Performance Management Session 4

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    MBA (HRM) 5th

    Performance Management

    Performance Planning and Development

    Discussion 04

    !"04"#0$

    B%&aseeh 'r Rehman

    ffaseehgmailcom

    *+P, Multan

    *ntroduction*ntroduction

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    -HPA./R $-HPA./R $

    Performance Management Practices

    1.Standard Chartered Bank2.IRS

    3.Ed Lawler &Micheal McDermmot

    4.Chartered Institte o! "ersonnel and De#elo$ment %CI"D

    '.e(Rewards

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    Performance Management DiscussionRole Profiles123ective +etting

    Performance Measures and AssessmentPerformance PlanningDevelopment Planning.he Performance Agreement

    Performance and Development Planning " -heclist

    -ontents-ontents

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    Role Profiles

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    .he 2asis of the performance and development agreement is a role

    profile, hich defines the role in terms of the e% results e6pected,

    hat role holders are e6pected to noand 2e a2le to do(technical competencies), and ho the% are e6pected to 2ehavein

    terms of 2ehavioral competencies and upholding the

    organi7ation8s core values

    Role profiles need to 2e updatedever% time a formal performance

    agreement is developed

    Role ProfilesRole Profiles

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    )

    Role Profile comprises folloing9

    Developing role profiles

    Defining e% result areasDefining technical competenciesDefining 2ehavioral competencies

    -ore values

    Role ProfilesRole Profiles

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    .o develop a role profile it is necessar% for the line

    manager and the individual to get together and

    agree e% result areas, define hat the roleholder needs to no and 2e a2le to do and

    ensure that there is mutual understanding of the

    2ehavioralcompetenciesre:uired and the corevalues the role holder is e6pected to uphold

    Role Profiles Developing role profilesRole Profiles Developing role profiles

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    Role Profiles Developing role profilesRole Profiles Developing role profiles

    Defining e% result areas

    .o define e% result areas individuals should 2e ased 2% their

    manager to anser :uestions such as9

    ;hat do %ou thin are the most important things %ou have to doeep a2reast of technical developments and trends, 2ring these into

    da%"to"da% or hen feasi2le and 2uild them into ne pro3ect

    developments

    Role Profiles /6ampleRole Profiles /6ample

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    2,

    Behavioral competencies9Aim to get things done ell and set and meet challenging goals,

    create on measures of e6cellence and constantl% see a%s of

    improving performance

    Anal%7e information from range of sources and develop effectivesolutionsCrecommendations

    -ommunicate clearl% and persuasivel%, orall% or in riting,

    dealing ith technical issues in a non"technical manner;or participativel% on pro3ects ith technical and non"technical

    colleaguesDevelop positive relationships ith colleagues as the supplier of an

    internal service

    Role Profiles /6ampleRole Profiles /6ample

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    3-

    123ective +etting

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    123ectives descri2e something that has to 2e accomplished

    123ectives or goals (the terms are interchangea2le) define hat

    organi7ations, functions, departments and individuals aree6pected to achieve over a period of time

    123ective setting that results in an agreementon hat the role

    holder has to achieve is an important part of the performance

    management processes of defining and managing e6pectations

    and forms the point of reference for performance revies

    123ective +etting123ective +etting

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    123ective +etting needs discussion on9

    .%pes of o23ectives

    Eood o23ective*ntegrating o23ectives123ective"setting checlist

    123ective +etting123ective +etting

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    1ngoing Role or ;or 123ectives

    All roles have 2uilt"in o23ectives, hich ma% 2e e6pressed as e%

    result areasin a role profile

    .he definition of a e% result area states that this is hat the role

    holder is e6pected to achieve in this particular aspect of the role

    &or e6ample9

    =*dentif% data2ase re:uirements for all pro3ects that re:uire data

    management in order to meet the needs of internal customers8 or=Deal :uicl% ith customer :ueries in order to create and

    maintain high levels of satisfaction8

    123ective +etting .%pes of 123ectives123ective +etting .%pes of 123ectives

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    1ngoing Role or ;or 123ectives -ont

    A e% result area statement should contain an indication of not onl%

    hathas to 2e done 2ut also h%it has to 2e done

    .he =h%8 part clarifies the ongoing o23ective 2ut it ma% 2e

    necessar% to e6pand that 2% reaching agreement on a

    performance standard that descri2es hat good performance ill

    loo lie

    A performance standard definition should tae the form of astatement that performance ill 2e up to standardif a desira2le,

    specifiedand o2serva2leresulthappens *t should prefera2l% 2e

    :uantified in terms, for e6ample, of level of service or speed of

    response

    123ective +etting .%pes of 123ectives123ective +etting .%pes of 123ectives

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    3)

