online.sakhisisizwe.co.zaonline.sakhisisizwe.co.za/.../2021/07/252034-LG.docx · Web viewSpecific Outcome 2 . Establish systems for monitoring performance. Assessment Criteria . A

LEARNER GUIDE

Monitor and evaluate team members against performance standards

Unit Standard 252034Level 5 Credits 8

Sakhisisizwe LG Unit Standard 252034 1

TABLE OF CONTENTSTABLE OF CONTENTS...............................................................................iPERSONAL INFORMATION.......................................................................1INTRODUCTION......................................................................................2

Programme methodology.................................................................................................3What Learning Material you should have..........................................................................4Different types of activities you can expect......................................................................5Learner Administration.....................................................................................................6Assessments.....................................................................................................................6Learner Support................................................................................................................7Learner Expectations........................................................................................................8

UNIT STANDARD 252034.........................................................................91. FORMULATE PERFORMANCE STANDARDS FOR TEAM MEMBERS...........13

Formulating Performance Standards for Team Members......................................13Formulate Performance Standards.................................................................................14Specify the Activities and Standards...............................................................................17Incorporate Feedback into Performance Standards........................................................21Record and Document Performance Standards..............................................................21Formative Assessment 1: SO1 EEK1...............................................................................21

2. ESTABLISH SYSTEMS FOR MONITORING PERFORMANCE......................22Establishing Systems for Monitoring Performance.................................................22

Identify a Variety of Performance Monitoring Systems...................................................23Select a Performance Monitoring System.......................................................................29Communicate the Performance Monitoring Systems......................................................30Set up the System for Monitoring Performance against Standards.................................30Formative Assessment 2: SO2 EEK2 & 3.........................................................................30

3. PREPARE FOR A PERFORMANCE REVIEW OF A TEAM MEMBER..............31Preparing for a Performance Review of a Team Member.......................................31

Agree the Arrangements for the Performance Review....................................................34Conduct the Preliminary Assessment of Performance.....................................................34Document the Information Gathered in the Preliminary Assessment..............................35Identify Methods for Giving Constructive Feedback........................................................35

Sakhisisizwe LG Unit Standard 252034i

Prepare the Documents to be used during the Review Session......................................36Formative Assessment 3: SO3 EEK4...............................................................................36

4. CONDUCT A PERFORMANCE REVIEW INTERVIEW.................................37Conducting a Performance Review Interview........................................................37

Conduct the Review in Accordance with the Agreed Arrangements................................38Provide Feedback to the Team Member..........................................................................40Record the Findings on All Aspects of Performance........................................................46Agree upon an Action Plan to Address Performance.......................................................46Managing Under-Performance........................................................................................46Document and Sign-off Agreed Actions...........................................................................50Formative Assessment 4: SO4........................................................................................51

FORMATIVE ASSESSMENTS WORKBOOK.................................................53Formative Assessment 1: SO1 EEK1...............................................................................53Formative Assessment 2: SO2 EEK2 & 3.........................................................................67Formative Assessment 3: SO3 EEK4...............................................................................69Formative Assessment 4: SO4........................................................................................72

References and Further Reading...........................................................................76

Sakhisisizwe LG Unit Standard 252034ii

PERSONAL INFORMATIONNAME

CONTACT ADDRESS

Code

Telephone (H)

Telephone (W)

Cellular

Learner Number

Identity Number

EMPLOYER

EMPLOYER CONTACT ADDRESS

Code

Supervisor Name

Supervisor Contact Address

Code

Telephone (H)

Telephone (W)


Cellular


INTRODUCTIONWelcome to the learning programmeFollow along in the guide as the training practitioner takes you through the material. Make notes and sketches that will help you to understand and remember what you have learnt. Take notes and share information with your colleagues. Important and relevant information and skills are transferred by sharing!

This learning programme is divided into sections. Each section is preceded by a description of the required outcomes and assessment criteria as contained in the unit standards specified by the South African Qualifications Authority. These descriptions will define what you have to know and be able to do in order to be awarded the credits attached to this learning programme. These credits are regarded as building blocks towards achieving a National Qualification upon successful assessment and can never be taken away from you!


Programme methodology

The programme methodology includes facilitator presentations, readings, individual activities, group discussions and skill application exercises.Know what you want to get out of the programme from the beginning and start applying your new skills immediately. Participate as much as possible so that the learning will be interactive and stimulating.The following principles were applied in designing the course:

Because the course is designed to maximise interactive learning, you are encouraged and required to participate fully during the group exercises

As a learner you will be presented with numerous problems and will be required to fully apply your mind to finding solutions to problems before being presented with the course presenter’s solutions to the problems

Through participation and interaction the learners can learn as much from each other as they do from the course presenter

Although learners attending the course may have varied degrees of experience in the subject matter, the course is designed to ensure that all delegates complete the course with the same level of understanding

Because reflection forms an important component of adult learning, some learning resources will be followed by a self-assessment which is designed so that the learner will reflect on the material just completed.

This approach to course construction will ensure that learners first apply their minds to finding solutions to problems before the answers are provided, which will then maximise the learning process which is further strengthened by reflecting on the material covered by means of the self-assessments.

Different role players in delivery process Learner Facilitator Assessor Moderator



What Learning Material you should haveThis learning material has also been designed to provide the learner with a comprehensive reference guide.It is important that you take responsibility for your own learning process; this includes taking care of your learner material. You should at all times have the following material with you:

Learner Guide This learner guide is your valuable possession:This is your textbook and reference material, which provides you with all the information you will require to meet the exit level outcomes.During contact sessions, your facilitator will use this guide and will facilitate the learning process. During contact sessions a variety of activities will assist you to gain knowledge and skills.Follow along in the guide as the training practitioner takes you through the material. Make notes and sketches that will help you to understand and remember what you have learnt. Take and share information with your colleagues. Important and relevant information and skills are transferred by sharing!This learning programme is divided into sections. Each section is preceded by a description of the required outcomes and assessment criteria as contained in the unit standards specified by the South African Qualifications Authority. These descriptions will define what you have to know and be able to do in order to be awarded the credits attached to this learning programme. These credits are regarded as building blocks towards achieving a National Qualification upon successful assessment and can never be taken away from you!

Formative Assessment Workbook

The Formative Assessment Workbook supports the Learner Guide and assists you in applying what you have learnt.The formative assessment workbook contains classroom activities that you have to complete in the classroom, during contact sessions either in groups or individually.You are required to complete all activities in the Formative Assessment Workbook.The facilitator will assist, lead and coach you through the process.These activities ensure that you understand the content of the material and that you get an opportunity to test your understanding.


Different types of activities you can expectTo accommodate your learning preferences, a variety of different types of activities are included in the formative and summative assessments. They will assist you to achieve the outcomes (correct results) and should guide you through the learning process, making learning a positive and pleasant experience.

The table below provides you with more information related to the types of activities.

Types of Activities Description Purpose

Knowledge Activities You are required to complete these activities on your own.

These activities normally test your understanding and ability to apply the information.

Skills Application Activities

You need to complete these activities in the workplace

These activities require you to apply the knowledge and skills gained in the workplace

Natural Occurring Evidence

You need to collect information and samples of documents from the workplace.

These activities ensure you get the opportunity to learn from experts in the industry.Collecting examples demonstrates how to implement knowledge and skills in a practical way


Learner Administration

Attendance RegisterYou are required to sign the Attendance Register every day you attend training sessions facilitated by a facilitator.

Programme Evaluation Form On completion you will be supplied with a “Learning programme Evaluation Form”. You are required to evaluate your experience in attending the programme.Please complete the form at the end of the programme, as this will assist us in improving our service and programme material. Your assistance is highly appreciated.

AssessmentsThe only way to establish whether a learner is competent and has accomplished the specific outcomes is through the assessment process. Assessment involves collecting and interpreting evidence about the learners’ ability to perform a task.To qualify and receive credits towards your qualification, a registered Assessor will conduct an evaluation and assessment of your portfolio of evidence and competency.This programme has been aligned to registered unit standards. You will be assessed against the outcomes as stipulated in the unit standard by completing assessments and by compiling a portfolio of evidence that provides proof of your ability to apply the learning to your work situation.


How will Assessments commence?

Formative Assessments The assessment process is easy to follow. You will be guided by the Facilitator. Your responsibility is to complete all the activities in the Formative Assessment Workbook and submit it to your facilitator.

Summative Assessments You will be required to complete a series of summative assessments. The Summative Assessment Guide will assist you in identifying the evidence required for final assessment purposes. You will be required to complete these activities on your own time, using real life projects in your workplace or business environment in preparing evidence for your Portfolio of Evidence. Your Facilitator will provide more details in this regard.To qualify and receive credits towards your qualification, a registered Assessor will conduct an evaluation and assessment of your portfolio of evidence and competency.

Learner SupportThe responsibility of learning rests with you, so be proactive and ask questions and seek assistance and help from your facilitator, if required.

Please remember that this Skills Programme is based on outcomes based education principles which implies the following:

You are responsible for your own learning – make sure you manage your study, research and workplace time effectively.

Learning activities are learner driven – make sure you use the Learner Guide and Formative Assessment Workbook in the manner intended, and are familiar with the workplace requirements.

The Facilitator is there to reasonably assist you during contact, practical and workplace time for this programme – make sure that you have his/her contact details.

You are responsible for the safekeeping of your completed Formative Assessment Workbook and Workplace Guide

If you need assistance please contact your facilitator who will gladly assist you. If you have any special needs please inform the facilitator


Learner Expectations Please prepare the following information. You will then be asked to introduce yourself to the instructor as well as your fellow learners

Your name:

The organisation you represent:

Your position in organisation:

What do you hope to achieve by attending this course / what are your course expectations?


UNIT STANDARD 252034Title

Monitor and evaluate team members against performance standards

NQF Level5

Credits8

Purpose Of The Unit Standard This Unit Standard is intended for managers in all economic sectors. These managers would typically be second level managers such as heads of department, section heads or divisional heads, who may have more than one team reporting to them.The qualifying learner is capable of:

Formulating performance standards for team members in a unit. Establishing systems for monitoring performance of team members. Preparing for a performance review of a team member. Conducting performance review interview.

Learning Assumed To Be In Place And Recognition Of Prior Learning It is assumed that learners are competent in:

Communication at NQF Level 4. Mathematical Literacy at NQF Level 4. Computer Literacy at NQF Level 4.

Unit Standard Range The learner is required to apply the learning in respect of this/her own area of

responsibility. This Unit Standard relates to once-off projects and events that have to be planned and

implemented in a unit.


Unit refers to the division, department or business unit in which the learner is responsible for managing and leading staff.

Entity includes, but is not limited to, a company, business unit, public institution, small business, Non-Profit Organisation or Non-Governmental Organisation.

Specific Outcomes and Assessment Criteria: Specific Outcome 1 Formulate performance standards for team members in a unit.

Assessment Criteria Performance standards to be achieved by team members are formulated in relation to

the unit's goals, objectives and deliverables. Performance standards are clear and concise and specify the activities to be performed

and the standards to which they are to be performed. Feedback from team members is incorporated into the performance standards to

promote the buy-in of team members in a unit. Performance standards are recorded and documented according to the entity's policies

and procedures.

Specific Outcome 2 Establish systems for monitoring performance. Assessment Criteria

A variety of performance monitoring systems are identified and reviewed for possible use in a unit.

The performance monitoring system selected is in line with the entity's policies and procedures for performance assessment.

The performance monitoring system is communicated to team members to promote buy-in.

The system for monitoring performance against standards is set up in accordance with the entity's policy and procedures.

Specific Outcome 3 Prepare for a performance review of a team member. Assessment Criteria

The arrangements for the performance review are agreed with team member, including the time, place and nature of the review.

Preliminary assessment of performance against the agreed standards is conducted using monitoring systems.


Information gathered during the preliminary assessment is documented to be available for future reference.

Methods for giving constructive feedback are identified that make provision for reporting positive and negative findings.

Documents to be used during the review are prepared in accordance with the entity's policies and procedures.

Specific Outcome 4 Conduct performance review interview. Assessment Criteria

The review is conducted in accordance with the arrangements previously agreed with the team member.

Feedback provided to the team member is relevant and fair and communicated in a constructive and supportive manner.

Findings on positive and negative aspects of the member's performance are recorded accurately, fairly and honestly for report back and follow-up.

An action plan to address performance gaps and build on positive performance is agreed upon with the employee.

Agreed actions are documented and signed by both parties.

Unit Standard Accreditation And Moderation Options Anyone assessing a candidate against this Unit Standard must be registered as an

assessor with the relevant ETQA or an ETQA that has a Memorandum of Understanding with the relevant ETQA.

Any institution offering learning that will enable achievement of this Unit Standard must be accredited as a provider through the relevant ETQA or an ETQA that has a Memorandum of Understanding with the relevant ETQA.

Moderation of assessment will be overseen by the relevant ETQA according to the moderation guidelines and the agreed ETQA procedures.

Unit Standard Essential Embedded Knowledge Methods for formulating key result areas and performance standards. Types of systems for monitoring performance. Process for conducting performance reviews. Methods of giving constructive feedback.

Critical Cross-field Outcomes (CCFO): Unit Standard CCFO Identifying The learner is able to identify and solve problems in which responses show that responsible decisions using critical and creative thinking have been made in relation to monitoring the performance of team members.


Unit Standard CCFO Working The learner is able to work as a member of a team in planning, promoting and managing the implementation of a performance monitoring system.

Unit Standard CCFO Organising The learner is able to organise and manage him/herself and his/her activities responsibly and effectively in planning and implementing a performance monitoring system.

Unit Standard CCFO Collecting The learner is able to collect, organise and critically evaluate information and applying this in relation to the monitoring and measuring of the performance of team member.

Unit Standard CCFO Communicating The learner is able to communicate effectively using visual, mathematics and language skills in the modes of oral and/or written presentations in communicating with all team members in relation to their performance.


