1. Performance Management -Uttam Acharya

2. Objectives Explain the need and process of performance management
Analyse linkages of performance management and organizational effectiveness.
Identify performance intervention tools and techniques

3. Contents Need for performance management
Performance management process
Integrating effects of performance management
Performance management tools and techniques

4. Performance Management
Management = getting work done through/with others
Manager’s performance is only as good as his/her employee’s performance
Manager’s job = performance management of others
Performance = ability * motivation * support

5. Performance Management
Performance refers to “outcomes, results or accomplishments”
Rothwell, 2005
Rothwell (2005) describes performance as, “outcomes, results or accomplishments.” This is a simple yet profound concept. When all has been said, the question that remains to be asked is, “What have we accomplished?” I want to suggest that a key facet of our role as managers and supervisors in the Public Service is to ensure that at the end of the day, some positive results have been accomplished, results that contribute to improving the lives of the average citizen.

6. Components of Performance
Four components of performance
A performer
Behaviour
Situation
Results
Morhman et al ,1989
Morhman et al (1989) identify four separate components of performance. They state that, “A performance consists of a performer engaging in behaviour in a situation to achieve results.” The authors indicate that most types of appraisal systems focus on the performer, the behaviour or results. They go on to classify the types of performance appraisal systems into four categories: Performer- oriented approaches; behaviour-oriented approaches; results-oriented approaches and comparison-oriented approaches.

7. Performance Management-holistic approach
Organizational system
Focusing on employee performance
Consistently applied throughout organization
With a supporting structure

8. Need of Performance Management Systems
Result/outcome/Impact
Correct Performance/Behavior
Administer Salary & Wages
Plan for Future (promotion, transfer, career dev)
Facilitate Decision-Making (counseling, terminations)
Facilitate Human Resource Planning
Create Culture
Building Good Relationships
Increase Organizational Loyalty
Determine Effectiveness of Selection and
Placement Methods

9. Performance management-strategy
Performance management is,
“a continuous process of identifying, measuring and developing the performance of individuals and teams and aligning performance with the strategic goals of the organization.”
- Aguinis, 2005
Aguinis (2005) defines performance management as, “a continuous process of identifying, measuring and developing the performance of individuals and teams and aligning performance with the strategic goals of the organization.”

10. Performance management- not
“A system that involves employee evaluations once a year without an ongoing effort to provide feedback and coaching so that performance can be improved is not a true performance management system.”
Aguinis, 2005
He contends that, “a system that involves employee evaluations once a year without an ongoing effort to provide feedback and coaching so that performance can be improved is not a true performance management system.” He describes this rather, as only a performance appraisal system.

11. Principle of performance management
Supports organization’s strategy
Value based
Communicates organizational mission
Fulfills responsibilities to organizational members
Enables employees to manage own performance
Manages expectations (clarifies roles and responsibilities)
Creates partnership between management and employee
Emphasizes importance of measurement, feedback
Reinforces
Empowers employees

12. Contribution of performance management- employee
Clarify definitions of
Job
Key result areas KRA, Key performance area, Indicators
success criteria
Performance plan
Increase motivation to perform
Increase self-esteem
Enhance self-insight and development

13. Contribution of PM-manager
Communicate supervisors’ views of performance more clearly
Managers gain insight about subordinates
Better and more timely differentiation between good and poor performers
Employees become more competent

14. Contribution of PM-organization/HR
Clarify organizational goals
Facilitate organizational change
More appropriate for administrative actions

15. Performance planning
The term performance planning is used to describe the whole process of
forming an agreement and then
expressing it as a number of actions to be taken
by the individual,
by the manager or
by the individual and the manager jointly

16. Performance planning (work plan)
It is the normal activity of preparing and agreeing programmes for the achievements of the objectives.
It is a continuing activity because of the need to revise and update work plans to meet new demands or situations.
It may be incorporated specifically into the performance agreement as a record of any decisions made about future

17. Features of performance plan
Discussion about performance management
Encouragement
Guidance and orientation/training for basic skills
Joint agreement
Feedback
Review

18. Performance agreement
KRA-Key result areas/Principle accountabilities
Job holders are accountable for the achievement /outcome
Strong positive result realized
KPA – Key performance area/ assigned tasks/segregation of duties
KPI – Key performance indicators (practical-values, process; directional- following directives; actionable- initiate change how)
Will be quantified as targets, If not quantifiable, basis for defining performance standard / measures and indicators eg.profit, cost etc.
Performance Attributes and competencies

19. Improving Performance with plan
Action at organizational level (leadership, management role etc)
Department level
Team level
Action at the individual level
Select goal
Define expectations
Define performance measures
Monitor: progress
Manage under performance

20. Individual work objectives
Consistent (with Orgn. Dept. Unit objectives)
Precise
Challenging
Measurable
Agreed
Time related
Team work oriented

21. Setting performance Key Result Area-Responsibility
Key Performance Area-Tasks
Key Performance Indicator-Measurement-quantify- standardization

22. The performance management process
Mission and value statement
Objectives (org. dept. individual-aligning)
Performance agreement (Jobs, goal setting, different forms design)
Continuous performance management
Feedback
Preparation for review
Performance review
Feedback (moderating goals)
Development and training
Performance rating-performance related pay
Improved performance

23. The performance management cycle
Performance agreement
Performance review
Action
Performance plan
Monitor feedback and review

24. Performance management
Communicating performance management system
Performance agreement
Performance plan
Performance monitoring, feedback and evaluation
Final performance review

25. Techniques of performance management
Job analysis (Job description, Job design, job enrichment)
Performance appraisal(evaluation, rating scale)
Staff development/Training
Performance planning/Monitoring/feedback
Coaching and mentoring
Counseling
Job rotation
Rewarding/Praise/Recognition
Authority
Staff meeting
Grievance handling

26. Conclusion : How PM works
Improved performance
Performance effectiveness
Coaching /counseling
Performance agreement
Monitoring and review against performance agreement
Main performance review/appraisal

27. Thank you