Making a Success of Performance Management

The questions you need to address
(and that employees will want to know)

Performance Management Process

• What is the purpose of the process for your organisation?
• Does it apply to all employees - all grades, temporary, new employees, CEO
• What are the consequences for managers who do not carry it out?
• To what extent is feedback from other employees/customers part of the process.
• How does this process differ from the last one, if there was an earlier one
• What are the responsibilities of Managers?
• What are the Responsibilities of Employees?
• What are the responsibilities of Personnel/HR?
• How will you measure the success of the performance management process?

Performance Management Meetings

• How frequently will formal performance management meetings occur?
• What is the rationale for this time line?
• How does it link to the business planning cycle?
• Is there an agreed structure for the meetings?
• How much employee involvement and feedback is required?
• Will each meeting review the previous period and set goals for the next at the same meeting?
• When do discussions about salary/bonuses take place?
• Is there an annual summary, and how does that meeting differ from the other reviews?
• What happens when managers change?

Goal Setting

• Have the organisation's mission and goals been communicated to employees?
• Are there departmental goals, strategies? Do employees know where to find them?
• Has each person a job description, role profile?
• Have managers been trained in how to set goals and measures?
• Have you defined the type and nature of goals that are acceptable?
• To whom can employees appeal if they believe the goals are not set right, or are unachievable?
• How will the quality and consistency of the goals be monitored?
  Reward
• Is the link between performance and financial reward clearly defined (even if it is to state that there is no direct link)?
• How do performance levels link to promotional decisions?
• What recognition strategies will you employ to reward good performance?
• Is there an extra benefit for outstanding performers?
• Is there a change to employee terms and conditions of employment, if so assess the practical and legal implications?
• Have you defined the consequence of poor or non-performance?
• Will you reveal who are the top performers?

Rating

• Have you clearly defined and communicated what each rating means?
• Have you trained managers in their interpretation?
• Have you defined how (if) the ratings link to salary increases/bonuses?
• Do managers have to distribute the ratings in a bell curve (normal distribution)?
• What will happen if one section is rated very high?
• Will the rating impact on promotion chances?
• What can an employee do if they are not happy with the rating?
• Do employees have to provide a Self-assessment form before they are rated?
• Will managers have to consult with others (customers, peers, senior manager) in relation to the rating?
• How frequently are employees rated - each meeting, annual basis?
• What are managers to rate - performance, behaviours, performance against goals, all three?
• What can an employee do if they are not happy with the rating?
• With whom do managers have to consult prior to/after rating the employee?
• What will happen to employees whose performance is rated unacceptable?
• What is the process to ensure consistency within teams and across the organisation?
• Will the rating distribution be made available?

Behaviours
(Relates to behaviours which organisation expects employees to demonstrate, including time-keeping, attendance, attention to detail, initiative, team working, etc.)

• What is the link between the performance managements system and core organisational values and behaviours?
• Are managers expected to set goals and evaluate performance in relation to behaviours?
• What are the consequences of not demonstrating organisation behaviours?
• Can employees be pulled down on their rating if their manager thinks they do not satisfactorily demonstrate required behaviours?
• Have managers been provided with feedback on their behaviours - to make sure they are role modelling the required ones?

Training and Development

• Have you clarified whether training and development needs are discussed at performance management or at another time?
• What is the employee's responsibility for delivering on their development needs?
• To what extent is goal setting related to personal development
• Who will monitor that people are getting the training they need
• How will the process make sure that training needs are being addressed?
• Are the training requirements given to HR, or made into a local plan

Forms

• What is the purpose of your documentation?
• Will you use paper or on-line forms?
• If on-line, who is responsible for putting the information into the database?
• Who will see the documentation/ online information?
• How will you guarantee confidentiality?
• How will you guarantee transparency?