Unit Standard CCFO Demonstrating The learner is able to demonstrate an understanding of the world as a set of related systems by recognising that problem-solving contexts do not exist in isolation in applying knowledge of and insight into the managing of the performance of team members.


1. FORMULATE PERFORMANCE STANDARDS FOR TEAM MEMBERS

Specific Outcome 1 Formulate performance standards for team members in a unit.

Assessment Criteria Performance standards to be achieved by team members are formulated in relation to

the unit's goals, objectives and deliverables. Performance standards are clear and concise and specify the activities to be performed

and the standards to which they are to be performed. Feedback from team members is incorporated into the performance standards to

promote the buy-in of team members in a unit. Performance standards are recorded and documented according to the entity's policies

and procedures.

Formulating Performance Standards for Team Members

Performance management is a systematic review of an individual or a group's performance on the job. Performance management can be defined as a systematic approach to managing the process according to which the performance and development of individuals and entities within the institution are actively managed to ensure that the strategy and vision of the organisation are achieved.

Performance management therefore entails: The definition of the performance that is being managed (design); The process of performance management (implementation); and The management of the consequences of the performance (integration).

The purpose of Performance Management includes: To help a leader decide what increases of pay shall be given on grounds of merit. To determine the future of an employee e.g. whether the employee shall remain in his

or her present job or be transferred, promoted, demoted or dismissed.


To indicate training needs i.e. areas of performance where improvements would occur if appropriate training could be given.

To motivate the employee to do better in his or her present job by giving the worker knowledge of results, recognition of merits and the opportunity to discuss work with his or her manager.

Performance management is the process of:

planning work and setting employee expectations continually monitoring employee performance developing the employee's capacity to perform periodically rating the employee's performance rewarding good performance

An effective performance management system will comprise these elements in a systematic way.

The Performance Management System is an essential management system that helps structure internal resources and then monitor and evaluate their effectiveness. This provides the possibility for continuously improving the use of resources. Performance management fulfils the implementation management, monitoring and evaluation of the integrated development plans and broader activities of the organisation.

Formulate Performance StandardsIn order for the manager to measure the performance of an employee, team, section, division or department effectively, performance standards need to be set that are agreed by both the employee and the manager, before performance can actually be measured.Before we can set performance standards, we need to understand the difference between goals, objectives, priorities and tasks. Only then are we in a position to understand:

What we are doing? Why are we doing it? What the end goal will be?

Goals A goal is a statement of results which are to be achieved.Goals describe:(1) conditions that will exist when the desired outcome has been


accomplished;(2) a time frame in which the outcome is to be completed; and(3) resources that Affinity is prepared to commit to ensure that the result is achieved

Objectives To achieve a goal we must have a series of smaller goals or objectives that will help us to reach our goal (SMART)

Standards A performance standard is an ongoing performance criteria that must be metA performance standard is any guideline established as the basis for measurement. It is a precise, explicit statement of expected results from a product, service, machine, individual, or organisational unit. It is usually expressed numerically and is set for quality, quantity and time

Priorities Identify the urgency and the importance of the objectives and set them into a logical flow pattern to ensure that the objectives and the goal is achieved

Key Tasks These derive from objectives and are the actions that must be taken to make the objectives happen

Organisations and employees that set challenging and measurable goals are more likely to be effective than those that do not set goals at all. The goals and objectives of the individual employee, the team, section, division or department in the organisation must be:

in line with the core business of the organisation aligned to achieving the vision, mission and overall goals of the organisation challenging, but achievable and backed-up with employee buy-in

To establish performance expectations or goals that lead to effective results for the team / department, you should base the expectations of the employee on the following:

The organisational strategy (vision, mission) The business objectives for the upcoming year (company goals) The department’s objectives for the upcoming year The skills and behaviours the company regards as important

Setting SMART GoalsSMART is an acronym for Specific, Measurable, Achievable, Realistic and Timely as can be seen below:

Specific Is the objective precise and well-defined?It is clear?Can everyone understand it?

Measurable How will the individual know when the task has been completed?Sakhisisizwe LG Unit Standard 252034 18

What evidence is needed to confirm it?Have you stated how you will judge whether it has been completed or not?

Achievable Is it within their capabilities?Are there sufficient resources available to enable this to happen?Can it be done at all?

Realistic Is it possible for the individual to perform the objective?How sensible is the objective in the current business context?Does it fit into the overall patter of this individual’s work?

Timely Is there a deadline?Is it feasible to meet this deadline?Is it appropriate to do this work now?Are there review dates?

The performance expectations that the manager has for the employee or that the employee has of himself/herself should be linked to performance standards. By setting motivational goals and standards, the team will benefit in the knowledge of what is expected of them and how they are doing.

The following fill-in-the-blank equation may be useful when writing an objective: OBJECTIVE: To (+ action verb + single key result + target date)

All performance objectives should have the following criteria in order to be effective: They should be attainable and realistic. Any objective should be achievable within the

time frame. They should require increased effort or performance. Thus, it should not be an already

existing quality of the employee or a goal which requires little work to achieve. They should be relevant and related to the job. They should be well-defined and not to create confusion as to what should be achieved. They should be measurable so it is possible to evaluate the employee's performance. To

facilitate measurement, effort should be made to quantify, as much as possible, each goal and objective by using performance standards.

Defining performance targets / objectives for your employees could help you to: ensure that every employee's contribution fits into the overall aims of the business help individual employees better understand their aims and role within the business help employees feel valued create standards to measure the quantity and quality of employees' work monitor the success of the business identify ways to make the business run more efficiently identify ways to expand the business


Performance StandardsA performance standard is an ongoing set of performance criteria that must be met time and time again. Standards are usually expressed in quantities of performance required. As with goals and objectives, performance standards are most effective when established with the employee’s buy-in. The performance standard is used to measure how well the objectives and goals have been achieved.Performance standards are used to:

Provide a benchmark for performance - It answers the employee question: “What is expected of me?” It enables the leader to appraise objectively.

Define excellent behaviour - It eliminates any “guess” on the part of the employee and it alerts employees to the need for corrective action.

Provide an opportunity to improve performance - It allows managers to monitor employee skills after coaching and/or training. It is a guide to employees to evaluate how well they are doing and to clarify areas that need improvement.

The work performance standards expected from the employee must be: Measurable Attainable Understandable Observable Communicated Required or necessary for the job

Specify the Activities and Standards

Performance standards are determined and set in accordance with:

The business plan of the organisation and the team, department, section or department The customer needs, expectations and requirements The organisational expectations and requirements

In order to achieve the required performance, the manager and the employee therefore need to have a thorough understanding of:

The goals and objectives of the organisation The goals and objectives of the team, department, section or department The goals and objectives of the employee The performance standards that need to be achieved by the employee in order to

deliver what is expectedIn order to set performance standards, the following needs to be explored:

What are the indicators of success? How can the quantity or quality of each area (goal / objective) be measured?


Output Quality Procedures Cost Time taken to carry out the job function

In order to effectively define the performance standards, you need to define the:

(the “what”) Task(the “why”) Result or outcome of the task(the “how”) Behaviours and skills / knowledge areas necessary for

the task(the “measurement”)

Specific standards expected

Performance standards can be written to specify: the activities an employee needs to perform, the accomplishments or outputs of such activities, and the outcomes which are hoped to be achieved.


Activities Activities are the actions taken to produce results and are generally described using verbs. Examples of activities include: filing documents developing software programmes answering customer questions writing reports

Accomplishments Accomplishments (or outputs) are the products or services (the results) of employee and work unit activities and are generally described using nouns. Examples of accomplishments include: files that are orderly and complete a software programme that works accurate guidance to customers a report that is complete and accurate

Outcomes Outcomes are the final results of an organisation's products and services (and other outside factors that may affect performance). Examples of outcomes could include: reduced number of bad debts improved customer retention a decrease in the rate of customer complaints increase in production levels.

Setting performance standards for individual employees:Performance standards are set with the employee and not for the employee:

Schedule and hold a performance standard setting meeting with the employee. Discuss the job description in detail and agree on each of the tasks and applicable

performance standards. Focus on the performance standards, not the employee or his character. Ensure the employee understands why each task and performance standard is

necessary and reasonable. Request the employee’s input. Encourage open communication. Check for understanding and agreement before proceeding to the next performance

standard. Address any concerns or fears of the employee. Identify real or perceived barriers towards achieving the performance standards. Identify and agree upon resources, training, guidance and coaching and review periods.


Be specific about your and the organisation’s expectations. Document the performance standards that were agreed and provide the employee with

a copy of it.

Setting performance standards for a group or team:Performance standards are set with the team and not for the team:

Schedule and hold a short term objective setting and performance standard setting meeting with the team.

Discuss the goal and the objectives of the team. Allow negotiation in order to agree on each of the tasks, applicable performance standards and which team member takes accountability for delivering the required outcomes.

Focus on the tasks, the performance standards and accountability, not the team or team member’s character.

Ensure that the team members understand why each task and performance standard is necessary and reasonable.

Allocate tasks to team members according to strengths and weaknesses. Allow team members input and negotiate the process in order to have the best person performing the task

Agree on deadlines and timeframes. Encourage team members to use benchmarking, previous experience and realistic forecasting methods to set the deadlines and timeframes.

Request the team’s input. Encourage open communication. Check for understanding and agreement before proceeding to the next goal, objective

or performance standard. Address any concerns or fears of the team members. Identify real or perceived barriers towards achieving the performance standards Identify and agree upon resources, training, guidance, coaching and review periods. Be specific about your and the organisation’s expectations. Document the agreed performance standards and provide the team members with a

copy of the agreed standards.

When performance standards are set effectively, it benefits the organisation, the manager and the employee, as it will:

Clarify the expected results Help focus individual efforts Indicate actions employees are to take Make it easier to identify achievement Help all to identify and correct problems Establish a climate of communication


The following six steps can be used as a guideline to implement the set performance standards:Step 1: Develop written standardsTo implement standards successfully, every person in the organisation should understand what they need to do and what the criteria for success is. It is important to create clear and concise standards that are aligned to the requirements of the organisation (vision, mission, business plan, etc.). Providing written standards also helps you ensure that everyone is working towards the same goal. After you have written standards, you need to integrate them into as many systems as possible. You should use the performance standards as a foundation for recruiting new employees, developing job descriptions, making performance related decisions and creating development plans.

Step 2: Train people to meet standardsStandards are only useful if they are achievable and realistic. Employees need to feel that they are able to do what is expected of them successfully. If an employee is unable to achieve a set standard, an assessment of the situation needs to be done in order to determine the reasons for non-achievement and to identify the training needs. Provide the employees with the opportunity to develop the required skills so that they feel comfortable in their ability to reach the set standards.

Step 3: Measure performance against standardsAs part of the performance management process in the organisation, the performance of the employee is measured against the set and agreed performance standards (criteria). It is important that both the manager and the employee agree on the performance standards and measurement methods before actually measuring performance.Use a performance rating scale, such as the example below of a 5-point scale to evaluate the performance:

Qualitative explanation

1Insufficient performance– the levels of performance that are constantly below standard

2Insufficient performance– the levels of performance that are usually below standard

3Sufficient performance– the levels of performance that are acceptable (the target or objective)

4Excellent performance– the individual’s level of performance sometimes exceeds the determined target

5Excellent performance– the individual’s level of performance usually exceeds the determined target

Step 4: Give feedbackIn order for employees to stay focussed on reaching their performance standards, objectives and goals, the manager needs to provide feedback to the employee. Keeping the employees Sakhisisizwe LG Unit Standard 252034 24

informed about their performance, keeps them interested and motivates them towards achieving the set standards. Announcing progress towards achieving departmental or organisation goals helps employees see the impact that they have on the organisation’s overall success, e.g. business indicators such as sales statistics, call centre statistics, etc.

Step 5: Reward performanceRewarding the success of your employees is crucial in motivating them to perform at the level specified by the performance standards. Congratulate and reward employees on successful results and encourage them to continue achieving. Positive reinforcement encourages the high performers to continue performing and it serves as a motivation for the average performers to increase their performance.


Step 6: Re-evaluate standardsAfter the performance standards have been implemented, you should adjust them regularly to maintain a high level of performance. Because the organisation’s business plan and requirements change, it is critical for your organisation to continue to analyse what you can do to satisfy your customers and provide them with excellent performance.

Incorporate Feedback into Performance StandardsAn important part of a team leader's role is to encourage team members to develop effective performance goals and to commit to those goals on a daily basis.The key to developing an effective team is participation. When people participate in setting goals and developing a plan, they buy into that plan. The plan becomes their own. Team members need to participate in establishing specific, measurable, attainable, results-oriented, and time-framed performance goals. It then should lead to team member agreement and commitment to those performance goals.

Record and Document Performance StandardsOnce the performance standards have been agreed they must be documented.:The terms for expressing performance standards are outlined below:

Quantity: specifies how much work must be completed within a certain period of time, e.g., enters 30 enrolments per day.

Quality: describes how well the work must be accomplished. Specifies accuracy, precision, appearance, or effectiveness, e.g., 95% of documents submitted are accepted without revision.

Timeliness: answers the questions, By when? , How soon? , or Within what period? , e.g., all work orders completed within five working days of receipt.

Effective Use of Resources: used when performance can be assessed in terms of utilization of resources: money saved, waste reduced, etc., e.g., the computer handbook project will be completed with only internal resources.

Effects of Effort: addresses the ultimate effect to be obtained; expands statements of effectiveness by using phrases such as: so that, in order to, or as shown by, e.g., establish inventory levels for storeroom so that supplies are maintained 100% of the time.

Manner of Performance: describes conditions in which an individual's personal behaviour has an effect on performance, e.g., assists other employees in the work unit in accomplishing assignments.

Method of Performing Assignments: describes requirements; used when only the officially-prescribed policy, procedure, or rule for accomplishing the work is acceptable, e.g., 100A Forms are completed in accordance with established office procedures.

