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8/2/2019 PMS - FINAL
1/21
SUBMITTED TO:
Prof. Pradeep KamathHR Planning & Audit
SUBMITTED BY:
Shaikh Ambreen
09 - HR
8/2/2019 PMS - FINAL
2/21
Performance Management System
It is an organizations wide management programthat provides a structured approach to:
Communicate business strategy
Establish a shared understanding of what is to beachieved and how it is to be achieved
Facilitate management of self and others
Measure and motivate performance(organizational and individual)
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WHY MEASURE PERFORMANCE ?
What you cannot measure you cannot improve.
If you cannot improve you cannot grow.
Measurement helps in objectivelydifferentiating between performers and non
performers.
Pay for performance is possible only throughmetrics.
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Objective of PMS
To confirm the services of probationary employees upontheir completing the probationary period satisfactorily
To check the effective & efficiency of individuals, teams& organization
To effect promotions based on competence andperformance
To access the training and development needs of theemployees
To decide upon the pay rise PM can be used to determine whether HR programmes
such as selection, training, and transfer have been effectiveor not.
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PAS & PMS
PAS: Emphasis is on relative
evaluation of individuals
Annual exercise Rewards & recognition of
good performance
Designed & monitored by
HR department
Ownership is mostly with
the HR dept.
PMS: Emphasis is on performance
of individuals, team & orgn.
Continuous process Performance rewarding may
or may not be integral part
Designed by HR dept. but
monitored by respective dept.
Ownership is with the line
managers, HR facilitates its
implementation
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PMS Includes
1. Work planA document that describes the work
to be completed by an employee within the
performance cycle, the performance expected, and
how the performance will be measured.
2. Corrective action planA short-term action plan
that is initiated when an employees performancefails to meet expectations. Its purpose is to achieve
an improvement in performance.
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Contd
3. Individual development planAn action plan forenhancing an employees level of performance inorder to excel in the current job or prepare for newresponsibilities.
4. Performance appraisalA confidential documentthat includes the employees performanceexpectations, a summary of the employees actualperformance relative to those expectations, an overallrating of the employees performance, and thesupervisors and employees signatures.
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Contd
5. Performance documentationA letter, memo,completed form, or note on which the supervisorindicates the extent to which the employee iscurrently meeting expectations and provides evidence
to support that conclusion.
6. Fair appraisalAppraising employees in a mannerthat accurately reflects how they performed relative tothe expectations defined in their work plan and in amanner that is not influenced by factors irrelevant toperformance.
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HIGHLIGHTS OF THE SYSTEM
The appraiser and the appraisee jointly set the Key
Result Areas (KRAs) and assign mutually agreed
weightage expressed as a percentage
Simple mathematical relationship between set
weightage and accomplishment gives a final
numerical score on KRAs
To evaluate all management personnel on companyvalues and leadership attributes a new section has
been added entitled Values in Action
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WHAT IS A KEY RESULT AREA ?
A KRA refers to a target that needs to be achieved bythe appraisee in a given time
KRAs are the set of performance expectations from
the appraisee The focus is on tangible outputs. However this does
not mean that tasks that have a qualitative output
cannot form a KRA
The focus is on tangible outputs. However this does
not mean that tasks that have a qualitative output
cannot form a KRA
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Setting KRA in case of a Functional
Reporting Relationship
Functional reporting cases will require input from thefunctional superior in setting KRAs for the appraisee.
The appraiser , the appraisee and the functional superior
will have to mutually agree upon the KRAs for theappraisee.
In case of a disagreement , it will be the functional
superiors responsibility to convince the administrative
superior to reach an agreement on the KRAs andcommunicate the same to the appraisee.
In some cases, functional goals could be super-ordinate
to business goals.
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Components of PMS
1. Performance Standards - establishment of
organizational or system performance standards,
targets and goals and relevant indicators to improve
public health practice
2. Performance Measures - application and use of
performance indicators and measures
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Contd
3. Reporting of Progress - documentation andreporting of progress in meeting standards andtargets and sharing of such information through
feedback
4. Quality Improvement- establishment of a
program or process to manage change and achievequality improvement in public health policies,programs or infrastructure based on performancestandards, measurements and reports.
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Importance of PMS
A Performance Management System enables a
business to sustain profitability and performanceby linking the employees' pay to competency and
contribution .
It provides opportunities for concerted personaldevelopment and career growth .
It brings all the employees under a single strategic
umbrella .
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Contd
Most importantly, it gives supervisors andsubordinates an equal opportunity to express
themselves under structured conditions
Organizations can effectively manage theperformance appraisal process with our online
performance management system
It calls for a high level of co-ordination, channeledinformation flow, and timely review
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Performance Cycle
SETTING
EXPECTATIONS
PROVIDING
ACTIONABLE
COACHING &
FEEDBACK
OBSERVING
BEHAVIOUR AND
MEASURING
RESULTS
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Appraise Need For Further
Discussion
The reviewer meets the appraiser to investigate the
point of disagreement.
The reviewer decides to meet the appraise to hearhis / her views.
The reviewer examines the case and communicates
his / her decision to the appraiser. The appraiser communicates the decision of the
reviewer to the appraise.
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FURTHER LINKS EMERGING
FROM THE PMS
Rewards and Recognition
Training and Development
Potential Appraisal
Career and Succession Planning
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