pms training material i

8/8/2019 PMS Training Material I

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Performance Management System


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PERFORMANCE APPRAISAL SYSTEM


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Agenda

Why Performance Appraisal?

Objectives of Performance Appraisal System

Objectivity in Appraisals

Setting Goals and Expectations

Appraisal Points


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Objectives of Performance Appraisal?

Performance measurement

Setting priorities and objectives

Motivation

Training needs, Career and succession planning

Identification of personal strengths and direction

Organizational training needs assessment and analysis

Building trust and relationship

Counseling and feedback


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Objectivity in Appraisals

Why objectivity in appraisals

Transparency in appraisal system

Fairness and uniformity in appraisals

Reduces the effects of personal biases Reduces disputes in

performance reviews

Develop positive relationship between appraiser & appraisee

How objectivity can be brought in

Wherever possible measurable goals should be set

Otherwise expectation must be clear to reduce subjectivity

Appraiser must collect information and data for appraisal throughout

the year, to be maintained till appraisal is complete.

Appraisal discussion must happen on the collected data, facts and

figures


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Setting Goals and Expectations

Importance of setting Goals and Expectations

Identify key areas

Help top performers replicate their success

Help potential performers to deliver their best

Identify areas of strength for under performers

Appraisee expresses their expectations from the company

Goals set in line with career aspirations of the appraisee

Goals to be set only in those areas applicable to the individual


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Performance Orientation at Ispat: Principles

ISPATISPATPerformancPerformanc

ee

ManagemenManagemen

t Systemt System

EmployeeEmployee

performanceperformance

aligned toaligned to

the businessthe business

needsneeds

ObjectiveObjective

criteria forcriteria for

settingsettingexpectationsexpectations

& measuring& measuring


Clear linkageClear linkage

ofof

increments &increments &promotionspromotions

toto


EmployeeEmployee

hashasownership ofownership of

his/herhis/her


Clearly defined steps in

the process with clearly

articulated roles for

each player, minimizing

scope for subjectivity

Ownership of PMS by

line, HRD as a

facilitator only

Visible and transparent

linkage with rewards

and otherHR systems

Simplicity and ease of

administration through

the use of technology

Formal process Incentives for

departments

Ownership

by you

Support

from HRClear linkage to

career & rewards

Ensuring ImplementationEnsuring Implementation


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Defining performance

Performance at IspatPerformance at Ispatwill be defined inwill be defined in

terms ofterms of Task FactorsTask Factors, measured in, measured in

quantitativequantitative termsterms

Performance

Task factorsTask factors are the key performance parameters for aare the key performance parameters for a

role. These are defined as Critical outcomes towardsrole. These are defined as Critical outcomes towardswhich effort is directed to support achievement ofwhich effort is directed to support achievement of

desired business results.desired business results.

Measurement CriteriaMeasurement Criteria is the expected performance onis the expected performance on

each Task Factor in quantifiable termseach Task Factor in quantifiable terms

Key terms


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The Performance Management System: Key players

Appraisee

Reporting

Officer (RO)

Reviewer

Every employee whoseEvery employee whose

performance will beperformance will beassessed. All employees inassessed. All employees in

levels Elevels E--08 and above08 and above

Its about yourIts about your

PerformancePerformance You are the key driver ofYou are the key driver of

the processthe process

Every individual whoEvery individual who

assesses the performance ofassesses the performance of

one or more people thatone or more people thatreport to him/her. He is yourreport to him/her. He is your

boss.boss.

Will help you manageWill help you manage

your performance &your performance &

provide continuousprovide continuousfeedback and coachingfeedback and coaching

Will ensure Objectivity,Will ensure Objectivity,

Transparency &Transparency &

ConsistencyConsistency

The PMS process ownerThe PMS process owner

Manage performanceManage performancedatadata

Your Reporting officersYour Reporting officers

reporting officerreporting officer-- isis

responsible for reviewing theresponsible for reviewing the

entire performance processentire performance process

This is the H.RThis is the H.R -- PMS groupPMS group

03

02

01

HR04


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System implementation: Timelines

Periodic &

Ongoing

development

activities

Q1 Appraisal, Review

& Feedback

1st Week of July

Performance Planning

[Individual]

2nd Week of April

Q2 Target Setting

2nd Week of July


& Feedback

1st Week ofOctQ3 Target Setting

2nd Week ofOct


& Feedback

1st Week of Jan

Q4 Target Setting

2nd Week of Jan

Q4 Appraisal, Review& Feedback

1st Week of April

Q1TargetS

etting2nd Week of April

Business Planning[Corporate & Division]