The format for presenting the performance standards must be agreed according to organisational policy and guidelines.


Formative Assessment 1: SO1 EEK1


2. ESTABLISH SYSTEMS FOR MONITORING PERFORMANCE

Specific Outcome 2 Establish systems for monitoring performance.

Assessment Criteria A variety of performance monitoring systems are identified and reviewed for possible

use in a unit. The performance monitoring system selected is in line with the entity's policies and

procedures for performance assessment. The performance monitoring system is communicated to team members to promote

buy-in. The system for monitoring performance against standards is set up in accordance with

the entity's policy and procedures.

Establishing Systems for Monitoring Performance

In order for the employee, team, section, division or department to effectively monitor performance, a monitoring system needs to be created. The monitoring system is used to

Determine if the set performance standards have been met Modify the performance standards according to the changing needs in the organisation

A performance monitoring system will have: Measurable outcomes: to measure the actual performance of the employee Reporting system: that will provide the manager with a tool to report the findings in

the performance management process and keep records of the employee’s performance

Processes: to ensure that the performance management system is fair and easy to follow

Timeframes: to adhere to the company’s performance management policies and procedures for managing and measuring the performance of employees. These timeframes would vary according to the needs in the organisation.

A performance monitoring system could use any of the following performance management or appraisal techniques:

Rating - A number of employee characteristics are rated on a scale which may range from 0 to 5 such as

5 points OUTSTANDINGSakhisisizwe LG Unit Standard 252034 28

4 points ABOVE AVERAGE 3 points SATISFACTORY 2 points IMPROVEMENT NEEDED 1 point UNSATISFACTORY 0 point UNACCEPTABLE Comparison with objectives (MBO – Management By Objectives) - Employees and their

managers agree objectives. The appraisal is based on how far these objectives have been met

Critical incidents - The appraiser records incidents of employees' positive and negative behaviour during a given period

Narrative report - The appraiser describes the individual's work performance in his or her own words

Behaviourally Anchored Rating Scales - A group of rating scales is developed which is custom made for each job and is based on the employee’s behaviour

360 Degree Feedback - This multi-source feedback method provides a comprehensive perspective of employee performance by utilising feedback from the full circle of people with whom the employee interacts: leaders, employees and co-workers. It is effective for career coaching and identifying strengths and weaknesses.

Balanced Scorecard - The Balanced Scorecard views an organisation, individual or a team from four perspectives. The BSC aligns all objectives to the overall vision and strategy of the business which sits at the centre point of the BSC model:

The financial perspective poses the question “To succeed financially, how should we appear to our stakeholders?”

The customer perspective considers the needs and expectations of both internal and external customers and poses the question “To achieve our vision, how should we appear to our customers?”

The internal business processes align to the financial and customer perspectives and poses the question “To satisfy our shareholders and customers, what business processes must we excel at?”The learning and growth perspective focuses on innovation of new products and

services and the development and improvement of resources to achieve the organisational vision

Performance Contracting: A performance contract is set up by referencing the employee’s job profile and the business unit scorecard. The performance contract then details areas of performance for the individual that are a priority to the business and that align to the achievement of the overall business objectives and company vision. The performance contract outlines the individuals Key Result Areas (KRA’s), associated objectives, measures and targets that are relevant to the business unit goals or scorecard.

Identify a Variety of Performance Monitoring SystemsW. Edwards Deming is known for his work on evaluating and criticising performance management systems and methods. Deming identified various problems with performance management systems and methods, using the following criteria:Sakhisisizwe LG Unit Standard 252034 29

The system nourishes short-term performance and stamps out long-term planning. The system is destructive to the individual being reviewed. It leaves the subordinates

feeling devastated, desolate, inferior and afraid to present a divergent viewpoint. The system is detrimental to teamwork, because it fosters rivalry, politics and fear. The system does not reward attempts to improve the system or take a risk. It rewards

people who do well under the old system. The measures used to evaluate performance are not meaningful because supervisors

and subordinates are pressured to use numbers. The measures discourage quality outputs.

Therefore performance management systems and methods should adhere to the following guidelines:

Performance management systems should be criterion-based (standards). People should be evaluated against standards and expectations. It is reasonable to include quality-related standards in the performance management system.

Performance management systems should cover as much of the job as possible. If an aspect of the job is important then it must be evaluated.

Performance management systems should be documented (reported) and records should be kept of employee performance.

Performance management systems should have a clear process, such as setting standards, measuring performance, interactive performance review session, feedback, documentation and reporting.

Performance management systems should be participative. Employees should play a role in developing the performance expectations / standards for their jobs.

Raters should be thoroughly trained to administer, provide feedback and monitor the system.

Balanced Scorecard Performance management systems, such as The Balanced Scorecard, make use of indexes or Key Performance Indicators (KPIs) as part of the performance measurement system. Key Performance Indicators (KPI) are financial and non-financial metrics used to quantify objectives to reflect the strategic performance of an organisation. KPIs are frequently used to "value" difficult to measure activities such as the benefits of leadership development, engagement, service, and satisfaction. KPIs are typically tied to an organisation's strategy (as exemplified through techniques such as the Balanced Scorecard).The KPIs differ depending on the nature of the organisation and the organisation's strategy. They help an organisation to measure progress towards their organisational goals, especially difficult to quantify knowledge-based activities.A KPI is a key part of a measurable objective, which is made up of a direction, KPI, benchmark, target and timeframe. For example: "Increase Average Revenue per Customer from R10 to R15 by Dec 2008", where 'Average Revenue Per Customer' is the KPI.


http://en.wikipedia.org/wiki/Balanced_Scorecard

http://en.wikipedia.org/wiki/Objectives

http://en.wikipedia.org/wiki/Metrics

Key Performance Indicators are quantifiable measurements, agreed to beforehand, that reflect the critical success factors of an organisation. They will differ depending on the organisation. A business may have as one of its Key Performance Indicators the percentage of its income that comes from return customers. A school may focus its Key Performance Indicators on graduation rates of its students. A Customer Service Department may have as one of its Key Performance Indicators, in line with overall company KPIs, percentage of customer calls answered in the first minute. A Key Performance Indicator for a social service organisation might be number of clients assisted during the year. Whatever Key Performance Indicators are selected, they must reflect the organisation's goals, they must be key to its success and they must be quantifiable (measurable). Key Performance Indicators usually are long-term considerations. The definition of what they are and how they are measured does not change often. The goals for a particular Key Performance Indicator may change as the organisation’s goals change, or as it get closer to achieving a goal. Key Performance Indicators Must Be Quantifiable. If a Key Performance Indicator is going to be of any value, there must be a way to accurately define and measure it. "Generate More Repeat Customers" is useless as a KPI without some way to distinguish between new and repeat customers. "Be The Most Popular Company" won't work as a KPI because there is no way to measure the company's popularity or compare it to others. It is also important to define the Key Performance Indicators and stay with the same definition from year to year. For a KPI of "Increase Sales", you need to address considerations like whether to measure by units sold or by rand value of sales. Will returns be deducted from sales in the month of the sale or the month of the return? Will sales be recorded for the KPI at list price or at the actual sales price? You also need to set targets for each Key Performance Indicator. A company goal to be the employer of choice might include a KPI of "Turnover Rate". After the Key Performance Indicator has been defined as "the number of voluntary resignations and terminations for performance, divided by the total number of employees at the beginning of the period" and a way to measure it has been set up by collecting the information, the target has to be established. "Reduce turnover by five percent per year" is a clear target that everyone will understand and be able to take specific action to accomplish. In selecting Key Performance Indicators, it is critical to limit them to those factors that are essential to the organisation reaching its goals. It is also important to keep the number of Key Performance Indicators small just to keep everyone's attention focused on achieving the same KPIs. That is not to say, for instance, that a company will have only three or four total KPIs in the company. Rather there will be three or four Key Performance Indicators for the company and all the units within it will have three, four, or five KPIs that support the overall company goals and can be "rolled up" into them. If a company Key Performance Indicator is "Increased Customer Satisfaction", that KPI will be focused differently in different departments:The Manufacturing Department may have a KPI of "Number of Units Rejected by Quality Inspection", while the Sales Department has a KPI of "Minutes A Customer Is On Hold Before A Sales Rep Answers". Success by the Sales and Manufacturing Departments in meeting their respective departmental Key Performance Indicators will help the company meet its overall KPI.


Examples of KPIs:A gift manufacturer won a large order to produce fridge magnets for a chain of stores. The team worked flat out to meet the deadlines, but didn't notice an impending cashflow crisis resulting from a fall in repeat orders from existing customers combined with a jump in raw material costs.To make matters worse, the new client kept changing its mind about designs, causing delays and increased production costs. The manufacturer had to negotiate a revised overdraft with its bank, reducing profit margins on the new order.By the time the order was complete, the company had lost several of its existing customers. A downturn in the retail market meant that its new client didn't place any further orders.Effective KPI targets could have prevented what occurred. The manufacturer would have recognised that customer retention was a business driver and set KPI targets on customer contacts and re-ordering. Cash flow forecasts would have highlighted the need to negotiate advances for the order.A training company had acceptable levels of sales over its first few years of trading, but showed no marked improvement. The sales manager was excellent at bringing in new business, so this didn't seem to be the problem.On closer inspection, it became apparent that repeat business per trainer was a key driver. Companies trained by two of its trainers had given them high volumes of repeat business, in stark contrast to the records for its three other trainers.Monitoring was formalised, and targets were set against a key performance indicator (KPI) of repeat business per trainer per quarter. At the same time, the three trainers with the poorer performance figures agreed to undertake a train-the-trainer refresher course. Thereafter, overall sales increased to the point that they had to take on another trainer.

What do I do with Key Performance Indicators?Once you have good Key Performance Indicators defined, ones that reflect your organisation's goals, ones that you can measure, what do you do with them? You use Key Performance Indicators as a performance management tool. KPIs give everyone in the organisation a clear picture of what is important, of what they need to make happen. You use that to manage performance. You make sure that everything the people in your organisation do is focused on meeting or exceeding those Key Performance Indicators. You also use the KPIs as a carrot. Post the KPIs everywhere: in the canteen, on the walls of every conference room, on the company intranet, even on the company web site for some of them. Show what the target for each KPI is and show the progress toward that target for each of them. People will be motivated to reach those KPI targets. Once you have determined the KPIs for your department or business unit and ensured that they are aligned to the organisational goals, you can assign a numerical value to your team members’ performance in various categories, based on the pre-determined performance outcomes and criteria. This simplifies performance measurement and monitoring and ensures that you have a factual, objective and easily quantifiable basis to work from when giving the employee feedback on his/her performance.

Appraisal techniques Essay appraisal


In its simplest form, this technique asks the manager to write a paragraph or more covering an individual's strengths, weaknesses, potential, and so on. In most selection situations, particularly those involving professional, sales, or managerial positions, essay appraisals from former employers, lecturers, or associates carry significant weight. The assumption seems to be that an honest and informed statement -either by word of mouth or in writing- from someone who knows a person well, is fully as valid as more formal and more complicated methods. The biggest drawback to essay appraisals is their variability in length and content. Moreover, since different essays touch on different aspects of a person's performance or personal qualifications, essay ratings are difficult to combine or compare. For comparability, some type of more formal method, like the graphic rating scale, is desirable.

Graphic rating scaleThis technique may not yield the depth of an essay appraisal, but it is more consistent and reliable. Typically, a graphic scale assesses a person on the quality and quantity of his/her work (is s/he outstanding, above average, average, or unsatisfactory?) and on a variety of other factors that vary with the job but usually include personal traits like reliability and cooperation. It may also include specific performance items like oral and written communication. For many purposes there is no need to use anything more complicated than a graphic scale supplemented by a few essay questions.


Field reviewWhen there is reason to suspect manager bias, when some managers appear to be using higher standards than others, or when comparability of ratings is essential, essay or graphic ratings are often combined with a systematic review process. The field review is one of several techniques for doing this. A member of the personnel or central administrative staff meets with small groups of managers from each supervisory unit and goes over each employee's rating with them to (a) identify areas of inter-manager disagreement, (b) help the group arrive at a consensus, and (c) determine that each manager conceives the standards similarly. This group-judgment technique tends to be more fair and more valid than individual ratings and permits the central staff to develop an awareness of the varying degrees of leniency or severity -as well as bias- exhibited by managers in different departments. On the negative side, the process is very time consuming.

Forced-choice ratingLike the field review, this technique was developed to reduce bias and establish objective standards of comparison between individuals, but it does not involve the intervention of a third party. Although there are many variations of this method, the most common one asks managers to choose from among groups of statements those which best fit the individual being rated and those which least fit him/her. The statements are then weighted or scored, very much the way a psychological test is scored. People with high scores are, by definition, the better employees; those with low scores are the poorer ones. Since the manager does not know what the scoring weights for each statement are, in theory at least, s/he cannot play favourites. S/he simply describes his/her people, and someone in the personnel department applies the scoring weights to determine who gets the best rating. The rationale behind this technique is difficult to fault. It is the same rationale used in developing selection test batteries. In practice, however, the forced-choice method tends to irritate managers, who feel they are not being trusted. They want to say openly how they rate someone and not be second-guessed or tricked into making "honest" appraisals. A few clever managers have even found ways to beat the system. When they want to give average employee Harry Smith a high rating, they simply describe the best employee they know. If the best employee is Elliott Jones, they describe Jones on Smith's forced-choice form. Thus, Smith gets a good rating and hopefully a raise. An additional drawback is the difficulty and cost of developing forms. Consequently, the technique is usually limited to middle- and lower-management levels where the jobs are sufficiently similar to make standard or common forms feasible. Finally, forced-choice forms tend to be of little value- and probably have a negative effect- when used in performance appraisal interviews.