    .argets

    .argets are o23ectives that define the :uantifia2le resultsto 2e

    attained as measured in such terms as output, throughput,

    income, sales, levels of service deliver%, cost reductionand

    reduction of re3ect rates .hus a customer service target could 2e

    to respond to F0G of :ueries ithin to oring da%s

    123ective +etting .%pes of 123ectives123ective +etting .%pes of 123ectives

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    3*

    .assCPro3ects

    123ectives can 2e set for the completion of tass or pro3ects 2% a

    specified dateor to achieve an interim result A target for a

    data2ase administrator could 2e to develop a ne data2ase to

    meet the need of the HR department 2% the end of the %ear

    123ective +etting .%pes of 123ectives123ective +etting .%pes of 123ectives

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    3+

    Behavioral /6pectations

    Behavioral e6pectations are often set out generall% in competenc%

    frameors2ut the% ma% also 2e defined individuall% under the

    frameor headings

    -ompetenc% frameors ma% deal ith areas of 2ehavior associated

    ith core values, for e6ample teamor, 2ut the% often convert

    the aspirations contained in value statements into more specifice6amples of desira2le and undesira2le 2ehavior, hich can help in

    planning and revieing performance

    123ective +etting .%pes of 123ectives123ective +etting .%pes of 123ectives

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    3,

    alues

    /6pectations can 2e defined for upholding the core values of the

    organi7ation .he aim ould 2e to ensure that espoused values

    (that supplement) 2ecome values in use

    123ective +etting .%pes of 123ectives123ective +etting .%pes of 123ectives

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    4-

    Performance *mprovement

    Performance improvement o23ectives define hat needs to 2e done

    to achieve 2etter results .he% ma% 2e e6pressed in a performance

    improvement plan, hich specifies hat actions need to 2e taen

    2% role holders and their managers

    123ective +etting .%pes of 123ectives123ective +etting .%pes of 123ectives

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    DevelopmentalC?earning

    Developmental or learning o23ectives specif% areas for personal

    development and learningin the shape of enhanced noledge

    and sills (a2ilities and competences)

    123ective +etting .%pes of 123ectives123ective +etting .%pes of 123ectives

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    Eood or o23ectives are9

    Consistentith the values of the organi7ation and departmental

    and organi7ational o23ectivesI

    Precise#clear and ell defined, using positive ordsI

    Challenging#to stimulate high standards of performance and to

    encourage progressI

    123ective +etting Eood 123ective123ective +etting Eood 123ective

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    -ont@

    "easurable#related to :uantitativeC:ualitative performance

    measuresI

    $chievable#ithin the individual8s capacit% and capa2ilit%I

    $greed2% the manager and the individual concerned the aim is

    to provide for the onership, not the imposition, of o23ectivesI

    Focused on teamwork#emphasi7e the need to or as an effective

    mem2er of a team as ell as individual achievementI

    123ective +etting Eood 123ective123ective +etting Eood 123ective

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    Man% organi7ations use the =+MAR.8 mnemonicfor the purpose9

    %&%pecific'stretching clear, unam2iguous, straightforard,

    understanda2le and challenging

    "&"easurable :uantit%, :ualit%, time, mone%

    $&$chievable challenging 2ut ithin the reach of a competent

    and committed person

    (&(elevant relevant to the o23ectives of the organi7ation sothat the goal of the individual is aligned to corporate goals

    T& Time framed to 2e completed ithin an agreed timescale

    123ective +etting Eood 123ective123ective +etting Eood 123ective

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    A defining characteristic of performance

    management is the importance attached to the

    integrationor alignmentof individual o23ectivesith organi7ational o23ectives .he aim is to

    focus people on doing the right things in order to

    achieve a shared understanding of performancere:uirements throughout the organi7ation

    123ective +etting *ntegrating 123ectives123ective +etting *ntegrating 123ectives

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    *ntegration of organi7ational o23ectives is a =2ottom"up8 process

    .he vies of emplo%ees a2out9

    hat the% 2elieve the% can achieve should 2eI

    noted and, as appropriate, higher"level o23ectives

    amended to tae account of them

    123ective +etting *ntegrating 123ectives123ective +etting *ntegrating 123ectives

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    *ntegration is achieved 2% ensuring that ever%one is aareof9

    -orporate,

    &unctional J .eam goals

    123ectives the% agree for themselves are consistent ith those goals

    and ill contri2ute in specified a%s to their achievement

    123ective +etting *ntegrating 123ectives123ective +etting *ntegrating 123ectives

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    4,

    .his process is illustrated 2elo9

    123ective +etting *ntegrating 123ectives123ective +etting *ntegrating 123ectives

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    '-

    .o"a% process of agreeing integrated o23ectives

    123ective +etting *ntegrating 123ectives123ective +etting *ntegrating 123ectives

    -orporate

    &unctional

    .eam

    *ndividual

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    /6ample

    -orporateDefine corporate o23ectives in such terms as9 =Provide a relia2le

    product to fit customer needs complemented 2% helpful and

    efficient service and support8

    &unctionalDefine aspects of customer service for hich function is responsi2le

    in such terms as :ualit%, value for mone%, responsivenessand

    courtes% Agree operational targets for the function in each area

    123ective +etting *ntegrating 123ectives123ective +etting *ntegrating 123ectives

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    '2

    /6ample -ont

    .eamAgree operational standards for service deliver% and targets for

    improvement in each of the areas covered in the functionalstrateg% /nsure targets are in line ith and support the

    achievement of functional and corporate strategic o23ectives and

    targets

    *ndividualAgree individual standards for customer service and improvement

    targets that support the achievement of team targets Define

    competencies and sills re:uired and agree steps to develop them

    123ective +etting *ntegrating 123ectives123ective +etting *ntegrating 123ectives

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    Has the o23ective"setting process 2een 2ased on an agreed and up"to"date role profilethat sets out e% result areas