1. Infrastructure Delivery Management Toolkit:
2010 Edition
Practice Guide 3: Performance Management
development through partnership

2. Contents of this presentation
The value of Performance Management
The benefits of Performance Management
The principles of Performance Management
The practice of Performance Management
development through partnership

3. The value of performance management
The value to the executive manager in using these performance management processes will:
Allow the department to function more effectively and efficiently
Free up executive time to focus on strategic issues to improve service delivery
Protect the executive from surprises when internal or external reports are published on perceived performance

4. The benefits of performance management
Benefits to Senior Management
Structured focus of limited resources on strategic objectives
Effective efficient deployment of resources
Performance information for improved decision making
Decrease in wasted effort dealing with unintended consequences
Better performance of individuals and organisation
Accurate decision information to take management action

5. The benefits of performance management
Benefits to Junior Management:
Structured, planned day to day work, with reduced ad-hoc detractions will allow the focus required to get the job at hand done well
Comfort that planned work is adequately resourced to be delivered on schedule
Ability to demonstrate a clear link between inputs, activities and outputs and the desired strategic objectives being served by such
Protection to junior and middle management by their ability to substantiate exactly how the lack of input resources (financial and human) will affect the achievement of high level objectives.
An objective and impartial structured performance management system that can measure the performance of infrastructure related work performance so that those well-performing managers can be rewarded for their good efforts.

6. Performance Management for Infrastructure Delivery Management
The Principles

7. Compare actual against Planned
Outcomes Performance Management Approach
Agree desired Impacts
Agree necessary Outcomes
Specify Outputs
Plan Activities
Plan and Provide Inputs
Critical
Reflection
to understand under-performance
Confirm achieve-ment of Impacts
Monitor and Evaluate Outcomes
Monitor and Evaluate Outputs
Perform Activities
Deploy Inputs
Compare actual against Planned
Managerial action to correct unacceptable outcomes

8. Performance Management for Infrastructure Delivery Management
The Practice

9. A0 - Performance Management
Controls
Policy
Strategy
Performance Management
What do we want to achieve?
How will we know when we have achieved it?
What are we going to do to achieve it?
Who of us are responsible for what?
How do we improve performance?
Inputs
Plans
Budgets
Resource input; activities; outputs
Performance Data
Outputs
Accountability
Improved Performance
Mechanisms
Performance management system

10. A1 - Performance Management
What do we want to achieve?
How will we know when we have achieved it?
What are we going to do to achieve it?
Who of us are responsible for what?
How do we improve performance?
Controls
Policy
Strategy
Inputs
Plans
Budgets
1 - Develop Performance Indicators
3 - Publish Performance Information
Outputs
Accountability
Inputs
Resource input; activities; outputs
Performance Data
2 - Monitor & Evaluate Progr, Proj and Ops Performance
4 - Review & Appraise Performance of Individuals
5 - Take Management Action
Outputs
Improved Performance

11. Link Indicators and RACI to Individual Performance Agreements1
Publish Performance Information 3
Take Management Action 5
Develop Indicators from Strategic Plan Objectives
Develop Indicators from Programme Plans and Budgets
Develop Indicators from Project / Operational Plans and budgets 1
Monitor & Evaluate Impacts against plan
Monitor & Evaluate
Inputs, Activities and Outputs against plan 2
Monitor & Evaluate Outcomes against plan
Measure against plan 2
Deploy inputs
Perform Activities
Produce Outputs
Review / Appraise
Individual Performance 4
Numbers refer to Roadmap steps

12. 1 2 3 4 5 Measure Act Plan Measure Plan Do
Numbers refer to Roadmap steps
Publish Performance Information
Review / Appraise
Individual Performance
Link Indicators and RACI to Individual Performance Agreements
Take Management Action
Monitor & Evaluate Impacts against plan
Develop Indicators from Strategic Plan Objectives
Develop Indicators from Programme Plans and Budgets
Develop Indicators from Project / Operational Plans and budgets
Monitor & Evaluate
Inputs, Activities and Outputs against plan 1 2 3 4 5
Measure against plan
Deploy inputs
Perform Activities
Produce Outputs
Monitor & Evaluate Outcomes against plan
Measure
Act
Plan
Measure
Plan Do

13. The Roadmaps and Steps

14. Roadmap 1

15. Roadmap 2

16. Roadmap 3

17. Roadmap 4

18. Roadmap 5

19. A1.5 - Take Management Action
1. Obtain and study performance related information and Critically reflect on root causes of good and bad performance
2. Extract and disseminate learning to improve performance
3. Take appropriate action to address causes of poor performance

20. Performance management for infrastructure delivery
Example

21. The role of the RAM
Programme Structure
Corporate Structure

23. Earned Value Management
EVM Indicators

24. Guidelines
1) Policy Framework for the Government-wide Monitoring and Evaluation System; November 2007; The Presidency
2) Framework for Managing Programme Performance Information; May 2007, National Treasury
3) Improving Government Performance: our Approach; 2009, The Presidency
4) The Standard for Program Management, Second Edition, published by the Project Management Institute.
5)The Guide to the Project Management Body of Knowledge (PMBOK), Fourth Edition, published by the Project Management Institute
6) Guide for the implementation of Provincial Quarterly Performance Reports - published by National Treasury 1 Apr 2009
7) Generic Monitoring & Reporting Guidelines for Infrastructure Projects (2006 toolkit 3S01)

25. Conclusion and questions
Thank you