PPP Ratings & Discussion Guide

Transcription

1 PPP Ratings & Discussion Guide Helping you to achieve your potential About this guide The purpose of this guide is to explain in more detail about the new rating scales for PPP. It will also support managers when considering how to rate their employees at PPP. It covers how to rate individual objectives and behavioural competencies (BCs) using the new 5 point rating scale as well as how to map overall ratings onto the new, end-of-year 9 box grid. Finally, it guides managers through the different performance and development conversations they will need to have with their employees depending on how they have been rated at the final review.

2 Contents Section 1: PPP Ratings Rating objectives 1.1 Using the 5 point rating scale to rate individual objectives. 3 Rating Behavioural competencies (BCs) 1.2 Using the 5 point rating scale to rate individual BCs Consolidating ratings and the 9 box grid 1.3 Consolidating the ratings to a single objectives rating and a single BC rating How to use the end-of-year PPP ratings (9 box grid) Section 2: PPP Discussions Guide Guidance on Feedback 2.1 Using the 9 box grid to support performance and development discussions 9 Version 2.0 2

3 Section 1: PPP Ratings Rating objectives 1.1 Using the 5 point rating scale to rate individual objectives At the end of the performance year, as part of an individual s final review, managers will need to decide whether the individual has achieved each of the agreed objectives. From the PPP cycle, we will use a 5 point rating scale to help managers accurately describe to what extent each objective was achieved. As part of your preparation for PPP meetings, in the same way you do now, managers and employees will think about the examples/evidence they have, or need, to demonstrate whether the expected level of performance has been achieved. You may need to seek feedback from other people, either within LR or externally, in addition to your own examples/evidence. Here are some key things to remember about reviewing performance against objectives: 1) It is much easier to identify whether targets and measures have been achieved if they are described accurately and clearly at the beginning of the process when the objective is first agreed. 2) Remember that progress and performance against objectives should have been reviewed throughout the year, not just at the formal PPP reviews. 3) If an objective changed or became irrelevant after it was set (because of a change to the business priorities for example), the objective should either have been changed to reflect the new circumstances, or removed or a new objective agreed instead, before the final PPP review Once the examples/evidence has been reviewed and discussed, managers should then be able to decide how each objective should be rated against the 5 point scale shown below: The scale is colour-coded for ease of reference: As a general guide: Amber - some improvement required o o 1 (amber): The objective has not been achieved 2 (amber): The objective has been achieved to some extent but fallen short of target Green on target o o 3 (green): The objective has been fully achieved 4 (green): The objective has been exceeded in some aspects White exceptional result o 5 (white): The objective has been significantly exceeded Version 2.0 3

4 Once managers have decided which rating is appropriate for each objective, they should mark the relevant rating box in Section 1 of the PPP form for each objective; each objective must have its own rating. Rating Behavioural Competencies (BCs) 1.2 Using the 5 point rating scale to rate BCs Managers and employees will have highlighted at least 4 BCs from the individual s role profile to focus on at the beginning of the performance year. At the end of the performance year, as part of an individual s final review, managers will need to decide whether the expected level of behaviour has been achieved in those identified. Managers will also need to consider and rate the other BCs from the role profile not identified as a key focus for the year. How you do this is described later. From 2013, as with the objectives, there is a 5 point rating scale to help managers decide to what extent the required behaviour level is being met. As part of your preparation for PPP meetings, managers and employees will need to think about the examples/evidence they have, or need, to demonstrate whether the expected level of behaviour has been achieved. You may need to seek feedback from other people, either within LR or externally, in addition to your own examples/evidence. Both the manager and the employee have an equal responsibility to provide examples and evidence if there are none, the behaviour should be rated as not meeting the required level. An informal self-assessment tool has been developed to help employees consider their progress and development against the relevant BCs. Managers should encourage their team members to complete the self-assessment if appropriate and share their results with them. This will help when assessing performance against the required behaviours. The self- assessment tool is aligned with the BC Dictionary and provides clear indicators for each level so you can more objectively assess if the required level has been demonstrated. Here are some key things to remember about reviewing BCs: 1) Everyone should be demonstrating all the BCs at the level required for the role; this includes the indicators at the levels below as the scales are intended to be 'cumulative'. For example, if you are required to achieve level C for External Focus, you are also expected to display the behaviours described in levels A and B for this BC. 2) Remember that BCs should have been reviewed throughout the year, not just at the formal PPP reviews. 3) If one of the BCs not highlighted as a key focus begins to negatively impact performance during the year, then this BC should have been re-prioritised as a focus before the final PPP review. The BC indicators in the BC Dictionary will also help managers decide which rating best applies; whilst this should not be a tick box exercise, the indicators describe what good looks like and will help them to decide whether the individual is meeting the requirements for their role. It is useful to look at the indicators at the level above and the level below as well as those at the required level. Once the examples/evidence has been reviewed and discussed, managers will then be able to decide how each BC should be rated against the 5 point scale shown below. The scale is colour-coded for ease of reference: Version 2.0 4

