Performance

management
process
REDA ABOELYAZED SAAD
ACADEMIC NO : 22221036016
Under supervision of:

Dr. George Sedky

“ There are only three measurements that tell
you nearly everything you need to know about
your organization’s overall performance: employee
engagement, customer satisfaction, and cash
flow. It goes without saying that no company,
small or large, can win over the long run without
energized employees who believe in the mission
and understand how to achieve it.”
.”

- JACK WELCH
TABLE OF CONTENTS
1 Introduction

2 What is a Performance Management process?

3 Performance management time frame

4 Performance Management process

5 Process of performance appraisal interview

6
Important of Performance management
Introduction to Performance
Management System

 Performance management can be defined as a systematic process for improving

organizational performance by developing the performance of individuals and teams in
order to maximize their contributions to the organization and its goals.
 It is a means of getting better results from the organization, teams, and individuals by
understanding and managing performance within an agreed framework of planned
goals, standards, and competence requirements.
 Processes exist for establishing a shared understanding about what is to be achieved,
and for managing and developing people in a way that increases the probability that it
will be achieved in the short and long term.
 It is owned and driven by line management.
performance management process

Performance management is a communication process by which managers and employees work

together to plan, monitor, and review an employee's work objectives and overall contribution to the
organization.
Performance Management processes – 5 Steps

1- Planning work and setting expectations.

2-Monitoring performance,

3-Developing the capacity to perform,

4-Periodically rating performance,

5-Rewarding good performance.

Overall PM Time frame
The following table IN
G
Y EA
R
N
G
N ID IW SI
summarizes the sections O
PE M EV
R CL
O

of the form and when they DATA YES YES YES

are activated during the

Performance Management OBJECTIVES SETTING
SECTION
YES YES NO

process. TRAINING AND YES

DEVELOPMENT YES YES (only notes
SECTION field)

OBJECTIVES
NO NO YES
EVALUATION SECTION

SKILLS SETTING YES YES YES

FINAL EVALUATION NO NO YES

SECTION
1- Planning(Direction sharing)
Planning is a crucial part of the performance management cycle if done right, the other stages flow well.

Management must first strategize on the goals the company wants to meet before meeting with employees and

other team members to assign goals to them. After there is clarity on the pact of the organization, management can

set personal goals, targets, and specific objectives for teams and employees.

 Goal Organization setting ( SMART OBJECTIVE GOALS)

 Communicating the company’s goals throughout the company, then translating these into doable departmental,

team, and individual goals

 Goal alignment is a method that enables managers and employees to see the link between the employees’ goals

and those of their department and company.

10
2- Progress Monitoring
Planning and not following up with it is a recipe for failure. Managers and supervisors are to
monitor the goals continuously. In the past, managers followed up once or twice a year, but as we
now know, this can be ineffective. To ensure the employees are on target to achieve their goals.
There needs to be constant follow-up and feedback to iron out any issues and provide support.

Ideally, monthly or quarterly meetings will take place. Some organizations have even opted for
weekly or bi-weekly sessions. It should also be possible to adjust deadlines to accommodate
unforeseen circumstances or unaccounted variables, for example, a pandemic or a new law in place.

- usually includes using computerized systems that measure and then e-mail progress

and exception reports. The reports are based on the person’s progress toward meeting

his or her performance goals.

11
3- Developing and Reviewing
Development entails looking at the cycles before and asking these questions:
I. If the employee had the required skill set to perform their duty?
II. How much had they learned from their experience?
III. Was the training assigned at the beginning of the cycle of use in completing the task?
IV. What other skills should they look to learn?

Ongoing feedback

includes both face-to-face and computerized feedback regarding progress toward goals.
Coaching and developmental support

should be an integral part of the feedback process.

12
4-Periodically rating
The review aspect of the cycle focuses on how well the employee or the team did in achieving their
goals. It will cover questions like:

I. Did they underachieve or overachieve?

II. What enabled them to either underachieve or overachieve?

III. Did the organization provide adequate support to them?

IV. Are the processes used the very best, or could they be improved?

V. Was the original goal realistic?

13
The Performance Rating
Performance = Ability x Willingness x Opportunity to perform
Competences = KSA = Knowledge x Skill x Attitude
5 4 3 2 1

Normal Development Significant

Outstanding Well above normal
expectancy Good needed Insuficient development
Excellent expectancy
performance results needed

R
E
S Exceeded Has not achieved
Exceptional results Has achieved most Obvious failure in
U objectives in some the required results
L in the current job of the objectives the results
T
significant areas overall
S
The Performance Rating
5 4 3 2 1

Normal Development Significant

Outstanding Well above normal
expectancy Good needed Insuficient development
Excellent expectancy
performance results needed

