Performance Management Overview

1. Performance ManagementOverview

2. Performance Management Agenda • Objectives • Current and future environment • What we’ve done to create future environment • New performance management framework • Automation support • Personnel Reform integration • Training Support

3. Performance ManagementObjectives • Promote a two-way system of communication between supervisors and employees • Clarify expectations • Regular and transparent feedback • Continuous coaching • Align employee behavior with agency values, goals, strategies • Help distinguish exceptional individuals that contribute to organizational success • Integrate administrative decision making with succession planning, promotions, and performance pay • Promote personal growth and career advancement by helping employees acquire the desired competencies, knowledge, skills, and abilities

4. Performance Management Current Environment • Not all employees participate in a performance management process • Current evaluation form is complex, cumbersome, and time consuming • No automation support • No integration of performance appraisal with other management decision systems (promotion, discipline, compensation) • No statewide employee training

5. Performance ManagementFuture Environment • Most employees participate in a performance management process • Simple, easy to use evaluation form • Full automation support • Integration of performance appraisal with other management decision systems (promotion, discipline, compensation) • Statewide employee training

6. Performance ManagementSteps to Design New System • Reviewed other employers; private and public sector • Examined Best Practice Research; Society for Human Resource Management – best practices from academic and practitioner experience • Key Findings: • Rating Scale: 3 or 5 ratings (3 most common) • Competencies • Pre-defined Standards • Process: Supervisor/Employee discussions before, during, and after evaluation period

7. Performance ManagementSteps to Design New System • Created 17 baseline competencies and associated standards • Formed agency workgroup • ASRS, AHCCCS, DJC, DEQ, ADC, DES, DOR, ADOT, DHS, ADE, FTF • Reviewed and modified baseline competencies and standards • Results • Added 4 new competencies • Deleted 1 competency • Modified 9 standards • Final agreement on competency pool

8. Performance ManagementFramework • Statewide competencies • Three for all employees • One additional for managers • Agency competencies • Three for all employees • Selected from competency pool of 16 • Agency wide, Division wide, job wide • Employee specific results • One required competency • Two optional performance period results

9. Performance ManagementCompetencies • Statewide competencies • Customer Service • Accountability • Teamwork and Cooperation • Leadership and Supervision (required for supervisors) • Agency competencies • Creativity and Innovation • Initiative • Transformers of Government • Problem Solving • Communication • Conflict Management • Professional Ethics • Technical/Functional Expertise • Flexibility • Negotiation and Influence • Professional Development • Project Management • Team Leadership • Sharing Knowledge and Expertise • Safety Awareness • Correctional Security and Safety

10. Performance ManagementCompetency - Standards Example

11. Performance ManagementEmployee Specific Results • Results Orientation competency • Mandatory for each employee • Provides flexibility for defining results • Performance Period Results • Specific, measurable, time targeted • Two for each employee

12. Performance ManagementRating Scale • 3-point rating scale • Exceeds expectations • Meets expectations • Needs improvement • Easy to use, quick decision making, defensible • Equal weighting across all competencies

13. Performance ManagementEvaluation Process • Phase 1: • Employee Self-Assessment without grade • Manager’s Evaluation of Employee’s Performance • Phase 2: • 360 feedback

14. Performance ManagementEvaluation Cycle • Cycle 1: January 1, 2013 - June 30, 2013 • Cycle 2: July 1, 2013 – March 31, 2014 • Cycle 3: April 1 – March 31 thereafter

15. Performance ManagementAutomated Solution • New HRIS application – Performance Management • YES access • On-line planner and evaluation • Efficient method for building a plan and evaluating results • Employee and position data “pre-filled” • Radio buttons for selecting rating • Automated notes • Final calculations built in • Appropriate record keeping – “system of record” • Paperless process flow – routing through email

16. Performance ManagementIntegration • New classification system • Job descriptions include competencies • New hires • Posting include competencies • Positions “tagged” with evaluation competencies • Compensation • Merit increases tied to performance • Promotions • Review Discipline/Dismissals • RIFs tied to performance (100%) • Suspensions >80hrs, Demotions and Dismissals

17. Performance ManagementTraining • Supervisors and managers • Three classroom courses • Performance planning • Performance Conversations • Performance Evaluations • Four Webinars • Conducting performance conversations • Performance documentation made easy • Writing about and rating employee performance • Engaging employees in the performance evaluation process • HRIS Performance Management for Managers CBT • Employees • Performance Management overview CBT • HRIS Performance Management for Employees CBT