Creating a Better System
Creating a Better Performance Management System

This synopsis is brought to you by the RCI Center of Excellence. In addition to summarizing the work for you to save you time, we relate the salient points to our own thinking on the subject. Please feel free to add your own views and comments in the Comments section at the end of this article. Enjoy!

Creating a Better Performance Management System

Authored by: CD Lee, PhD
Published by: Halogen Software

Performance management is not about wishful thinking or conjuring tricks; it is a rigorous process that results in feedback, accountability and data regarding performance outcomes.

Halogen’s white paper identifies the four basic steps for implementing a performance management system (PMS):

  1. Review current practice
  2. Engage the entire organization
  3. Design a tailored solution, and
  4. Eliminate barriers to participation.

Below are summaries of the four steps and the sub-processes involved in each.

Review

Before even contemplating the implementation of a performance management system, HR needs to determine where the organization is sitting today. At a minimum, the article suggests, at this stage ‘the system must help supervisors better manage the contributions of individual employees…like guiding the growth and professional development of employees ’ . Gather and review information from all employees in order to pinpoint possible interventions that will propel your organization towards its objectives. Above all, clearly define those objectives.

Engage

‘It takes an entire organization to manage individual performance’. But, in order for a PMS to be successful, it needs buy in from supervisors initially, so involve them in designing the system they will be utilizing. HR must endeavor to ensure that supervisors are trained in basic supervision, trained in coaching, trained in giving feedback and finally trained to use the PMS once it is in place. Consider also using ‘multi-rater feedback’, which will provide managers with insight and information that may not have been otherwise available.

Design

There are literally thousands of systems to choose from, but the best PMS is the one that fits your organization’s culture. You may want to consider a system that is ‘individualized and that links performance goals to each incumbent’s job description’. Other systems concentrate on goal management while others focus on coaching and individual development. Which system might be most suited to your organization and its current goals?

Eliminate Barriers

Many people baulk at the prospect of having to provide frequent qualitative feedback, they dislike the complexity of the process and the length of the forms used. Try to make the system as easy to use as possible, because there is ‘no substitute for good supervision and timely feedback’ over time. One of the ways of achieving this is for supervisors to maintain a journal. Journals greatly simplify the performance management process. Technology too can be used to automate routine administrative tasks.

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