performance management process torrington and hall model.pdf

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PREPARED BY: JILL BALDWIN MA, MCIPD, FHEA, PGCE

SENIOR LECTURER WORK BASED LEARNING

LORD ASHCROFT INTERNATIONAL BUSINESS SCHOOL

Performance

ManagementProcesses

Improving Organisational

Performance



PERFORMANCE M ANAGEMENT SHOULD

BE…

Strategic - it is about broader issues and longer-term goals

Integrated - it should link various aspects of thebusiness, people management, and individuals andteams.

It should incorporate: Performance improvement - throughout the

organisation, for individual, team andorganisational effectiveness

Development - unless there is continuousdevelopment of individuals and teams, performancewill not improve

Managing behaviour - ensuring that individualsare encouraged to behave in a way that allows andfosters better working relationships.

(Armstrong & Baron, 2004)



THE EVOLUTION OF PM

Management by Objectives and Appraisal

Performance Management

FROM…. TO…..

System

Appraisal

Outputs

PRP driven

Ratings common

Top Down

Directive

Monolithic

Owned by HR

Process

Joint Review

Inputs

Development driven

Ratings less common

360 degree feedback

Supportive

Flexible

Owned bu Users



P ERFORMANCE MANAGEMENT IS TYPICALLY

CHARACTERISED AS A CYCLE

(T ORRINGTON & H ALL , 2010) ...

Determine Performance

Expectations

Support

Performance

Review and Appraise Performance

Manage

Performance

Standards



P RINCIPAL COMPONENTS OF THE P ERFORMANCE

M ANAGEMENT C YCLE (T ORRINGTON & H ALL , 2010) ...

Determine performanceexpectations Ensure staff are aware of the

performance standardsexpected of them

Ensure managers are aware ofthe impact of their behaviouron others

Organisational, departmentaland individual

Supporting performance From informal interaction

between managers & staff tothe provision of resources &systems which facilitateachievement of organisational,departmental individualtargets

Review & appraisal Often synonymous with

performance management

The formal part of the cycle

An appropriate, equitable

process (more in HRM)

Management of performance standards Actions taken to address issues

which are highlighted duringreviews linked to

Targets/productivity Skills/competences

Career development

Pay/recognition



PERFORMANCE M ANAGEMENT C YCLE HOULDSWORTH, 2004

Planning

Managing/Coaching

Review/Reward

Performance



P RINCIPAL COMPONENTS OF THE P ERFORMANCE

M ANAGEMENT C YCLE (H OULDSWORTH , 2004) ...

Stage 1: Planning

Definition of jobresponsibilities

Setting performance

expectations

Goal or objective setting atthe beginning of the period

Stage 2: Managing

Monitoring performanceand achievement towardsobjectives

Feedback and coaching

Competency review

Development planning

Stage 3: Reviewing Formal performance

appraisal, resulting in arating, if used

Links to reward, if deployedwithin the organisation

Possible 360 degree feedbackaround competencies orother feedback tools



‘M ANAGEMENT BY O BJECTIVES IN

ACTION ’ (MBO)

In addition, John Humble (1970)

identified five needs that all staff

require from their managers:

1. Clarify my job and the results I’m expectedto achieve

2. Give me the resources & opportunity to

perform

3. Let me know how I’m getting on. 4. Give me guidance & training when I need it

5. Reward me according to my contribution



“C LARIFY MY JOB AND THE RESULTS

I’ M EXPECTED TO ACHIEVE ”

Job analysis

Job design

Job description

Person specification Clear direction

Links to bigger

picture & strategy

Agreed standards andtargets

SMART OBJECTIVES

Specific – what will be

done & by whom

Measurable – contain astandard by which

performance can be

measured

A chievable – create a

challenge, but realistic

Resourced – staff, time,

money, equipment, skills

Time-limited – objectives

must include a clearly

defined time limit



LOCKE’S THEORY OF GOAL SETTING



“GIVE ME THE RESOURCES AND

OPPORTUNITY TO PERFORM .”

Staff

Time Money

Equipment

Training & skills

Space



COACHING & MENTORING Coaching

– Current performance

improvement

– relationship between subordinate

and line manager

Mentoring – Longer term development of an

individual

– Wider territory

– Someone outside the line

relationship who also gains

developmental outcomes

‘Mentoring & Coaching are elements of an organisation’s approach to

human resource development (HRD)’McBain, (2012)



All managers have a responsibility to

assess the performance of their staff. As

well as any formal appraisal this will

include …

….Feedback:

“The carrying back of some of the effects of a

process to its source or to a preceding stage so

as to strengthen or modify it.”

(Concise Oxford Dictionary)

“LET ME KNOW HOW I’ M GETTING

ON ..”



T WO TYPES OF FEEDBACK …

Internal: occurs when an individual

takes stock of their own performance &

behaviour – linked to the learning cycle

(ref. Kolb/Honey & Mumford, 1992)

External: occurs where individuals need

help to understand how they can change,

develop or improve.



“REWARD ME ACCORDING TO MY

CONTRIBUTION …”

Extrinsic Motivation – ‘Tangible’ rewards Pay & benefits, security and promotion arethe obvious method & performance related pay(PRP), payment by results (PBR), bonuses etc all

have their place. Often determined at theorganisational level.

Intrinsic Motivation – ‘Psychologicalrewards’ Satisfaction, sense of achievement,challenge, recognition and a ‘job well done’non financial rewards, however, can be aseffective. Usually influenced by the actions andbehaviours of other people in the organisation.



F INALLY ….

When people at work are clear about whatis expected of them …

… and are involved in the process ofdeciding these expectations …

If they are given regular, constructivefeedback and …

… are provided with the support &resources needed to meet the required

standards … …then most will do their best to perform

at the very highest level.

performance management process torrington and hall model.pdf

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