Presentation on theme: "Performance Evaluation/Management Training"— Presentation transcript:
1 Performance Evaluation/Management Training March 12, 2015By Michele Smith, HR Manager
2 What is the purpose of performance evaluation and performance management? Collectively, this means: To positively impact job satisfaction, employee retention, loyalty, and commitment. To assess and ensure that the employee is carrying out his/her duties, ensuring all employees have clarity and are aware of the level of performance expected of them in that role, as well as any individual objectives they will need to accomplish to achieve overall personal success and meet organizational objectives. This process defines the expectations in terms of roles, responsibilities and accountabilities, required competencies and the expected behaviors.
3 What is the definition of performance evaluation? DefinitionsWhat is the definition of performance evaluation?Performance Evaluation: Involves a formal discussion about an employee's development and performance. It involves setting a plan of action (expectations and meeting or exceeding goals and a plan by means of which those expectations can be met) for the next period and reviewing what has been achieved in the last period. Essentially, it is used to measure job performance during a specified period of time. This is considered the planning process.What is the definition of performance management?Performance Management: Aims at building a high performance culture. It is an ongoing process of informal communication between a supervisor and an employee that occurs throughout the year. It is a continuous and systematic process that allows a company to ensure efficiency in reaching a set of business objectives. The process involves employees and entails planning, monitoring, development, rating and rewarding, all directed toward the goal of improving overall organizational efficiency and effectiveness. This is the guiding/coaching process.
4 Performance Evaluation vs. Performance Management A Matter of Perspectives Evaluation Management One time event Ongoing Retrospective Prospective Short Term Long Term Correction oriented Progress steps Completing Form Planning/goal setting
5 What are the objectives? To help the employees in identifying the knowledge and skills required for performing their job efficiently.To promote a two-way system of communication between the supervisors and the employees.To clarify the vision, mission, goals, responsibilities, priorities and expectations; providing clarity on expectations about the roles and accountabilities, communicating the functional and organizational goals, and providing regular and transparent feedback for improving employee performance and continuous coaching.To identify the barriers to effective performance and resolving those barriers through constant monitoring, coaching and development interventions.To create a basis for several administrative decisions, such as: hiring, compensation, strategic planning, succession planning, and promotions (talent and human capital management).
6 What is the impact of a poorly structured performance management process? If individual goals are not aligned with business strategy, SMART, or job relevant, then time and resources are wasted. Low employee morale and low engagement levels may mean that individuals are not performing at their best.Inconsistent evaluation criteria and recognition and rewards can lead to mistrust, lower productivity and higher attrition.If top performers see no differentiation in performance ratings, opportunities and compensation from underperformers, morale can suffer and turnover may increase.Keep in mind: An annual process will not adequately alert managers to problems in a timely manner. And, a lack of proper documentation related to performance may result in legal issues. Check in, schedule follow-up meetings, and document (good/bad) as appropriate.
7 Guiding Principles & Tips Be sure to deliver timely relevant feedbackSet and communicate clear performance expectations and SMART goals:SpecificMeasurableAchievable/AttainableRelevant/RealisticTime-BoundIdentify organizational career paths for employeesEvaluate performance and deliver incentives in a fair and consistent mannerProvide appropriate learning and development opportunitiesRecognize and reward top performersFeedback should be specific, constructive and based on more than one situation or event. In other words, it should be focused on patterns. It should be forward-looking and solution-orientedDocument - Take specific notes! This is very important!And remember, stay away from:Halo/Horn Effect – Where you rate employees the same on every trait, influenced by one or more outstanding characteristics, either positive or negativeCentral Tendency – The lack of rating differentiation between employees (i.e. average, regardless of performance)Leniency – Where you avoid honest ratings to avoid conflict; the tendency to evaluate all people as positive or negative and to give inflated ratings rather than true assessments of performanceRecency – Where you have a narrow focus on recent events vs. patterns of behaviorSimilarity/Like me – Favorable ratings given to employees who have similar values or interests to the raterContrast– The tendency for a rater to evaluate a person relative to other individuals rather than performance expectations
8 Nothing should ever come as a surprise to your employees! What is the bottom line?Managers need to know their employees and what motivates them! You must work toward building trusting work relationships, and keep an open dialogue with your staff. Keep apprised of their progress, track their progress (while it is fresh!), and identify any adjustments and execute on those timely to reach set goals on time. Seek to draw out their strengths and use those to your advantage, and be sure to address areas of improvement promptly. Get your employees to take charge of their own individual success and for those underperformers, get them involved in the problem-solving process!Very important: There should be consistent and timely communication with your employees throughout the year, with praise and recognition where appropriate. Recognize successes and improvements.Nothing should ever come as a surprise to your employees!Note: Having manager "buy-in“ is critical in the performance management process. Managers must understand that individuals have different levels of comfort, abilities and experiences with their jobs, including paces, which will require different levels of input, support and supervision, and…….. lots of patience! Be well prepared, follow-up, and document, document, document!