Modern performance management models encourage employees to reach beyond what they believe is achievable. Being a key element of performance management, employee performance appraisal involves two-way feedback, development and goalsetting, allowing employees to set motivating objectives without fearing of being penalized.
Performance management and employee performance appraisal is a structured interaction between a manager and a subordinate, usually in the form of a periodic interview (annual or semi-annual). The significance of employee appraisal lays in the fact that, during the interview, the performance of the employee is investigated and discussed, with a view to recognizing strengths and weaknesses as well as opportunities for improvement and skills development. Consequently, after appropriate corrections are made and proper measures are taken, boosted employee performance contributes to organizational performance and prosperity.
Putting together an employee performance management plan requires the implementation of five important steps, which are: (1) setting expectations (2) continuously monitoring performance (3) developing the capacity to perform, (4) rating performance regularly and (5) rewarding good performance.
(1) SETTING EXPECTATIONS
Setting performance expectations and goals for groups and individuals is used to motivate employees into channeling their efforts toward achieving organizational objectives. Getting employees involved in the planning process helps them to appreciate the organizational goals, what needs to be done, why it needs to be done, and how well it should be done.
The goal of this step is to set the criteria to evaluate employee performance as successful or unsuccessful and appraise the degree of involvement to organizational goals and objectives.
Employee performance plans should be flexible to changing program objectives and work requirements.
Employee performance planning involves quantifiable, comprehensible, verifiable, reasonable, and attainable standards, which assist in holding employees accountable as individuals for work assignments or responsibilities. The evaluation standards could be categorized as follows:
a) Self-Management:
Punctual and regular work attendance, effective use of work time and resources, compliance to rules and procedures, proper maintenance and safe use of equipment, exposing elements of integrity, honesty, respect and dignity, working effectively in a diverse work environment, seeking and assuming additional responsibilities as appropriate.
b) Work processes and results:
Provision of products and services that consistently meet or exceed customer needs and expectations, use of customer satisfaction as a key measure of quality, use of appropriate problem solving methods to improve processes, collection and evaluation of relevant information to make decisions, use of good judgment, setting and adhering to priorities, meeting productivity standards, deadlines and work schedules, pursuing efficiency and economy in the use of resources.
c) Teamwork:
Support and focus on the vision, mission, and goals of the organization and team, understanding the benefits of teamwork, cooperation with other team members, recognition of the contributions of others, viewing the success of the organization and team as more important than individual achievements, contributing to the cohesion and productivity of the team, appropriate share of information internally and externally, cooperation through open and honest communication.
d) Innovation and change:
Being creative and innovative when contributing to organizational and individual objectives, expose receptivity to new ideas and adaptability to new situations, avoiding being overly defensive, expose willingness to explore different options, taking calculated risks, seeking and acting on opportunities to improve, streamline, re-invent work processes, helping other to overcome resistance to change.
e) Communication:
Active, cooperative and courteous participation in meetings, effective oral communication on a one-on-one basis and in small groups, effective oral presentations before groups, avoiding bureaucracy whenever possible in written and oral communications, demonstrating empathy with the listener or reader, provide responsive and timely responses to e-mails, phone messages and mail.
f) Development:
Participating in opportunities to enhance knowledge and skills that are identified and offered by the organization, expose self-initiation in developing or upgrading knowledge and skills, applying new knowledge or skills acquired from developmental opportunities, helping others learn new systems, processes, or programs, learning to use technology effectively, as appropriate for the job.
g) Customer service:
Understanding and being responsive to customer objectives and needs, expose sensitivity to public attitudes and concerns, being accessible, timely, and responsive in dealing with customers, handling customer inquiries and complaints promptly, courteously, and non-bureaucratically, going the extra mile to satisfy customer needs and expectations.
(2) CONTINUOUSLY MONITORING PERFORMANCE
Consistent measurement of performance assists organizations to provide ongoing feedback to employees and work groups on their progress toward the achievement of their goals.
The goal of this step is to conduct progress reviews with employees and compare their performance against the elements and standards decided in the planning step. Measuring the actual employee performance is a continuous process which involves monitoring the performance throughout a specified period, usually a year. Ongoing monitoring provides the opportunity to test how well employees are meeting fixed standards and to make changes to unrealistic or problematic standards. Also, by monitoring repetitively, unacceptable performance can be identified at any time during the appraisal period and corrected before the end of the period when summary rating levels are assigned.
(3) DEVELOPING THE CAPACITY TO PERFORM
Developing the capacity to perform includes training, assignments introducing new skills, competencies or higher levels of responsibility and other methods. Providing employees with developmental opportunities boosts employee performance, reinforces job-related skills and competencies, and helps employees anticipate changes in the workplace, such as the introduction of new technology.
(4) RATING PERFORMANCE REGULARLY
Periodically, organizations summarize employee performance because they need to know their top performers. Evaluating employee or group performance versus the elements and standards of an employee performance plan is used to assign a summary rating of record. The rating of record is based on effort performed during the appraisal period.
(5) REWARDING GOOD PERFORMANCE
Rewarding employees, in person and/or as group members for their performance is used to acknowledge employee contribution to organizational mission. Recognition is an ongoing, inherent part of day-to-day experience. Awards regulations provide a broad range of forms that formal rewards can take, such as money, time off, and other non financial rewards. Sometimes just saying "thank you" is enough to motivate employees and it certainly functions as a reward of good performance.
An employee performance plan requires employees to act like partners or managers in this process because, at the end of the day, this plan is made for their career advancement and compensation package. In doing so, employees stay on top of what the documentation should include, understand all the touch-points in the review process and catch the opportunity to proactively take their careers a step forward, while contributing to organizational objectives.
