1. Roll-out of the NORTHRAIL PMS

2. Why PMS?
Performance management is a key process in people management.  It encompasses many elements of effective people management such as agreeing to the list of deliverables and the required standards between the two parties i.e. the manager and the managed.
It provides the platform for clarification and negotiation, should the targets be too unrealistic.  It is also an opportunity to discuss on progress, issues and support required during the periodic performance management discussion.

3. When done well, the returns are enormous as it sets clear direction to the managed and also a training identification opportunity.
If it is done well, it would be objective and work related, minimizing the allegations of biasness, prejudices etc.

5. WHAT PERFORMANCE MANAGEMENT IS AND IS NOT

6. Performance Management IS NOT
The same as Performance Review
Something a manager does to a Staff
About filling the forms once a year
Used only when performance is poor

7. Performance Management IS
An ONGOING COMMUNICATION PROCESS
Undertaken between a STAFF and his/her immediate SUPERVISOR
That involves establishing CLEAR EXPECTATIONS and UNDERSTANDING about the jobs to be done.

8. Benefits of Performance Management
Align goals across job levels
Identify problems and solve it timely
Make HR related decisions
Help staff to do their work
Coordinate work
Provide regular and ongoing feedback

9. Benefits of Performance Management
Prevent mistakes by clarifying expectations
Plan development and training activities
Least time, maximum comfort
Focused and serve the needs of both managers and subordinate

10. (Managing by looking at the rearview)
Look Forward
Commit to the idea that your job is to build success in the present and future, and not to manage by
looking at the past
(Managing by looking at the rearview)

11. Objectives of the NORTHRAIL PMS
Provide an objective performance evaluation system for all employees.
Ensure that employees have clear, measurable work/performance targets and responsibilities that are aligned with the overall Company, Department and Division performance targets.
Enhance organizational effectiveness and productivity.
Create a framework for ongoing feedback and coaching between managers and employees.
Motivate employees with employee development and career planning.
Recognize exceptional performance.
The Company reserves the right to terminate any probationary employee who does not meet the standards of the job or has received poor or unsatisfactory performance rating at any given time during the probationary period.

12. Scope All employees, regular, probationary and project-based
Except VPs

13. THE NORTHRAIL PERFORMANCE MANAGEMENT PROCESS
PERFORMANCE PLANNING
COMPANY LEVEL
Strategic Plans (Vision, Mission, Values)
Annual Goals
Budget
DEPARTMENT LEVEL
• Department Vision, Mission, Goals and Action Plans
• Clarification of Roles
INDIVIDUAL LEVEL
• Standards of Performance
• Development Action Plan
CONTINUOUS REVIEW
COMPANY LEVEL
Quarterly Business Review
DEPARTMENT LEVEL
INDIVIDUAL LEVEL
Quarterly Appraisal
Regular Observation and Feedback
PERFORMANCE ASSESSMENT
COMPANY LEVEL
Annual Business Review
INDIVIDUAL LEVEL
Quarterly Performance Evaluation

14. Probationary Probation of no more than 6 months
Evaluation at the end of the 3rd and 5th month
Applies to project employees
Personnel Action Notice to effect the necessary changes
No retroactive regularization adjustments

15. Mid probation
Manager should ensure that the employee is aware of his/her current performance
Close monitoring
If no improvement at the end of the 4th month, may terminate, 30 days notice
Or due process:
Verbal warning
Written warning
Written evaluation after 1 month
Recommended for termination

16. The PMS Tool: The Performance Planning and Evaluation Form (PPE)
Quarterly October objectives (July-Sept), retroactive Should have ratings by Oct. 16. October objectives for Oct-Dec. prospective Should be in by Oct. 23 Part 1: 70% - performance targets JL8 and below – based on duties and responsibilities JL 9 and above – based on SMART deliverables Part 2: 30% - behavioral Part 3: Development Action Plan (DAP)

17. Part 1: Objectives List maximum of 7 objectives
Determine the weight in decimals– should total 100%
Get it validated by your immediate superior
Point score = 1 to 10
Multiply Weight with Point Score
Multiply by .70 which is the Weighted Average Score (WAS) multiplied again by 10 for Part 1

18. Equivalent Point Score
Weight
Point Score
Equivalent Point Score
Objective 1
0.10 10
1.00
Objective 2
0.20 9
1.80
Objective 3
0.30 8
2.40
Objective 4
0.40 7
2.80 1 
8.00
WAS (EPS X.70 X 10)
56.00

19. Point Score 10 - 100% accomplishment of tasks
9 - 90% to 99% accomplishment of tasks
8 - 80% to 89% accomplishment of tasks
7 - 70% to 79% accomplishment of tasks
6 - 60% to 69% accomplishment of tasks
5 - 50% to 59% accomplishment of tasks
% to 49% accomplishment of tasks
3 - 30% to 39% accomplishment of tasks
2 - 20% to 29% accomplishment of tasks
1 - 10% to 19% accomplishment of tasks

20. Examples of Objectives
Not SMART
SMART
General
No quantities
May be too easy
Focus on day to day, not results
Specific
Measurable (quantify)
Attainable (but stretch)
Realistic
Time bounded

21. Examples of Objectives
Not SMART
Design criteria formulation
Technical Reports
Technical Reviews
Represents the dept. in meetings with the contractor, LGUs, etc.
Coordinate among departments
SMART
Design Criteria for _____
Technical Reports
Specify how many, nature, scope
Handle the architectural design services of the Engineering Division
Policies on ____, ____, ____
MOAs? Agreements? Documentation

22. Part 2 : Critical Performance Factors
% of the time
9 - 90% to 99% of the time
8 - 80% to 89% of the time
7 - 70% to 79% of the time
6 - 60% to 69% of the time
5 - 50% to 59% of the time
% to 49% of the time
3 - 30% to 39% of the time
2 - 20% to 29% of the time
1 - 10% to 19% of the time

23. Part 2: Critical Performance Factors (30%)
Convert the weight in decimals
Point score = 1 to 10
Multiply Weight with Point Score
Multiply by .30 which is the Weighted Average Score (WAS) X 10 for Part 2

24. Over-all Rating Part 1 plus Part 2 = Over-all weighted scores
Corresponds to the ff adjectival ratings
Outstanding - 90% - 100% (Certificate from the P/COO)
Very Satisfactory % - 89%
Satisfactory - 60% - 79%
Unsatisfactory % - 59% (written warning, 1 more quarter)
Poor – 49% and below (due process for termination)

25. Part 3: DAP

26. Immediate Next Steps Quarterly
October objectives (July-Sept), retroactive
Should have ratings by Oct. 16
Department orientation
Individuals fill in their PPEs, to be validated by immediate boss
Your manager evaluates you
Your manager discusses the appraisal with you.
Submit to HR by Oct. 16
October objectives for Oct-Dec. prospective
Should be in by Oct. 23
Second evaluation by Dec. 15

27. Performance Planning Clarify and ensure understanding
Seek agreement and commitment
Offer support
Monitor need to revise goals/plans
Create mechanisms to review plans