presented by cor faling mosedimosi business training n.
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Presented by Cor Faling Mosedimosi Business Training

Presented by Cor Faling Mosedimosi Business Training

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Presented by Cor Faling Mosedimosi Business Training

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  1. Presented byCor FalingMosedimosi Business Training

  2. Performance Management

  3. Agenda • Contribution of performance management to organisation’s critical success factors • Performance management procedures • Performance contracting • Performance tracking and corrective action • Reward, remuneration and communication • Practical considerations

  4. Critical success factors Performance management is about having everyone succeed and improve

  5. Who is “Everyone”

  6. Performance management is not just annual review time

  7. Managers and employees need the confidence & competence to set goals observe performance give & receive feedback deliver and digest tough messages create development plans Structuring for success

  8. Definition • Performance management is a business process that links what individuals and teams do on a daily basis with the larger goals, values and cultural practices of the company and the needs of its customers

  9. Enduring organisation

  10. Definition • It is a process for establishing a shared understanding about what is to be achieved and how it is to be achieved; it is an approach to managing people that when done well, contributes to an enduring and healthy organisation

  11. Toolkit • The toolkit takes the ‘theory’ and ‘jargon’ out of performance management. • The toolkit contains a comprehensive set of line manager friendly policies, procedures, and paperwork • Can be used as training, support and administrative materials to launch and sustain an integrated performance management process and system

  12. Key elements of PM process • It is a business process • Shared understanding what and how to be achieved • It is about managing people • Brings organisational durability • Driven by competencies

  13. A business process • It is about the everyday actions and behaviours people use to • deliver the goals of the organisation to meet customer needs, • improve performance and themselves • cannot be divorced from the management and business processes of the organisation

  14. Shared understanding • Individuals and teams need to have a common understanding of how their roles connect to the business mission and goals of the organisation • To improve performance they also need to know what superior performance looks like, and how to achieve it

  15. Shared understanding

  16. Performance can be described as a set of tasks goals behaviours results or any combination of these elements Definition of performance

  17. Approach to managing people • The focus of performance management is on connecting people to one another and to the larger organisation and its values • The main emphasis is on how to get people to work together and support one another to achieve shared aims • It puts the responsibility on managers to work effectively (through coaching and motivating) with those for whom they are accountable

  18. Approach to managing people

  19. Increases durability of organisation • Performance management has a clear purpose. It is about delivering success for individuals, teams, and the organisation

  20. Driven by competencies • Competency: the key personal skills and knowledge that enable individuals to perform their work • Competencies are the only common denominator that can be used across human resource systems consistently • A set of competencies used to define any (specific) job can be applied consistently to all individuals in that specific job or job category

  21. Focus area 1: Structure for success • Actively align work unit, team, and individual goals with organisation goals • The starting point is always the organisation’s strategic goals • Establish and reinforce the importance of core competencies and job competencies

  22. Focus area 1: Structure for success Support line managers to • use performance management across a variety of people applications • reward high performing groups and individuals • target poor performers for improvement and/or termination • steer special development initiatives such as employment equity planning • take responsibility for both the technical and people component of their role

  23. Focus area 2: Commitment • Transfer responsibility to the line function • Increase employee involvement in the operation and administration of PM • Provide ongoing training to • executives • managers • Employees

  24. Focus area 3: Assessing results • Use a ‘balanced’ scorecard of criteria to monitor and fine-tune performance management processes. Involve all relevant stakeholders in the evaluation process • Performance management is an approach to managing people and performance that recognises the fluid, dynamic and ever changing nature of the world of work

  25. Focus area 3: Assessing results • The assumptions that guide the use of performance management are that customers, stakeholders and context are the chief drivers of PM practices • PM in this scenario is very much an ongoing communication process, co-determined and undertaken in partnership, between employees, managers, supervisors, and customers

  26. Performance management is a whole work system that begins when a job is defined as needed. It ends when an employee leaves your organisation. The role of HR and SDF

  27. The role of HR and SDF • Develop clear job descriptions • Select appropriate people with an appropriate selection process • Negotiate requirements and accomplishment-based performance standards, outcomes, and measures. • Provide effective orientation, education, and training • Provide on-going coaching and feedback

  28. The role of HR and SDF • Conduct quarterly performance development discussions • Design effective compensation and recognition systems that reward people for their contributions • Provide promotional/career development opportunities for staff • Assist with exit interviews to understand WHY valued employees leave

  29. Discussion One of the biggest challenges in performance management from an HR perspective is to obtain commitment from line management. What is your experience?

  30. Balancing measures • Balancing measures is a strategic management system for achieving long-term goals • Organisations use measures in four categories • financial performance • customer knowledge • internal business processes • learning and growth

  31. Family of performance measures In each phase of performance planning, management, and measurement • the customer • stakeholder • and employee are considered in balance with the need to achieve a specific mission or result

  32. Need for a balanced approach • A balanced approach allows you to consider all the important operational measures at the same time, letting you see whether improvement in one area is achieved at the expense of another • Key indicators should tell you how the organisation is doing

  33. Creating success • This proven approach to strategic management imbeds long-term strategy into the management system through the mechanism of measurement • It translates vision and strategy into a tool that effectively communicates strategic intent and motivates and tracks performance against established goals

  34. Strategy • A strategy is a shared understanding about how a goal is to be reached • Balancing measures allows management to translate the strategy into a clear set of objectives • These objectives are then further translated into a system of performance measurements that effectively communicates a powerful, forward-looking, strategic focus to the entire organisation

  35. Employee perspective

  36. Employee perspective • Focuses attention on the performance of the key internal processes that drive the organisation • It directs attention to the basis of all future success—the organisation’s people and infrastructure

  37. Considers the organisation’s performance through the eyes of a customer, so that the organisation retains a careful focus on customer needs and satisfaction The private sector recognises the importance of the customer and makes the customer a driver of performance Customer perspective

  38. Business perspective • The financial implications of doing business • The business processes needed for organisational efficiency and effectiveness

  39. Best practice in balancing measures • Strong leadership that supports the adoption of balanced measures as a feature of organisational management and accountability • The capability to communicate effectively and the organisation’s ability to communicate to decision makers • The knowledge that customers, employees, and stakeholders understand and support the organisation’s initiatives

  40. Balancing measures

  41. Generic principles • Good product or service • Good image • Good availability/accessibility • Good employer • Continuous improvement

  42. Establishing measures A most crucial part of this creation process is to consult with your • customers (to find out what they really want) • employees (to find out what they need to achieve success)

  43. Establishing measures The critical areas of practice • Define what measures mean the most to your customers, stakeholders, and employees • Commit to initial change • Use all available expertise • Involve employees

  44. Establishing measures • Make the system non-punitive • Bring in the unions • Provide clear guidance • Maintain flexibility • Limit the number of measures • Recognise that it is a living process