Overview of Performance Reviews

Performance Management Defined

• A process to ensure that goals are consistently being met in an effective and efficient manner.

• Performance management looks at:– Job descriptions– Standards, dimensions, measurements– Performance expectations– Frequent and ongoing dialogue– Process to monitor and evaluate– Appraisal forms and interviews

Why Manage Performance?

• Achieve organizational outcomes• Challenging & promoting the most competent employees• Improving marginal performance• Helping poor performers• Terminating chronic non-performers

Purpose of Performance Development

• Alignment of individual performance objectives with corporate objectives

• Increased communication between Manager and Employee on performance

• Employee awareness of strengths and areas for improvement

Purpose of Performance Development

• Fair and consistent process• Improved individual performance• Consistently strong individual and team performance• Identifies further areas for talent development and

informs succession planning (ensuring a talent pool within Metroland to avoid skills shortages)

Doesn’t Meet Meets Exceeds

Everyone’s doing good or great!

The Problem with Most PM Systems

Shortcomings of Traditional Approach

• 85 to 95 percent of employees are rated at or above average • No link to tools to remediate poor performance

• Managers are not good at giving critical feedback• Managers inflate their ratings & hold back negative opinions

Survey Says….

% of employees who feel good feedback & coaching are very important to their development: 73%

% of employees who say their company providesgood feedback & coaching:

31%

% of Managers satisfied with their company’s Performance management process:

5%

Source: Anderson Human Capital Group; Murphy, D., “Pool Your Talent;Corporate Leadership Council

Why This Approach to Performance Management?

• Achieve organizational outcomes with regard to products, services and profitability

• Increase employee engagement by clearly articulating organizational goals and setting realistic performance expectations

• Foster a culture of continuous improvement• Create a reputation for personal and career development