5 As a general guide: Amber - some improvement required o o 1 (amber): Demonstrates a limited number of indicators for this behaviour and/or several of the negative indicators 2 (amber): Demonstrates some indicators for this behaviour at the required level but the majority at the level below Green on target o o 3 (green): Demonstrates most indicators for this behaviour at the required level 4 (green): Demonstrates all indicators for this behaviour at the required level and some at the level above White exceptional result o 5 (white): Demonstrates all indicators for this behaviour at the required level and most at the level above Once managers have decided which rating is appropriate for each BC, they should mark the relevant rating box in Section 2 of the PPP form for each BC; each BC must have its own rating. As said above, managers also need to consider all the other BCs not identified as a key focus for the PPP year, as they are still relevant to the role. In the All other BCs row at the bottom of page 2 of the PPP form, managers should write a summary of how the individual has performed against these remaining BCs as it is important to give an all-round view of their performance in relation to the behaviours. Here is an example of what might be included in this box at year end: The BCs described in the PPP form were the key focus for this performance year, however, in general X has demonstrated most indicators at the required level for the other relevant BCs for their role so the rating for all other behaviours is 3 (green). We have agreed to focus on X BC next year as this is an area they would like to develop further. Note that it would be unusual for this rating to be lower than a 3 (green) in that if development is needed in any of the remaining BC s then they should have been highlighted as a focus before year end. Version 2.0 5

6 Consolidating Ratings 1.3 Consolidating the ratings to a single objectives rating and a single BC rating The 5 point ratings for each individual objective and each individual BC need to be consolidated into one overall score for objectives and one overall score for BCs. The following provides guidance on how to consolidate individual ratings into a single rating. When there is a significant majority of scores with equal weighting then the majority rating would be used, e.g This example is based on the majority rating (the statistical mode), as all the behaviours are equally weighted. If there a mix of ratings and ratings are again weighted equally we recommend that an average score is used with the final score rounded up or down as appropriate, e.g In this example, the total of the scores is 22, which is then divided by the number of ratings (6); an average score of 3.7 would be indicated and rounded up to 4. If the individual ratings are not equally weighted - e.g. two objectives are major, so would carry more of the effort and resources for the year and would have significantly more impact on LR than the other objectives - then the ratings for these should be given more significance and drive the rounding up or down in a certain direction, e.g In this example, the total of the scores is 19 and is divided by the number of ratings (6); an average score of 3.2 would be indicated but, due to the heavy weighting of the two objectives highlighted and the low significance of the two lower scores, it would be appropriate to round the score up In this example, the total of the scores is 17 and is divided by the number of ratings (6); an average score of 2.8 would be indicated but, due to the heavy weighting of the two objectives highlighted, it would be appropriate to round the score down to a score of 2 Clearly there will always be judgement involved, particularly in terms of emphasis and weighting of certain objectives or behaviours. We suggest that the average rating is a strong starting point, from which the judgement is whether to round up or down based on the weighting of the individual ratings. If certain behaviours or objectives are more significant in terms of expected effort and impact then this should have been made clear when setting targets and in feedback throughout the year. Version 2.0 6

7 The overall objective rating descriptions are: 5 Majority of objectives significantly exceed expectations 4 Objectives met with some exceeding expectations 3 Objectives have been fully achieved 2 Some key objectives have not been fully achieved 1 Main objectives have not been achieved To reiterate: when providing the overall rating, managers should give consideration to the weight or significance of the objectives. Objectives should be written to be balanced, however it is possible that several objectives are considered key or critical and these should be given prominence in the overall rating, as in the example shown above. Some other factors to be considered might be the extent to which external factors affected the individual s ability to meet the objective. The overall BC rating descriptions are: 5 Majority of behaviours demonstrated above level for role 4 Majority of behaviours meet requirements, some at level above 3 Behaviours fully meet the requirements for the role 2 Development required to meet role requirements 1 Behaviours significantly below role requirements To reiterate: managers should give consideration to the weight or significance of the BCs. Around 4 BCs will feature in the PPP as a key focus for the year. These should be a balance of those critical to achievement of objectives and those that need development, so some may be weighted more heavily than others. This should be considered when providing the overall rating. Other factors might also be considered such as the time and effort an individual has given to developing a BC. Version 2.0 7

