– Determine goals and how to measure outcomes.
– Rank job priority.
– Characterize the standard of performance for critical aspects of the position.
– Discuss employee performance and provide feedback. This should at least be done on a quarterly basis.
– Keep track of performance records.
– If necessary, create an improvement plan to better employees’ performance
Model of standards: Creating a model that clearly defines employee performance standards helps the company and employees avoid ambiguities in what is expected. It also enables employers to provide their employees with specific feedback, which is greatly beneficial because it potentially increases job satisfaction. Whether in writing or delivered verbally, performance standards are enforceable. It is, however advisable that they are captured in writing to avoid questions in the future. There should be a set standard for every aspect of one’s position.
– Be realistic in terms of whether or not it can be attained as well as whether or not employees have adequate training.
– Be measurable with regard to quantity, quality, time, etc.
– Be clear in defining the proper method for gathering performance information and how it measures against the standard.
Due to the uncertainties of “what will happen next”, this phase is considered one of the more difficult ones to achieve. And because of this, it is important for employees to have access to training and coaching to help ease the transition.
– Specific: Goals should have specific instructions.
– Measurable: It should be clear when goals and objectives are met.
– Attainable: Impossible goals are not motivating.
– Realistic: Goals need to be something people are able to work towards.
– Timely: Goals need specific timeframes.
– General goal: Improve performance.
– Specific goal: Meet with your mentor once a week.
Measureable Goals Goals need to be measurable in order to be effective. They specify how much or how many. Measurable goals allow employees to identify when they have accomplished their goals.
– General goal: Increase sales.
– Measureable goal: Increase sales 7 percent over last year’s.
Attainable Goals Goals must always be attainable. Employees need goals that challenge them but must still be within reach. When goals are seen as unattainable, employees will give up on them without even trying. The measure of a goal should always be within reach.
– Unattainable goal: Reduce turnover by 60 percent.
– Attainable goal: Reduce turnover by 10 percent.
Timely Goals Goals should always have a time frame. General goals do not establish a time frame. Time frames encourage employees to move forward. Having specific dates will also determine when goals are reevaluated.
– General goal: Increase sales.
– Timely goal: Increase sales within six months.
Monitoring Results Once goals are established, it is important to monitor their results. This will determine how effective a plan or strategy is. Use a basic evaluation to determine what changes need to be made in a plan and reevaluate your goals.
– Were the goals and objectives achieved?
– Were they achieved in the established time frame?
– What is the feedback from employees and leadership?
– What are the financial gains or losses?
Performance goals require strategic action. To be effective, these goals should not be handed down to employees. It is important to include employees in the goal setting process and encourage them to meet their individual performance goals. This will improve individual and company performance.Strategic Planning A strategic plan determines where employees are, where they want to be, and how they will get there. It should embrace the values of the organization and align with the following company information. The organization must create a strategic plan before creating performance goals.
Example Goal: Stay informed about innovations in the industry, it can help improve productivity by 10 percent this year.
– Attend training classes
– Meet with a mentor
– Communicate consistentlyJob Analysis, A job analysis determines what is required to do a specific job. It will help determine
which skills and attributes an employee needs to complete a job successfully. A job analysis will help determine who to hire, how to train, and what compensation a job should receive. Job analyses are instrumental in determining performance. Research a position to determine the following information:
– Tools or systems used
– Reporting requirements
– Necessary certification
Behavior: Employees have complained about distance. Communicate with employees in person every week, rather than just sending emails.
– Competency: New equipment is being installed. Perform all the training within three weeks.
– Results: Sales are down. Increase sales by 5 percent this quarter.
Motivation Performance is related to motivation. Motivation is the job of every leader. There is not a single method for motivating employees. People have different personal motives, and leaders must meet the needs of individuals.
– Lead by example: Motivate yourself before you can motivate others.
– Meet with individuals: Communicate with employees directly to find out what motivates them.
– Reward employees: Find motivating rewards for individuals.
– Delegate: Do not micromanage employees.
– Inform: Inform people about how they are making a difference in the organization.
– Celebrate: Pay attention to achievements and celebrate with employees.
Competency assessments are essential to performance management. These assessments make it easier to hire and promote the right people. They also help assess performance and the different competencies that employees need to improve. It will also identify the top performers.
– Meets expectations
– Needs improvement
– Not applicable
– Have opportunities to advance
– Identify Competencies: Ascertain which competencies are needed to perform a job and the skill level of each competency.
– Develop Assessments: Create a fair method of assessment that concentrates on targets. Company goals will determine the targets.
– Practice Assessments: Practice using assessments, just like any other skill.
– Assess Employees: Use the standards and assessments to review employees.
– Plan: Use action plans to help employees develop.
Learning Cycle states that learning is based on experience. The learning cycle has four basic elements: experience, observation, conceptualization, and experimentation. It is important to be familiar with the learning cycle to effectively manage performance, and guide employees to greater achievements.
Concrete experience is direct experience that involves the senses. It is not simply knowledge about a subject. Hands‐on training is an example of concrete experience that employees learn at work. Experience and conceptualization are the two ways that employees take in knowledge.
Observation is what the concrete experience means to the person learning. Watching is the way that knowledge is transformed into meaning for an individual. This is where the connotations are created as learners see different perspectives. An example would be watching a trainer perform a task again or considering a task recently performed. Experimentation is another way to transform knowledge.
Conceptualization Abstract conceptualization is a way to gather knowledge on a subject without direct experience. This involves a basic understanding of a situation by applying logic. An example of this would be reading a training manual. Abstract conceptualization is having the knowledge about something.
