performance management process

1. PERFORMACE MANAGEMENT PROCESS (PMP)

2. • Every company wants happy and motivated employees.
• Especially considering recent research found a positive
correlation between happy employees and satisfied
customers. If your employees are happy, they work harder,
and the customer benefits.
• But how do you ensure employees stay motivated and
continually improve their performance?

3. • One way is through building a performance
management process that works for your business and
your people.
• we’ll define the performance management process,
outline some key benefits of implementing one, and
show you in 4 steps how to implement your own.

4. What Is A Performance Management Process?
• Performance management is exactly as it sounds. It’s
the process of managing employee performance.
• In technical terms, the performance management
process is a collaborative effort between management
and their employees where they work together to
make observations, set a plan, and monitor the
performance toward achieving specific objectives.

5. • It goes further by providing the tools, knowledge, and
support needed through various communication
milestones.
• Management will help individual employees boost their
performance by setting goals, checking in with them at
certain intervals, and offering up feedback.
• When performed correctly, it’s a rewarding process for
both employees and management.

6. Performance Management Process Steps
 Pre- Requisites
• In this phase, your organization’s mission and desired
future position are defined as part of setting a strategy.
• This process is then cascaded across the departments
to set targets for each department.
• Each department should be supporting the
achievement of your organization’s main mission.

7. • Within the department, the targets are then
distributed across the teams. The tasks
needed, methodologies, knowledge, skills
required for each specific job are further
identified in the form of a job description.

8.  Planning
• The planning phase is a collaborative effort involving both
managers and employees during which they will:
• Review the employee’s job description to determine if it
reflects the work that the employee is currently doing.
• Identify and review the links between the employee’s job
description, his or her work plan, and the organization’s
goals, objectives and strategic plan.

9. • Develop a work plan that outlines the tasks or deliverables to be
completed, the expected results and the measures or standards
that will be used to evaluate performance.
• Identify critical areas that will be key performance objectives for the
year. The choice of areas may be determined by the organization’s
strategic plan, by the employee’s desire to improve outcomes in a
certain part of his or her job or by a need to emphasize a particular
aspect of the job.

10. • Identify training objectives that will help the
employee grow his or her skills, knowledge
and competencies related to the work.
• Identify career development objectives that
can be part of longer-term career planning

11. Write S.M.A.R.T. Goals
• Often, the most difficult part of the planning phase is developing
clear and appropriate language to describe performance objectives
and measures or indicators of success. S
• supervisors need to ensure that the performance objectives are a
good representation of the full range of duties carried out by the
employee, especially everyday tasks that take time, but are often
not identified as significant accomplishments. The objectives and
indicators need to be S.M.A.R.T.

12. • SPECIFIC (S)
Clearly specify the task to be done, when it must be completed, who is to accomplish
it, and how much is to be accomplished.
• MEASUREABLE (M)
Use multiple measures if possible, for example, quantity, quality, time frame and cost.
Ask questions such as: How much? How many? How will I know when it is
accomplished?
ATTAINABLE (A)
Ensure there is a reasonable path to achievement and an excellent chance that
objectives will be accomplished.

13. • RELEVANT (R)
Goals should be aligned with the organization’s overall
mission or strategy. Goals measure outcomes, not
activities.
• TIME BASED (T)
Set a clear time frame for achieving performance
objectives/goals. In most cases, objectives must be
completed by the end of the performance review period.

14.  Excution
• Performance management includes coaching employees to address
concerns and issues related to performance so that there is a
positive contribution to the organization.
• Monitoring day-to-day performance does not mean watching over
every aspect of how employees carry out assigned activities and
tasks. Managers should not micro-manage employees, but rather
focus their attention on results achieved, as well as individual
behaviors and team dynamics affecting the work environment.

15. During this phase, the employee and supervisor should
meet regularly to:
• Assess progress made toward meeting performance
objectives
• Identify barriers that may prevent an employee from
accomplishing performance objectives and what can be
done to overcome them
• Share feedback on progress relative to the goals

16. • Identify changes in the work plan that may be
required as a result of a shift in organization
priorities or when an employee is required to
take on new responsibilities
• Determine if any extra support is required from
the managers or others to assist the employee in
achieving his or her objectives

17. Provide Feedback
 Feedback is specific information provided to the employee that
communicates how the employee’s behavior is affecting the
workplace.
• Feedback can be factual (based on observations of the employee’s
behavior and its resulting consequences) or emotional (based on
how other people react to the employee’s behavior).
• Ideally, both types of feedback should be shared with the employee
in a feedback meeting.