Critical incident appraisalThe discussion of ratings with employees has, in many companies, proved to be a traumatic experience for supervisors. Some have learned from bitter experience what General Electric later documented; people who receive honest but negative feedback are typically not Sakhisisizwe LG Unit Standard 252034 34

motivated to do better - and often do worse - after the appraisal interview. Consequently, supervisors tend to avoid such interviews, or if forced to hold them, avoid giving negative ratings when the ratings have to be shown to the employee. One stumbling block has no doubt been the unsatisfactory rating form used. Typically, these are graphic scales that often include rather vague traits like initiative, cooperativeness, reliability, and even personality. Discussing these with an employee can be difficult. The critical incident technique gives a supervisor actual, factual incidents to discuss with an employee. Supervisors are asked to keep a record, a "little black book," on each employee and to record actual incidents of positive or negative behaviour.

For example: Bob Mitchell, who has been rated as somewhat unreliable, fails to meet several deadlines during the appraisal period. His supervisor makes a note of these incidents and is now prepared with hard, factual data: "Bob, I rated you down on reliability because, on three different occasions over the last two months, you told me you would do something and you didn't do it. You remember six weeks ago when I. . ." Instead of arguing over traits, the discussion now deals with actual behaviour. Possibly, Bob has misunderstood the supervisor or has good reasons for his apparent "unreliability." If so, he now has an opportunity to respond. His performance, not his personality, is being criticised. He knows specifically how to perform differently if he wants to be rated higher the next time. Of course, Bob might feel the supervisor was using unfairly high standards in evaluating his performance. But at least he would know just what those standards are. There are, however, several drawbacks to this approach. It requires that supervisors jot down incidents on a daily or, at the very least, a weekly basis. This can become a chore. Furthermore, the critical incident rating technique need not, but may, cause a supervisor to delay feedback to employees. And it is hardly desirable to wait six months or a year to confront an employee with a misdeed or mistake. Finally, the supervisor sets the standards. If they seem unfair to a subordinate, might s/he not be more motivated if s/he at least has some say in setting, or at least agreeing to, the standards against which s/he is judged?

Management by objectivesTo avoid, or to deal with, the feeling that they are being judged by unfairly high standards, employees in some organisations are being asked to set - or help set - their own performance goals. MBO (management by objectives) methods of performance appraisal are results-oriented. That is, they seek to measure employee performance by examining the extent to which predetermined work objectives have been met.Usually the objectives are established jointly by the supervisor and subordinate. An example of an objective for a sales manager might be: Increase the gross monthly sales volume to R250,000 by 30 June.Once an objective is agreed, the employee is usually expected to self-audit; that is, to identify the skills needed to achieve the objective. Typically they do not rely on others to locate and specify their strengths and weaknesses. They are expected to monitor their own development and progress.


Work-standards approachInstead of asking employees to set their own performance goals, many organisations set measured daily work standards. In short, the work standards technique establishes work and staffing targets aimed at improving productivity. When realistically used, it can make possible an objective and accurate appraisal of the work of employees and supervisors. To be effective, the standards must be visible and fair. Hence a good deal of time is spent observing employees on the job, simplifying and improving the job where possible, and attempting to arrive at realistic output standards. The work-standards program provides each employee with a more or less complete set of his job duties. Therefore, it would seem only natural that supervisors will eventually relate performance appraisal and interview comments to these duties. The use of work standards should make performance interviews less threatening than the use of personal, more subjective standards alone. The most serious drawback appears to be the problem of comparability. If people are evaluated on different standards, how can the ratings be brought together for comparison purposes when decisions have to be made on promotions or on salary increases? For these purposes some form of ranking is necessary.

Ranking methodsFor comparative purposes, particularly when it is necessary to compare people who work for different supervisors, individual statements, ratings, or appraisal forms are not particularly useful. Instead, it is necessary to recognise that comparisons involve an overall subjective judgment to which a host of additional facts and impressions must somehow be added. There is no single form or way to do this. Comparing people in different units for the purpose of, say, choosing a service supervisor or determining the relative size of salary increases for different supervisors, requires subjective judgment, not statistics. The best approach appears to be a ranking technique involving pooled judgment. The two most effective methods are alternation ranking and paired comparison ranking:

- Alternation ranking: In this method, the names of employees are listed on the left-hand side of a sheet of paper - preferably in random order. If the rankings are for salary purposes, a supervisor is asked to choose the "most valuable" employee on the list, cross his name off, and put it at the top of the column on the right-hand side of the sheet. Next, he selects the "least valuable" employee on the list, crosses his name off, and puts it at the bottom of the right-hand column. The ranker then selects the "most valuable" person from the remaining list, crosses his name off and enters it below the top name on the right-hand list, and so on.

- Paired-comparison ranking: This technique is probably just as accurate as alternation ranking and might be more so. But with large numbers of employees it becomes extremely time consuming and cumbersome.

Example:To illustrate the method, let us say we have five employees: Mr. Abbott, Mr. Barnes, Mr. Cox, Mr. Drew, and Mr. Eliot. We list their names on the left-hand side of the sheet. We compare Abbott with Barnes on whatever criterion we have chosen, say, present value to the organisation. If we feel Abbott is more valuable than Barnes, we put a tally beside Abbott's Sakhisisizwe LG Unit Standard 252034 36

name. We then compare Abbott with Cox, with Drew, and with Eliot. The process is repeated for each individual. The man with the most tallies is the most valuable person, at least in the eyes of the rater; the man with no tallies at all is regarded as the least valuable person. Both ranking techniques, particularly when combined with multiple rankings (i.e., when two or more people are asked to make independent rankings of the same work group and their lists are averaged), are among the best available for generating valid order-of-merit rankings for salary administration purposes.

Select a Performance Monitoring SystemThe performance monitoring system that you select must be in line with the organisation's policies and procedures for performance assessment, so it is highly likely that you will have a preferred system with pro forma templates and appraisal documents which will guide you through each step of the process.

Communicate the Performance Monitoring SystemsOnce you have good Key Performance Indicators defined, ones that reflect your organisation's goals, ones that you can measure, what do you do with them? You use Key Performance Indicators as a performance management tool. KPIs give everyone in the organisation a clear picture of what is important, of what they need to make happen. You use that to manage performance. You make sure that everything the people in your organisation do is focused on meeting or exceeding those Key Performance Indicators. You also use the KPIs as a carrot. Post the KPIs everywhere: in the canteen, on the walls of every conference room, on the company intranet, even on the company web site for some of them. Show what the target for each KPI is and show the progress toward that target for each of them. People will be motivated to reach those KPI targets. Once you have determined the KPIs for your department or business unit and ensured that they are aligned to the organisational goals, you can assign a numerical value to your team members’ performance in various categories, based on the pre-determined performance outcomes and criteria. This simplifies performance measurement and monitoring and ensures that you have a factual, objective and easily quantifiable basis to work from when giving the employee feedback on his/her performance.

Set up the System for Monitoring Performance against Standards

Once the system for monitoring performance has been chosen, the standards have been agreed by the team members and these agreements have been documented, you need to formalize the agreements by putting the system in place according to your organisation’s policy and procedures.

Formative Assessment 2: SO2 EEK2 & 3Sakhisisizwe LG Unit Standard 252034 37


3. PREPARE FOR A PERFORMANCE REVIEW OF A TEAM MEMBER

Specific Outcome 3 Prepare for a performance review of a team member.

Assessment Criteria The arrangements for the performance review are agreed with team member, including

the time, place and nature of the review. Preliminary assessment of performance against the agreed standards is conducted

using monitoring systems. Information gathered during the preliminary assessment is documented to be available

for future reference. Methods for giving constructive feedback are identified that make provision for

reporting positive and negative findings. Documents to be used during the review are prepared in accordance with the entity's

policies and procedures.

Preparing for a Performance Review of a Team Member

Craig, Beatty and Baird (1986) suggest an eight-stage performance appraisal process1:

1 Source: Adapted from www.fao.org/docrep/W7505E/w7505e06.htmSakhisisizwe LG Unit Standard 252034 39

Establish standards and measuresThe first step is to identify and establish measures which would differentiate between successful and unsuccessful performances. These measures should be under the control of the employees being appraised. The methods for assessing performance should be decided next. Basically, management wants to: Know the behaviour and personal characteristics of each employee Assess their performance and achievement in the job.There are various methods available for assessing results, behaviour and personal characteristics of an employee. These methods can be used according to the particular circumstances and requirements.

Communicate job expectations The second step in the appraisal process is communicating to employees the measures and standards which will be used in the appraisal process. Such communication should clarify expectations and create a feeling of involvement.

Plan In this stage, the manager plans for the realisation of performance expectations, arranging for the resources to be available which are required for attaining the goals set. This is an enabling role.

Monitor performance Performance appraisal is a continuous process, involving ongoing feedback. Even though performance is appraised annually, it has to be managed 'each day, all year


long.' Monitoring is a key part of the performance appraisal process. It should involve providing assistance as necessary and removing obstacles rather than interfering. The best way to effectively monitor is to walk around, thus creating continuous contacts, providing first-hand information, and identifying problems, which can then be solved promptly.

Appraise This stage involves documenting performance through observing, recalling, evaluating, written communication, judgment and analysis of data. This is putting together an appraisal record.

Feedback After the formal appraisal stage, a feedback session is desirable. This session should involve verbal communication, listening, problem solving, negotiating, compromising, conflict resolution and reaching consensus.

Make decisions On the basis of appraisal and feedback results, various decisions can be made about giving rewards (e.g., promotion, incentives, etc.) and punishments (e.g., demotion). The outcome of an appraisal system should also be used for career development.

Develop performance The last stage of performance appraisal is 'development of performance,' or professional development, by providing opportunities for upgrading skills and professional interactions. This can be done by supporting participation in professional conferences, workshops, training course, through coaching, or by providing opportunities for further study. Such opportunities can also act as incentives or rewards to employees.In 1984 the Institute of Personnel Management identified the following eight functions that performance reviews ought to fulfil:-

Evaluation - to enable the organisation to share out financial and other rewards 'fairly' Auditing - to discover the work potential, both present and future, of individuals and

departments Constructing success plans - for human resources, departmental and corporate

planning purposes Discovering training needs - by exposing inadequacies and deficiencies which could

be remedied by training Motivating staff - to reach organisational standards and objectives Developing individuals - by offering advice, information, praise or sanctions Improving standards - and thus performance Checking the effectiveness - of personnel procedures and practises


Effective performance reviews require both parties to come together in an atmosphere of openness and trust to work positively towards finding out:

What the member of staff has done over the period of time; What improvements could take place; What future ambitions both the organisation and the staff member have for the

employee, Where there are development needs, and How to meet those development needs through a variety of options, one of which is

formal training.

The key elements for an effective performance review / appraisal are:-

Preparation - by both the manager and the member of staff Factual information and evidence - of past performance, both positive and negative Privacy - uninterrupted discussion time Open, honest discussions - from both sides Create agreed action plans - for follow-up after the meeting Agree main tasks and targets for the coming period

Once you have agreed a time, place and format for the performance review with the employee you can start to measure the actual performance.

Agree the Arrangements for the Performance ReviewIt is important to prepare for the performance review session. You need to agree with the employee:

a time place format for the performance review with the employee

When setting a date for an appraisal interview with a member of staff it is therefore important for the manager to state which of the above functions the interview will fulfil and where the emphasis of the discussion will be focused. It is unproductive if the manager wants to focus primarily on improving standards when the member of staff wants to talk about training needs. Both will end up frustrated at the outcome of the interviewEnsure that the employee fully understands the process and what is expected from him/her. An employee also needs to know the following:

what factors will be used in the performance appraisal what standard will be used to measure his performance


who will conduct the appraisal when the appraisal will be done what kind of feedback can he expect what training assistance the company will provide to help improve performance if the employee can add his own comments to the appraisal and when what recognition(s) exist for above average performance

Conduct the Preliminary Assessment of Performance Leaders collect data to measure actual performance to determine variation from

standard. Written data might include time cards, production tallies, inspection reports and sales tickets. Personal observation, statistical reports, oral reports and written reports can be used to measure performance. Management by walking around, or observation of employees working, provides unfiltered information, extensive coverage and the ability to read between the lines. While providing insight, this method might be misinterpreted by employees as mistrust. Oral reports allow for fast and extensive feedback.

Computers give leaders direct access to real time, unaltered data and information. On line systems enable leaders to identify problems as they occur. Database programs allow leaders to query, spend less time gathering facts and be less dependent on other people. Leaders have access to information at their fingertips. Employees can supply progress reports through the use of networks and electronic mail. Statistical reports are easy to visualise and effective at demonstrating relationships. Written reports provide comprehensive feedback that can be easily filed and referenced. Computers are important tools for measuring performance. In fact, many operating processes depend on automatic or computer-driven control systems. Impersonal measurements can count, time and record employee performance.

Compare Measured Performance against Established Standards

Comparing results with standards determines variation. Some variation can be expected in all activities and the range of variation - the acceptable variance - has to be established. Management by exception lets operations continue as long as they fall within the prescribed control limits. Deviations or differences that exceed this range would alert the leader to a problem.

The possible outcomes of the performance measurement would be: Excellent performance: Excellent performance will be rewarded in terms of the

stipulations of the organisation’s remuneration policy and strategy. Sufficient performance: Reward for sufficient performance, if any, is determined by

the organisation’s remuneration policy and strategy. Insufficient performance: Insufficient performance is addressed by launching a

formal process of corrective actions as prescribed in the Code of Good Practice and as


contained in the Labour Relations Act. Your organisation will most likely have a complete policy and procedure for the management of poor performance

Document the Information Gathered in the Preliminary Assessment

This stage involves documenting performance through observing, recalling, evaluating, written communication, judgment and analysis of data. This is putting together an appraisal record.

