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Implementing a Performance Management System: Overview

Implementing a Performance Management System: Overview. Preparation Communication Plan Appeals Process Training Programs Pilot Testing Ongoing Monitoring and Evaluation. Preparation. Need to gain system buy-in through : Communication plan regarding Performance Management system

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Implementing a Performance Management System: Overview

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  1. Implementing a Performance Management System: Overview • Preparation • Communication Plan • Appeals Process • Training Programs • Pilot Testing • Ongoing Monitoring and Evaluation

  2. Preparation • Need to gain system buy-in through: • Communication plan regarding Performance Management system • Including appeals process • Training programs for raters • Pilot testing system • Ongoing monitoring and evaluation

  3. Communication Plan answers: • What is Performance Management (PM)? • How does PM fit in our strategy? • What’s in it for me? • How does it work? • What are our roles and responsibilities? • How does PM relate to other initiatives?

  4. Cognitive Biases that affect communications effectiveness • Selective exposure • Selective perception • Selective retention

  5. To minimize effects of cognitive biases: A. Consider employees: • Involve employees in system design • Show how employee needs are met

  6. To minimize effects of cognitive biases (continued): B. Emphasize the positive • Use credible communicators • Strike first – create positive attitude • Provide facts and conclusions

  7. To minimize effects of cognitive biases (continued): C. Repeat, document, be consistent • Put it in writing • Use multiple channels of communication • Say it, and then – say it again

  8. Appeals Process • Promote Employee buy-in to PM system • Amicable/Non-retaliatory • Resolution of disagreements

  9. Appeals Process • Employees can question two types of issues: • Judgmental • (validity of evaluation) • Administrative • (whether policies and procedures were followed)

  10. Appeals Process • Level 1 • HR reviews facts, policies, procedures • HR reports to supervisor/employee • HR attempts to negotiate settlement • Level 2 • Arbitrator (panel of peers and managers) and/or • High-level manager – final decision

  11. Rater Training Programs • Content Areas to include • Information • Identifying, Observing, Recording, Evaluating • How to Interact with Employees • Choices of Training Programs to implement • Rater Error Training • Frame of Reference Training • Behavioral Observation • Self-leadership Training

  12. Content A.Information - how the system works • Reasons for implementing the performance management system • Information • the appraisal form • system mechanics

  13. Content (continued) B. Identifying, observing, recording, and evaluating performance • How to identify and rank job activities • How to observe, record, and measure performance • How to minimize rating errors

  14. Content (continued) C. How to interact with employees when they receive performance information • How to conduct an appraisal interview • How to train, counsel, and coach

  15. Choices of Training Programs • Rater Error Training (RET) • Frame of Reference Training (FOR) • Behavioral Observation Training (BO) • Self-leadership Training (SL)

  16. Rater Error Training (RET) • Goals of Rater Error Training (RET) • Make raters aware of types of rating errors • Help raters minimize errors • Increase rating accuracy

  17. Intentional rating errors • Leniency (inflation) • Severity (deflation) • Central tendency

  18. Similar to Me Halo Primacy First Impression Contrast Stereotype Negativity Recency Spillover Attribution Unintentional rating errors

  19. Possible Solutions for Types of Rating Errors • Intentional • Focus on motivation • Demonstrate benefits of providing accurate ratings • Unintentional • Alert raters to different errors and their causes

  20. Frame of Reference Training (FOR) • Goal of FOR* • Raters develop common frame of reference • Observing performance • Evaluating performance *Most appropriate when PM appraisal system focuses on behaviors

  21. Expected Results of FOR • Raters provide consistent, more accurate ratings • Raters help employees design effective development plans

  22. Behavioral Observation Training (BO) • Goals of BO • Minimize unintentional rating errors • Improve rater skills by focusing on how raters: • Observe performance • Store information about performance • Recall information about performance • Use information about performance

  23. Self-leadership Training (SL) • Goals of SL • Improve rater confidence in ability to manage performance • Enhance mental processes • Increase self-efficacy

  24. Pilot Testing • Provides ability to • Discover potential problems • Fix them

  25. Pilot Testing - benefits • Gain information from potential participants • Learn about difficulties/obstacles • Collect recommendations on how to improve • Understand personal reactions • Get early buy-in • Get higher rate of acceptance

  26. Implementing a Pilot Test • Roll out test version with sample group • Staff and jobs generalizable to organization • Fully implement planned system • All participants keep records of issues encountered • Do not record appraisal scores • Collect input from all participants

  27. Ongoing Monitoring and Evaluation • When system is implemented, decide: • How to evaluate system effectiveness • How to measure implementation • How to measure results

  28. Evaluation data to collect: • Reactions to the system • Assessments of requirements • Operational • Technical • Effectiveness of performance ratings

  29. Indicators to consider • Number of individuals evaluated • Distribution of performance ratings • Quality of information • Quality of performance discussion meetings • System satisfaction • Cost/benefit ratio • Unit-level and organization-level performance

  30. Quick Review • Preparation • Communication Plan • Appeals Process • Training Programs • Pilot Testing • Ongoing Monitoring and Evaluation

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