8 End-of-year rating and 9 box grid 1.4 How to use the end-of-year PPP ratings (9 box grid) The final step is to transfer the overall objective rating and the overall behaviour rating onto the 9 box grid to define the final rating: On the what scale, find the colour/number that matches the overall objective rating On the how scale, find the colour/number that matches the overall BC rating. Where these two points meet on the grid defines the overall end-of-year rating and/or description The end-of-year ratings have descriptive phrases like Core Performer and Unrealised Potential. This helps to differentiate performance more effectively and supports more targeted feedback and development conversations, recognising that different types of performance require different actions from the manager and individual. Guidance in using this grid for feedback and performance and development conversations is provided in the next Section (2). Version 2.0 8

9 Section 2: PPP Discussions Guide Guidance on Feedback 2.1 Using the 9 box grid to support performance and development discussions The 9 different descriptions of performance - which vary according to what an individual has achieved (objectives) and how they ve achieved them (behaviours) differentiates different types of performance. It also allows a more meaningful dialogue between managers and employees about what specific development and/or actions need to take place in order for the individual to achieve their full potential. For example; An individual who has been rated overall as Unrealised Potential is clearly demonstrating the relevant behaviours and values in terms of how they approach their work but has fallen short of achieving their objectives; in this case the manager should investigate what the possible barriers to delivery might be for example, is it a lack of resources or key tools, conflict with other teams, a lack of empowerment or authority levels, or a gap in knowledge? In contrast, an individual who has been rated overall as Under Developed Performer has significantly achieved their objectives and results but some of the ways that they have approached their work may not be in line with the required behavioural standards. This performance conversation would therefore be focused on the key behaviours required for the role and how they can be developed and improved. The BC development guide would be a useful tool to assist in identifying development options for this individual. The remainder of this Section will give managers some ideas about how they might give feedback to individuals as well as some suggestions about the types of development and/or actions that need to take place, depending on which box an individual has been rated against. Please use these as suggestions rather than a script. Use words that are authentic for you and consider the individual s own style and preferences. Version 2.0 9

10 Rating: Under Developed High Performer Position: White objectives, Amber behaviours Definition: Exceptional results achieved but behaviours below requirements This individual may be an expert in their field, someone who is well respected for their knowledge or achievements, and is able to perform tasks and achieve at a very high level. However, the way in which they approach their work in terms of the behaviours they display may not be as effective as their results delivery, and may have a negative impact on others; for instance, they may rely on their expertise or status and neglect relationships or opportunities to share or expand their experience and knowledge. Suggested discussion points: You re a high achiever and making a significant impact in LR with these results and we now need to address some of the ways you approach your work, some of the ways you are approaching your work are having some unhelpful impacts on You re a role model for results, now we need to develop you to become a role model for... Bringing your behaviours up to the right level for your role will give you a better chance of achieving your full potential. Let s use the BC self-assessment tool to identify which behaviours would benefit most from development. This tool will help us by looking specifically at the levels required for your role but it might also be useful to look at the level above and the level below as well as some of the negative indicators. It might also be helpful for you to complete the online 360 feedback tool to gain a perspective from others who work with you. Let s use the BC Development Guide to identify ways of improving those behaviours identified. How would you prefer to develop this behaviour? Do you learn better by reading books or online modules, by observing someone else, or by practice and feedback or a combination of all these? The learning styles questionnaire might help to identify your preferred learning style. What support will you need, and from whom, to help you develop this behaviour? Version

11 Rating: Under Developed Performer Position: Green objectives, Amber behaviours Definition: Good results achieved but behaviours below requirements This individual may be an effective performer when it comes to achieving results and objectives but the way in which they approach their work and the behaviours they display may not be conducive to the levels required for their role. Some negative behaviour may have been observed and there will have been some examples of this. They are likely to be experienced in their field or role but have not yet adapted to the culture and behavioural expectations of LR. Suggested discussion points: You re achieving the results we need, which is great. If we can now look to improve your approaches in some situations I would fully expect you will become a core or indeed exceptional performer in future. Bringing your behaviours up to the right level for your role will give you a better chance of achieving your potential. Let s use the BC self-assessment tool to identify which behaviours would benefit most from development. This tool will help us by looking specifically at the levels required for your role but it might also be useful to look at the level above and the level below as well as some of the negative indicators. It might also be helpful for you to complete the online 360 feedback tool to gain a perspective from others who work with you. Let s use the BC Development Guide to identify ways of improving these behaviours. How would you prefer to develop this behaviour? Do you learn better by reading books or online modules, by observing someone else, or by practice and feedback or a combination of all these? The learning styles questionnaire might help to identify your preferred learning style. What support will you need, and from whom, to help you develop this behaviour? Version

