Reinvent Performance Management into a Leadership Process

#CLOwebinar
The presentation will begin at the top of the hour.
A dial in number will not be provided.
Listen to today’s webinar using your computer’s
speakers or headphones.
Welcome to the webinar!

#CLOwebinar

Tools You Can Use
Audio Control
–  A dial in number will not be provided.
–  Adjust the volume by sliding the
indicator in the Media Player box to the
right.
–  Also check your computer’s volume for
external speakers or headsets.

#CLOwebinar
Tools
You
Can
Use

CLO Webinars
Speaker Bios
Resources
Media Player
Q&A
Slides
Twitter
Help
Post Event
EvaluationShare This
Group Chat
HRCI & SHRM

#CLOwebinar

1. May I receive a copy of the slides?
YES! Click on the resource list located on the top right
portion of your screen.
2. May I review the webinar recording at a later date?
YES! You may log in again using today’s link to review the
presentation on-demand.
3. Is this webinar HRCI or SHRM certified?
YES! The HRCI and SHRM certification codes will appear
in the box to the right of the slides after the required
watch-time has elapsed.
Frequently
Asked
Ques6ons

#CLOwebinar
Dr.
Jim
Kauﬀman

Consultant
and
Product
Manager

DDI

Reinvent
Performance
Management
into

a
Leadership
Process

Diane
Bock

Senior
Consultant

DDI

© Development Dimensions Int’l, Inc., 2016. All rights reserved.
Reinvent Performance
Management into a
Leadership Process

Who We Are
Global execution
excellence across
91 countries
59% of revenue
from repeat
customers
Industry’s top
instructional
designers,
technologists &
consultants
Talent management
consultants
+ Talent Acquisition,
+ Leadership Development,
+ Succession Management
45 years of
research and
innovation in
assessment &
learning
Principles behind our
services transform
lives in and out of the
workplace

Talking about Performance Management

Poll—Rationale for changing
performance management—
Choose all that apply
q  People hate performance management.
q  Executive leadership has mandated a change in Performance Management.
q  PM has been damaging to employee engagement, collaboration, or performance.
q  Backward-looking evaluation is no longer as important to company success as
forward-looking growth, learning, and development.
q  Feedback and coaching needs to occur more frequently.
q  The current annual system is too static for our environment of changing priorities.

Change to:
•  Simpler
•  Consider science of human motivation
•  Less evaluation
•  More emphasis on development and growth
•  More focus on fewer objectives & behaviors
•  Separate from compensation decision
•  Focus on the future not the past
•  MORE CONVERSATION

Five Performance Management
Pitfalls

Pitfall 1: No Clear Purpose for
Performance Management

Purposes of Performance Management
for Organizations that have Changed PM
•  To inspire people to do their best work.
•  To inspire and retain 100% of solid performers.
•  To drive execution through ongoing feedback that aligns
to agile and innovative business.
•  To empower and engage employees through more
meaningful discussions between managers and their
reports.
•  To reinforce our organizational values and support our
mission to maximize the customer experience.

Pitfall 2: Stretching Performance
Management in Too Many Directions

Discussing Pay Raises Separately
•  HR may still have guidelines on percentages
allowed for meets, exceeds, does not meet.
•  Manager considers performance, where the person
is in their pay range, the HR guidelines.
•  Have the pay discussion at a separate time…for
example on employee anniversary.

Pitfall 3: Over-focus on Complicated
Process
“Simple clear purpose and
principles give rise to complex
intelligent behavior.
Complex rules and regulations
give rise to simple stupid
behavior.”
- Dee Hock, founder of Visa

Example: Complicated process—
proficiency levels
•  What’s the difference
between “awareness”
and familiarity?”
•  What’s the difference
between “difficult”
“considerably difficult”
and “exceptionally
difficult?”
•  What if 50% of
situations encountered
were “difficult,” and
50% were
“considerably
difficult,” what rating
do I get?
RATING
SCALE
STRUCTURE

