PPT 8- Reviewing Performance Flashcards
Performance Management
a process by which management reviews the overall performance of the business and its employees determine how goals can be better reached.
Can improve individual effectiveness, which results in an increase in organisational competitiveness.
An evaluation of both an organisation and the individual employee performance.
Can be a powerful driver and motivator for employees
Reviewing Performance
Reviewing performance after transformational change can assist management in ascertaining the effectiveness of the change.
Stage 1- Set objectives
- Connect the employee performance to the change objectives.
- Clarify the duties and responsibilities associated with the change.
- Provide clear direction that links the objectives with the change.
Stage 2- Measure Performance
- Use performance appraisal to measure performance during change.
- Use performance appraisal to provide feedback to individuals on their progress.
- Assess achievements, strengths and weaknesses of managing change.
Stage 3- Feedback results
- Link the objectives of the change to the performance results of an employee.
- Provide feedback and incentives on the results achieved and show the link to the change objective.
- Reward behaviours required for the change to be achieved.
Stage 4- Identify needs
- Identify the training needed to implement the change.
- Identify career development potentials that have resulted due to the change.
- Link training and development needs to the objectives of the change.
Key performance indicator
an objective, set by a business, that can be measured to allow business performance to be assessed.
Use specific criteria such as efficiency and effectiveness to measure performance
Assist during transformation by defining, measuring and progressing towards the organisational change.
A strategy to achieve the goal of the change is created by:
* Strategise: the objectives are established: What do we want to achieve?
* Measure: the progress is measured: How are we going?
* Evaluate: the performance is assessed: Did we achieve the objective?
Measuring KPI’s
- Motivating employees to perform
- Providing guidance towards goal achievement
- Alerting management to the risk of resistance
Change Objectives
Introduce a new customer service policy- Customer complaints- The number of customer complaints will indicate whether the new customer service policy is effective
Introduce eco-friendly work practices - Level of wastage- The amount of waste created by the production process will show whether a business is using eco-friendly practices
Improve staff morale- Level of staff absenteeism - The rate of staff absenteeism will be an indicator. A rising rate of absenteeism may indicate a problem
Outcomes- Redundancy
an employer-directed separation strategy that occurs when an employer reduces the number of employees because a position is no longer required.
Occurs in a business due to:
* Technological change
* Restructuring or reorganising
* Business downturn due to low sales or production
* A merger or acquisition
If an employee’s position is no longer required due to change a redundancy could be offered.
Redundancy payments are made to the departing employee as a form of compensation paid to an employee based on the duration of their employment.
* Impact on the organisation and the corporate culture via incurring a large payment by the business and the morale of staff.
* Must be managed well to avoid trauma to remaining staff
* IS ABOUT THE POSITION NOT THE EMPLOYEE – The role cannot be readvertised as it will no longer exist
Outcomes- Retraining
the process of learning new skills. After transformation, employees generally need to learn new skills- retraining current employees helps create a positive attitude towards the change.
Retraining- benefit to employees
Retraining programs update skills and provide a continuous learning program for employees
Employee skill set is developed, which improves workplace outcomes and motivation
Retraining- benefits to the business
Retraining in new skills increases overall productivity, which can increase products and services provided
Having more highly skilled employees increases workplace efficiencies
Retraining- disadvantages to employees
Employees may be reluctant or unwilling to participate in retraining programs
Retraining may require employees to work longer hours to upskill
Retraining- disadvantages to the business
Retraining employees is expensive and may not always achieve the desired result
Retraining hinders a workplace from recruiting new people
