1. Performance Management Training
Module 00: Overview of Performance Management Program
(xx min)
<<link to online training>>
Welcome.
This training module provides an overview of the new performance management program for SHRA employees at all University of North Carolina institutions.
Additional and more detailed training modules on the performance management program are available at: >link<
This module takes approximately XX minutes to complete.

2. Module 00 - Objectives
Introduce new performance appraisal program for SHRA employees
Identify concerns from previous programs and strategies to address them
Provide overview of key elements of new performance program
This training module will:
Introduce the new performance appraisal program for SHRA employees;
Identify some concerns voiced about previous performance management programs and identify strategies in the new system to address these concerns;
And, provide an overview of the key elements of the new University performance management program.

3. SHRA Performance Appraisal Policy
Review by State Human Resources Commission
Approved: February 4, 2016
Effective Date: April 1, 2016
Coverage
All SHRA employees across UNC system
Phased Implementation
Performance plans completed by October 1, 2016
Annual appraisal completed by May 30, 2017
Some timeline adjustments may occur on some campuses
First, some background on the new policy.
The state agencies started a new performance management program in July of 2015.
The Office of State Human Resources allowed UNC to delay implementing the performance management program and modify the program for the University, so long as the UNC policy was consistent with certain parts of the agency policy.
The human resources offices at each UNC institution worked with UNC General Administration to develop the new policy.
The State Human Resources Commission approved the new policy on February 4, 2016 with an effective date of April 1, The policy applies to employees who are subject to the State Human Resources Act, also known as SHRA employees. (What used to be called SPA employees.)
The new performance cycle begins April 1 of this year. Normally, performance plans for the cycle would be due no later than May 30. However, to provide additional time for supervisors and employees to learn about the new program through the summer and early fall months, the deadline for completing and issuing performance plans for this first cycle has been extended to October 1. The annual appraisal will be due no later than May 30, 2017.
The implementation schedules for individual UNC institutions may vary. You campus Human Resources office will provide additional information about the timeline for your campus.

4. Program Goals Issues of Concern Strategies to Address
Not “value-added”
Time-consuming and Cumbersome
Rating Inflation and Inconsistency
No Connection of Performance and Pay
No Development Opportunities
Link to University mission / goals
Streamlined format, targeted and pre-populated content
Standardized categories and structured calibration process
Expected in new comp program / Connects to other policies
Link performance goals to career development goals
Now, let’s talk about some goals of the new program.
Until now, each UNC institution had its own performance management program based on a broader policy from the Office of State Human Resources. Some parts of these programs were the similar, but there were also a lot of differences. Over time, different issues of concern have been raised by employees, supervisors, and human resources administrators. Here are some of the ways the new program seeks to address these concerns.
1. First, some have said that the performance management programs don’t seem connected to the work employees do or add any value to how employees do their work. Some feel that it is nothing but extra paperwork. This may partly be because the expectations often stay the same year to year, so it feels like having the same conversation over and over. The new program is designed to link to the University’s current mission and strategic goals. By shifting moving to a goals-based system and setting some expectations that are specific to the current performance cycle, the value of the process should become clearer to supervisors and employees.
2. Time-Consuming and Cumbersome. Many have also said that their current processes are too cumbersome and too time consuming. The new program includes a set of performance standards called “institutional goals” that apply to all employees. This should reduce the amount of content that supervisors are required to maintain to address the broader business needs and allow them to focus more attention on strategic individual goals. The evaluation comments also have been streamlined, which should feel less time-consuming to supervisors. The new program also makes sure that supervisors are targeting current performance needs. For those campuses using a paper form, there is a new appraisal template that should help to simplify the process for supervisors.
3. Rating Inflation and Inconsistency. In the past, not all campuses had consistent performance categories for rating all employees. The new program creates “institutional goals” for all SHRA employees across the UNC system. Rating everyone on the same standards should also make it easier for management to compare “apples to apples”. This should help in making clearer distinctions between performance that is not meeting, meeting, or exceeding expectations. The new program also creates a process for supervisory teams to discuss performance expectations and outcomes in order to increase consistency in setting expectations and assigning ratings.
4. No Connection between Performance and Pay. Currently, we don’t have a pay for performance program. The State is expecting to move to a pay for performance program within the next few years, which in part is why the State has made some of these changes to the performance management program. Some may think, if there isn’t pay attached, why should we do this process at all? But pay isn’t the only policy that connects with performance management; performance ratings are also tied to development and promotional policies as well as proper procedures for corrective action, grievances, and reductions-in-force. While we launch the new program, we have the opportunity to explain to supervisors and employees how it necessary to do the performance management process correctly in order for other university policies to function properly.
5. Development Opportunities. For example, one human resources program that connects to performance management is career development. The new goals-based performance management program targets specific work outcomes. With the institutional goal categories now standardized across the UNC system, career development staff can tie institutional goals to specific training programs for both enhance employee skillsets and to assist in correcting any performance difficulties. For example, if a supervisory team determines that employees in their area are consistently rating lower in one area of performance, such as customer service or safety compliance, then training programs could be developed around those topics to improve performance.

