Performance & Performance Management

1. Linda Miklas and Christina Finegold Organizational Behavior, MGMT 4000 April 12, 2011 Performance & Performance Management

2. Clarity-Communication-Rigor Clarity-Communication-Rigor Decision-Making Modeling Achieving Results Developing Talent Source: MGMT 4000-Organizational Behavior, Harvard University Extension School, Miklas-Finegold

3. Iceberg Model Iceberg Model What How

4. Talent Management: An Integrated System Talent Management Leadership/High Potential Development Stretch/special assignments Executive coaching Cross-functional & international opportunities Education/ training Performance Management Goal alignment Competency profiles IDPs Feedback/ measurement Reward/ recognition programs • Culture • Corporate values • Flexibility • Diversity • Internal communications • Recruitment • College recruitment • Experienced hires • Internal-external • On-boarding • Retention • Specific efforts • Total rewards Professional Development Experience- based Relationship- Based Feedback- based Education & training-based Workforce Planning Forecasting of talent needs and demand Assessment of current workforce Gap analysis Talent Requirements Business Unit Goals Organizational Strategies

5. Planning Assessment Feedback & Coaching Recognition Performance & Development Goals Manager Employee Performance Management

6. Planning: Work Goals • Provide a roadmap to achieve success • Set clear expectations of results • What is to be achieved • Dynamic vs. static • Aligned with the organization goals and values • Managers set goals related to employee development

7. Planning: “SMART” Principles S – Specific and Stretch M – Measurable A – Aligned R – Realistic T – Time-bound

8. Planning: Work Goal Example • Before: Increase number of prospect visits. • After: Complete 140 prospect visits (increase of 10%), by: • Conducting 35 visits per quarter • Spending the equivalent of 1 week per month on the road • Keeping expenses level by clustering visits geographically and planning in advance for lower fares

9. Planning: HARD Goals • Heartfelt – Goal will enrich the lives of others • Animated – Vivid picture of how great it feels to achieve the goal • Required – Goal is absolutely necessary for the organization • Difficult – Must learn new skills and leave comfort zone Leadership IQ Study: Are SMART Goals Dumb?

10. Planning: Factors for Goal Achievement • I can vividly picture how great it will feel when I achieve my goals • I will have to learn new skills to achieve my assigned goals • My goals are absolutely necessary to help the organization • I actively participated in creating my goals • I have access to any necessary formal training • My goals will push me out of my comfort zone • My goals will enrich the lives of somebody besides me (customers, community, etc.) • My goals are aligned with the organization’s top priorities Leadership IQ Study: Are SMART Goals Dumb?

11. Planning: Development Goals Some examples: • Training, On-the-job training, Job shadowing, On-line learning • Reading/studying/research • Working with someone with the skill • Developing a mentor relationship • Attending a conference • Cross team projects Important: What is the person going to do with the knowledge/skills; what is the impact?

12. Feedback • Positive: reinforce preferred behaviors • Constructive: change/improve behavior

13. Feedback: Behavior + Impact Positive In addition to saying “That was a great job.” Say… Behavior: John, you did a great job on Project XYZ. You tuned in to the client’s needs, and made sure that everyone understood the project’s goals and objectives before the project started. Impact: Your project team stayed on the same page, and resolved issues quickly and responsively – which contributed to your ability to complete the project on time and within-budget.

14. Feedback:Behavior + Impact (with Alternative Behavior) Constructive Instead of saying “That’s not the right way to do that.” Try… Behavior: Victoria, as you know, we recently changed our procedures. I noticed that you continue to work the old way, and that’s inconsistent with what is expected now. Impact: This hinders the department’s ability to get our work done on time, which means that we’re behind in meeting our goal, and the rest of the department has to pick up the slack. Let’s talk about what’s going on. Alternative Behavior: Moving forward, please follow the new procedures.

15. Coaching What is “Coaching”? An ongoing conversation between a manager and a staff member, which focuses on using and improving an individual’s skills, knowledge, and ability to achieve goals.

16. Coaching: Open-ended Questions • Examples What did you do well? What would you do differently the next time? What was your biggest success with the project? How did you prepare for that meeting? What are the most difficult problems that you are facing so far? What are some ways to overcome them? Where do you get the most satisfaction? How could you bring those elements into other areas of your job? Always ask, “How can I support you as your manager?”

17. Assessment: Principles • Build on conversations to date • No surprises • Provide specific, behavioral feedback • Represent entire performance period

18. Assessment: Steps Gather Information Write Assessment Conduct Review Meeting

19. Assessment: Tendencies

20. Recognition: Key Components of an Effective Program 1: Link Rewards to Company Strategies and Goals 2: Impact a Large Number of Employees 3: Create Simple and User-Friendly Systems 4: Involve Employees in the Design and Implementation Phase 5: Involve and Train Managers 6: Communicate and Promote the Program 7: Give Personalized Awards, Not Money 8: Give Immediate and Innovative Awards 9: Enable Peer Recognition 10: Continually Reevaluate the Program Source: 2006 Corporate Executive Board, Corporate Leadership Council’s “Creating an Effective Reward and Recognition Program”

21. Planning Assessment Feedback & Coaching Recognition Performance & Development Goals Manager Employee Performance Management

22. References • Execution: The Discipline of Getting Things Done. Bossidy, Larry and Charan, Ram, 2002, Crown Business. • Reframing Organizations: Artistry, Choice, and Leadership. Bolman, Lee G. and Deal, Terrence E., 2008, Jossey-Bass. • Leadership IQ Study: Are SMART Goals Dumb? • 2006 Corporate Executive Board, Corporate Leadership Council’s “Creating an Effective Reward and Recognition Program”, CLC15AEYS5