Identify Methods for Giving Constructive FeedbackIn preparing to give feedback to the employee, you would have to ensure that you understand the process of taking corrective action. The leader must find the cause of deviation from standard. Then, he or she takes action to remove or minimise the cause. If the source of variation in work performance is from a deficit in activity, then a leader can take immediate corrective action and get performance back on track. Also, the leaders can opt to take basic corrective action, which would determine how and why performance has deviated and correct the source of the deviation. Immediate corrective action is more efficient, however basic corrective action is the more effectiveWhile it is acceptable to provide positive feedback publicly, you should discuss negative performance in private to avoid embarrassing your employees.Feedback is a vital portion of the coaching process. It can help an employee improve his or her performance and reinforce an individual’s positive actions. The best time to provide feedback is when you notice a poor or incorrect performance in progress or immediately after an employee’s positive action. You have a better opportunity to reinforce the behaviour by discussing it immediately rather than waiting for a later date.

Positive feedbackPositive feedback lets an employee know that others have noticed his or her quality work. When you provide positive feedback, you reward your employee with praise and reinforce the behaviour you want the employee to maintain.Positive feedback can be presented during a review session, in a meeting, or after you observe your employee’s good performance. When providing the positive feedback, describe the behaviour you want to reinforce. While descriptive praise makes people feel good about themselves and their work, its primary purpose is to make sure the employee recognises and repeats the positive behaviour.

Constructive feedbackAs a coach, it is your responsibility to provide constructive feedback to help an employee improve his or her performance. Constructive feedback should be presented immediately after a poor performance. The sooner you discuss the issue, the better chance the employee has to understand the problem and correct his or her behaviour.Constructive feedback typically deals with an employee’s poor performance. Thoroughly explaining how the individual’s poor performance or behaviour is detrimental can help the


employee take responsibility and understand exactly how he or she hindered productivity. You can then use your coaching skills to teach the employee how to improve performance or behaviour. Constructive feedback should be provided privately, so the employee will not feel embarrassed about his or her performance.

Prepare the Documents to be used during the Review Session

In most performance management systems both the employee and the manager would need to prepare the performance management / performance appraisal documentation before the performance review interview. Ensure that you and the employee both use the correct documentation and prepare for the interview effectively.Paperwork is not an end in itself, but it is essential to have written records of the appraisal to provide a feedback to employees and to allow more senior managers to monitor the effectiveness of appraisals and the performance management system. The design of forms will depend on the nature of the organisation, the objectives of the system and the employees to be appraised. However, most performance management forms should contain provision for:

basic personal details such as; name, department, position, length of time in the job job title job description a detailed review of the individual's performance against a set of job related criteria and

standards an overall performance rating general comments by the manager doing the appraisal and a more senior manager comments by the employee a plan for development and action

Formative Assessment 3: SO3 EEK4


4. CONDUCT A PERFORMANCE REVIEW INTERVIEW

Specific Outcome 4 Conduct performance review interview.

Assessment Criteria The review is conducted in accordance with the arrangements previously agreed with

the team member. Feedback provided to the team member is relevant and fair and communicated in a

constructive and supportive manner. Findings on positive and negative aspects of the member's performance are recorded

accurately, fairly and honestly for report back and follow-up. An action plan to address performance gaps and build on positive performance is

agreed upon with the employee. Agreed actions are documented and signed by both parties.

Conducting a Performance Review InterviewMost of us have at least second-hand experience of the poorer kinds of performance review meetings. Typically, these involve one-way imposition of a manager’s opinion on an employee, destructive rather than constructive criticism, and surprises in the form of unpleasant events being resurrected from the past or sudden decisions made about the future. If employee development is even discussed it’s either minimal or prescriptive, the employee’s preoccupation being with getting a good rating rather than revealing learning needs. Clearly, whatever else it may achieve, this kind of performance review creates ambiguity and tension, blocks effective communication and numbs any sense of pride or achievement.This situation is hardly desirable for an organisation that values effectiveness in its employees. Fortunately, it is possible to operate an performance review meeting that is virtually free of these failings. The purpose of this section is to give you the skills to avoid running a meeting that make performance reviews what one commentator in HR Magazine described as “a plague, an affliction to be purged from the Earth”!

The following guidelines could assist a manager in conducting an effective performance review interview:

Keep the appointment - Appointments for performance evaluation meetings should not be broken unless it is absolutely unavoidable. The employee should receive a full explanation when the meeting’s timing is changed.


Ensure that both you and the employee are prepared - From a manager’s standpoint, without effective preparation the performance review can meander through important issues without achieving the necessary results.

For the employee, the review meeting is not a time for surprises. He or she should already know about your concerns from day-to-day coaching and from your request that the employee prepare for the discussion.

Set aside plenty of time - Ensure that the time, date and location are mutually convenient. Be sure that you allocate sufficient time for the meeting. Most performance review meetings last at least one hour, while others can run as long as two hours or more. If you wince when reading this, consider that most people work at least 1,920 hours a year. Several hours a year for a major performance review is hardly a lot to expect!

It is undesirable to have to cut short a performance review meeting that runs long due to another commitment you have previously made. If the meeting must end, schedule a specific time to reconvene.

Do not allow interruptions - Ensure you select a meeting location in which you will not be disturbed. Make it clear to all other employees that interruptions are not permitted. Hold all phone calls or divert them to voice-mail. Constant interruptions only stress to an employee that you do not regard the meeting as particularly important.

Create a non-threatening atmosphere - Avoid public places that might discourage a free and open dialogue. Consider moving out from behind your desk and sit alongside the employee if this is possible. Alternatively, use a circular table. Both you and the employee will benefit from the positive and supportive atmosphere that something as simple as room set-up can create.

Conduct the Review in Accordance with the Agreed Arrangements

Prior to the appraisal review meeting, the employee and the leader should prepare written evaluations. The leader follows the steps in the performance review meeting.

Step 1: Communicate the evaluation. Begin with a quick review of the rating. Ratings should include results of performance, as well as motivation, effort and cooperation. Give enough attention to what went right. Start with exceeds. Emphasise where, how and why improvement is needed.

Step 2: Resolve any misunderstandings. Share the discussion with the employee. Give the employee the opportunity to respond to your appraisal. Listen without interruption. React to employee's feedback non-defensively. Use concrete examples to describe performance. Acknowledge that you are receptive to the employee's point of view. Make sure the employee understands your complaint before proceeding further.

Step 3: Seek acceptance of the rating. Ask the employee, "Can you accept this rating?"

Step 4: Identify areas for improvement. One of the goals of performance appraisal is to provide a means of giving feedback to a employee concerning ways to improve job performance. Discuss goals toward which the employee might work. Agree on specific targets to meet in the period ahead. Review what you can do to help.


Step 5: Secure commitment to future goals. Try to focus the employee on the future rather than on the past.

Step 6: Document all proceedings and submit a report if required.

Step 7: End on an Upbeat Note. Summarise the accomplishments of your discussion. Many evaluation meetings fail because the participants have differing perceptions about exactly what was achieved and agreed. Be positive about the future. For example:

“Let’s restate what we agreed upon...”“I’m feeling good about what we discussed...”

Even if the employee has agreed to the goals, it is important to have them say so one last time. Ask, almost offhandedly, a question such as “Do you foresee any problems achieving what we have discussed?” This offers your employee one last chance to raise anything they feel uncomfortable over and you can negotiate again before the meeting ends.

Performance Interview Checklist The following checklist can be used by the manager when doing the performance review

interview:

Did I … Yes/No

Put the employee at ease

Purpose and structure of interview explained

Agenda agreed

Past performance reviewed

Open, specific and reflective questions asked

Interviewer listening

Problems/sensitive issues raised

Strengths recognised and praisedWeaknesses discussed as a joint problem-solving exerciseDevelopment/training needs identified

Action plan agreed

Key points summarised

Employee asked for final comments

Positive finish


Employee thanked

Making Performance Judgements The performance appraisal represents a legal communication to an employee and

should be supported by objective reasoning. Appraisal judgments can be objective or subjective:

Objective factors are observable and measurable results. They include quantities, errors and attendance records.

Subjective factors are opinions. They are difficult to measure or document and invite bias or charges of bias. Included, as subjective factors, are personality traits, such as dependability, initiative and perseverance.

To remain objective, the manager double checks ratings to be sure he or she doesn't favour one employee or make unsupported judgments. Supported judgements have documented critical incidents of employee performance to illustrate ratings.

Rater Errors Several issues must be kept in mind by whoever is undertaking the measurement of

employee performance, such as: Unclear Standards: Whether performance is evaluated according to goal

achievement, or value added, an ever-present problem is inconsistency of standards between raters. The problem lies in the way that different people define standards; “good”, “average” and “fair” do not mean the same things to everyone. The solution is to develop and include descriptive phrases that define the language the rater is required to use. This specificity results in performance evaluations that are more consistent and more easily explained.

Halo Effect: The halo effect occurs when a manager’s rating of a subordinate on one characteristic biases the way that other characteristics are rated, e.g. if the employee has successfully added value to the organisation through the development of higher skills, he may be rated satisfactory overall, even if he has not added value in other areas that were agreed upon. Likewise, failure in one area may negatively influence an overall rating. Being aware of this problem is a major step toward avoiding it.

Central Tendency: Some raters find it difficult or unpleasant to evaluate individual employees higher or lower than others, even though their job performance may reflect substantial differences. In this case, they may tend to rate everyone as average, resulting in a central tendency. This problem can also occur if leaders are unfamiliar with the work of the employee, if they lack leadership ability, or if they fear a reprimand for rating too leniently or too strictly. The solution to this problem lies in finding the reason for applying a central tendency and then counselling the leader.

Leniency or Strictness: Inexperienced leaders often appraise performance too leniently and rate en employee highly because they feel it is the easiest route to follow. In some cases the employees may not deserve the rating. In additions, some leaders may feel that they could gain in popularity if they use a lenient approach. However, there could be individuals in the department whose performance has been above average and who do deserve a higher rating. This could result in feelings that the evaluation has been unfair. Strictness could occur if the leader believes that no one has


achieved the standards required. In both the above cases, counselling the leader is probably the best method of dealing with the problem.

Recency: Raters can easily be influenced by recent incidents in the employee’s performance. This tends to influence the leader’s overall perception of the individual’s performance. One way of combating this would be to hold more frequent and regular performance evaluations.

Bias: Leader bias may occur when the rater is influenced by characteristics such as the age, gender, race or seniority of the employee. Bias may be conscious or unconscious and can be difficult to overcome, because it is usually hidden.

Proper rater training and specific development of the performance management system by means of job analysis can improve performance evaluations.

Provide Feedback to the Team Member Many managers are apprehensive about appraising an employee’s performance. Yet

when it becomes necessary to actually write the appraisal report, a whole new set of neuroses can emerge based upon the quality of their written work. But remember, appraisals are not supposed to be works of great literature. Their purpose is to offer constructive feedback and guidelines for employee performance development.

Effective Performance Feedback Is: Faulty Feedback Is:

Behaviour BasedWhenever I ask you to do something, you disagree and argue with me in front of other employees.

Trait BasedYou have a poor attitude and are hard to get along with.

SpecificYou are very thorough and attentive to detail, especially in the way you deal with clients - you always get all the necessary information and relay it clearly

GeneralYou are very thorough in your work.

Objective, Job-RelatedI have received numerous client comments that your manner is cheerful and pleasant. These are characteristics that are important in our business.

Subjective, ArbitraryYou have a great phone manner.

Fact-OrientatedYou never offer to help others when your work is done; you always wait until you’re asked. Being viewed as helpful and team-orientated will be important if you wish to make a future here at XYZ organisation.

Emotionally ChargedClearly, you don’t care about being part of the team or moving ahead in our organisation.


Effective Performance Feedback Is: Faulty Feedback Is:

Constructive, Solution-FocusedWe discussed ways you might get a handle on your anger. One idea is to excuse yourself when a client is irksome, then go off and calm down before calling back.

Accusatory, Fault-FindingYou really messed up this time! You just can’t seem to get control of your moods, can you?

Clear, QuantifiableIt’s important you understand the significance of this task. You are proficient in other areas of your job, but failure to meet your sales quota of R50,000 this month could ultimately cost you your job

Vague, AmbiguousThis is a problem. You had better fix it soon

Feedback Failures The following was found to be some of the common mistakes made by managers when

giving performance feedback: Arguing with employees - Do not be defensive about the judgments you are making

in your feedback. Do all the research you can, ensure you're being fair by avoiding biases and being consistent, and then stick to it your guns. Be sensitive to the subtle difference between arguing with employees and letting them speak their minds.

Making it personal - Do not focus a significant amount of feedback on personality traits, attitudes, or character flaws. If they are dramatically affecting the person's performance mention them, but only in the context of their effect on work.

Dwelling on past mistakes - The feedback you are giving in reviews is not a time to rehash every mistake the employee has made since the last review. Instead, look for the reasons behind the mistakes (inability to stay organised, weak at setting priorities, etc.) and address those larger issues.

Comparing the employee with others on the team - It's a common temptation to use ‘star’ employees to try to motivate lesser performers. Be careful. No employee likes to be compared unfavourably to his or her co-workers. In addition, the outstanding employee can either become complacent about his or her performance or hated by his or her peers!

Comparing the employee to yourself - For the same reasons as listed above, feedback focusing on your strengths will not be well received by the employee.

Using statements that start with "If l were you..." - This is condescending, and employees will resent being talked down to. The performance interview is not about you in the first place!

Try to avoid these common mistakes and ensure that the feedback that you provide is constructive and useful to the employee.


A manager needs to provide employees with honest, constructive and acceptable feedback on performance for improvement to be made. The following guidelines should help keep the feedback on a positive note:

Reinforce both result and skills - Give feedback on both the “WHAT” and the “HOW” at any time, when the employee uses the appropriate skills to get the required results. If the employee attempts to use skills, reinforce the effort, even if the results are less than satisfactory.

Reinforce immediately - Ongoing feedback to employees on their performance is essential. This can take place formally, or as informal chats. The important thing is to make the feedback a regular and non-threatening issue. Always ensure that feedback is given timeously – as soon as possible. When the employee uses a new skill, recognise the effort or result, while it is still fresh in the employee’s mind. This will emphasise your appreciation and support.

