All Inclusive Performance Management Unleashes Creativity

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1 All Inclusive Performance Management Unleashes Creativity Katie Kaneko, President Georg Krammer, Chief Executive Officer December 7, 2017 Agenda The All Inclusive Performance Management System Performance Management: An Overview Performance Management Elements: Core Competencies Goals and Objectives The Performance Appraisal Process Questions and Comments 2 The All-Inclusive Performance Management System 1

2 2017: A Full Breadth of Options Formal performance reviews or not Forced ranking Continual feedback 360 Degree reviews Competencies Goals and Objectives Numerical and narrative rating systems Pay tied to performance 4 All-Inclusive Performance Management Systems Performance Management Systems should be in alignment with the strategy, culture and operations of the organization All Inclusive Performance Management Systems choose those program elements (e.g., formal reviews, numerical systems, competencies) that make the most sense to the organization Emphasis is not on trendiness, but on alignment 5 Performance Management: An Overview 2

3 What is Performance Management? Performance management is an ongoing process of communication between a supervisor and an employee that occurs throughout the year in support of accomplishing the strategic objectives of the organization. 7 What can Performance Management accomplish? Employee Effectiveness Goals and Objectives Builds Competencies Employee s Contribution Workforce Alignment Develops Careers Drives Business Results Rewards Employees 8 Benefits to Organizations Attract, retain and motivate employees Performance > goals & objectives Create alignment around process Establish & define competencies 9 3

4 Benefits to Organizations, cont d. Individual goals & objectives Establish overall performance rating Clarify Performance and Rewards Links Foundation of pay for performance 10 Benefits to Employees Ongoing feedback Tools, resources and training Career development Continuing assistance to enhance performance 11 Linkages to Strategy Align strategy to performance measures Provide employees with understanding of role in executing strategy 12 4

5 Performance Management Elements: Core Competencies Goals and Objectives Core Competencies Values critical to achievement of organizational objectives Clearly identifiable behaviors Typically six to eight for employees, eight to ten for supervisors Broad competencies are recommended 14 Core Competencies, cont d. CUSTOMER SERVICE LEADERSHIP TEAM PLAYER RELIABILITY JOB KNOWLEDGE 15 5

6 Core Competencies, cont d. Customer Service Client/resident service (external customers) Vendor service (external customers) Employee service (internal customers) Team Player Teamwork Support of mission Accepts direction Open to change Upholds values 16 Core Competencies, cont d. Reliability Appearance of work station Attendance Safety practices Upholds organizational values and supports mission Takes responsibility Job Knowledge Compliance with rules Skill level Operation and care of equipment Quality of work 17 Core Competencies, cont d. Leadership Staff communication Staff development Provides staff support Accountable for end results Community involvement Responsive to employee concerns Exemplifies agency values 18 6

7 Measuring Core Competencies Five Point Rating Scale 1. Exemplary 2. Exceeds Standards 3. Fully Effective 4. Development Needed 5. Not Meeting Minimum Requirements Alternative Models 19 Define Core Competency Performance Ratings Initiative / Innovation Ability to approach issues effectively, resourcefully, and creatively to improve operations. Willingness to seek out and accept challenging new responsibilities. Exemplary A self-starter who always completes work w/little or no supervision. Takes calculated risks to improve operations. Seeks, generates, and implements imaginative options. Meets challenges with resourcefulness. Exceeds Standards A self-starter who completes work with minimal supervision. Willing to take risks in many situations. Seeks imaginative options. Seeks increased responsibilities. Fully Effective Completes work with little supervision and takes direction well. Often makes suggestions, supports change, and demonstrates initiative. Attempts to improve work processes. Development Needed Requires frequent intervention, usually not receptive to new ideas, and resists change. Makes occasional attempts to improve process. Not Meeting Minimum Requirements Requires supervision, never receptive to new ideas, and cannot cope with change. Seldom makes suggestions. Resistant to change. Does not attempt to improve work processes. 20 Goals A broad statement of desired results for the agency, department or work group Goals are: Broad in scope Long term and on going in nature Brief and clear statements of desired outcomes Require one or more specific objectives to be achieved Within the manager s area of responsibility and/or authority, and Mutually agreed upon 21 7

8 Objectives Major basis of individual s performance Useful objectives are job related and similar for like jobs Typically 3 4 objectives are associated with each goal Balance between short term and long term objectives, as well as type of objectives 22 Objectives, cont d. SMART Objectives are: Written at an acceptable level of performance Prepared upon completion of the manager s goals 23 Four Types of Objectives Maintenance: Significant activities keeping the operation going Example: Trains new employees Problem Solving: Improves a procedure that will increase department effectiveness and end results Example: Revises purchasing procedures 24 8

9 Four Types of Objectives, cont d. Creative: Initiates a new program, project or service in order to move the organization to new and higher levels of performance Example: Automates a process Professional Development: Enhances management techniques Example: Attends a management workshop 25 Developing Goals & Objectives: Considerations How do departmental/divisional goals and objectives relate to employee goals and objectives? What are the goals and objectives tied to? Who is responsible for meeting goals and objectives? What is the timeframe for meeting goals and objectives? Why are these goals and objectives important and why now? 26 Examples of Goals and Objectives Organizational Goal: Maintain a workplace environment that attracts and retains capable employees. Departmental Goal: Employ staff that are committed to our mission Objective 1: Create a recruitment video by 1/15 Objective 2: Design campaign to build commitment to the vision by 1/15 Objective 3: Develop a plan for Greening the workplace by 1/31 Objective 4: Evaluate staffing structure and make recommendations to ensure appropriate staffing within funding by 1/

10 Developing Objectives Management and Employee Share the responsibility of developing objectives Identify potential barriers to meeting objectives 28 Summary Successful Performance Management Programs Clear and open communication is the impetus for change Ensures everyone involved is fully informed and understands the specifics of the program Objectivity Provides tools that make the process as simple as possible Ensures adequate time and resources 30 10

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