Proficiency
level
Behavioral
competencies

Func6onal
competencies

Expert
(level-‐5)
Excep6onally
difficult
situa6on

Key
resources

Advises
other

Demonstrates

Comprehensive

Expert
understanding
of
concept

and
process

Advance
(level-‐4)
Considerably
difficult
situa6on
Broad
understanding
of
concept

and
process

Immediate
(level-‐3)
Difficult
situa6on

Require
occasional
guidance

Understanding
of
concept
and

process

Basic
(level-‐2)
Somewhat
difficult
situa6on
Familiarity
with
concept
and

process

Awareness
(level-‐1)
Simplest
situa6on

Require
regular
guidance

Awareness
of
concept
and
process

Simple Templates to Enable Performance
Conversations

Pitfall 4: Under-focus on Leadership
Skills

Skills by Years Needed to Become an Expert

Coaching
skills
don’t
blossom
on
their
own,
interven7on
is
needed.

“High
Resolu.on
Leadership:
A
Synthesis
of
15,000
Assessments
into

How
Leaders
Shape
the
Business
Landscape”

DDI
2016

Mastery Never Occurs for
Coaching and Development

Percent Rating the Same Performance
Management System as “VERY GOOD”
Gallup

April
4,
2013

My
Manager
is THE
BEST!
70%
My
Manager
is Below
Average.
2%

Coaching Problems
•  Happens too rarely
•  Poor skill
•  Lack of clear expectations/
agreements for
performance
•  Waiting until the
performance shortfall is
chronic or critical

People who receive
assessments in the bottom
10% have a 36% chance of
making it into the top half
within a year.
‘‘ ‘‘

Coaching Problems
•  Happens too rarely
•  Poor skill
•  Lack of clear expectations/
agreements for performance
•  Waiting until the
performance shortfall is
chronic or critical
•  A fundamental
misunderstanding of
coaching

The Misunderstanding:
A Focus on Reactive Coaching

Proactive Coaching is the Missing Piece

Assessment Data
10,000+
Assessment
Center
Par.cipants,
DDI

COACHING
AND
DEVELOPING
OTHERS

Clarify
the
Situa?on

Provide
Feedback

Convey
Expecta?ons

Assess
Gaps
/
Opportuni?es

Guide
Collabora?ve
Development

Foster
Conﬁdence

32

33

1.  You
are
an
expert.

2.  You
remember

what
it
was
like
to

learn
to
ride
a
bike.

3.  You
know
very
well

what
can
go
wrong.

4.  You
can
go
online

and
ﬁnd
good

advice.

Common Barriers to Proactive
Coaching
•  Manager not familiar with employee work,
tasks, work partners, or pending challenges.
•  Employees need coaching in areas where
his/her direct manager lacks experience or
expertise.
•  Manager can’t imagine what could go wrong
or be challenging.

Telling
Wow,
that’s

his
good

advice?
Make
sure
you
are

well
prepared.

Seeking is the Key to Proactive
Coaching
Let’s
touch

base
on
your
new

assignment.
What’s

your
biggest

challenge
right

now?

I’ve
just
been

working
on

that…
I
have
a

customer
with

an
unusual

request.

Pitfall 5: Disconnected from the Science
of Human Motivation
•  Stacked or forced ranking on
a bell curve
•  Single overall ratings
•  Brain-wired with bias for
negative

Our
brain’s
response
to
lack
of

acceptance,
uncertainty,
or
loss
of

control

•  Stressed

•  Social
pain

•  Fight
or
Flight

•  Diminished
cogni?ve
ability

Leader Skills that Consider Science of
Human Motivation

Brain-‐Friendly

(trust-‐building)

Leadership
Techniques

Praise

Delega6on

Transparency

Empathy

Autonomy

Authen6city

“Neuroeconomics
and
the
Firm”*

*by
Paul
J.
Zak,
American
neuroeconomist

Five Pitfalls
1.  No clear purpose declared for
Performance Management
2.  Stretching Performance
Management in too many directions
3.  Over-focus on complicated process
4.  Under-focus on leadership skills
5.  Disconnected from the science of
motivation