Be specific - Give the employee clear feedback on his/her performance. Describe the specific task done or the specific behaviour (what was said or done) you observed and why it was effective/ineffective, up to / not on standard. Just telling the employee that it was “good”, is not enough.

Be sincere - Keep your comments short and to the point. Maintain eye contact and speak confidently. Do not say it, if you do not mean what you say.

Emphasise things that can be changed - Do not criticise the employee for things that cannot be changed, such as areas beyond their control. Focus on their areas of responsibility and their behaviour.

Be constructive - Feedback on poor performance should be given in such a way that the employee leaves the session feeling committed to improve their performance. Do not embarrass the employee, if he/she failed to meet the performance standards. Ask the employee to provide reasons for the poor performance.


Encouraging effective face-to-face communication basically begins by nonverbally "attending" to another individual. In the performance appraisal interview this means that the superior sits with a slight, but comfortable forward lean of the upper body trunk, maintains eye contact and speaks in as steady, warm and soothing a voice as possible. Engaging in such behaviour may seem unnecessary, and even uncomfortable at first. However, bear in mind that 65-70% of all face-to-face communication is nonverbal. Imagine how you would feel if your performance was being appraised by an individual who leaned backward (not forward) in his/her chair, avoided eye contact, and spoke to you in a harsh, grating voice. The effective use of the non-verbal skills subtly but powerfully encourages other individuals to communicate with us.

Open and Closed Questions Open and dosed questions help the superior stay on the topic, and verbally "follow" the subordinate to ensure, in one case, the most general and, in the other case, the most specific flow of communication. Each type of question bears a different fruit: open questions encourage the subordinate to provide more general information; closed questions encourage more specific responses.

Open questions are just that - open. One asks an open question by beginning with the words "Could," "Would,” "How," "What," or "Why?" Asked non-judgmentally, they encourage lengthier, general responses. Open questions are particularly suitable at the beginning of the appraisal interview, or where the superior seeks to explore or understand a particularly complex or ambiguous area.

Closed questions are useful in clarifying, or nailing down specific pieces of information. They help focus the conversation upon narrow areas, or upon the retrieval of specific facts. Closed questions typically begin with "Did," "Is," or "Are." Closed questions evoke a response of one ("Yes" or "No"), or just a few words.

The power of open and closed questions to evoke different responses is demonstrated by imagining the spontaneous response to the same query asked first as an "open," and then as a "closed" question:

Open question: "How is that new budget coming along?" Closed question: "Is that new budget in?"

Paraphrasing A paraphrase is a concise restatement in your own words of what another individual has just said. Effective paraphrasing clarifies for the superior, and permits the in-depth exploration of issues. It also indicates to others that you are "on the same wavelength," thereby encouraging them to communicate further. Remember that the paraphrase should also be non-judgmental, literal, matter-of-fact, and factual.

The effective paraphrase has a sequential structure. First, there is the introductory stem: "If I heard you correctly ...," "You're saying that ...," or "It seems that what you're telling me is ..." Then there follows the paraphrase-the concise restatement in your own words of what the subordinate has just said. The structure of a paraphrase ends with closing stems such as "Is


that close?" or "Is that what you're telling me?" Such concluding stems allow you to check the accuracy of your paraphrase, while encouraging a response.


Appraisee: "...So the regional office problem is why our caseloads are down." Appraiser: "You're saying that the new Regional Director's staff shake-ups have lowered productivity. And that now it's spilled over into your office. Is that about right?"

Reflection of Feeling Emotions play a central, if sensitive, role in interpersonal communication. To bottle up emotions may be to inhibit communication. While it often may be considered difficult or inappropriate to express or deal with emotions in the workplace, we tend to feel better when we do- and more positively toward an individual who seems to "understand" how we feel. Norman Sigband, an early scholar of managerial communication, defined interpersonal communication as "the transmission and reception of ideas, feelings and attitudes-verbally and non-verbally-which produce a response." Very simply, to effectively communicate is to take the human factor into account.

Similar to the paraphrase, the reflection of feeling is a literal matter-of-fact, and timely restatement in our own words of the emotions we sense the other person is feeling. In so doing, we subtly encourage others to express the emotions they feel. At appropriate times, it may be helpful to encourage others to express their feelings before going on to more task-related activities.

The structure of the reflection of feeling is similar to that of the paraphrase. First, one uses the subordinate's first name, or the pronoun "you." Next follows the initial stem, such as: "It sounds like you feel ..." or "I hear you expressing some ..." Third, one labels the emotion. Then one mentions the context in which the expression of emotion occurred. One concludes with a final checking stem such as: `Am I right?" or "Is that about right?"

Examples: "Hank, I sense that you're really anxious about this meeting. Am I about right?"

"Jane, you seem to be feeling frustrated about your performance in this area. Is that about right?"

Some important, cautionary advice: Managers are not psychologists; individuals with serious problems should be referred to the proper professional for help. In addition, the knowledge and practice of these skills (like knowledge itself) can be put to ethical or unethical uses. The reflection of feeling is among the most powerful as well as dangerous of micro skills. The insincere or expedient use of this skill can severely damage a trusting relationship with an individual.. Yet, there are moments when knowing how to exhibit a chord of genuine human concern, when giving other people a chance to express how they feel, can help them deal more effectively with their problems on and off the job.


Effective feedbackFeedback is most effective when it is

- Timely-as close to the critical behaviour as possible - Descriptive and specific - Objective - Aimed at solving problems and action

The effective use of the feedback skill involves: clear and concrete data; conveyed (as much as possible) via timely. present-tense statements; while employing non -judgmental. literal, matter-of-fact attitudes and behaviours about correctable items over which the subordinate has some control.

The effective use of feedback first involves clear and concrete data:

Vague: "Your work with clients has been very good this year." Concrete: "This year you've increased placements by 20% while cutting complaints in half."

The second characteristic of the feedback skill involves employing non-judgmental statements. Judgmental statements evoke emotions, particularly if those judgements are negative, as can occur in an appraisal interview. The negatively judgmental statement uttered by a superior may be perceived by a subordinate as an "offensive attack," to which his or her most natural response may be to "defensively" respond. Thus, a cycle may be established which hardly encourages the open communication that is prerequisite to positive behavioural change - one of the goals of the performance appraisal process.

Judgmental: "You're terrible in meetings with other people. Every time I take you, you foul things up." Non-judgmental: "You seem to be too eager in meetings. Your behaviour could be interpreted as too pushy, and turn people off."

Another characteristic of the feedback skill is the timely present-tense statement. While performance appraisal by its nature deals with previous behaviours, consciously choosing to deal with more recent incidences can be a powerful agent for more positive change.

Distant Past Feedback: "Harry, you've messed up your budget for the past three years, and this time I've had enough of it."

Timely/Present-Tense Feedback: "Harry, I've just made some specific suggestions to you on how you can improve this year's budget preparation. But you don't sound too enthusiastic about them. How can I help you become more effective in your budget preparation?"

Finally, feedback deals with correctable items over which the subordinate has some control. It may be of dubious value to ask a somewhat shy, but otherwise effective employee, "Why don't you spend more time socialising with us and become more a part of the office team?"


Record the Findings on All Aspects of PerformanceThe supervisor reflects on the performance of the employee, and identifies the factors which facilitated or hindered the employee's performance. The manager then calls the employee for a discussion to better understand his or her performance and provide counselling on further improvements. During this discussion, appraisal records (such as notes, observations, comments, etc.) are exchanged. The manager then gives a final rating and recommendations regarding the developmental needs of the individual. These are shown to the subject and his or her comments are recorded on the appraisal form. The appraisal form is then transmitted to the personnel department for the necessary administrative action. The personnel or human resource development department uses these forms for identifying and allocating training, rewards and other activities.

Agree upon an Action Plan to Address Performance The performance evaluation discussions will conclude with:

A review of overall progress Discussions of problems that were encountered Agreement about potential performance improvement possibilities, including the

manager’s role in removing obstacles and providing further opportunities Discussion how current performance is in line with long term goals Specific action plans for the coming year

Once the causes and effects of non-performance have been discussed, your next step is to set up a joint action plan. In other words, get the employee to make a commitment. What does he or she intend to do about the problem? Work out the plan and how you intend to help the employee succeed in making positive changes. Be specific on how much improvement should be made and by which target dates. Also, outline the steps necessary to build on your employee's strengths.

Managing Under-Performance A lack in motivation will almost always have a negative effect on the employee’s ability

to perform to their full potential, with the result that performance is not what it should be and results will suffer.

There are many reasons why employees may not be performing to their potential. Management need to properly identify what the “root cause” of the lack of performance is. Judgements such as “just lazy”, “not got it”, “troublemaker”, “not able”, “cannot take the pressure” and “cannot cope with the new environment” are comments often associated with managers not taking the time to find the “root cause”.

Managers often do not know their employees well enough. They do not spend enough time with the employee to fully understand their personality style, motivators and de-motivators, their strengths and weaknesses and how they are actually progressing with


their work objectives. Managers need to probe and ask questions to identify exactly what is causing the lack of performance or the under-performance.

A useful model to use during performance management would be that of Allan Mackintosh from his book: The Successful Coaching Manager, in which he describes the CARERS Model:

C Clarity and Focus

How clear is the role?Does the employee understand exactly what his/her objectives are?Do they know how to move the objectives forward?Do they know how they are going to be measured?

A Ability

Do they have the ability to fulfil the role and the objectives?Is there a development plan in place to support them?Is there a commitment to the development plan?

R Relationships How are their relationships with the manager, peers and customers?

E Environment

Is the culture conducive to the effective working of the employee (dictatorial vs. empowering)?Is there a company commitment to training?Is the training appropriate and of good quality?Are there company benefits available (pension, medical aid, flexible working time, etc.)?Is there any aspect of change affecting the employee (merger, downsizing, etc.)?

R Reward and Recognition

Is the employee’s efforts and expertise being rewarded and recognised?Is the employee being valued?Are there opportunities for bonus payments, etc.?What about promotion prospects?

S Support

Does the manager regularly support the employee through both good communication and coaching?Has the employee been given the right tools and equipment to do the job?

Usually, it is best to address a performance problem when it happens. Addressing a performance problem immediately allows your employee to make changes before the problem becomes more serious. However, you might use the employee’s appraisal discussion to address performance problems. You might discuss goals that the employee did not accomplish or ongoing problems that they have not solved yet.


To help an employee solve a performance problem, you should complete the following process during the appraisal discussion as you examine the employee’s successes and challenges, or, if necessary, you can discuss them in a follow-up meeting after the appraisal discussion:

Investigate the problem - When you realise that a problem exists, the first step you should take is to find out everything you can about the problem. For example, if the number of customer complaints suddenly increases, you should determine if the complaints are linked to a specific department or a particular employee.

Decide whether to intervene - Once you have investigated the problem, you must decide whether to intervene. Some problems are not serious and they might eventually be solved without intervention. However, some problems will continue to grow and cause bigger problems in the future. Therefore, you should consider the results of not getting involved and the results of intervening.

Identify the exact problem - Before you approach an employee about a performance problem, it is important to clearly identify the problem. The employee must understand where the deficiency is occurring, as well as what actions will eliminate it. It is also important that you tell the employee about the problem by describing it without making any personal judgments about the employee. If the employee feels personally attacked, they might become defensive and will not be receptive to your feedback.

Search for the causes - If you decide that you must take action to solve a problem, you should search for the possible causes of the problem. When a performance problem seems to have developed from one particular individual, you and that employee should search for causes of the problem during the appraisal discussion.

Provide reasons for improvement - If you discover that a performance problem is employee-based as opposed to system-based, you need to help the employee understand why they need to change their behaviour. You should explain to the employee all the reasons why improvements must be made. This will help them understand how their performance affects others and the company as a whole. When employees understand the reasons for needing to change, they are usually open to making improvements.

Explain the consequences - Most employees will be ready to make improvements once you have brought a performance problem to their attention and given them the reasons why their actions must change. However, if an employee does not agree that they need to make improvements, explain the consequences of their decision. Instead of making vague threats, it is important to give examples of consequences that might occur. For example, if the employee refuses to improve, they might be passed over for special assignments or promotions.

Determine appropriate corrective actions - Once you have an employee’s support for change, you need to help them determine specific actions they can take to make improvements. You should have some short- and long-term goals in mind before meeting with the employee. However, since an employee is more willing to work toward goals they help create, it is important to ask for the employee’s input about what goals they feels will improve performance.

Document the problem appropriately - The seriousness of the performance problem will dictate how you choose to document it. A serious problem may warrant attaching a separate document to the appraisal form that explains the problem. However, less serious problems could simply be noted on the performance appraisal. You should document any plans you and the employee make for correcting the performance problem. Be sure you provide the employee with a copy of these plans as well.


Monitor the problem - After you and the employee have agreed on the actions they should take, you should plan to monitor the employee’s performance. This allows you to assess whether the employee has changed their behaviour and allows you to offer assistance when necessary

Communication helps solve performance problems Since performance problems are often a sensitive issue to discuss, you should be aware

of how your communication skills can affect your ability to help your employees. Effective communication enables you to probe for the exact cause of a performance problem and helps you discuss the problem in a manner that encourages the employee to make improvements.

Communication can determine how effectively you are able to address an employee’s performance problem. The following methods of communication can help:

Investigate without blaming - When communicating about a performance problem, it is important to discuss the problem without placing blame on the employee. If you make accusations about the employee, you’ll undermine your ability to determine the cause of a problem and to encourage the employee to make improvements.

Be aware of emotional states - Even when you and an employee can openly discuss performance problems, the discussion can be stressful and tiring for both of you. Therefore, when you meet with an employee to discuss performance problems, remember that you can always finish the discussion in another meeting if either of you become frustrated. Being aware of emotional states is also important when you address an employee’s performance problems in the appraisal discussion. While the appraisal discussion is a good time to address problems, you might want to continue the discussion in another meeting if an employee has several problems to be addressed. In this case, several short meetings might be more effective than one long meeting.