18. • Positive feedback involves telling an employee about good
performance.
• Make this type of feedback timely, specific, and frequent as
recognition for effective performance is a powerful motivator.
Constructive feedback alerts an employee to areas in need of
improvement.
• Feedback should be descriptive, detailed, and focused on the
action, not the person.
• The main purpose is to help people understand where they stand in
relation to the expected performance and behaviors.

19. • If an employee is not meeting performance
expectations, managers need to provide
constructive and honest feedback.
• It’s important to do this before an issue escalates
into a significant problem. On the next few slides,
you will find a few points to consider when giving
constructive feedback.

20. Give Effective Feedback
• Prepare and State the Facts
• Consider the issue(s) you want to address in the meeting and
confirm the facts of the performance or behavior problem.
• Make sure you know and can describe the details of the
event(s) that necessitated the coaching session.
• Select a meeting location that provides privacy and minimal
interruptions.
• Approach the discussion calmly with objectivity and clarity

21. • Speak in a non-threatening tone. ӹ Describe
performance or behavior issues in an objective,
factual, and nonjudgmental fashion.
• Provide specific examples.
• Identify the impact the employee’s
actions/behaviors have on coworkers or the
organization as a whole.

22. Agree on an Action Plan
• Ask the employee to suggest a plan that addresses the
issue and offer your suggestions when necessary.
• Agree on a specific plan of action that details the steps
the employee must take toward improvement the plan
to implement change and the agreed upon time frame
for completing the action plan.

23. • Document the action plan and keep it in the
employee’s performance management file. If the
plan also serves as a type of formal discipline, it
must be placed in the employee’s personnel file
as well.
• Specify the consequences to the employee if the
performance/ behavior issue is not resolved.

24.  Performance Assessment
• Performance assessment is the next stage followed by
performance execution.
• In this phase, the employee and manager both are
responsible to measure and assess
• the performance of employee against his targets. The process
should comprise to the extent of individual targets, behaviors
or attitude and special achievements during the performance
appraisal cycle.

25.  Performance Review
• The performance review stage is a platform where the
subordinate and superior exchange performance
feedbacks and review performances against given
targets or goals to individual.
• To make the performance review successful, the
involvement and exchange of dialogue are equally
essential between employee and his manager.

26. • Apart from performance review, they also discuss
about the development plans, trainings to
improve skills and knowledge, next year goals
and targets and expectations of employee and
manager both. Hence, this stage is considered the
base of next year performance appraisal cycle as
well.

27.  Performance Renewal and Reconstructing
• The performance management process is an ongoing
continuous process.
• Once the performance has been reviewed and end, then the
cycle starts for the next performance appraisal. It should be
again align with next year organization mission, goals and
objective and integrated with departments goals In facts, it is a
process which starts all over again which needs to be discuss,
design, develop , executed and review again.

28. Strategic planning
• a process that involves describing the organization’s destination,
assessing barriers that stand in the way of that destination, and
selecting approaches for moving forward? The main goal of
strategic planning is to allocate resources in a way that provides
organizations with a competitive advantage. Overall, a strategic plan
serves as a blueprint that defines how the organization will allocate
its resources in pursuit of its goals. Strategic planning serves the
following purposes:

29. • First and foremost, strategic planning allows
organizations to define their identities. In other words,
it provides organizations with a clearer sense of which
they are and what their purposes are. Second, strategic
planning helps organizations prepare for the future
because it clarifies the desired destination. Knowing
where the organization wants to go is a key first step in
planning how to get there.

30. • Third, strategic planning allows organizations to analyze their
environment, and doing so enhances their ability to adapt to
environmental changes and even anticipate future changes.
Although knowledge of the environment does not guarantee that
an organization will be more likely to change and adapt, knowledge
is the first step toward possible adaptation. Fourth, strategic
planning provides organizations with focus and allows them to
allocate resources to what matters most.

31. • There are several steps that must be considered in the creation of a
successful strategic plan. These include:
(1) The conduct of an environmental analysis (i.e., the identification of the
internal and external parameters of the environment in which the
organization operates);
(2) The creation of an organizational mission (i.e., statement of what the
organization is all about);
(3) The creation of an organizational vision (i.e., statement of where the
organization intends to be in the long term, say, about 10 years);

32. (4) Setting goals (i.e., what the organization intends to do in
the short term, say, one to three years); and
(5) The creation of strategies that will allow the organization
to fulfill its mission and vision and achieve its goals (i.e.,
descriptions of game plans or how-to procedures to reach the
stated objectives). After each of these issues has been
defined, organizational strategies are created so that the
mission and vision are fulfilled and the stated goals are met