12 Rating: Under Performer Position: Amber objectives, Amber behaviours Definition: Limited results achieved and behaviours below requirements This individual is performing below the levels required, both in the results they achieve and the behaviours they display. They may be new in role and need guidance or close supervision to improve their performance, or they may be actively disengaged with LR or in the wrong job. It is important to be clear about expected standards and agree specific action plans and timescales to improve performance. Bear in mind that an overall performance description of Under Performer (amber/amber) will always result in a discussion about how the individual needs to improve and develop their results and behaviours, irrespective of whether they ve been rated as 1/1 or 2/2. However, the nature of the conversation may differ as someone rated as 2/2 is closer to effective performance than someone rated 1/1, but they are both still underperforming to some degree and this needs to be addressed. Suggested discussion points You re clearly struggling to meet the requirements of the role, we need to understand why and develop an action plan so you can meet the expectations of the role. We will continue to do this informally so you have a chance to demonstrate some improvement. We have already put a performance improvement plan (PIP) in place but there is still some work to do to bring your performance results and your behaviours up to the level required for the role. What stopped you achieving your objectives? What could you have done differently to remedy the situation? What knowledge, skills or experience gaps contributed to your performance this year? How can you close those gaps? Let s use the BC self-assessment tool to identify which behaviours would benefit most from development. Let s use the BC Development Guide to identify ways of improving these behaviours. How would you prefer to learn? Do you learn better by reading books or online modules, by observing someone else, or by practice and feedback or a combination of all these? learning styles questionnaire and learning style What support will you need, and from whom, to help you develop? We need to have clear timelines for improvement. For each of the actions you agree to take, we need to have a clear deadline for achieving it. Version

13 Rating: Unrealised Capability Position: Amber objectives, Green behaviours Definition: Limited results achieved but desired behaviours demonstrated This individual is demonstrating the right behaviours for their role but is not achieving the results and objectives required. They may be new in their role and need development to increase their skills and knowledge to help them fulfill their job tasks, or there may be other factors affecting their ability to perform. These could include motivation, access to systems or resources or the level of direction and support they receive; use the ACT model to consider other influencing factors. Suggested discussion points: You clearly have the capability and potential to deliver results, so we need to understand what is preventing you from fully achieving your objectives. What stopped you achieving your objectives this year? What could you have done differently to remedy the situation? You may want to consider the GROW model to help you structure this conversation. Did any knowledge, skills or experience gaps contribute to your performance this year? How can you close those gaps? How would you compare your approach to some of the problems that arose with the approach of those around you? Is there anything you could learn from them and adopt in your work for the next cycle? How would you prefer to learn? Do you learn better by reading books or online modules, by observing someone else, or by practice and feedback or a combination of all these? The learning styles questionnaire might help to identify your preferred learning style. What support will you need, and from whom, to help you develop? We need to have clear timelines for improvement. For each of the actions you agree to take, we need to have a clear deadline for achieving it. Version

14 Rating: Unrealised Potential Position: Amber objectives, White behaviours Definition: Limited results achieved but with some higher level behaviours demonstrated This individual may be a role model for the LR behaviours and may be very enthusiastic and motivated, but they are not achieving the required levels of performance against their objectives. They may be new in their role and need development to increase their skills and knowledge, or there may be other factors affecting their ability to perform. These could include authority levels, understanding of business plans and strategies or the level of direction and support they receive; use the ACT model to consider other influencing factors. Suggested discussion points: You clearly have the capability to achieve a great deal for yourself and LR, so we need to understand what is preventing you from realising your full potential in your work. What stopped you achieving your objectives this year? What could you have done differently to remedy the situation? (If the person is relatively new in role) You ve got off to a good start in the job and are a role model for the LR behaviours what do you need to focus on now to bring your results up to the required level? What knowledge, skills or experience gaps contributed to your performance this year? How can you close those gaps? How would you prefer to learn? Do you learn better by reading books or online modules, by observing someone else, or by practice and feedback or a combination of all these? The learning styles questionnaire might help to identify your preferred learning style. What support will you need, and from whom, to help you develop? We need to have clear timelines for improvement. For each of the actions you agree to take, we need to have a clear deadline for achieving it. Version