P
E
R Understanding of
F work well beyond Needs to acquire Does not seem to
O
assigned area, Job done thoroughly more know-how, have the drive or
R Satisfactory job
M recognised as and completely show more effort know-how to do the
A expert, experienced, and commitment job
N
C
knowledgeable
E
The Performance Rating
5 4 3 2 1
Normal Development Significant
Outstanding Well above normal
expectancy Good needed Insuficient development
Excellent expectancy
performance results needed
S
U
P
E Needs little Requires only Requires Needs close Seems to make
R
V
or no occasional normal guidance - step by repeated mistakes.
I
S
I supervision supervision supervision step planning Needs strict
O
N control
The Performance Rating

5 4 3 2 1

No rm a l
We ll a b o ve De ve lo p m e nt Sig nific a nt
Outsta nd ing e xp e c ta nc y
no rm a l ne e d e d d e ve lo p m e nt
Exc e lle nt Go o d
e xp e c ta nc y Insufic ie nt re sults ne e d e d
p e rfo rm a nc e

I
N
I Shows unusual Does own planning, Follows-up, Needs to be Employee probably
T
I
A
initiative, anticipates completes work pushed and recognizes that
T
I self starter problems on projects on followed-up the job is not
V
E schedule getting done
The Performance Rating

5 4 3 2 1

Normal Development Significant

Outstanding Well above normal
expectancy Good needed Insuficient development
Excellent expectancy
performance results needed

V
I Always takes the Good grasp Capable of Seems to have the Does not have
S
I
best approach of the carrying out all capability to make the background
O to get things "big picture" the requirements the necessary to grasp the
N done of the job development work
Needs to improve Signal for a move to
rapidly the level of a lower level job
performance to a "C" or out of the
(normal expectancy) organisation
The Appraisal Process
Successful Interview is held:

To review and agree on the performance results

To reinforce the value added to the job done by the employee

To ensure that the employee clearly understands the areas for

development

To agree on the development plan

To define the Standards of Performance for the new year.

The Appraisal Process
1- The interview
Environment
Few days prior notice

Plan in advance how you will conduct the interview

Keep Your Cell Phone Silent

Private setting, free from interruptions

Set individual at ease, do not start directly with the appraisal

Tell them how you will conduct the interview

The Appraisal Process
1- The interview

Take time, don’t rush

Always start with the specific objectives

Listen and let individuals talk

Ask them what they think, how they feel they have performed

Focus on performance on the job

(results, facts, events), not personality
The Appraisal Process
1- The interview

Explain specifically why you rate each factor as you do

Focus on key points; don’t go into irrelevant detail

Rating should not come as a surprise

Be ready to revise your judgement

Finish on a positive note

The Appraisal Process
1- The interview

Final focus to be on the future: plan for development and the following

year’s objectives as well as what resources you are going to commit

to help individuals

Get a commitment to improve

Get feedback on your performance

 HOW TO MAKE THE INTERVIEW A SUCCESS

DO SAY: DON’T SAY:

Why don’t we run through our Department's Let's see if you have written
priorities together ... this year's objectives
properly...
Let me see whether I have understood
properly: What you’re saying here is that you There’s no reason for you to
would like to ... act like that..

Could you tell me what evidence you have for You must do it like this...
claiming that. ...
I don’t agree with you on
How about ... this point

I think we could find common ground on this I can't!

point
That's not a good idea!
I can see that this is important to you,
No!
however we are unable to meet your request
at the moment because...
I won’t put up with any
wavering on this point
In my position it’s difficult for me to follow up
on your request
I wouldn't do it like that

If I were in your position I would feel the

same...
The Appraisal Process
Specific objectives and results

Outline of specific objectives: a statement of the year’s agreed objectives

Results: the record of what actually happened

Comments: the reasons for any differences between objectives and results.
The Appraisal Process
2-Final Comments

Expand on any of the performance factors and explain why they have reached
that conclusion (events and results)

Add any other comment about performance which is relevant to the appraisal

Individuals write comments about their job and career concerns

Comments should be specific, accurate and understandable .

The Appraisal Process
3-Plan for Development - the most important part of the appraisal

The objectives of the development plan are to help the employee improve his
current and future job performance.

Each area for development has to be addressed in this plan.

It has to be very specific as to what is to be done, by when and how the results
will be measured.

Managers to devise most appropriate methods: projects and work assignments,

reading, mentoring and coaching, courses, temporary transfers.
The Appraisal Process
Development Plans

Training or projects:
reading and practicing
internal or external training courses/projects and work assignments

The job itself:

extra responsibilities that the employee is ready to take on
more autonomy through delegation of authority
restructuring the job to allow the subordinate to develop particular skills
continuous mentoring and coaching by supervisor
5- Recognition and rewards

29
Performance-based Awards

The Magic of Gift Cards

Social Recognition
What are the types of rewards?

Rewards can be categorized into two types:

Monetary: These are financial incentives given to employees in recognition of their performance or
achievements.

Non-monetary: These are non-financial incentives in the form of appreciation, flexible work hours,
and opportunities for professional growth to motivate and engage employees.
 Importance of Performance Management

 Organizational performance  Identifying the gaps in desired and actual performance.

 Changing organizational culture  Deciding future goals and course of action.

 Payroll and compensation decision.  Promotions and transfers.

 Training and development decisions.  Succession plan

THANKS