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SIERRA LEONE AGRICULTURAL RESEARCH INSTITUTE ( SLARI) IMPLEMENTING AND CASCADING PERFORMANCE MANAGEMENT SYSTEM PRESENTATION BY USMAN C. CONTEH DIRECTOR, PERFORMANCE MANAGEMENT, HRMO 26 TH -28 TH OCTOBER, 2015 11
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OUTLINE OF PRESENTATION Introduction Main phases of successful PMS Performance Management Strategy Performance Metrics Performance Management Cycle Cascading PM 21
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INTRODUCTION Where Is SLARI on the following ?: Improvement in employees’ productivity, Customer satisfaction, Employee job satisfaction, Quality of products and services, Degree of innovation and Financial performance. 31
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INTRODUCTION If these are not realised, then ask your self why? You need to answer two critical questions. What does SLARI wants from its PMS? What does the employees and the clients want? PM implementation requires hard work and discipline 41
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MAIN PHASES OF SUCCESSFUL PMS The main phases of successful PMS are: Communication- Making a clear case for the organisation. Accountability- Clear roles and accountabilities of all key stakeholders starting from the DG Skills Development- for all the employees 51
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MAIN PHASES OF SUCCESSFUL PMS CONT. Alignment- aligned systems to reinforce the desired behaviours Measurement- the use of lead and key measures. 61
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COMMUNICATION Multiple means of communication should be used such as newsletters, posters, letters, emails, videos, brochures, handbooks, etc. It should be crafted to build enthusiasm, confidence, understanding and commitment on the benefits of PMS to the employees, heads/leaders and the organisation. 71
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CLEAR ROLES & ACCOUNTABILITIES. PMS is an accountability system in itself. It shows everyone what results they are accountable for and sets expectations how they should achieve those results The strategic priorities are the “ make or break’ action-oriented target of the organisation 81
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CLEAR ROLES & ACCOUNTABILITIES CONT. The senior executives should be accountable to their organisation. The strategic leaders can also use PMS to hold people accountable for its implementation 91
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DEVELOP SKILLS OF EACH KEY PLAYER Employees’ skills, competence and confidence need to be developed Employees are involved throughout the PM Cycle. Training is very essential for all employees if they need to meet the objectives of their organisation. 101
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ALIGNED SYSTEMS AND PROCESSES Align PMS to support strategic priorities of the organisation. T&D, succession planning, selection & promotion, rewards, recognition, compensation & sanctions are all tied down to the strategic objectives of the organisation. All of these activities will determine the right path of the organisation in terms of aligning systems & processes. 111
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PROVIDE CLEAR MEASURES It is important to know how you will evaluate the effectiveness of your PMS before implementation. First thing is monitoring compliance since the objective is to get every one to use PMS. Performance plans, interim reviews & final reviews should be done on time. 121
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PROVIDE CLEAR MEASURES CONT. Coaching, reminders, publishing each manager’s reviews, withholding bonuses for non-compliance. Mid year review should be done to ensure more buy-in rather than waiting for end of year review. 131
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PROVIDE CLEAR MEASURES CONT. In conclusion, the implementation of the five components will greatly enhance the effectiveness of PMS. It helps the org. to achieve its desired business results, how employees contribute to its advancement. 141
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PERFORMANCE MANAGEMENT STRATEGY What gets measure, gets done is true. Organisations that define objectives, establish goals, measure progress, reward achievement and display results can improve on productivity 151
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PERFORMANCE METRICS Are used by employers to identify performing & underperforming individuals. Efforts are being made to address the gaps and bring them on track Performance metrics can make and unmake an institution 161
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PERFORMANCE METRICS CONT. Wrong metrics can cause serious consequences, such as demoralize employees, undermine productivity & service levels Performance metrics are critical ingredient of PM that aligns performance with strategy. 171
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PERFORMANCE MANAGEMENT CYCLE PM has a four-step cycle: Strategy- Mission, values, goals, objectives, incentives, etc. Planning- Budgets, plans, forecasts, models initiatives, targets. Monitoring/Evaluation Analyses- Performance dash boards, reports, analytical tools. Acting/Adjustment- Interpret, collaborate, assess, decide, act, adjust, track. 181
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119 PERFORMANCE MANAGEMENT CYCLE CONT. Performance metrics helps the users to measure, monitor and manage the effectiveness of their progress towards achieving strategic objectives. In PM, we can also use the term Key Performance Indicators or KPIs to measure performance aligned with business strategy. The difference between KPI and metric is that the former embodies strategic objective and measures performance against a goal.
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120 KEY ELEMENTS OF KPIs A KPI has six elements.These are: Strategy Targets Ranges(above, on or below target) Encoding(Green,Yellow, Red) Time Frames and Benchmarks(baseline)
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CASCADING PERFORMANCE MANAGEMENT - 211
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THANK YOU FOR YOUR ATTENTION DISCUSSION SESSION 221
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