1. LEADERSHIP LOUNGE Moving Beyond Power Machinations, Political Manipulations, Dominant Personalities and Organisational Pathologies Professional Integrity, Performance without Compromise and a Spiritual Perspective of the Workplace Bernie Althofer AFAIM M Ed MA BA Grad.Cert. Appld.Mnt. Cert IV in Assessment and Workplace Training 8 May 2007 Disclaimer: The views expressed in this presentation are those of the presenter and should not be taken to represent the views of any private or public sector organisation.

2. PURPOSE OF PAPER Provoke and stimulate discussion in relation to performance management and performance appraisals as a response to the negative 4 P issues identified at the July 2006 Lounge Provoke and stimulate discussion in relation to performance management and performance appraisals as a response to the negative 4 P issues identified at the July 2006 Lounge

3. FLASHBACK Negative 4 Ps Negative 4 Ps –Power machinations –Organisational politics –Organisational personality types –Organisational psychopathologies Key aspects of performance management Key aspects of performance management –Clearly defined expectations (employee) – negotiated –Having a conversation with the employee – wants and needs –Shared goals and objectives –Linked to – organisational goals and objectives, and development and training –Regular planning, review and reflections –Making sure good work is praised Key aspects borne from a bureaucratic and compliant organisational focus – little focus on wider issues that impact on performance management Key aspects borne from a bureaucratic and compliant organisational focus – little focus on wider issues that impact on performance management

4. WHAT IS PERFORMANCE MANAGEMENT? Performance management is considered to be the system which integrates organisational strategic management, performance information, evaluation, performance monitoring, assessment and performance reporting ( Organisation for Economic Cooperation and Development, 2004 ) Performance management is considered to be the system which integrates organisational strategic management, performance information, evaluation, performance monitoring, assessment and performance reporting ( Organisation for Economic Cooperation and Development, 2004 )

5. FOUR CHALLENGES Performance management and performance appraisal systems are well intentioned but dont work to encourage positive workplace behaviours Performance management and performance appraisal systems are well intentioned but dont work to encourage positive workplace behaviours Understanding organisational culture is absolutely critical in encouraging positive workplace behaviours Understanding organisational culture is absolutely critical in encouraging positive workplace behaviours Leadership is a misunderstood critical component of organisational life and everyone struggles with it to address negative workplace behaviours Leadership is a misunderstood critical component of organisational life and everyone struggles with it to address negative workplace behaviours Well intentioned learning and development improvement programs designed to reduce workplace conflict, stress and morale issues will have no longevity or permanency if not integrated with performance management and performance appraisal systems to eliminate negative workplace behaviours Well intentioned learning and development improvement programs designed to reduce workplace conflict, stress and morale issues will have no longevity or permanency if not integrated with performance management and performance appraisal systems to eliminate negative workplace behaviours

6. CHALLENGE ONE Performance management and performance appraisal systems are undertaken to meet bureaucratic and compliance requirements Performance management and performance appraisal systems are undertaken to meet bureaucratic and compliance requirements Lack of strategic alignment and commitment have a direct impact on effective implementation Lack of strategic alignment and commitment have a direct impact on effective implementation No real understanding of how performance management and performance appraisal systems help achieve team goals No real understanding of how performance management and performance appraisal systems help achieve team goals Integrity of performance management performance appraisals can be compromised when policy or procedural requirements are not followed Integrity of performance management performance appraisals can be compromised when policy or procedural requirements are not followed Performance management and performance appraisals need to vigorous, rigorous, ethical and relentless Performance management and performance appraisals need to vigorous, rigorous, ethical and relentless

7. CHALLENGE ONE (cont) Pronounced revival of interest in the 1990s as organisations in both the public and private sector reacted to the pressures of globalisation, much increased competition and greater scrutiny of all aspects of performance (Kramar et:al 2002:302) Pronounced revival of interest in the 1990s as organisations in both the public and private sector reacted to the pressures of globalisation, much increased competition and greater scrutiny of all aspects of performance (Kramar et:al 2002:302) Leaders at all levels have an opportunity to take measures to support performance management. Their comments on its importance and its linkage to organisational goals, their own involvement in performance management, and their monitoring and encouragement of it throughout the organisation are vital (Kramar et:al 2002:316) Leaders at all levels have an opportunity to take measures to support performance management. Their comments on its importance and its linkage to organisational goals, their own involvement in performance management, and their monitoring and encouragement of it throughout the organisation are vital (Kramar et:al 2002:316) Their disinterest and lack of involvement will undermine the efforts of others (Kramar et:al 2002:316) Their disinterest and lack of involvement will undermine the efforts of others (Kramar et:al 2002:316)

