performance management october 2013
DESCRIPTION
Half day open training event held in Toronto, Ontario.TRANSCRIPT
Effectively managing performance
by Toronto Training and HR
October 2013
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CONTENTS5-6 Definition7-8 The process of performance management9-10 Aspects of performance management11-12 Disciplines of execution13-14 Pay for performance15-16 Creating and implementing a balanced scorecard17-18 Selecting the right metrics19-20 Components of human work processes21-22 Motivation and performance23-24 Employee engagement25-28 Performance reviews29-30 Trust31-33 Legal considerations34-38 High achievers and low performers39-40 Key components for world-class performance41-46 Organizations which are high-performing47-48 Ensuring performance management is a success
49-50 Conclusion and questions
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Introduction
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Introduction to Toronto Training and HR
Toronto Training and HR is a specialist training and human resources consultancy headed by Timothy Holden 10 years in banking10 years in training and human resourcesFreelance practitioner since 2006The core services provided by Toronto Training and HR are:
Training event designTraining event deliveryReducing costs, saving time plus improving employee engagement and moraleServices for job seekers
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Definition
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Definition
• Performance management
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The process of performance management
The process of performance management
• Define performance expectations
• Provide ongoing feedback and coaching
• Conducting performance reviews and evaluation discussions
• Determining performance rewards/consequences
• Undertaking development and career opportunity discussions
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Aspects of performance management
Aspects of performance management
• Developing• Monitoring• Planning• Rating• Rewarding
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Disciplines of execution
Disciplines of execution
• Focus on tremendously vital objectives (TVO)
• Act on the lead measures• Keep a compelling
scoreboard• Create a culture of
accountability
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Pay for performance
Pay for performance
• Stability• Ease of measurement• Designing a plan• Merit pay grids
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Creating and implementing a
balanced scorecard
Creating and implementing a balanced scorecard
• Collect historical data from the organization
• Sort out and prepare the final database
• Determine and identify the numbers of strategic perspectives and performance indicators
• Construct the cause and effect link between all strategic perspectives
• Operate this management tool for long-term planningPage 16
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Selecting the right metrics
Selecting the right metrics
• Define your governing objective• Develop a theory of cause and
effect to assess presumed drivers of value
• Identify the specific activities that employees need to do in order to achieve the governing objective
• Regularly re-evaluate the chosen statistics to ensure that they continue to link employee activities with the governing objectivePage 18
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Components of human work processes
Components of human work processes
• Direction setting• Clarifying roles• Planning and aligning
performance• Monitoring and measuring• Enabling and enhancing• Assessing and evaluating• Recognizing and rewarding
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Motivation and performance
Motivation and performance
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Employee engagement
Employee engagement
• Fully engaged• Not engaged• Disengaged
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Performance reviews
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Performance reviews 1 of 3• Formats• 360 degree feedback• Errors• An effective process• Preparation
Performance reviews 2 of 3TRENDS• Preset performance objectives for
individuals• Discussion of development held
separately from the performance review
• Competency models which are based on strategy
• Competencies• Calibration meetings to compare
ratings by different managers• Ownership of performance
management by line management
Performance reviews 3 of 3
AMENDMENTS• Change what is rated• Change the rating scale• Change who rates• Change the objectives
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Trust
Trust
• Leader behaviours to build trust
• Employee responses
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Legal considerations
Legal considerations 1 of 2
• Evaluate employees on job-relevant factors
• Inform employees of expectations and evaluation standards in advance
• Have a documented process with specified roles for managers and employees
• Train managers and employees on the performance management process and relevant skills
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Legal considerations 2 of 2
• Document justifications for rewards/decisions by managers
• Provide timely feedback on performance issues
• Allow employees to formally comment on and appeal evaluations
• Make sure evaluations used for decision-making are consistent with decisions
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High achievers and low performers
High achievers and low performers 1 of 4
• Carefully select who will be important for you to invest time, energy and other resources in to developing their performance
• Keep hope alive for all performers, even those who are chronically low
• Cut your losses relatively early
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High achievers and low performers 2 of 4
ADDRESSING CHRONIC LOW PERFORMERS• If after setting clear expectations,
monitoring their performance, providing feedback, coaching them and letting them know the consequences of underperforming…let them go
• If the organization can’t afford to let low performers go in order to keep operating, then reassign them
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High achievers and low performers 3 of 4
MANAGING LOW PERFORMANCE• Plan a face-to-face meeting• Spend time preparing• State the facts clearly• Shut up and listen• Write it down• Use your judgement• Recognize improvements
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High achievers and low performers 4 of 4
CHALLENGES AROUND LOW PERFORMANCE • We will always have people
where performance could be improved
• Performance management processes are likely to stay trivial for a number of years to come
• Training people does not always work
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Key components for world-class
performance
Key components for world-class performance
• Technical• Tactical• Mental • Physical• Contextual• Emotional
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Organizations which are high-performing
Organizations which are high-performing 1 of 5
FACTORS TO CONSIDER• Management quality• Openness and action
orientation• Long-term orientation• Continuous improvement• Employee quality
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Organizations which are high-performing 2 of 5
STEPS TO DEVELOPING A HIGH-PERFORMANCE CULTURE• Motivate change• Lay foundations• Sustain behaviour• Monitor and improve
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Organizations which are high-performing 3 of 5
WHAT DOES A HIGH-PERFORMING ORGANIZATION LOOK LIKE? • The right people in the right
roles, focused on what matters most
• Organizational design that encourages the right balance of wider collaboration
• Ways of working that help people to be productive and fulfilled
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Organizations which are high-performing 4 of 5
BECOMING A HIGH-PERFORMING ORGANIZATION• Find out what employees know
and don’t know• Formulate objectives with
employees and roles to play• Evaluate the impact on
employees• Determine with employees the
resources needed• Make sure everyone
continuously receives information on progress
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Organizations which are high-performing 5 of 5
BECOMING A HIGH-PERFORMING ORGANIZATION (CONTINUED) • Ask employees for feedback
on un
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Ensuring performance management is a
success
Ensuring performance management is a success
• Communicate the big picture• Set SMART objectives• Give effective and regular
feedback• Prepare and train managers• Differentiate based on
contribution not remuneration• Identify opportunities for learning
& development
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Conclusion and questions
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Conclusion and questionsSummaryVideosQuestions