1309179564_presentation 2- performance management

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  • 7/28/2019 1309179564_Presentation 2- Performance Management

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    MSc/ PG Diploma in Construction Management

    Change Management and People Performance

    By Professor Simon Burtonshaw-Gunn licensed under the Creative Commons Attribution Non-Commercial Share Alike License

    http://creativecommons.org/licenses/by-nc-sa/2.5/

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    MSc/ PG Diploma in Construction Management

    School of the Built Environment

    MSc Construction Management

    People Management in the Built Environment

    Presentation 2: Performance Management

    Professor Simon Burtonshaw-Gunn

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    Presentation 2: Performance Management

    Performance Management and the organisation

    Life cycle of People Management

    Commitment strategies

    Motivation

    Strategic HR Planning

    Performance Appraisal Process

    Performance Management Cycle

    Developing people training, coaching Grievance and Disciplinary process

    Presentation content . . .Change and Performance Management

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    Performance Management is . ..

    a means of getting better results by understanding and managingperformance within an agreed framework of planned goals, standardsand competence requirements. It is a process to establish a sharedunderstanding about what is to be achieved, and an approach to

    managing and developing people so that it will be achieved.

    Michael Armstrong, Handbook of Management Practice

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    Performance Management is controlling the individual employees andthat it is developed from the organisations business plan into individualperformance targets.

    Internal

    Environment

    BusinessStrategy

    External

    Environment

    HR

    Strategy

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    Corporate Strategy

    Marketing Business Strategy

    Product Strategy

    Purchasing and

    Supply

    Quality

    Design andprocess

    engineeringManufacturing

    HumanResources

    Management

    Finance

    Corporate Strategy

    Marketing Business Strategy

    Product Strategy

    Purchasing and

    Supply

    Quality

    Design andprocess

    engineeringManufacturing

    HumanResources

    Management

    Finance

    Relationship between external facing business strategies andinternally focused product strategy.

    From The Essential Management Toolbox: Tools, Models and Notes for Managers and

    Consultants. S. A. Burtonshaw-Gunn, 2008

    Performance Management

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    Another view . . .

    Performance management is potentially the area of human resource

    management which can make the most significant contribution toorganisational performance.

    Performance management is a process which is based on a numberof activities; as such it is designed to improve strategic focus andorganisational effectiveness through continuously securing

    improvements of individuals and teams.

    From Philpott and Sheppard, Managing for improved performance, 1994

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    Question . . . .

    What do you think Performance Management involves ???

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    Corporate objective setting

    Performance assessment

    Identification of potential

    Training and career development

    Succession Planning

    Reward systems

    It is likely to involve:

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    Results discussedPerformancedetermined

    TrainingCoaching

    Agreeingobjectives

    StrengthsAreas of development

    Agree action plans

    PerformanceManagement cycle

    Ensure clarity on overall

    goals

    Make task lists

    independently

    Discuss and agree on a

    mutually acceptable list

    Clarify objective of each

    task

    Describe: Action - Result -Standards

    Ensure understanding and

    agreement

    Performance Management

    A typical process of performance management process is to . . . .

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    The Life Cycle of People Management

    HR Planning

    Recruitment

    and

    Selection

    Motivate

    Control

    and

    Develop

    Exit

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    Commitment Strategies

    Motivation

    Leadership

    Team development

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    Motivation

    The feeling of commitment to doingsomething well, and being prepared to putenergy and effort into it because ofpersonal interest

    Motivated employees delight customers

    and enhance creativity

    See Motivation Theories handout

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    See Exercises in Motivation

    What affects Motivation?

    Management style

    Terms and Conditions Involvement

    Job Content

    Personal Development

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    Strategic Human Resource Planning

    The purpose

    The process

    getting the right people with the right skills at the righttime

    forecasting needs

    assessing current reality

    gap management

    Handout on Strategic HRM

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    Recognition

    Performance

    monitoring

    Objective

    setting

    Resources

    Feedback

    TheIndividual

    Objective Setting

    = Individual clear when to performand what is expected

    = Performance targets, measures andstandards exists

    = Identify which objectives areessential and which are desirable

    = Objectives need to be Defined,agreed and written and be SMART

    (See next slide)

    Performance Management

    A typical process of an appraisal systems is shown below . . . .

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    SMART . . .

    Specific clear about what is to be achieved

    Measurable must state how success will be measured

    Achievable

    ideally wit the person who will carry out the objective,and with anyone who will be affected by the results

    Realistic achievable within the constraints of the situation and in

    alignment with other objectives

    Time-bound a target set for achieving the objective

    (Or SMARTT with the addition T for Traceable covering provision of

    evidence that the objective has been completed)

    Performance Management

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    TheIndividual

    The Individual

    Capability to perform as desired- skills and knowledge

    Willing to perform

    Recognition

    Performance

    monitoring

    Objective

    setting

    Resources

    Feedback

    Performance Management

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    Resources

    People

    Equipment, materials

    Information

    Plans

    Money

    Recognition

    Performance

    monitoring

    Objective

    setting

    Resources

    Feedback

    TheIndividual

    Performance Management

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    Feedback

    Feedback

    Relevant, immediate andfrequent

    Constructive, balanced andspecific

    Focused on critical successfactors of task behaviour

    Recognition

    Performance

    monitoring

    Objective

    setting

    Resources

    TheIndividual

    Performance Management

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    Performance monitoring

    Interim reviews of performance

    Identify interim targets

    Take action to remedy poorperformance as necessary

    Recognition

    Performance

    monitoring

    Objective

    setting

    Resources

    Feedback

    TheIndividual

    Performance Management

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    Recognition

    Positive if performance is asexpected

    Could be linked to performancerelated pay or bonus

    If performance is not up tostandard identify problem andcommunicate need forimprovement

    Recognition

    Performance

    monitoring

    Objective

    setting

    Resources

    Feedback

    TheIndividual

    Performance Management

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    Does your company undertake annual staff appraisals?

