Performance

1. Performance Management
System

2. Performance Management System
 It is an organization - wide management program
that provides a structured approach to:
 Communicate business strategy
 Establish a shared understanding of what is to be
achieved and how it is to be achieved
 Facilitate management of self and others
 Measure and motivate performance
(organizational and individual)

3. Contd…
 Performance Management – A management
process for ensuring employees are focusing their
work efforts in ways that contribute to achieving
the agency’s 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.

4. PMS Consists of…
 A process for communicating employee performance
expectations, maintaining ongoing performance dialogue,
and conducting annual performance appraisals;
 A procedure for addressing employee performance that
falls below expectations;
 A procedure for encouraging and facilitating employee
development;
 Training in managing performance and administering the
system; and
 A procedure for resolving performance pay disputes.

5. 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.
 Pay for performance is possible only through
metrics.

6. Objective of PMS
 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.

7. PAS & PMS
 PAS:  PMS:
 Emphasis is on relative  Emphasis is on performance
evaluation of individuals of individuals, team & orgn.
 Annual exercise  Continuous process
 Rewards & recognition of  Performance rewarding may
good performance or may not be integral part
 Designed & monitored by  Designed by HR dept. but
HR department monitored by respective dept.
 Ownership is mostly with  Ownership is with the line
the HR dept. managers, HR facilitates its
implementation

8. PMS Includes…
 Work plan – A document that describes the work
to be completed by an employee within the
performance cycle, the performance expected, and
how the performance will be measured.
 Corrective action plan – A short-term action plan
that is initiated when an employee’s performance
fails to meet expectations. Its purpose is to achieve
an improvement in performance.

9. Contd…
 Individual development plan – An action plan for
enhancing an employee’s level of performance in
order to excel in the current job or prepare for new
responsibilities.
 Performance appraisal – A confidential document
that includes the employee’s performance
expectations, a summary of the employee’s actual
performance relative to those expectations, an overall
rating of the employee’s performance, and the
supervisor’s and employee’s signatures.

10. Contd…
 Performance documentation – A letter, memo,
completed form, or note on which the supervisor
indicates the extent to which the employee is currently
meeting expectations and provides evidence to
support that conclusion.
 Fair appraisal – Appraising employees in a manner
that accurately reflects how they performed relative to
the expectations defined in their work plan and in a
manner that is not influenced by factors irrelevant to
performance.

11. HIGHLIGHTS OF THE SYSTEM
 The appraiser and the appraisee jointly set the Key
Result Areas (KRA’s) and assign mutually agreed
weightage expressed as a percentage
 Simple mathematical relationship between set
weightage and accomplishment gives a final
numerical score on KRA’s
 To evaluate all management personnel on company
values and leadership attributes a new section has
been added entitled “Values in Action”

12. WHAT IS A KEY RESULT AREA ?
 A KRA refers to a target that needs to be achieved by
the appraisee in a given time
 KRA’s are the set of performance expectations from
the appraisee
 The focus is on tangible outputs. However this does
not mean that tasks that have a qualitative output
cannot form a KRA
 The focus is on tangible outputs. However this does
not mean that tasks that have a qualitative output
cannot form a KRA

13. Setting KRA in case of a Functional
Reporting Relationship
 Functional reporting cases will require input from the
functional superior in setting KRAs for the appraisee.
 The appraiser , the appraisee and the functional superior
will have to mutually agree upon the KRAs for the
appraisee.
 In case of a disagreement , it will be the functional
superior’s responsibility to convince the administrative
superior to reach an agreement on the KRAs and
communicate the same to the appraisee.
 In some cases, functional goals could be super-ordinate
to business goals.

14. Components of PMS
 Performance Standards - establishment of
organizational or system performance standards,
targets and goals and relevant indicators to improve
public health practice
 Performance Measures - application and use of
performance indicators and measures

15. Contd…
 Reporting of Progress - documentation and
reporting of progress in meeting standards and
targets and sharing of such information through
feedback
 Quality Improvement - establishment of a program
or process to manage change and achieve quality
improvement in public health policies, programs or
infrastructure based on performance standards,
measurements and reports.

17. Importance of PMS
 A Performance Management System enables a
business to sustain profitability and performance
by linking the employees' pay to competency and
contribution .
 It provides opportunities for concerted personal
development and career growth .
 It brings all the employees under a single strategic
umbrella .

18. Contd…
 Most importantly, it gives supervisors and
subordinates an equal opportunity to express
themselves under structured conditions
 Organizations can effectively manage the
performance appraisal process with our online
performance management system
 It calls for a high level of co-ordination, channeled
information flow, and timely review

19. Performance Cycle
SETTING
EXPECTATIONS
PROVIDING OBSERVING
ACTIONABLE BEHAVIOUR AND
COACHING & MEASURING
FEEDBACK RESULTS

20. Appraise Need For Further
Discussion
 The reviewer meets the appraiser to investigate the
point of disagreement.
 The reviewer decides to meet the appraisee to hear
his / her views.
 The reviewer examines the case and communicates
his / her decision to the appraiser.
 The appraiser communicates the decision of the
reviewer to the appraisee.

21. FURTHER LINKS EMERGING
FROM THE PMS
 Rewards and Recognition
 Training and Development
 Potential Appraisal
 Career and Succession Planning

22. THANK YOU