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Managing People & PerformanceOrganizations

Unit I

Introduction to Performance

Management

Presented by

Ms.Poornima Mathur

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Learning Objects

What is performance

Concept of Performance Management Linkage of PM with other HR sub systems.

Definition or Performance management

Difference between performance management &Appraisal.

Issues

Role of PM in OD

Framework for performance management

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What is performance?

Performance is getting the job done

Producing the result that you aimed it.

Performance can be defined as the success inmeeting pre-defined objectives, targets and goals.

If you dont reach the objectives, may be youhavent performed well enough.

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Performance Management

It includes activities to ensure that goals are consistently

being met in an effective and efficient manner. Its a goalcongruentWIN-WIN plan.

Communicate

Observe

Set goals

Evaluate

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Concept of PM

The phrase used first time in 1976 by Beer and Ruh.

But not recognized until the mid 1980s.

PM is now accepted as a HR management practice.

Emphasis has been shifted to command and control

system towards a commitment based system. It aims at improving organizational performance in

order to attain and sustain its competitive advantage.

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Cont

It can be categorized into two ways.

1. First one deals with the performance of an organisation as

a whole and evaluates the effectiveness of its managers.

2. It deals with the system of evaluating employees in order

to enable them to achieve reasonable goals

PM is an important organizational tool to clarify

performance objectives, standards, critical dimensions and

competencies to enhance individual performance.

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Linkage of PM with other HR sub-systems

Recruitment

& Selection

Training &

Development

Reward

system

Mentoring and

Counseling

Industrial

Relations

HRP

Performance

Management

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Definition of Performance Management

Performance management may be defined as a

planned and systematic approach to managing theperformance of individuals ensuring their personal

development and contribution towards

organizational goals.

(Ronnie Malcon 2007)

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Why do performance management ?

Communicating goals, mission, values, purpose

Improve working relationships Improve management

Identify and communicate strength and areas forimprovement

Provide feedback Develop

monitor

Support

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Performance Appraisal isnt th

ePerformance Management

Dont make a mistake by thinking that evaluating

performance is the same thing as managingperformance. Its not !!

Evaluating the performance is but one part of a

performance management system. If you only

evaluate the system and dont do the other part, you

will fail !!

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Difference between PM & PA

Emphasis is on performance

improvement of individual, teams

and organisation.

Emphasis is on performance

planning, appraisal and

development.

Focus on identifying developmentneeds at the beginning of the

appraisal year.

Linked to performance

improvement and through them to

other HR decisions

Emphasis is on relative

evaluation of individuals

Emphasis is on rating and

evaluation.

Focus on identify development

needs at the end of theappraisal year.

Linked to Promotions, transfer,

training and development

Performance Appraisal Performance Management

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Issues in Performance ManagementIssues in Performance Management

Appraisal Design

Formal and informal

What methods?

When to evaluate?

What to evaluate?

Whose performance?

Who are the raters?

What problems?

How to solve?

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What do employees want

Clear Expectations.

Positive/constructivefeedback on regular basis.

Understand evaluation

criteria

Involvement in goalsetting

Accurate job descriptions.

Be treated fairly andconsistently

Sharing of info and

resources

Job/career enrichmentopportunities.

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Role of PM in Organizational Development

1. It helps to review an organization/group/team or individual'sperformance

2. It helps to reinforce behavioral and cultural norms3. It helps to plan and ready your workforce for the future businessdirection4. It helps to develop your team

Communicates organization & department goals

Builds stronger working relationships

Improves productivity Supports HR decisions: promotions, raises, etc.

Assures HR decisions are based on objective criteria

Identifies poor/marginal performers

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Framework for performance Management

A performance management framework brings together the

strategies, plans, policies, quality of life indicators and

performance measures (both national and local) that enableresidents, Members, managers and other stakeholders to see

how the Council measures up in comparison to its own

previous performance and in comparison to other councils

It is designed to provide a consistent approach to the wayservice performance and quality is managed, monitored,

reviewed and reported at all levels in the organisation i.e.:

corporate, departmental and service level.