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Performance Management System Implementation & Lessons Learned Amanda Oldfield AVP, HR Operations & Project Manager First Niagara Financial Group
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The WHY, HOW and 2 WHAT’S Why implement a performance management system? How was it implemented? What was the result? What did we learn?
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WHY? Process too time consuming and cumbersome. Process too time consuming and cumbersome. To position HR for continued organizational growth. To position HR for continued organizational growth. Company transitioning into a strong performance and results-based culture Company transitioning into a strong performance and results-based culture Desire to align performance goals to strategic initiatives Desire to align performance goals to strategic initiatives Desire to set new standard core competencies Desire to set new standard core competencies Need to assign job specific competencies Need to assign job specific competencies
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HOW? Conducted research and benchmarked best practices, using surveys (Gartner), online resources (SHRM) and HR contacts. Found that electronic, web-based solutions were the most efficient and cost-effective. 4 companies were researched Two final systems were viewed with input from an employee Advisory Counsel. One system was unanimously selected by the counsel. Final proposal was put together, reviewed by an internal team and approved for implementation.
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WHAT WAS THE RESULT? An automated performance appraisal & notification process Reduced appraisal processing time – for the generalist and payroll Ability for employees to complete a self- appraisal Core competencies assigned to all employees Ability to set consistent job competencies and performance goals across same/similar positions
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WHAT WENT WRONG? Inexperienced vendor consultants Unrealistic implementation timeline A system that was not as sophisticated as we were lead to believe Modules purchased that were not yet developed Vendor that grew too quickly Bugs, bugs and more bugs
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WHAT DID WE LEARN?
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LESSON #1 Do your research and use your HR contacts to find other customers not on the vendor reference list. I’m not on our vendors reference list and I can give you a better idea of what your experience may be.
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LESSON #2 Fully “Test Drive” your short list of systems before you make a final decision. This ensures the system can do for you what you want it to do.
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LESSON #3 Start small.
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LESSON #4 Make your vendor give you an experienced consultant. One that has been with the organization for at least 3 years and has worked with company’s like yours. These consultants can give you “best practices” and are more familiar with system capabilities.
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LESSON #5 Ensure your management team has FULL buy in and understands the time and effort needed to invest in a performance-based culture.
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LESSON #6 Don’t set unrealistic timelines for implementation. Listen to your vendor regarding how long it typically takes to implement the system. More specialized organizations that require greater configuration will take more time.
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LESSON #7 Do not sign a multi-year contract in the beginning Ensure that your contract has built in SLA’s that the vendor needs to adhere to so you have an out if they are not meeting your expectations
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LESSON #8 Don’t be afraid to “cut your losses”.
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