8. CHALLENGE ONE (cont) Even well designed performance appraisal systems can still fail if the implementation is handled poorly (Kramar et:al 2002:316) Even well designed performance appraisal systems can still fail if the implementation is handled poorly (Kramar et:al 2002:316) (Kramar et:al 2002:36) identified five common pitfalls that have a negative impact: (Kramar et:al 2002:36) identified five common pitfalls that have a negative impact: –Inadequate consultation with all the stakeholders during the design and implementation; –Inadequate skills and understanding of the system by those who will be giving appraisals; –Inadequate skills and understanding of the system by those who will be receiving appraisals; –Inadequate support from the executive and senior management levels; and –Overemphasis on filling out forms and the bureaucratic part of the process Any one of these issues can result in negative perceptions by the employee about the process, and the reactions may range from apathy to fear to hostility. This can undermine the best designed systems. (Kramar et:al 2002:316) Any one of these issues can result in negative perceptions by the employee about the process, and the reactions may range from apathy to fear to hostility. This can undermine the best designed systems. (Kramar et:al 2002:316) Performance management has the potential to enhance the performance of the organisation and make it a better place to work (Kramar et:al 2002:321) Performance management has the potential to enhance the performance of the organisation and make it a better place to work (Kramar et:al 2002:321)

9. CHALLENGE ONE (cont) managers are forced to commit to goals they dont believe are realistic (Levinson 2003:109) managers are forced to commit to goals they dont believe are realistic (Levinson 2003:109) the individuals needs and desires are absent from the performance management system: its assumed that these are in perfect alignment with corporate goals and that, if theyre not, the individual should move on (Levinson 2003:109)the individuals needs and desires are absent from the performance management system: its assumed that these are in perfect alignment with corporate goals and that, if theyre not, the individual should move on (Levinson 2003:109) the major reason appraisal failed was that supervisors disliked playing God by making judgements about another persons worth (McGregor as reported by Levinson 2003:109)the major reason appraisal failed was that supervisors disliked playing God by making judgements about another persons worth (McGregor as reported by Levinson 2003:109) I doubt very much that the failure of appraisal stems from playing God or feeling inhuman. My own observation leads me to believe that managers experience their appraisal of others as a hostile, aggressive act that unconsciously is felt to be hurting or destroying the other person (Levinson 2003:109) I doubt very much that the failure of appraisal stems from playing God or feeling inhuman. My own observation leads me to believe that managers experience their appraisal of others as a hostile, aggressive act that unconsciously is felt to be hurting or destroying the other person (Levinson 2003:109) the appraisal situation, therefore, give rise to powerful, paralyzing feelings of guilt that make it extremely difficult for most executive to be constructively critical of subordinates (Levinson 2003:109) the appraisal situation, therefore, give rise to powerful, paralyzing feelings of guilt that make it extremely difficult for most executive to be constructively critical of subordinates (Levinson 2003:109)

10. CHALLENGE TWO Impact of culture in a multicultural society – leaders need to understand the significance and complexity of this Impact of culture in a multicultural society – leaders need to understand the significance and complexity of this Rituals, slogans, traditions and myths embodied in the organisational culture Rituals, slogans, traditions and myths embodied in the organisational culture Organisational culture Organisational culture –Referred to as a set of values, beliefs, and behaviour patterns that form the core identity of organisations, and help in shaping the employees behaviours (Rashid et: al (2003:710) Corporate culture Corporate culture –Also the dominant values espoused by an organisation or a set of values and assumptions that underlie the statement this is how we do things around here (Rashid et: al 2003)

11. CHALLENGE TWO (cont) Importance of culture Importance of culture –Culture is the personality of an organisation; the glue or invisible mortar that holds the entity together (Barker:2004) Need to understand unwritten ground rules that dictate what is acceptable and what is not acceptable Need to understand unwritten ground rules that dictate what is acceptable and what is not acceptable –When leaders fail to understand unwritten ground rules, the values they (leaders) are attempting to espouse may not become embedded in organisational culture (Simpson:2004)

12. CHALLENGE THREE Seven heavenly virtues of leadership (Dunphy and Pitsis:2003) Seven heavenly virtues of leadership (Dunphy and Pitsis:2003) Wisdom Wisdom Humility Humility Courage Courage Integrity Integrity Compassion Compassion Humour Humour Passion Passion –Decisions are wise when they take into account the wider context and are not made on some more limited base for judgement such as egoism, prejudice or intellectual understanding alone (Dunphy and Pitsis 2003) –Wisdom transcends religion, gender, age, generation, sexual orientation, culture and any form of identifier that seeks to categorise people and society (Dunphy and Pitsis 2003:188)

