Performance Management System

By Rukhsar Surve

Performance Management System• Management of Organizational performance + Management of

performance of an individual in a system• Ensures the top down cascade of business goals• Processes as planning and targeting, strategy development,

performance appraisals, etc.

Performance Management System In Tata Indicom

Manager exercises PMS by • Planning with objectives and targets• Establishing the performance standards• Monitoring the actual business performance• Comparing performance with targets • Correcting mistakes and taking action

They believe that An effective Performance Management system is based on these concepts

• Employees need to understand their roles clearly• Performance expectations must be set in advance and there must be

agreement• Performance management requires on-going coaching, feedback and

planning• Performance management can be a positive experience• Facilitate a process to establish clear role definitions and

accountabilities.

• Create a custom Performance Management program or improve your existing program• Establish the objectives of your Performance Appraisal and Performance

Management program• Determine your performance criteria and integrate these criteria with your

compensation systems• Create your evaluation format• Develop policies and procedures• Conduct training sessions for your managers and supervisors• Assist with the roll-out and communication of the program to your total employee

group

Managing Performance Is Success Of A Business

• Quantity• Quality• Timeliness• Effective Use of Resources• Effects of Effort• Manner of Performance• Method of Performing Assignments

Different types of appraisal

• Direct observation• Specific work results (tangible evidence that can be reviewed without

the employee being present)• Reports and records, such as attendance, safety, inventory, financial

records, etc.• Commendations or constructive or critical comments received about

the employee's work

• Coaching is a method of strengthening communication between Manager and the employee

Performance Management Cycle• Performance planning• Setting individual objectives• Determining key behaviours for improvement• Agreeing a personal development plan• Reviewing progress

• Regular feedback• Amending objectives• Supporting achievement through coaching• Annual appraisal• Self- assessment• Evaluating performance• Determining ratings to inform pay decisions

Tools Of Performance Management1. Performance and development reviews• In this organization, continuous learning is a prerequisite to successful

job performance and organizational effectiveness• For performance managers and employees alike, responding to these

changes requires the ability to learn, adapt to change, solve problems creatively, and communicate effectively in diverse groups

2. Performance Appraisal• To effect promotions based on competence and performance• To assess the training and development needs• To help improve current performance• To assess future potential• To assess increases or new levels in salary• To assist career planning decisions• To set performance objectives

Performance Appraisal Methods:• Management By Objectives (MBO)• 360 Degree Appraisal• Critical Incident Method• Behavioural Anchored Rating Scale

Final Checklist For Performance Management System

• Process on well written job descriptions and job-related activities• Manager and employee collaborate on setting performance

objectives• Establish results (objectives) and behaviours • Ensure that the employee keeps a copy of the performance plan and

expectations set at the beginning of the performance management cycle• Provide monitoring and feedback on performance to the employee

• Adequate time for the performance to improve• Train managers on all aspects of the process and on how to reduce

bias and error in assessments• Ensure that the performance assessment form accurately documents

performance - if overall performance is poor say so• Periodically review the performance management process Establish

an appeals process

Thank you