversation Situation

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Managing Challenging ReactionsDuring the Year-End Performance Review Discussion, the feedback and evaluation provided to the TSM should

not come as a surprise due to ongoing coaching conversations throughout the year. Even so, TSMs may fall in

different places across the reaction spectrum. Below are examples of some of the more challenging reactions

you may encounter and guidance for how to respond.

Reacti

on

Sp

ectr

um

Anger

Denial

Upset/Shocked

Unaccountable

Indifferent

Understanding

Accepting

Satisfied

Engaged

Happy

Reaction Employee Cues Guidance for Response

Indifferent • Nonverbal cues may include shrugs, reduced eye

contact, silence

• Verbal statements may include “Sure, whatever you

say”; “Maybe; I’ll see what I can do”

• Reframe the conversation by asking that the TSM self-reflect on

their areas of opportunity

• Reinforce the need for them to commit to action by explaining the

“Why”

Unaccountable • Nonverbal cues may include shrugging, shaking their

head ‘no’

• Verbal statements may include “It’s not my fault”;

“Yes, that happened but its because…”

• Actively listen to the TSM’s explanation

• Empathize with the TSM while providing constructive and clear

examples that restate your position/evaluation

• Reinforce the need to improve despite their reasonings

Upset/

Shocked

• Nonverbal cues may include shaking their head ‘no’,

tears, flushed

• Verbal cues may include cracking voice and

statements like “This isn’t fair”; “This is the first I’m

hearing this was ever an issue”

• Give the TSM time to digest the feedback you’ve given them

• Allow the TSM to express their feelings

• Use open-ended questions to gain greater clarity as to their

reaction

Denial • Nonverbal cues may include shaking their head ‘no’,

rolling their eyes

• Verbal cues may include “I don’t know what you’re

talking about”; “Well, I think I performed just fine”

• Gauge the TSM’s reasons for resisting the feedback

• Reframe constructive feedback citing clear and objective examples

• Be transparent with the TSM about the importance of focusing on

the identified development areas

Anger • Nonverbal cues may include shaking their head ‘no’,

flushed, strong hand gestures

• Verbal cues may include raised voice or statements

like “After everything I’ve done this is what I get”

• Allow the TSM to express their feelings while remaining calm and

not getting defensive

• Use open-ended questions to gain greater clarity as to their

reaction

• Suggest possible next steps. You may need to reconvene

after the TSM has had time to process the feedback 34

Wrapping Up the Year-End Discussion

Use the following checklist to provide next steps to the Year-End Performance Review Discussion.

Activity Guidance

Summarize the Key Discussion

Points

❑ Highlight the key topic areas that surfaced from the Performance Review Discussion (e.g., strengths, areas of opportunity,

how you will partner moving forward).

Conclude the discussion on a

positive and future-focused note

❑ The Performance Review Discussion is a great opportunity to engage your TSM with what lies ahead. End on a positive

note sharing with the TSM how you are committed to supporting them in their continued development.

Thank the TSM ❑ Remember, engaging in Performance Review Discussions can be personal and challenging for TSMs. It is important to

thank them for their contributions and engaging in the dialogue.

Discuss Next Steps ❑ Discuss with the TSM how you will continue to coach them to enhance their strengths and/or areas of opportunity.

❑ Share with the TSM when you will be reconvening to set goals for the new year.

❑ Ensure the TSM knows that you will continuously have conversations regarding their growth, development and

performance throughout the year.

❑ Explain that following this discussion the TSM will receive a notification to ‘Acknowledge’ their Performance Appraisal and

Individual Goal form in Workday (if applicable).

35

Key TerminologyThis section provides definitions for key terminology

that generally surfaces when Performance

Management is discussed. Not all terms within this

section were identified in the guide.

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Performance Appraisal and Individual Goal Form

The Performance Management Cycle leverages the Performance Appraisal and Individual Goal Form as the formal vehicle

to plan, monitor, and evaluate performance annually. In order to ensure relevancy to specific populations, you may hear of

this Forms being referred to as the ‘Team Schein Incentive Plan or TSIP Form’ which is used for exempt TSMs below the

Director Level; the ‘Non-TSIP Form’ which is used for non-exempt TSMs; the ‘Performance Incentive Plan or PIP Form’

which is used for Director Level and Above TSMs; and the ‘DC Form’ which is used for our TSMs within our Distribution

Centers. Additional forms may also be leveraged based on geography or subsidiary and/or Workday applicability.

Performance Factors

Defines the knowledge, skills and abilities that are essential to the achievement of the organization’s business goals and

how Team Schein Members (TSM) complete their work. Performance Factors are what a TSM self assesses against and is

the first section of the performance appraisal form that a Manager will evaluate TSMs against. Different Performance

Factors are leveraged on the various Performance Appraisal Forms.

Individual Goals

Individual Goals, formerly known as MBOs, are created by TSM’s in partnership with their manager to ensure their

individual work/projects aligns to the business strategy in order to meet the organization’s strategic objectives. Individual

Goals should be written in the S.M.A.R.T. format (Specific, Measurable, Achievable, Relevant, Time-bound) and have an

appropriate level of ‘stretch’. Four to six Individual Goals are recommended.

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38

Development Items/Goals

Development Items/Goals are identified actions that will be undertaken by a TSM to grow skillsets and capability in

alignment with their current role. They may also be established as a way to prepare for a next role or future leadership

position.

Matrix ManagerAn individual who works in close partnership with a TSM to guide, coach and partner with them ensuring successful

delivery of responsibilities.

Corporate Financial Goal

Directors and Above eligible to participate in the Performance Incentive Plan (PIP) have a portion of their bonus award

based on an overall Corporate Financial Goal. This component reinforces the critical link to our profit goal and is

determined annually by the Compensation Committee. The Goal is based on Henry Schein’s actual achieved Earnings

per Share (EPS) measured against the original Goal after adjustments (Henry Schein One participants is based on HS

One Operating Income).

Functional Financial Performance Goal (FFG)Directors and Above eligible to participate in the Performance Incentive Plan (PIP) have a portion of their bonus award

based on Functional Financial Performance Goal(s). Depending on a participant’s role, financial performance is measured

against annual financial budgets in the areas of sales, pre-tax income, and/or expense goals.

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Long-Term Incentive Plan (LTIP)Directors and above eligible to participate in the Long-Term Incentive Plan (LTIP) have a direct impact on delivering

financial results and creating value for our stockholders. This plan is designed to keep participants focused on long-term

goals, provide an ownership stake in the Company, and to motivate and inspire to help continue to deliver strong results

into the future.

Please contact your HR Business Partner if you have

any additional questions