Experimentation Active experimentation is the final part of the Learning Cycle. Here, people learn by doing. They transform knowledge by acting on it. An example of this would be using a new computer program. Active experimentation involves taking risks based on the knowledge people have gathered. It is important that employees be allowed to take risks when learning.
Every employee needs to be motivated in order for performance management to be successful. While employees must take some responsibility in motivating themselves, management can help motivate and develop individuals. Practicing basic motivational techniques will improve performance as it boosts morale.Key Factors
Motivation is more than being satisfied. Motivation is what causes employees to go the extra mile and commit to a project or company. Fredrick Herzberg identified the key factors that drive motivation in employees across different fields. Pay and work conditions were tied to satisfaction. Poor pay and work conditions adversely affect productivity, but positive pay and work conditions do little to increase motivation.
– Responsibility: Employees should have a sense of ownership in their work.
– Nature of the work: The nature of the work can help motivate people.
– Recognition: Employee efforts need to be recognized.
– Achievement: People need to feel like they are achieving something worthwhile.
– Personal time
– Observation: Observe how individuals respond to different motivators and take notes.
– Communication: Get to know each employee, and identify personal motivators.
– Surveys: Have employees fill out surveys that identify what motivates them.
Evaluating and Adapting Like everything else, it is essential to evaluate and adapt motivation techniques. This should include the following steps:
– Surveys: Surveys will show the level of engagement and how motivated employees are.
– Review mission: Compare the mission, policies, and procedures to internal motivators. Are they aligned?
– Development: Examine the number of employees who have advanced within the company.
– Goals: Whether or not company goals are met is an indication of motivation.
Performance journals create evaluations that are more accurate by allowing employees and manager to keep track of performance throughout the year. Both managers and employees can keep journals. This will help guide and develop employees who challenge themselves and improve performance.Record Goals and Accomplishments It is important to record your goals and accomplishments. Even minor accomplishments need to go in the performance journal. Seeing your accomplishments will encourage you, and seeing your goals will motivate you to continue working towards them. Comparing goals and accomplishments will help you focus on what you need to do to improve performance.
– Accomplishments: Include recognitions and awards.
– Challenges: Include requests for training or other help to meet goals.
– Accomplishments: Details include documentation and notes.
– Evaluation: Include performance gaps and direct reports.
Implementing a Performance Coach A performance coach will help people meet their needs to improve performance. In most organizations, managers act as performance coaches. How well managers coach performance affects the quality of employee performance. Mangers must communicate effectively with each employee and motivate that person to excel. This requires a combination of encouragement, praise, and correction. Assess and coach employees in the following areas.
– Assess skills and knowledge: Provide any necessary training.
– Assess the tools: Make sure that the individual has everything necessary to complete his or her job.
– Assess the processes: Improve procedures to help employees, or instruct them in using different procedures.
– Assess motivation: Motivate people on a personal level.Keeping Track Coaches need to keep track of employee progress. This will help them create strategies that will challenge employees and help them grow. There are several ways to keep track of performance.
– Traditional Evaluations
– Performance log
A performance plan is essential to performance management. It is a strategic plan that each individual needs to follow to become high performing employees. Managers must create a plan with every employee they work with. There is always room for improvement.Goals Establish professional goals that reflect the needs of the organization and individual. Make sure that employees have the tools to reach these goals and provide them if they do not. This will improve productivity and performance.
– Determine what employees need to accomplish.
– Make SMART goals.
– Allow employees to develop the goals with you.
– Enroll in a speaking class within three months to facilitate meetings by the end of the year.
Desired Results The results of a performance plan are not strategies. They are what employees are expected to achieve, and this should be made clear in the performance plan. Employees are responsible for achieving the desired results. For example, a desired result may be to consistently meet sales goals. The ability or inability to meet desired results determines the level of performance. An individual who cannot meet desired results will need coaching in that area.
It is important to prioritize goals. Employees should focus on the top three goals. The goals given priority need to align with the company goals and the top competencies of each position. These usually influence productivity and cost. A nonessential goal such as filing at the end of each day does not take priority. Make sure that goals do not conflict with each other.
– Train to use the new software within two months.
– Call clients every week to increase customer satisfaction.
– Meet monthly sales goals with social networking, cold calling, and scheduled meetings.
– The total number of customer complaints.
– Percentage of wasted product.
– Met personal goals
Compare the measurements against performance to evaluate employees. It is also important to include whether or not employees achieved their goals and met desired expectations. This information is normally included in an employee evaluation form. Formal reviews are typically done every year, but frequent informal reviews are more effective. Meet with employees regularly to evaluate performance. Use the same criteria as a formal evaluation to help direct and improve performance.
Although this workshop is coming to a close, we hope that your journey to improve your performance management skills is just beginning. Please take a moment to review and update your action plan. This will be a key tool to guide your progress in the days, weeks, months, and years to come. We wish you the best of luck on the rest of your travels!Words from the Wise • Harold S. Geneen: It is much more difficult to measure nonperformance than performance.
– Winston Churchill: However beautiful the strategy, you should occasionally look at the results.
– Dale Carnegie: The man who starts out going nowhere, generally gets there.
Lessons Learned The objectives of this course are:
– Defined performance management.
– Outlined the process of talent.
– Taught ways to motivate and develop employees.
– Explored feedback techniques.
– Shared goal setting techniques.
– Explained the learning cycle and journals.
– Looked at performance plans.