    Why?

    How?

    Does it do it well?

    Could it do it better?

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    MSc/ PG Diploma in Construction ManagementPerformance Management Cycle

    Standards of performance Assessing current / future needsSetting / agreeing objectives Skills

    KnowledgeAttitudes (behaviours)

    Formal assessment Specific Issues Interim reviewsPast performance e.g. shortfall in performance Informal discussionsFuture objectives developing performance Feedback

    PERFORMANCE

    PLANNING

    PERFORMANCE

    DEVELOPMENT

    PERFORMANCE

    REVIEWPERFORMANCECOACHING

    PERFORMANCE

    APPRAISAL

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    Please discuss . . .

    the advantages to employees of introducing such a system

    the disadvantages to the individual of not having an appraisalsystem

    the disadvantages to the company of not having an appraisalsystem

    Performance Management

    See Performance Appraisal Handout

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    Wider view of Performance Management:

    To provide a fully effective job performance, people need to beeffective in three areas:

    Knowledge (What we know), Skills (What we can do) and Competencies (How we go about it).

    These three areas can be applied to a number of competencies within

    an organization such as customer focus, teamworking, innovation andproblem solving, communications etc. These competencies are linkedinto individual performance as shown next:

    Performance Management

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    Career PlanningPerformance Competencies

    TrainingRecruitment

    Promotion

    Succession Planning

    PerformanceManagement

    DevelopmentIndividual andTeam

    Reward andRecognition

    Retirement

    Redeployment

    Resignation

    Performance Management

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    Developing People

    Training input of knowledge

    Coaching job performance dialogue

    Mentoring life / career planning

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    Training Options

    Public programmes

    On the job

    In house customised

    Supported individual learning distance learning

    supported learning

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    Coaching Coactive Coaching

    Both parties as active collaborators in the coaching process

    Coachee resourceful and capable of finding answers

    Agenda comes from coachee and is key focus of relationship Coaching addresses coachee as a whole person

    Coaching relationship is a designed alliance

    Focus is on specific coaching skills and techniques rather than content orstructure of a coaching session

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    Objectives Values

    PerformanceIndicators and

    Standards

    Critical SuccessFactors

    Succession

    Planning

    Identification of

    personnel

    Better Performance

    Strategies

    Mission

    Total RewardSystem

    PerformanceImprovementProgrammes

    Performance

    Review

    Linking Strategies withPerformance . . .

    From Lawrie Philpott andLouise Shepherd inStrategies for HumanResource Management,Michael Armstrong (Ed),1992. Kogan Page Limited

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    The leadership task as part of Performance Management involvesundertaking three inter-related activities, in John Adair's Action-Centred Leadership model this is represented by three circlesrepresenting Adair's identified three core management responsibilities:

    achieving the task;

    building and managing the team or group

    and finally,

    managing the work and development of individuals.

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    Task

    Performance management is not just about the individual - its aboutcreating and managing the balance

    Individual

    Team

    Maximizing the overlap between these increases leadership efficiencyand performance.

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    Whilst the team leader will have to assign tasks, build the team andplay a role in the development of staff . . . .

    Task

    Individual

    Team

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    Any examples . . .

    It should also be noted that high-performing teams exhibit the sameregard for task, team-working and self and group developmentopportunities.

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    One example . . .

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    What happens if it all goes wrong??

    A look at Discipline and Grievance Procedures

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    Discipline

    Have a procedure

    Apply it systematically

    Be consistent

    Beware the law

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    Grievance Procedures

    STEP ONE

    Employee informs employer of grievance in writing

    STEP TWOEmployer invites employee to discuss grievance

    Notifies employee of decision and right to appeal

    STEP THREE

    Employee informs employer that wishes to appealEmployer invites to meeting informs employee of final decision

    See Handout: ACAS Disciplinary and Grievance Procedures and Disciplinary Actions Exercise

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    High Performance through teams

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    High Performance through teams

    Where Performance means:

    Achieving business targets+

    (Achieving individual objectives

    +

    Using appropriate behaviours)

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    High Performance through teams

    Where Performance means:

    Achieving business targets+

    (Achieving individual objectives

    +

    Using appropriate behaviours)

    What is the most important part of this statement?

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    High Performance through teams

    Where Performance means:

    Achieving business targets+

    (Achieving individual objectives

    +

    Using appropriate behaviours)

    Here is a clue

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    School of the Built Environment

    MSc Construction ManagementPeople Management in the Built Environment

    Presentation 2: Performance Management

    Professor Simon Burtonshaw-Gunn