5. Program Goals Issues of Concern Strategies to Address
Redundant Documentation
Inaccurate/Outdated Content
Performance versus Conduct
Paper-Process
“That’s Not My Job”
Make position description and PM complement each other
Update PD/PM to meet current business needs
Addresses both functional and behavioral aspects of work
Electronic process system-wide
“Other Duties as Assigned”
6. Redundant Documentation. Over time, many supervisors have started using the performance plan as a substitute for the position description. As will be discussed in later training modules, the position description and performance plan are connected to each other, but have different purposes and should contain different content. For example, the job description is used to classify positions, set salary ranges, and define essential job duties for disabilities accommodation and workers compensation programs. The focus on the job description is in describing what the job is, the focus in the performance plan is to describe how well work needs to be completed.
7. Inaccurate or Out-dated Content. Sometimes, jobs change over time or performance expectations change over time. And, sometimes, the documents used to record job duties or performance expectations aren’t updated to match what is currently expected from employees. It is important that both the position description and the performance plan are consistent with each other and with the work the employee is performing. As we launch this new program, we are expecting supervisors to review their current position descriptions and ensure that they are up-to-date.
8. Performance versus Conduct. Some performance management programs focus mostly on the functional aspects of employee work. Some also include certain behavioral aspects of employee work. At times, there has been confusion about how to address conduct problems on the performance appraisal. The institutional goals in the new program make it clear that performance management covers both the functional and behavioral, that is, both the job performance and personal conduct aspects, of employee work.
9. Paper Process. Currently about half of the UNC institutions are using a paper process and about half are using an electronic system. The goal for all UNC institutions is to move to a consistent electronic system, which should make it easier for both supervisors and employees to complete the process. An electronic system will also make it easier to review performance data for consistency, trends, and targeted employee development. Some institutions will be able to implement updated or new electronic systems quicker than others.
10. Not in performance plan. We often hear employees say, “that’s not in my performance plan.” We will discuss in later training modules why not everything can be listed in a performance plan. All employees may be required at times to do additional work based on business needs due to vacancies, short-term special projects, or to address other business needs. The teamwork institutional goal in the new program includes an expectation that employees may need to perform work not normally assigned to them. We are also advising supervisors to update position descriptions to be accurate to the work employees are doing so that position classifications are accurate to the work employees regularly perform. The position description can also note that other duties may be assigned as needed.

6. Program Goals Make process clearer and less cumbersome
Streamline/target content of performance plan
Move to an electronic system
Create standardized categories for evaluation
Define satisfactory level of work at “meeting expectations” for business needs
Tie institutional goals to campus development program
<<This is just a recap from the previous slide, so you can talk through it quickly in summary>>
So, to summarize the goals of the new program:
First, to make the process clearer and less cumbersome by having one program for all UNC institutions, streamlining and targeting the content of the performance plans, and moving to an electronic system.
Second, to create standardized categories for evaluation of employee performance, by establishing the institutional goals for all SHRA employees with clear guidelines for what meeting expectations looks like. This also provides a consistent set of categories that can be tied to skill and career development opportunities.

7. Program Goals Increase accuracy and defensibility of ratings
Address both performance and behavior/conduct
Ensure position/performance management consistency
Improve ease of quality control and data analysis
Promote honest and clear communication
<<This is just a recap from the previous slide, so you can talk through it quickly in summary>>
Third, to increase the accuracy and defensibility of performance ratings by ensuring that ratings address both performance and conduct aspect of work, that performance goals align with the job duties in the position description and the strategic goals of the University, and that data analysis and quality control can be more easily reviewed and measured.
And, finally, the rollout of the new performance management program provides an additional opportunity to promote honest and clear communication between supervisors and employees throughout the performance management process.

8. Program Structure Performance Cycle Performance Plan (due May 30)
April 1 to March 31
Performance Plan (due May 30)
Five Institutional Goals set by University (plus one additional goal for supervisors)
Three to five Individual Goals set by supervisor
Talent Development Goals as deemed appropriate
Now, let’s take a quick look at the structure of the new performance management program. The details of the program will be discussed more fully in other training modules, but let’s review the basics of the policy:
First, the performance cycle for all UNC institutions will be April 1 through March 31 of each year.
The performance plans, or work plans, for the performance cycle must be provided to employees within the first 60 days of the cycle, so, no later than May 30. (Again, this deadline has been extended to August 31 for the first year.)
The performance plan includes five institutional goals: Expertise, Accountability, being Team-Oriented, being Customer-Oriented, and Compliance & Ethics. These goals are set by UNC General Administration and apply to all SHRA employees. There is one additional institutional goal, Leadership, for supervisors.
The performance plan also includes three to five individual performance goals. These are set by the supervisor and can change from year based on current business needs. Individual goals may be specific to an individual employee or may apply to all employees in a particular job classification, work unit, or department.
Finally, the performance plan may also include career development goals for employees to be achieved this performance cycle.

