PERFORMANCE MANAGEMENT

Session: 10 Prof: Yasmin S

Yasmin

Concept of Performance Management

An effective performance management system aligns individual performance with the organizations mission, vision and objectives
American Compensation Association

Performance management is a process for establishing shared understanding about what is to be achieved, and an approach to managing and developing people in a way which increases the probability that it will be achieved in the short and long term. Performance management is a means of getting better results from the teams and individuals within an agreed framework of planned goals, objective and standard
Armstrong and Murlis
Yasmin 2

Basic aim of Performance Management

When people know and understand what is expected of

them, and have taken part in forming these expectations,

they will use their best efforts to meet them. The capacity to meet expectations depends on the levels

of capability that can be achieved by individuals and

teams, the level of support that is given to them by the management, and the processes, systems and resources

made available to them by the organization

Yasmin

Introduction
It is an on-going, year round, interactive process between Managers/Supervisors and employees aimed at achieving better results for continual organizational improvement. It is the most important and productive activity a manager can pursue, because if it is done well, employees will perform in the right was to get the right results. If it is ignored or poorly done, employees performance results and motivation suffers and the manager may end up doing the employees work rather than managing
Yasmin 4

Introduction
The whole idea therefore of PM is to manage the performances of our employees bearing in mind their strengths and weaknesses and effectively coach and counsel them on how to improve their performance, so that the business can continually be improved.
It does not focus on judging a comparative rating of an employees performance. It encourages the employee to solicit, and the supervisor to provide frequent, constructive feedback that can be put to use in enhancing performance.
Yasmin 5

Performance Management Its a management process for ensuring employees are focusing their work efforts in ways that contribute to achieving the agencys mission. It consists of three phases: (a) setting expectations for employee performance, (b) maintaining a dialogue between supervisor and employee to keep performance on track, and (c) measuring actual performance relative to performance expectations.

Yasmin

What is Individual Performance?

It is the outcomes of an employees job description and performance objectives for the reward the employee receives. Individual performance should:
Be aligned with the organization and the business units objectives Be specifically planned annually on the front-end and assessed periodically. Contribute to the overall success of the organization. Be expected to increase/improve each year as learning and growth are necessary to sustain competitiveness. Become more challenging each year and change as organizations respond to changes in the competitive environment.
Yasmin 7

Why Measure Performance ?

Because What you cannot measure you cannot improve. If you cannot improve you cannot grow. Measurement helps in objectively differentiating between performers and non performers.

Yasmin

Objective of PM
To confirm the services of probationary employees upon their completing the probationary period satisfactorily To check the effective & efficiency of individuals, teams & organization To effect promotions based on competence and performance To access the training and development needs of the employees To decide upon the pay rise PM can be used to determine whether HR programmes such as selection, training, and transfer have been effective or not.
Yasmin 9

Performance Cycle
SETTING EXPECTATIONS

PROVIDING ACTIONABLE COACHING & FEEDBACK

Yasmin

OBSERVING BEHAVIOUR AND MEASURING RESULTS

10