Use open-ended questions - It is important for you to understand how open- and closed-ended questions can be used to lead a discussion about a performance problem. Typically, when you discuss performance with an employee, it is best to use open-ended questions, which encourage your employee to share their thoughts.Open-ended questions usually begin with “how,” “what,” or “why,” and sometimes they are statements that begin with “explain,” “describe,” “give me an example of,” or “tell me.” Since open-ended questions require more than a “yes” or “no” answer, you can use them to learn more about a performance problem. In addition, open-ended questions encourage shy or nervous employees to be forthcoming.

Communication helps solve performance problems Since performance problems are often a sensitive issue to discuss, you should be aware

of how your communication skills can affect your ability to help your employees. Effective communication enables you to probe for the exact cause of a performance problem and helps you discuss the problem in a manner that encourages the employee to make improvements.

Communication can determine how effectively you are able to address an employee’s performance problem. The following methods of communication can help:

Investigate without blaming - When communicating about a performance problem, it is important to discuss the problem without placing blame on the employee. If you make


accusations about the employee, you’ll undermine your ability to determine the cause of a problem and to encourage the employee to make improvements.

Be aware of emotional states - Even when you and an employee can openly discuss performance problems, the discussion can be stressful and tiring for both of you. Therefore, when you meet with an employee to discuss performance problems, remember that you can always finish the discussion in another meeting if either of you become frustrated. Being aware of emotional states is also important when you address an employee’s performance problems in the appraisal discussion. While the appraisal discussion is a good time to address problems, you might want to continue the discussion in another meeting if an employee has several problems to be addressed. In this case, several short meetings might be more effective than one long meeting.

Use open-ended questions - It is important for you to understand how open- and closed-ended questions can be used to lead a discussion about a performance problem. Typically, when you discuss performance with an employee, it is best to use open-ended questions, which encourage your employee to share their thoughts.Open-ended questions usually begin with “how,” “what,” or “why,” and sometimes they are statements that begin with “explain,” “describe,” “give me an example of,” or “tell me.” Since open-ended questions require more than a “yes” or “no” answer, you can use them to learn more about a performance problem. In addition, open-ended questions encourage shy or nervous employees to be forthcoming.

Document and Sign-off Agreed Actions Request Your Employee's Comments - Encourage the employee to write his or her comments and reactions to the appraisal. The supervisor must not discourage the employee from writing comments, and the employee may write comments in a memo should they prove more extensive than space on the report allows. Allow the employee sufficient time (about five days is typical) to complete this process. If the employee wishes, he or she should receive several days to comment in writing on the appraisal. If you receive a lengthy criticism of you review, you should promptly write a return memo which reviews the feedback the employee has given to you. Offer the chance to discuss each concern with management. However, limit the employee’s formal response opportunity to one occasion, or a ‘paper war’ could develop.

Get Your Employee’s Signature - The employee should also be requested to sign the form. Signing does not necessarily indicate acceptance of the contents; it merely implies that the employee has received the appraisal.

If the employee refuses to sign the form, initial it yourself with the words: “[Employee] refused to sign this evaluation, but received it on [Date].” If you have any sense of possible trouble, call in a witness. It is preferable that he or

she be either your own manager or a HR representative. Ask them to add a second signature to the appraisal form.


File the Appraisal Report – Legally and Responsibly - All employers are required to maintain employment records. Both federal and state law determines these requirements.The completed and signed appraisal report should be filed in the official Personnel File of the employee. This should be in a centralised and secure location. However, maintaining ‘satellite’ files within the work location is a common practice. Managers can keep copies of documents that they need, such as performance appraisal documentation, in their office. However be aware of both important confidentiality issues and applicable recordkeeping requirements in your organisation.

Don’t File and Forget About the Appraisal - Effective performance management is one of the most powerful and valuable tools that managers have. Done well, it is a win/win for everyone in the organisation.Most organisations now rely on an annual review as a time and cost-saving system of employee performance management. The potential of a merit increase for an individual is often the primary emphasis for the review. Performance management often takes a back seat to the form and format of this meeting between manager and employee.

But performance management means more than assessing an employee's performance once a year. It unites a number of related tasks: monitoring, coaching, giving feedback, gathering information and assessing an employee's work. It accomplishes those tasks in the context of objectives: the immediate objectives of the department and the overall goals of the organisation. And it carries them out systematically, throughout the year. Think back to your school days - you were given quizzes, midterms and a final exam. You were 'evaluated' throughout the process and the results led credence to your final grade. Much has changed since our childhood days. However this educational strategy carries through to your role as a manager.

Formative Assessment 4: SO4

In conclusion:Why are Regular Reviews in the Best Interests of Managers?While means might differ from organisation to organisation, the basic strategy is the same and the benefits identical:

1) You fulfil your management roleThis point pre-supposes that managers are truly accountable for the actions of their team. Unfortunately the last thing that many managers think of is their primary responsibility: the


ongoing supervision of their subordinates. If managers are not giving their employees regular feedback, they are not even managing.

2) It enhances the performance evaluation meetingA performance management approach makes better use of the performance review itself. Since it uses the information and the performance review interactions to support definite goals, ongoing reviews are a natural extension of what has gone before. The main performance evaluation meeting can then be expedited and mainly focus on the future.

3) Biases of observation are eliminatedBiases of observation such as the recency effect and the central tendency inevitably creep into reviews when management is unprepared. Interim reviews are a solution to these problems and are absolutely necessary if the evaluation system is to be rational.

4) It makes good business senseShould we wait a year to find out why a department and its employees aren’t meeting its objectives? Organisations rarely wait until the end of a fiscal year to see how they did. At the very least, they appraise or evaluate how they're doing on a quarterly (sometimes monthly) basis. If organisations evaluate on a more than annual basis, it is equally logical that individual performance should be measured more than annually. When employees meet their goals, it has a 'trickle-up effect' on the whole organisation.

5) It offers legal protection for your organisation Without documentation of performance on a regular basis, the legal pitfalls in discrimination, termination, and layoffs should be of sufficient concern to force ongoing performance evaluation. There are cases in which an employee's performance deteriorates dramatically over the course of only one-year. By giving frequent feedback that this performance is unacceptable, the employee will hopefully come to the conclusion that they are no longer in an ideal job for their skills. Strange as it sounds, ongoing performance management and a progressive discipline system can ensure that low achievers quit voluntarily, sparing you the stress of a termination. If the employee does not improve, the additional notice reduces the likelihood that the employee will sue and increases the likelihood that the employer will win if the employee does sue.6) Changes in priorities can be taken into accountOrganisational goals can significantly change at any time during the year. Ongoing discussions provide the opportunity to revise plans in line with new or revised unit objectives. Employees should also be asked to provide updates on the status of their work, including obstacles or problems which may be hindering their accomplishments and which may warrant considering plan revisions.

Why are Regular Reviews in the Best Interests of Employees?1) Overall employee performance will improveA continuous process of performance management establishes how an employee is progressing towards their ultimate goals. Are they on track or is more training or coaching


needed? In the event of a decline in performance, interim notice of this fact provides the employee with an opportunity to improve before the situation becomes difficult.

2) The formal appraisal becomes easierAs we have stated many times, an employee's performance appraisal should contain no surprises. Besides promoting better understanding with employees, frequent informal meetings focused on performance make the formal appraisal easier for both employee and manager.

3) It improves an employee's moraleProviding regular and candid feedback can go a long way toward reinforcing performance that a manager wants repeated and redirecting performance that is off the mark. Providing regular and candid feedback also sends other messages to employees, most importantly: "my supervisor knows what I am doing and cares enough to want me to succeed." Given today's work environment that, in and of itself, may be a real morale booster.

The Ongoing Performance Management Process Ongoing management of employee performance comprises three distinct steps:

1. Day-to-day feedback is unplanned and spontaneous, but can be helpful to employees in assessing their progress. Such feedback may range from brief comments to slightly more detailed evaluations.Although it is casual, most employees want and take this type of feedback seriously. A manager should not underestimate its importance.

2. Coaching, or counselling, is a more formal type of feedback, typically focusing on something critical to job success. It occurs immediately after some aspect of performance has taken place, and includes a methodical analysis of the way a specific task was performed. Coaching should not be done only when a task was done poorly, although that is typically what happens. It should also be done when a task was performed well, to help the employee identify why there was success and how to repeat it.

3. Periodic informal and formal progress reviews help to direct individual performance and reaffirms priorities and resources. Between annual performance appraisals, the manager should conduct interim reviews to insure that the employee is receiving formal feedback on results achieved as measured against the Performance Standards and Goals. Generally, these take place at three or four month intervals, but there should be at least one during the appraisal year, approximately six months before the annual appraisal meeting.


FORMATIVE ASSESSMENTS WORKBOOKFormative Assessment 1: SO1 EEK1Formulate Performance Standards for Team MembersIn small groups or individually as per your facilitator’s instructions, complete the following:

Case study:For this activity you need to divide up into groups of 3-4 learners.

Cominman Company1. Company BackgroundThe Communications & Information Management (Cominman) Company has been in business for 20 years, providing, on a national scale, communications and information management services. The company's warehouse, part of the Property Management Division, provides storage and excess services for company property in the custody of 25 divisions. The warehouse department has a staff of ten personnel: a warehouse supervisor, four property specialists, one property clerk, three drivers, and one data entry clerk. The warehouse makes approximately 50 pickups per week at company locations that include remote areas.

2. Process DescriptionTo request services from the warehouse, a division customer telephones the warehouse property clerk requesting a pick-up of property for storage or excess. The customer provides the clerk with the property identification number or serial number for each piece of property to be picked up and brought to the warehouse. There are typically one to twenty pieces of property per pick-up. If a pick-up date is not requested by the customer, a date will be provided to the customer by the property clerk. The property clerk completes a property transfer form, which reflects the date of the call, customer's name, division, location, property identification number and date scheduled for pick-up. A goal of the warehouse is not to exceed three days from the date of the call to the time of the pick-up, unless a special date has been requested by the customer. The warehouse receives approximately ten calls per week for pick-ups on special dates. On the scheduled pick-up day, the assigned driver takes the transfer form to the designated location. The driver is responsible for ensuring each piece of property matches the property identification numbers or serial numbers listed on the transfer form. After the truck is loaded, the driver obtains the customer's signature on the transfer form. The driver also signs the form and provides the customer with a copy acknowledging receipt.The driver returns to the warehouse, where a property specialist annotates the date on the transfer form, unloads the truck, and provides the data entry clerk with the signed copies of the form. The data entry clerk enters the information from the transfer form into the automated accountable property system and the transfer forms are then filed. The data entered are intended to transfer accountability from the division customer to the warehouse.At the end of the month, division customers receive a computer-generated property list indicating the accountable property in their location for which they are responsible. The customer reviews this report for accuracy. If the customer records do not agree with this listing, the customer calls the warehouse supervisor who logs the complaint with the following information: date of the call, division name, property location, date of the property list, and Sakhisisizwe LG Unit Standard 252034 65

discrepancies. The supervisor assigns a property specialist to resolve these discrepancies.

3. IssueThe warehouse supervisor had recently attended a Quality Leadership Seminar during which time a workshop was conducted on Performance Measurements. During a review of the telephone complaint logbook, a supervisor realised that customer complaints were beginning to increase. The supervisor felt that developing Performance Measurements for the warehouse process would be beneficial. Why?

The Quality Leadership Seminar stressed the value of a team-based approach when solving problems or establishing performance measures. The supervisor, therefore, decided to involve her entire staff in developing performance measurements for their process. The supervisor was the team leader; a trained facilitator was requested to assist them; and the team elected the property clerk as the secretary. They were ready to start.

(The group is responsible for many processes, such as delivering property, conducting inventory, etc. For purposes of simplicity, this case study only addresses the process of picking up property or storage).

Step 1: Identify ProcessThe supervisor thought, "Where do we begin? What is the very first thing we have to do?"Well first, she thought, we need to define our current process so all my team members can share a common understanding of what we do. The tools? Brainstorming and Flow Diagramming.Brainstorming is a group technique for generating new, useful ideas. It uses a few simple rules for discussion that increase the chances for originality and innovation.Flow diagramming is a method of graphically describing the activities and sequence that we perform to produce some output in a process. Before you try to control a process, you must understand it. Flow diagramming is basic to understanding our work and the way we function as a whole.So the supervisor gathered the department together, and they began to document all the steps in their work process. Post-it sheets were all over the wall! What started their work? A telephone call from a customer. What ended their process? An accurate property list.They wrote down all the related activities between these two boundaries (input/output) in the Sakhisisizwe LG Unit Standard 252034 66

order in which they occurred. The department realised that the flow diagramming session was certainly a time of "discovery." Contrary to what they thought, they did not proceed quickly and they did not proceed methodically through their process from beginning to end, capturing every detail the first time through. A lot of discussion took place. Finally, the department reviewed the completed diagram to see if they had missed any activities or decision points and verified the accuracy of the flow diagram. Is this the actual process? Yes, they all agreed.A lot of time was spent on this effort. However, the supervisor was very pleased. "We have an invaluable tool; a map of our process," she stated

1.1 Complete Figure 1 by filling in the missing process steps

Step 1: Identify ProcessDepartment's process for picking up property


Now we can start thinking about performance measurements."

Or can we? The supervisor thought for a moment. She learned in her workshop that performance measurement is better thought of as an overall management system, involving prevention and detection aimed at achieving conformance of the work product or service to our customer's requirements.

Performance measurement is primarily managing outcome, and one of its main purposes is to reduce or eliminate overall variation in the work product or process. The goal is to arrive at sound decisions about actions affecting the product or process and its output.