Advice
•  Clear/speciﬁc goals alone can increase performance 36% (CEB).
•  Coach on operational targets (i.e. SMART objectives), behavioral
expectations also called “competencies,” and people relationships.
•  Decrease time spent looking backward and creating documentation.
•  Increase percentage of time spent in PROACTIVE coaching.
•  Discontinue a single overall rating, do not use forced ranking or a bell
curve.
•  Separate compensation discussion.
•  Simplify—and deﬁne a clear purpose for performance management.
•  Meet personal needs for esteem, empathy, involvement, trust, and support.
(i.e. align with science of motivation)

Questions?

Contact us…
Diane Bock
diane.bock@ddiworld.com
Jim Kauffman
jim.kauffman@ddiworld.com

Additional
Slides

Does human performance follow the bell
curve? Research says NO.

In over 93% of cases, a
Paretian distribution
more closely represented
the distribution of
performance than a bell
curve (Gaussian
distribution).
THE
BEST
AND
THE
REST:
REVISITING
THE
NORM
OF

NORMALITY
OF
INDIVIDUAL
PERFORMANCE

ERNEST
O’BOYLE
JR.
and
HERMAN
AGUINIS

A
Normal
Distribu6on
(black)
Overlaying
a
Pare6an
Distribu6on
(grey)

“Let us make a special effort to stop communicating
with each other, so we can have some conversation.”
- Mark Twain
Conversations Matter

So Many Connections, So Many
Questions
•  Should we drop Performance Management?
•  Should we drop performance ratings and/or rankings?
•  How can we set pay raises without performance ratings?
•  Do we need documentation? Document what?
•  What are the legal ramiﬁcations of changing?
•  How can we ensure managers will be good coaches? About what should
they be having regular conversations?
•  What software/technology do we need to support the process?
•  How do we get management support for changing?
•  What kind of change management effort is needed?
•  How will we make sure star performers continue to get visibility?

Simpler Competency Rating Approach
COLLABORATING

Working
coopera.vely
with
others
to
help
a
team
or
work
group
achieve
its
goals.

•  Contributes
to
goal
accomplishment—Makes
sugges?ons,
volunteers
assistance,
oﬀers

resources,
or
removes
obstacles
to
help
the
group
achieve
its
goals.

•  Asks
for
help
and
encourages
involvement—Leverages
others’
skills
and
gains
their
support

by
asking
for
their
ideas,
opinions,
and
par?cipa?on
when
solving
problems,
making

decisions,
and
carrying
out
plans.

•  Informs
others
on
team—Shares
important
or
relevant
informa?on
and
ra?onale
with

others;
summarizes
to
check
understanding.

•  Models
commitment—Adheres
to
the
work
group’s
expecta?ons
and
guidelines;
fulﬁlls
team

or
work
group
responsibili?es;
demonstrates
personal
commitment
to
group
goals.

- Met expectations - Performed above expectations - Did not meet expectations

Focus on the CONVERSATION
2015
Research
on
“Performance
Management”
by

Nick
Holley,
The
Henley
Centre
for
HR
Excellence,
and
Aksshay
Malaviya

2015
Research
on
“Performance
Management”
The
Henley
Centre
for
HR
Excellence

#CLOwebinar

Register for the next webinar!
How to Measure the Impact of
Learning
Tuesday, November 8, 2016
Webinars start at 2 p.m. Eastern / 11 a.m. Pacific
Register for all upcoming Chief Learning Officer
Webinars at events.clomedia.com/webinars
OR click the icon on the widget bar!

Reinvent Performance Management into a Leadership Process

Recomendados

Recomendados

Más contenido relacionado

La actualidad más candente

La actualidad más candente (20)

Similar a Reinvent Performance Management into a Leadership Process

Similar a Reinvent Performance Management into a Leadership Process (20)

Más de Human Capital Media

Más de Human Capital Media (20)

Último

Último (10)

Reinvent Performance Management into a Leadership Process