ch3 herman

28
Prentice Hall, Inc. Herman Aguinis, University of Colo at Denver Performance Management and Performance Management and Strategic Planning: Strategic Planning: Overview Overview Definition and Purposes of Strategic Planning Linking Performance Management to the Strategic Plan – Strategic Planning – Developing Strategic Plans at the Unit Level – Job Descriptions – Individual and Team Performance Building Support

Upload: karchisanjana

Post on 12-Apr-2015

87 views

Category:

Documents


7 download

DESCRIPTION

Herman

TRANSCRIPT

Page 1: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Performance Management and Strategic Performance Management and Strategic Planning: OverviewPlanning: Overview

Definition and Purposes of Strategic PlanningLinking Performance Management to the

Strategic Plan– Strategic Planning – Developing Strategic Plans at the Unit Level– Job Descriptions– Individual and Team Performance

Building Support

Page 2: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Strategic Planning: Definition Strategic Planning: Definition

• Process– Describe organization’s destination– Assess barriers– Select approaches for moving forward

Page 3: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Strategic Planning: GoalStrategic Planning: Goal

• Allocate resources – to provide organization – with competitive advantage

Page 4: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Strategic Planning: PurposesStrategic Planning: Purposes

Help define the organization’s identity Help organization prepare for the future Enhance ability to adapt to environmental

change Provide focus and allow for better

allocation of resources

(continued on next slide)

Page 5: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Strategic Planning: PurposesStrategic Planning: Purposes

Produce an organizational culture of cooperation

Allow for the consideration of new options and opportunities

Provide employees with information to direct daily activities

Page 6: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Strategic Planning : OverviewStrategic Planning : Overview

1. Environmental Analysis2. Mission3. Vision4. Goals5. Strategies

Page 7: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Environmental AnalysisEnvironmental Analysis

Identifies external and internal trends• To understand broad industry issues• To make decisions using “big picture” context

Page 8: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

External trendsExternal trends

• Opportunities: – environmental characteristics that can help

the organization succeed

• Threats: – environmental characteristics that can

prevent the organization from being successful

Page 9: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

External trends – External trends – Factors to ConsiderFactors to Consider

• Economic• Political/legal • Social

• Technological• Competitors• Customers• Suppliers

Page 10: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Internal trendsInternal trends

• Strengths: – internal characteristics that the organization

can use for its advantage• Weaknesses:

– internal characteristics that can hinder the success of the organization

Page 11: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Internal trends – Internal trends – Factors to ConsiderFactors to Consider

• Organizational structure• Organizational culture• Politics• Processes• Size

Page 12: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Gap AnalysisGap Analysis

Analyzes:External environment (opportunities and threats)

vis-à-vis

Internal environment(strengths and weaknesses)

Page 13: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Gap analysis determines:Gap analysis determines:

Opportunity + Strength = Leverage

Opportunity + Weakness = Constraint

Threat + Strength = Vulnerability

Threat + Weakness = Problem

Page 14: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Strategic Planning for the OrganizationStrategic Planning for the Organization

Environmental and Gap Analyses provide information for organizations to decide:Who they areWhat they do

Page 15: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

MissionMission

A good mission statement answers:Why does the organization exist?What is the scope of the organization’s activities?Who are the customers served?What are the products or services offered?

Page 16: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Mission Statement contains:Mission Statement contains:

A. Information on organization’s Basic product/service to be offered Primary market/customer groups Unique benefits and advantages of

product/services Technology to be used Concern for survival through growth and

profitability

Page 17: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Mission Statement Mission Statement maymay contain: contain:

B. Information on organization’s values and beliefs Managerial philosophy Public image sought by organization Self-concept of business adopted by

Employees Stockholders

Page 18: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

VisionVision

• Statement of future aspirations• Focuses attention on what is important• Provides context for evaluating

– Opportunities– Threats

Page 19: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

A Good Vision Statement is:A Good Vision Statement is:

BriefVerifiableBound by a TimelineCurrent

FocusedUnderstandableInspiringA stretch

Page 20: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Purposes for Setting GoalsPurposes for Setting Goals

• Formalize expected achievements• Provide motivation• Provide tangible targets • Provide basis for good decisions• Provide basis for performance measurement

Page 21: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

StrategiesStrategies

• Create strategies or Game Plans or “How to” procedures to address issues of:– Growth– Survival– Turnaround– Stability– Innovation– Leadership

Page 22: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

How the HR Function contributes:How the HR Function contributes:

• Communicate knowledge of strategic plan• Provide knowledge of KSAs needed for

strategy implementation• Propose reward systems

Page 23: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Strategic Plans at the Unit LevelStrategic Plans at the Unit Level

• Organization Mission statement, Vision statement, Goals, and Strategies

Must clearly align with

And be congruent with

• Every Unit Mission statement, Vision statement, Goals, and Strategies

Page 24: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Alignment of Strategic Plan with Alignment of Strategic Plan with PerformancePerformance

Organization’s Strategic PlanMission, Vision, Goals, Strategies

Unit’s Strategic PlanMission, Vision, Goals,

StrategiesJob Description

Tasks, KSAs

Individual and Team PerformanceResults, Behaviors, Developmental Plan

Critical to involve all levels of management

Critical to involve all employees

Page 25: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Job DescriptionsJob Descriptions

• Tasks and KSAs are congruent with Organization and Unit strategic plans

• Activities described support mission and vision of Organization and Unit

Page 26: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Individual and Team PerformanceIndividual and Team Performance

Organization and Unit mission, vision, goals lead toPerformance management system, which

Motivates employees Aligns development plans with organization priorities

Page 27: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Strategic Plan Strategic Plan Choices in PM System DesignChoices in PM System Design

• Criteria (Behavior vs. Results)• Participation (Low vs. High)• Temporal Dimension (Short Term vs. Long Term)• Level of Criteria (Individual vs. Team/Group)• System Orientation (Developmental vs.

Administrative)• Rewards (Pay for Performance vs. Tenure/Position)

Page 28: Ch3 Herman

Prentice Hall, Inc. © 2006 Herman Aguinis, University of Colorado at Denver

Building Support – Building Support – Answering “What’s In It for Me?”Answering “What’s In It for Me?”

• Top Management: – Help carry out vision

• All levels: – Involvement – Participation – Understanding