15 Rating: Core (key) Performer Position: Green objectives, Green behaviours Definition: Good results achieved with desired behaviours This person is an effective performer, displaying all the behaviours required for their role and achieving the objectives set. They may be keen to progress their career or they might feel they re already in the right job; either way, the performance and development discussion is likely to focus on how they can maintain what they re doing and stretch to further enhance their performance, either in the current role or with a view to future aspirations. Those who score 4/4 may be considered as future potential if they perform consistently well. Suggested discussion points: You have achieved what we agreed was important to achieve this year and you have done this in line with our values and culture; you are a key performer and a valued team member Let s continue to build on your strengths and help you achieve even more next year in what areas do you think you have the potential to push further? What new challenges could you take on that might stretch you to exceed this year s results and behaviours? Let s use the BC self-assessment tool to identify which behaviours would benefit most from further development. Let s use the BC Development Guide to identify ways of improving these behaviours. How would you prefer to learn? Do you learn better by reading books or online modules, by observing someone else, or by practice and feedback or a combination of all these? The learning styles questionnaire might help to identify your preferred learning style. What support will you need, and from whom, to help you further develop your potential? Version

16 Rating: Exceptional Performer Position: White objectives, Green behaviours Definition: Exceptional results achieved with desired behaviours This individual may be a role model for high performance and is also demonstrating effective behaviours, so they may be well placed to act as a coach or mentor for less experienced colleagues. They should be encouraged to identify which behaviours in the role profile could be developed even further. It is particularly important to discuss career aspirations as they should be considered as future talent if they perform consistently well. Suggested discussion points: You have significantly exceeded your objectives to be one of LR s top performers, you should be very proud. You have also achieved the level of behaviours required. Your peers/team could learn a lot from you. How can you use your expertise and experience to help others perform at the same level? Let s continue to build on your strengths and help you achieve even more next year in what areas do you think you have the potential to push further? What new challenges could you take on that might stretch you to exceed this year s behaviours? Let s use the BC self-assessment tool to identify which behaviours would benefit most from further development. Let s use the BC Development Guide to identify ways of improving these behaviours. How would you prefer to learn? Do you learn better by reading books or online modules, by observing someone else, or by practice and feedback or a combination of all these? The learning styles questionnaire might help to identify your preferred learning style. What support will you need, and from whom, to help you further develop your potential? Version

17 Rating: Core potential Position: Green objectives, White behaviours Definition: Good results achieved with exceptional behaviours This individual may be a role model for behaviours and is also achieving objectives at the required level, so they may be well placed to act as a coach or mentor for less effective colleagues. They should be encouraged to identify how they could stretch their performance against objectives. It is particularly important to discuss career aspirations as they should be considered as future talent if they perform consistently well. Suggested discussion points: You have fully achieved what we agreed was important, which is great, and you have also demonstrated capabilities beyond your current role. Let s look at how we ensure you have the opportunity to fully use these capabilities whilst maintaining or exceeding this year s results. Your peers/team could learn a lot from you. How can you use your expertise and experience to help others improve their behaviours? Let s continue to build on your strengths and help you achieve even more next year in what areas do you think you have the potential to push further? What new challenges could you take on that might stretch you to exceed this year s results? How would you prefer to learn? Do you learn better by reading books or online modules, by observing someone else, or by practice and feedback or a combination of all these? The learning styles questionnaire might help to identify your preferred learning style. What support will you need, and from whom, to help you further develop your potential? Version

18 Rating: Exceptional potential Position: White objectives, White behaviours Definition: Exceptional results achieved with exceptional behaviours This individual is a clear role model for behaviours and results and should be encouraged to act as a coach or mentor for other colleagues. It is particularly important to discuss career aspirations as they should be considered high potential; performance at this exceptional level is rare in any organisation and it is important that we encourage and support their future career goals in order to retain their expertise. Suggested discussion points: You have significantly exceeded your objectives and consistently demonstrated capabilities beyond you current role congratulations on such a successful year. This level of performance identifies you as someone with high potential to take on greater challenges and/or higher level roles within LR. We will work with you now to identify your aspirations and how we can best use your talents in the organisation. Let s look at how we ensure you have the opportunity to fully use your capabilities and maintain such a high level of performance and behaviour. Your peers/team could learn a lot from you. How can you use your expertise and experience to help others improve their performance and behaviours? Let s continue to build on your strengths and help you achieve even more next year in what areas do you think you have the potential to push further? Let s use the BC self-assessment tool to review all the behaviours at the levels above those required for your current role to see if that identifies how you can grow further What new challenges would you like to take on to broaden your experience? What support will you need, and from whom, to help you further develop your potential? Version