1. Human Resource Audit – Performance Management System Laura Beatty Meredith Frisbie Shelby Westbrook Zach Smith North Carolina State University – MIE436 State Employees Credit Union

2. An Overview Orientation to SECU What is Performance Management (PM) How is PM being conducted at SECU How PM is being handled ▫Strengths ▫Weaknesses Recommendations for improving PM ▫Areas in need of improvement ▫How to improve deficient PM areas ▫Justification/Outcome of improvement Conclusion Questions

3. Orientation to SECU Non-profit financial cooperative Founded June 4, 1937 "People Helping People in North Carolina." Limited Membership with approx. 1.5 million members. Promote thrift among its members by affording them an opportunity to accumulate their savings. Creates a source of credit at a fair and reasonable rate of interest for members. Provides an opportunity for members to use and control their money to improve their economic and social condition. 4,200 employees, 225 branches, and more than 1,000 ATMs Exponential growth rates

4. Performance Management is the continuous process of identifying, measuring, and developing the performance of individuals and/or teams, with the goal of aligning performance with the strategic goals of the organization. What is Performance Management?

5. HR/Personnel Department ▫Centralized internally Manages PM through PMS developed in 2001 ▫Employee self-appraisals ▫Employee evaluations by direct supervisor ▫Progressive discipline policy ▫Limited topic grievance process ▫Performance improvement through training ▫Documentation of PM actions and events Performance Management in SECU

6. Facilitation of strategic goals ▫Yearly online evaluations Attraction ▫Education decides salary ▫Scholarships Retention ▫Progressive discipline policy  Additional evaluations Motivation ▫Modules  Lead to promotions

7. Performance Management in SECU Section I Part C ▫How consistent is this HR sub-function with other HR sub-functions (e.g., performance management, training and development, compensation, recruiting and selection)?

8. Performance Management in SECU Section I Part D ▫How are the practices evaluated by the company?

9. Evaluation Form

10. Strengths Yearly online evaluations ▫Easy to use/store/transfer ▫No surprises ▫Legal protection ▫Promotion The Form ▫Behaviorally Anchored Rating Scale  Comment space under performance categories ▫Short answer section-open-ended questions  Extra detail  List achieved goals and set new objectives ▫Free to ask for feedback at anytime

11. Weaknesses 1) Outdated PM practices 2) Lack of incorporation of organization’s mission, vision, and goals into their PMS 3) Facilitation of performance appraisal rather than a PM 4) Absence of coaching and feedback in the workplace 5) Insufficient training for employees and management on making the PM system effective.

12. Mission and Vision

13. Coaching/Feedback Implementation 1) Set developmental goals 2) Identify resources and strategies 3) Implement strategies 4) Observation and documentation 5) Feedback

14. Performance Appraisal

15. Implementing New PM System Preparation of New PMS ▫Achieve system buy-in by employees  Communication Plan, Appeals Process, Training, Testing, and monitoring and evaluation Communication Plan ▫Communicate important factors of implementing a new PMS in an organization ▫Avoid biases, consider employees, promote positive, & document Appeals Process ▫Promotes buy-in, allows employees to question Training Programs ▫Rater Training, RET, FOR, BO, SL Pilot Testing ▫Discover problem, fix problems, gain input, sample size Continuous Monitoring and Evaluation ▫System satisfaction, cost/benefit, performance level

16. Questions/Comments