9. Program Structure Coaching and Feedback Off-cycle Reviews
Clarification of Expectations Memos
Off-cycle Reviews
Interim
Probationary
Transfer
Employee-Requested
Management-Driven
Throughout the performance cycle, supervisors and employees may use coaching and feedback processes to clarify performance expectations. Supervisors may provide a “clarification of expectations” memo, sometimes called a memo of understanding or a counseling memo, to document performance or conduct issues and clarify the expectations for the employee in order to resolve the issue.
The new policy also provides opportunities for more formal check-ins throughout the performance cycle to discuss performance issues and work progress. These are collectively called “off-cycle” reviews. They are not required to be as detailed as the annual performance appraisal. There are several types of off-cycle review, including interim, probationary, transfer, employee-requested, and management-driven. These will be discussed in more detail in other training modules.

10. Program Structure Performance Appraisal (due May 30)
3-pt rating scale for each goal and final overall rating (Not Meeting, Meeting, or Exceeding Expectations)
Individual goals equal 50% of final rating
Institutional goals equal 50% of final rating
One overall comments section
Employee can include written comments
At the end of the performance cycle is the annual performance appraisal. The cycle ends March 31, and the appraisals must be completed within 60 days, so they are due no later than May 30.
Each goal on the performance plan is rated on a 3-point scale: Not Meeting, Meeting, and Exceeding Expectations. The individual goals equal 50% of the final overall rating and the institutional goals equal the other 50% of the final overall rating. The final overall rating is also on the same 3-pt scale: Not Meeting, Meeting, and Exceeding Expectations.
There is one overall comments section for supervisors to describe the employee’s work performance for the year. Individual campuses may choose to provide comments with each rating item.
Employees are also able to provide their own written comments about the evaluation.

11. Program Structure Calibration Sessions
Supervisory teams meet at beginning of cycle to set performance goals
Supervisory teams meet at end of cycle to ensure consistency in performance ratings
Required for employees in similar positions
Best practice for other positions
Supervisory teams will meet at the beginning of the cycle and the end of the cycle in what are called “calibration sessions.” Calibration is a process of setting consistency in performance expectations and ratings for employees in similar positions.
The first calibration session occurs at the beginning of the cycle to set individual goals that may apply to employees in similar positions. It can also be used to confirm consistent understanding among supervisors of performance expectations for institutional goals and to align specific individual goals with the University’s strategic goals.
The second calibration session occurs at the end of the cycle to review expectations set in the first calibration session and to ensure that ratings are being applied consistently across employees and their work.
The management team may hold these meetings simultaneously, looking at ratings for the ending year and then shifting to talking about goals for the upcoming year.
Although it is not required for all positions, only employees in similar positions, these conversations within management teams will help to ensure consistency in rating all employees.

12. Program Structure Employee Records Appeal Rights
Retain documents for at least 3 years
Hiring supervisors can review performance documents for final candidates
Appeal Rights
Final Overall Rating of “Not Meeting Expectations”
University SHRA Employee Grievance Policy
Performance management documentation is retained by the University for at least 3 years. This has not changed from previous state policy.
There was a change in North Carolina statute in 2015 that now allows University and state agency hiring supervisors to review performance management documents of current or former state employees who are the final candidates for a state position.
Finally, the University SHRA Employee Grievance Policy allows employees to grieve a final overall rating of “Not Meeting Expectations” on their annual performance appraisal.
Again, this is a brief summary of the key aspects of the program. Other training modules will discuss each of them in more detail.

13. Next Steps Start Performance Cycle Additional Training
Performance Plan Due
End Performance Cycle
Annual Appraisal Due
April 1, 2016
Spring/Summer 2016
October 1, 2016
March 31, 2017
May 30, 2017
So, what are the next steps in implementing the new performance management program?
The new performance cycle begins April 1, Some UNC institutions whose current cycle ends after April 1 may choose to delay the start of the new performance cycle in order to complete their current performance cycle as usual. You will receive information from your institution’s human resources office for your campus’ specific implementation schedule.
Additional training and resource materials will be provided to both supervisors and employees. Performance plans for most campuses will be due in October 1, 2016 for campuses launching this performance cycle.
The performance cycle will end March 31, 2017, and the annual appraisal must be completed prior to May 30, 2017.
Again, your human resources office will provide additional information on the implementation timeline for your institution.

14. Module 00 - Review Introduced new performance appraisal program
Identified strategies to address previous concerns
Provided overview of new program structure
Now, let’s review.
In this module, we introduced the new performance management program, effective April 1, 2016.
We discussed ways that the new program will address past concerns about the performance management process.
And, we provided a brief overview of the structure of the new program.

15. Performance Management Training
Module 00: Overview of Performance Management Program
<<link to online training>>
Thank you for your participation in this training module. Please go to >link< to find more training modules on performance management and related University policies.
For additional information on the performance management program, please contact the Human Resources office at your institution.