Mid March End March


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The Performance Management System:

Performance planning

Clarify performance expectations

Steer performance towards Ispats overall objectives

Encourage discussion between managers and

subordinates about performance

Give managers and subordinates something to measure

against at the end of the year (the performance plan)

Build common agreement between the manager and thesubordinate about performance expectations

Establish a basis for coaching and feedback

discussions

Why have performance planning


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Performance Planning

PerformancePlanning

Task Factors

[Quantitative]

DevelopmentPlanning

CompetenciesOther

Development

Areas

CompetenciesCompetencies are skills and abilities described inare skills and abilities described in

behavioral terms that are coachable, observable,behavioral terms that are coachable, observable,

measurable, and critical to successful individual ormeasurable, and critical to successful individual or

organization performanceorganization performance

Key terms

Will be used for assessment ofperformance

Will be used for developmental purposesonly, and will thus, not form a part of the

final rating


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The Performance Management System: getting

started-Page 1

screen shot of personal detail sheet

You need to enter yourEmployee Number only, the other

information will be populated automatically

Form


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The Performance Management System: Performance

planning-Page 2


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The Performance Management System: Quarter

Appraisal-Page 3


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The new Performance Management

System: feedback-Page 4

Feedback form

Form Flow diagram

RO enters his

feedback after

discussion with

the appraisee

RO forwards his

feedback to

reviewer

Reviewervalidates

Appraisee

accessesfeedback


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Annual performance rating

The annual rating is generated automatically by the system

It is the average of the ratings of all the quarters

It is this rating that is linked to the otherHR systems - increase in compensation,

career movement ( depending on the opportunities available in the organization

Details

Compensation

( Cost to

company )

Promotion

Linked to Overall

Rating

Compensation depends on Market

alignment, Specialty of job, extent of

Experience, and Overall performance

Linked to Overall

Rating andCareer

aspirations

Continuous demonstration of good

overall performance for a defined period

of time, fitment into role based on skillsand abilities, consideration of career

aspirations and opportunities available

in the organization


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Developmental Plan- Page 5

Form Flow diagram

RO & appraisee

jointly identify

appraisee

development

needs: Existing

role & Careergrowth

Decide on the

training inputsnecessary

Freezetimeframe

Reviewer

validates


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The new Performance Management System:

Appraiser and Reviewer rating

Self rating

by

appraisee

ROs enters

rating post

discussionwith the

appraisee

Reviewers

rating

Difference

Moderation

committeerating

>2NO

YES

Flow diagram

Final rating

on each Task

Factor

Overall

Score

Significant Contributor

Contributor

Partial Contributor

Non-Performer

Exceptional Contributor

Performance Category

Composition


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feedback

Role of the Reporting Officer

Preparing for feedback

Deliver feedback

Flow diagram

RO should read the Performance appraisal form & identifyexamples of performance & non-performance

RO, to independently identify areas for discussion & chartpossible developmental paths

Begin with positive feedback

Listen to appraisees point of view

Create a developmental & amicable atmosphere

Summarize feedback

Summarize the discussion List out 3-4 developmental areas, and corresponding

activities

Set a status review schedule

Decide time & venue

Enough time should be given to Appraisee prepare for

the session

Venue should not be the work area of either appraisee orRO - The discussion should preferably be held off-site


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feedback tips for Reporting Officers

Why feedback

Good feedback

Wrong feedback

Informal and formal opportunities for Reporting Officers to

connect or touch base with you to:

Provide support and direction

Keep performance on track

Coaching and feedback can include:

Positive feedback and recognition

Corrective feedback

Identifying obstacles to performance

Sharing information

Personal insults

Conflicting information or too much, all at once

Unclear messages causing the other person to guess

Tips for giving feedback

Contd --


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feedback-tips for Reporting Officers

Giving negative

feedback

Describe the observed behavior and provide specific examples

Focus on behavior that can be changed, not the person

Define the impact on you and other members

Get a reaction from the employee

Share your expectations for future behavior

Together explore options for solving the problem Describe consequences of improved/not improved performance

Agree on a time table to review progress

Offer support to help or remove obstacles

Express confidence in the employees ability to improve

Giving positive

feedback

Cite specific accomplishments

Show appreciation

Ask employees how they can leverage performance in a particular

area to enhance their overall performance

Encourage employees to continue high level of performance

Tips for giving feedback


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Thank You

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