13. CHALLENGE THREE (Cont) Seven deadly sins of leadership (Dunphy and Pitsis 2003:188) Seven deadly sins of leadership (Dunphy and Pitsis 2003:188) Gluttony Gluttony Greed Greed Envy Envy Lust Lust Vanity Vanity Wrath Wrath Sloth Sloth –They capture the essence of the critical barriers in the pursuit of wisdom (Dunphy and Pitsis 2003)

14. CHALLENGE THREE (cont) Many definitions and theories of leadership but of particular relevance is to be a good judge of people, to be able to delegate and mould together a team, yet be able to supervise autonomous and independent individuals (Delahaye 2000:242) Many definitions and theories of leadership but of particular relevance is to be a good judge of people, to be able to delegate and mould together a team, yet be able to supervise autonomous and independent individuals (Delahaye 2000:242) Biggest problem organisations have in terms of performance review (appraisals) is BLM – Be Like Me – (Berens:2002) Biggest problem organisations have in terms of performance review (appraisals) is BLM – Be Like Me – (Berens:2002) Some people in managerial or supervisory positions did not understand the systems approach and consequently many staff under their control displayed temperament patterns associated with motivation, communication and stress resulting in conflict and resentment towards appraisal processes (Berens:2002) Some people in managerial or supervisory positions did not understand the systems approach and consequently many staff under their control displayed temperament patterns associated with motivation, communication and stress resulting in conflict and resentment towards appraisal processes (Berens:2002)

15. CHALLENGE THREE (cont) Leadership is about the creation and maintenance of a climate and conditions for the achievement of goals and the attainment of high performance – a situation in which leadership involves working with others through others – (Sawatzki:1997) Leadership is about the creation and maintenance of a climate and conditions for the achievement of goals and the attainment of high performance – a situation in which leadership involves working with others through others – (Sawatzki:1997) Leadership is about emotional intelligence, willingness for self- reflection and examination, and commitment to connect with others and to coach. These interpersonal skills, together with the understanding that leadership happens at all levels, are the issues with which both genders seem to struggle (Barker:2002) Leadership is about emotional intelligence, willingness for self- reflection and examination, and commitment to connect with others and to coach. These interpersonal skills, together with the understanding that leadership happens at all levels, are the issues with which both genders seem to struggle (Barker:2002) Making leadership work – studies focusing on trait and style – approaches are difficult to apply in the modern context where organisations must be viewed as complex, adaptive organisations that exist and operate as living systems in a rapidly changing and highly uncertain business environment (Barker 2002:5) Making leadership work – studies focusing on trait and style – approaches are difficult to apply in the modern context where organisations must be viewed as complex, adaptive organisations that exist and operate as living systems in a rapidly changing and highly uncertain business environment (Barker 2002:5)

16. CHALLENGE THREE (cont) Leadership is like pornography – you know it when you see it (Onsman:2003) Leadership is like pornography – you know it when you see it (Onsman:2003) Dominant, submissive cultures exist at all levels (Onsman:2003) Dominant, submissive cultures exist at all levels (Onsman:2003) Issues manifested through: Issues manifested through: –A lack of trust in management –Staff conflict –Politicking –Favouritism –Unwillingness to participate in development opportunities –Non-compliance with organisational policies –Egos and self aggrandisement –Resistance to change –Varying levels of staff morale All subsets of organisational cultures and individual personalities that need to be managed and massaged by an effective leader All subsets of organisational cultures and individual personalities that need to be managed and massaged by an effective leader Ignore them at your peril Ignore them at your peril

17. CHALLENGE THREE (Cont) Every leader is good (Kellerman:2004) Every leader is good (Kellerman:2004) Some bad or untrustworthy persons often occupy and successfully fill top leadership positions, and it high time leadership experts acknowledge this (Kellerman:2004) Some bad or untrustworthy persons often occupy and successfully fill top leadership positions, and it high time leadership experts acknowledge this (Kellerman:2004) If leaders are like the rest of us: trustworthy and deceitful, cowardly and brave, greedy and generous (Kellerman:2004) the part of the organisational culture that needs to be changed is the personality of the leader as they will lead the collective stupid If leaders are like the rest of us: trustworthy and deceitful, cowardly and brave, greedy and generous (Kellerman:2004) the part of the organisational culture that needs to be changed is the personality of the leader as they will lead the collective stupid

18. CHALLENGE FOUR Well intentioned learning and development improvement programs designed to reduce workplace conflict, stress and morale issues will have no longevity or permanency if not integrated with performance management and performance appraisal systems to eliminate negative workplace behavioursWell intentioned learning and development improvement programs designed to reduce workplace conflict, stress and morale issues will have no longevity or permanency if not integrated with performance management and performance appraisal systems to eliminate negative workplace behaviours Learning and development should be a strategic issue that ties into performance managementLearning and development should be a strategic issue that ties into performance management Focusing on the negative may have a compounding effect Focusing on the negative may have a compounding effect A failure to identity causal factors may result in more of the same A failure to identity causal factors may result in more of the same A failure to develop and provide continuous learning and development at all levels of an organisation may not enhance the ability of leaders to develop effective workplace relationships A failure to develop and provide continuous learning and development at all levels of an organisation may not enhance the ability of leaders to develop effective workplace relationships