So she asked her department, "What is our product/ service? What is our output?" The department

came up with two outputs:

1.2 List the 2 outputs

She then told her department that measurements should focus on their customer's needs. They

should measure only what is important: Things that impact customer satisfaction, goals given by

management, and their own internal objectives. Keeping the customer in mind, she asked her

department, "What is the objective of our two outputs?" They responded immediately. Their

objectives were:


1.3 State the objective for each output

Step 2: Identify Critical Activity to be Measured

The next step is determining how objectives will be met.

One of the topics discussed in the Performance Measurement workshop was involving employees

in the design and implementation of the measurement system. This gives them a sense of

ownership and improves the quality of the measurement system.

The supervisor called her department together again. "We are now ready to identify specific critical

activities to set up our control points. Controlling, or keeping things on course, is not something we

do in the abstract. Control is applied to a specific critical activity."

She continued to instruct her department that they should examine each activity in the process

and identify those that significantly impact total process efficiency and effectiveness. Then they

should establish measurements for these critical activities."

Ask the following: Does it relate, directly or indirectly, to the ultimate goal of customer satisfaction?

Every critical activity should.

The department began to brainstorm. "Keep focused," the supervisor reminded. "Keep looking at

our objectives. How can we accomplish these?" The supervisor stated that as they approached the

data collecting step, the key issue was not "how do we collect data?" Rather, the key issue is "How

do we generate useful information?" You must learn to ask the right question(s), the supervisor

cautioned. "It is crucial to be able to state precisely what it is you want to know about the activity

you are going to measure. Without this knowledge, there is no basis for making measurements.

The department thought about this and after some more discussion felt they needed the answers

to two questions:

How do we know that we are providing the service that our customers require? Where can we do better or improve?

All parties finally agreed upon two sets of critical activities that needed to be watched closely

and acted on if performance is less than the desired goal.

1.4 Name the critical activities in the process.


1.5 Explain why these activities were considered critical:

Step 3: Establish Performance Goals or Standards

The supervisor was very pleased. "We are moving along quite nicely. Now we are ready to

establish a performance goal or standard," she stated. She continued and said that for each

control point selected for measurement, it would be necessary to establish a performance goal or

standard. She again referred back to her workshop notes.

A goal or standard is:

1.6 Define “goal”

1.7 Define “standard”

Because this is the first time the department has ever considered formalising measurements, they

would need to establish some sort of baseline to set goals. The basis for the initial goals chosen

was the informal observations made by the department. The department planned to re-evaluate

the goals in six months.

The department looked at Critical Activity 1. They reviewed their objectives and came up with three

goals:


1.8 List three goals that they could have come up with:

For Critical Activity 2, they did the same thing and came up with two goals:

1.9 List two goals that they could have come up with:

The department was satisfied that these performance goals would produce the output and their

corresponding objectives. They were now ready to move on to the next major activity.

Step 4: Establish Performance Measurement(s)

Again, the supervisor was satisfied with their progress. Now they needed to identify specific performance measures for the two critical activities they identified.

The department decided to do some brainstorming to generate potential performance measures. This step took a considerable amount of time, and the team was clearly frustrated.

The supervisor reminded her department that good performance measures exist to aid in

understanding how well a process or activity is working or how well a product or service is

produced and delivered. "Remember," she said, "what we measure should help us control and

manage our work." She also reminded them that in addition to identifying performance measures, they must also determine what raw data they will need to collect, find its Sakhisisizwe LG Unit Standard 252034 71

location, determine what sensors will measure or record the raw data, and decide how often the data will be collected.

The team felt somewhat overwhelmed by what seemed like a difficult task. The supervisor quickly

pointed out that for the first time, they would have measurable data that they could track to

determine how well they were doing and identify areas for improvement.

The team frequently found themselves asking, "What is it that we really want to know about what

we do." Their supervisor reminded them that since they already had quantifiable goals, they could

use these to help determine their performance measures.

1.10 Identify 5 possible performance measures for critical activity 1:

1.11 Explain what raw data they will need to collect for critical activity 1:

1.12 How often will the data be collected? Why have they decided on this particular interval for critical activity 1?

1.13 Identify 5 possible performance measures for critical activity 2:


1.14 Where will they find the raw data for critical activity 2?

1.15 How often will the data be collected? Why have they decided on this particular interval for critical activity 2?

Since the department had a goal that 95% of all pick-ups (without regard to type) would be

performed on time, they needed a performance measure to make a comparison. This was rather

straightforward, and the team settled on Percent On-Time Pick-Ups. This measure is the result of

a ratio and can be written as:

1.16 In order to make this calculation, the team had to determine what raw data were needed. Explain where they will get the raw data:


For their final performance measure, the team had already set a goal that they would not spend

more than 5% of their time resolving problems resulting from the monthly property list. For their

performance measure they chose percent time spent resolving property list problems (time spent

by the four property specialists). Again, as a ratio it would be written as:

The raw data are already spelled out in the numerator and denominator of the performance

measure. They consist of the total number of hours the four property specialists spend on problem

resolution and the total number of hours they work each month. The sensor to record this did not exist, so the supervisor …

1.17 What plan did the supervisor probably come up with to record hours spent on resolutions and total hours worked?


The team was pleased with their results and was ready to move to the next step.Step 5: Identify Responsible Party(ies)The team was glad they had completed identifying the performance measurements. The next step was a fairly easy one for the team members. They needed to identify responsible parties for collecting the data, analysing/reporting actual performance, comparing actual performance to goal/standard, determining if corrective actions are necessary, and making changes.

Obviously, many people could be involved in collecting data; however, someone needs to be responsible for compiling the data and comparing actual performance with the department goal. If a difference warrants, they need to notify the decision maker.

1.18 Responsible parties

Activities Responsible party(ies)

Collect data

Analyse/report actual performance

Compare actual performance to goal/standard

Determine if corrective actions are necessary

Make changes

Step 6: Collect Data

At this step, the supervisor reviewed her notes again. She remembered from her seminar that

even the best of measurement systems have failed because of poor data collection.


As the system owner, she needed to be the one with the overall responsibility for supervising the

data collection process. Each employee was of course responsible for the quality of his/her own

work, but she needed to be sure the data were being collected properly and that people were

doing their assignments.

Data collection was much more than simply writing things down and then analysing everything

after a period of time. She resolved to conduct several preliminary analyses to determine if the

measurement system was functioning as designed, that the frequency of data collection was

appropriate, and to provide feedback to the data collectors with respect to any adjustments in the

system.

The team gathered data for a five-month period. During the first month, the supervisor had a

preliminary look at the data they were collecting on a weekly basis. She continued her spot checks

each month until the full collection period was completed. Ultimately, there were no significant

changes to the measurement system or collection frequency. The supervisor felt the team had

done an excellent job in understanding their process and designing their system. They were now

ready to begin Step 7, which involved analysing the data.

Step 7: Analyse/ Report Actual Performance

After five months, the supervisor felt they had a good baseline on which to start their analysis.

Just what do these data mean? The team was reminded of the issue of customer complaints that

started them thinking about performance measures. The supervisor asked them, "What were the

questions, identified in Step 2, that we felt needed to be answered?" The team responded:

How do we know that we are providing the service that our customer requires? Where can we do better or improve?

In this step, we will explore some of the possible ways to analyse and to display the results of

these performance measures to clearly communicate the answer to their questions.

The team had chosen as one of their performance measures: number of days elapsed from call to

pick-up. Their goal was pick-up within three days or less from date of call. They had collected the

following data:

The time a call to pick-up was received The day it was picked up

The forms the team used recorded a lot of information. They revealed how many pick-ups actually


took longer than three days and were late, and how early or late each pick-up was. One way to

look at the data is to use a bar chart to plot the number of late pick-ups each week (the number of

on-time pick-ups could also be plotted). This will show the progress each week, and after several

weeks or months, some trends may appear.

1.19 Draw a simple bar chart reflecting the number of late pick-ups each week.

Every week they do 51 pick-ups. In week one, there were 5 late pick-ups out of 51, with 13 during

week two, 4 during week three, 4 during week 4 and 7 during week 5..

The next step would be to investigate what happened during weeks two and 5 and analyse the

process to see what can be done to meet the goal.

1.20 Suggest possible reasons for the late pick-ups:


Step 8: Compare Actual Performance to Goal/Standard

The supervisor was satisfied with the team's efforts and results. They had learned a lot about

performance measures and now understood their importance and why they needed to measure.

They realised that if you cannot measure your process, you cannot control it. If you cannot control

it, you cannot manage it. Without dependable measurements, intelligent decisions cannot be

made.

They were almost finished with the process. The team needed to compare their actual

performance to their goals.

Once a comparison against their goals was completed, the team had several alternatives:

Forget it. Variance is not significant - economically or statistically. Fix it. Challenge the goal (or standard). Review performance measures. Are they answering our questions?

The supervisor told her team that "if corrective actions are not necessary, the team would continue

the data collection cycle."

Step 9: Corrective Action Necessary?

Is corrective action necessary? The supervisor instructed her team that if the answer to this

question was yes, they would need to take the necessary action to bring their performance back

into line with their goal(s)-the final step in closing the feedback loop.

She further stated that the key objectives of correction are:

Removal of defects, which are, in many cases, worker-controllable. Removal of defect causes whether worker or management-controllable, dependent up on

the defect cause. Attainment of a new state of process that will prevent defects from happening.


Maintenance or enhancement of the efficiency and effectiveness of the process, an essential condition for continuing process optimisation and ultimately increasing the competitiveness and profitability of the business itself. The removal of defects and defect causes at the expense of productivity or efficiency is inherently self-defeating.

The team decided to tackle the problem of late pick-ups. They had a goal of 95% on-time pick-ups.

They never met their goal. Why? After further discussions, the supervisor and team members felt

they would form a quality circle team to look at this problem and identify the solution(s). They can

use a lot of the data they have already collected to assist them in finding the root cause of the problem.

Additionally, they would continue to gather data for another five to six months, review it, and

determine if any further action would be necessary.

Conclusion

The Quality Improvement Team has been established and currently is working the problem trying

to determine the root cause. Therefore, the team would come back to address steps 10 and 11

after they complete their investigation.

1.21 Brainstorm 4 possible causes of late pick-up times and delays in the process.


The team members told their supervisor they finally realised the value and importance of doing

performance measures on their processes.

The supervisor asked her team to summarise for her why they should measure. The team wrote

down the following:

1.22 Performance measures can be used for:

The supervisor was very pleased!

Place any extra evidence after this page, clearly marked for easy reference.


Formative Assessment 2: SO2 EEK2 & 3Identify a Variety of Performance Monitoring Systems In small groups or individually as per your facilitator’s instructions, complete the following:

2.1 List 4 of the performance monitoring systems discussed in your Learner Guide and discuss their advantages and disadvantages for possible use in your unit

2.2 Select a performance monitoring system in line with the organisation's policies and procedures for performance assessment. Discuss the criteria you will apply when you select a particular system:

2.3 List and describe the various ways you will communicate the performance monitoring system to team members to promote buy-in. Refer to documents you will use, meetings you will have and communication skills you will employ:


2.4 Describe your organisation’s policy and procedures for setting up a system for monitoring performance against standards



Formative Assessment 3: SO3 EEK4Prepare for a Performance Review of a Team MemberIn small groups or individually as per your facilitator’s instructions, complete the following:

3.1 Write an e-mail/ memo to the team member regarding the proposed arrangements for the performance review. Request his/her input and refer to the time, place and nature of the review

3.2 List 5 of your team members’ regular activities and give each of them a numerical value or KPI, e.g. number of errors in typed letter

Activity Numerical Performance Measure

3.3 Explain how you monitor your team members’ performance. Refer to methods and


frequency:

3.4 Explain how and where information gathered during the preliminary assessment is documented to be available for future reference

3.5 Draw up a list of 10 tips for giving constructive feedback:


3.6 List the information the documents to be used during the review must contain in accordance with the entity's policies and procedures.



Formative Assessment 4: SO4 Conduct a Performance Review InterviewIn small groups or individually as per your facilitator’s instructions, complete the following:

4.1 Draw a flow diagram of the review process:


4.2 Role play:

1. Set your team member at ease on entering the venue where the performance appraisal is to take place

2. Give your team member feedback on an activity/task where s/he has exceeded the standard/ goal. Refer to some kind of incentive or reward.

3. Give your team member feedback on an activity/task where s/he has not met the standard/ goal. Refer to some kind of intervention to ensure that his/her performance improves.

Write your preparatory notes here:

4.3 Draw a flow diagram of the 8-step process described below:

Analysis

The supervisor reflects on the performance of the employee and identifies the factors which facilitated or hindered the employee's performance.

The manager then calls the employee for a discussion to better understand his or her performance and provide counselling on further improvements.

During this discussion, appraisal records (such as notes, observations, comments, etc.) are exchanged. The manager then gives a final rating and recommendations regarding the developmental needs of the individual.

These are shown to the subject and his or her comments are recorded on the appraisal form. The appraisal form is then transmitted to the personnel department for the necessary administrative action. The personnel or human resource development department uses these forms for identifying and allocating training, rewards and other activities.



4.4 Explain how you will address performance gaps and build on positive performance.

4.5 What information must your action plan contain?

4.6 Explain the process you will follow to document and sign off agreed actions:



References and Further Reading Human Resource Management – PS Nel, PD Gerber, GD Haasbroek, HB Schultz, T Sono,

A Werner – Oxford Southern Africa – 5th edition Performance Management: The New Realities – M. Armstrong, London, Institute of

Personnel and Development, 1998 Conducting Staff Appraisals: A practical handbook for every manager today – N. Hunt, How

to Books, 1997 http://ucsfhr.ucsf.edu/index.php/pubs/hrguidearticle/chapter-7-performance-management/ www.personal.usyd.edu.au , Personnel Department of the University of Sydney www.opm.gov , United States Office of Personnel Management


http://www.opm.gov/

http://www.personal.usyd.edu.au/

http://ucsfhr.ucsf.edu/index.php/pubs/hrguidearticle/chapter-7-performance-management/