INTRODUCTION TO PMS Dr Ananthapadhmanabha Achar

Performance The accomplishment of a given task measured against preset known standards of accuracy, completeness, cost, and speed. In a contract, performance is deemed to be the fulfillment of an obligation, in a manner that releases the performer from all liabilities under the contract. – business directorytaskaccuracycostcontractdeemedfulfillmentobligationreleasesliabilities

Performance –Different views Record of outcomes achieved. Record of a person’s accomplishments (Bernadine et al, 1995; Kane, 1996). Doing present job at expected level (high or low) as measured by a formal system Performance is behavior and should be distinguished from the outcomes because the outcomes can be contaminated by systems prevalent in the organization (Campbell, 1990 Performance means both Behavior and result

Performance Performance is what is expected to be delivered by an individual and a set of individuals with in a time frame. Behavior, emanates from the performer and transforms performance from abstraction to action. Behavior is not just the instrument for result, behavior is also the outcome in its own right and can be judged apart from the result (Brumbrach, 1988).

Performance – Different dimensions Output /result/ accomplishments Input Time Focus Quality Cost Manner – friendly-courteous Method - policy – procedure Behavior- customer service –team work –problems solving – leadership – initiative – observing procedures

Performance – required competency Achievement motivation- Drives to meet results and ensures that the organisational goals are met consistently within the set time frame Self initiated learning- Proactively improves self and others through continuous learning to realise the full potential of the organisation Customer focus- Commitment to internal & external customer delight People development- Inspires and empowers others to achieve by providing constructive feedback, reassurance and encouragement Team orientation - Steers a team and achieves results through leadership communication - Listens effectively and responds clearly and concisely in a manner that gains confidence and influences behaviour Entrepreneurial spirit- Capitalizes on business opportunities regardless of personal or professional risks

Performance – required competency INTEGRITY- Maintains high ethical standards both personally and professionally. Shows integrity and fairness in dealings with others and always delivers on commitments. Orientation towards Quality : ocuses on quality of process and output at all times. Pays attention to details. Explores and creates ways to achieve improvements in quality on a regular basis. Systems and process orientation - Works in a systematic, planned and standardized manner. Creates and implements systems

PMS – definition Performance management is the systematic process of: planning work and setting expectations, developing the capability to perform, continually monitoring performance periodically rating performance rewarding good performance.

Performance Management Performance Management is a continuous process of identifying, measuring, and developing the performance of individuals and teams and aligning performance with the strategic goals of the organization” (Herman Aguinis, 2007) Performance Management refers to how an organization leverages its assets (people, money and technology) to achieve short-, medium- and long-term strategic goals.

PMS- Steps Planning the performance Developing capabilities Monitoring the performance measuring the performance Analyzing the performance Reviewing the performance Recognition and reward for performance

PMS- characteristics

Purposes of PMS Strategic Administrative Communication Developmental Organizational maintenance Documentation

PMS – questions 1. Why assess performance 2. What performance to asses 3.How to assess performance 4. Who do assess performance 5. When to assess performance 6.How to communicate performance assessment

PMS - WHY Compensation and reward management Correct Performance/Behavior Plan for Future (promotion, transfer, career dev) Facilitate Human Resource Planning Create Culture Building Good Relationships Increase Organizational Loyalty Determine Effectiveness of Selection &Recruitment methods

PMS- What to assess Skills/Knowledge /ability /values/habits That Interact with the Organization to Produce Behaviors Which Results in Outcome

PMS- assessment CompetencyBehaviorsResults Job KnowledgePerform TasksSales StrengthObey InstructionsProduction Levels CoordinationReport ProblemsProduction Quality Business KnowledgeMaintain EquipmentScrap/Waste Desire to AchieveFollow RulesAccidents DependabilitySubmit SuggestionsEquipment Repairs CreativityFollow-upCustomers Served LeadershipWrite ReportsCustomer Satisfaction HonestyCompletes ReviewsFeedback

PMS – How to assess Consistent indicators across industry or similar organizations Comparison of indicators over time in organization Comparisons with pre-determined standards

PMS- Who assess performance 1.Superior Only 2.Subordinate(s) 3.Peers/Coworkers 4.Self 5.Customers 6.All stake holders

PMS – When to make assessment 1.Probation Period 2.Annually (anniversary date, assigned date, set date for all) 3.Half years/querterly 4.On-going 5.As needed

PMS – How to communicate 1.Orally 2. In Writing 3. Formally 4. Informally 5.Public 6. Private 7.Moderated

PMS - Outcomes Motivation to perform is increased-feedback Self esteem is increased-feedback Managers gain insight about subordinates The definitions of job and criteria are clarified Self insight and development are enhanced. Administrative actions are more fair and appropriate Organizational goals are made clear. Employees become more competent

PMS - Outcomes There is better protection from lawsuits There is better and more timely differentiation between good and poor performance. Supervisors views of performance are communicated more clearly Organizational change is facilitated Motivation, commitment and intentions to stay in the organization are enhanced.

PMS & other HR functions

PMS – Different Names Performance Management Performance Appraisals Evaluation Systems Job Review Systems Feedback Systems