19. CHALLENGE FOUR (cont) Leaders must have an understanding of the complex, adaptive organisations that exist and operate as living systems in a rapidly changing environment Leaders must have an understanding of the complex, adaptive organisations that exist and operate as living systems in a rapidly changing environment No organisation can ever expect to implement a performance management or performance appraisal system that works perfectly No organisation can ever expect to implement a performance management or performance appraisal system that works perfectly Organisations are better off with the system than without it Organisations are better off with the system than without it Positive leadership at all levels are implicit in leading performance Positive leadership at all levels are implicit in leading performance

20. OBSERVATIONS Performance management and performance appraisal systems have become too bureaucratic, compliance focussed and time consuming Performance management and performance appraisal systems have become too bureaucratic, compliance focussed and time consuming Leaders and managers spend less time Managing By Walking Around and less time leading performance and more time administering paperwork Leaders and managers spend less time Managing By Walking Around and less time leading performance and more time administering paperwork Performance management and performance appraisals are generally not well understood and the strategic, operational and individual benefits have been undersold to leaders Performance management and performance appraisals are generally not well understood and the strategic, operational and individual benefits have been undersold to leaders Learning and development is not linked through the strategic plan to performance management or to other HR or operational practices Learning and development is not linked through the strategic plan to performance management or to other HR or operational practices

21. OBSERVATIONS Performance management and performance appraisals systems need to complied with if it is intended that they and the organisations corporate governance withstand all forms of scrutiny Performance management and performance appraisals systems need to complied with if it is intended that they and the organisations corporate governance withstand all forms of scrutiny Irrespective of the system, performance management and performance appraisals have to be open, transparent, and driven without compromise or breach of integrity Irrespective of the system, performance management and performance appraisals have to be open, transparent, and driven without compromise or breach of integrity Leaders at all levels have an obligation to understand performance management systems that are used in their organisations Leaders at all levels have an obligation to understand performance management systems that are used in their organisations Performance management in its many forms is a fact of life Performance management in its many forms is a fact of life Not all leaders choose to support performance management or any other measures required to improve personal or organisation wellbeing Not all leaders choose to support performance management or any other measures required to improve personal or organisation wellbeing

22. CONCLUSIONS Performance management and performance appraisals are not universally accepted by all employees in organisations Performance management and performance appraisals are not universally accepted by all employees in organisations Effective performance management is critical in achieving efficiency and effectiveness Effective performance management is critical in achieving efficiency and effectiveness Some performance management and performance appraisals systems have become an organisations worst enemy when not understood or supported Some performance management and performance appraisals systems have become an organisations worst enemy when not understood or supported Leaders and managers need to understand the complexities of organisational culture Leaders and managers need to understand the complexities of organisational culture Everyone is a leader and can influence others either positively or negatively Everyone is a leader and can influence others either positively or negatively Performance management and performance appraisals are time consuming and involve communicating with people Performance management and performance appraisals are time consuming and involve communicating with people There is no simple solution to leading performance There is no simple solution to leading performance

23. CONCLUSIONS (cont) There should be opportunities for leaders and managers to talk with their fellow employees about the issues There should be opportunities for leaders and managers to talk with their fellow employees about the issues If no-one talks about their concerns, nothing will change If no-one talks about their concerns, nothing will change If no-one provokes discussion, nothing changes If no-one provokes discussion, nothing changes Integrity of performance systems and structures is a vital positive counter balance to the negative 4 Ps Integrity of performance systems and structures is a vital positive counter balance to the negative 4 Ps Integrity of those systems and structures is a mechanism or vehicle for the positive 4 Ps Integrity of those systems and structures is a mechanism or vehicle for the positive 4 Ps Integrity of the systems and structures is paramount to organisational wellbeing as well as strategic clarity and continuity, empowerment of people, teamwork and partnerships and performance (measurement and management) Integrity of the systems and structures is paramount to organisational wellbeing as well as strategic clarity and continuity, empowerment of people, teamwork and partnerships and performance (measurement and management)

24. AUDIENCE COMMENTS AND OBSERVATIONS In your groups, can you identify three key learnings you will take from this presentation? In your groups, can you identify three key learnings you will take from this presentation? As a member of the community, are you satisfied that performance management and performance appraisal is working for you and your agency in achieving organisational goals and objectives? As a member of the community, are you satisfied that performance management and performance appraisal is working for you and your agency in achieving organisational goals and objectives? Thank you Thank you