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Implement best-in-class performance management systems Performance Management For Dummies is the definitive guide to infuse performance management with your organization's strategic goals and priorities. It provides the nuts and bolts of how to define and measure performance in terms of what employees do (i.e., behaviors) and the outcome of what they do (i.e., results) --both for individual employees as well as teams. Inside, you'll find a new multi-step, cyclical process to help you keep track of your employees' work, identify where they need to improve and how, and ensure they're growing with the organization--and helping the organization succeed. Plus, it'll show managers to C-Suites how to use performance management not just as an evaluation tool but, just as importantly, to help employees grow and improve on an ongoing basis so they are capable and motivated to support the organization's strategic objectives. * Understand if your performance management system is working * Make fixes where needed * Get performance evaluation forms, interview protocols, and scripts for feedback meetings * Grasp why people make some businesses more successful than others * Make performance management a useful rather than painful management tool Get ready to define performance, measure it, help employees improve it, and align employee performance with the strategic goals and priorities of your organization.
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Seitenzahl: 552
Veröffentlichungsjahr: 2019
Performance Management For Dummies®
Published by: John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030-5774, www.wiley.com
Copyright © 2019 by John Wiley & Sons, Inc., Hoboken, New Jersey
Published simultaneously in Canada
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Library of Congress Control Number: 2019939296
ISBN 978-1-119-55765-4 (pbk); ISBN 978-1-119-55766-1 (ebk); ISBN 978-1-119-55771-5 (ebk)
Cover
Introduction
About This Book
Foolish Assumptions
Part 1: Getting Started with Performance Management
Chapter 1: Introducing Performance Management
Why Do You Need Performance Management? To Succeed (of Course)
Making Performance Management Work in Your Business
Designing and Implementing a Performance Management System
Chapter 2: Making the Case for Performance Management
Using Performance Management to Achieve Multiple Purposes
Answering the “What’s in It for Me” Question
What an Ideal Performance Management System Looks Like
Taking Care of Talent Management Functions
Chapter 3: Designing and Implementing Effective Performance Management
Ensuring Performance Management Delivers Strategic Value
Developing Performance Management Leadership Skills
Defining and Measuring Performance
Developing Employee Performance
Assessing Performance Management Effectiveness
Chapter 4: Anticipating and Minimizing Negative Consequences
Anticipating Damage Caused by Flawed Performance Management
Learning from Flawed Performance Ratings
Why Performance Ratings Are Here to Stay
Setting Up an Appeals Process
Setting Up a Communication Plan and Dealing with Resistance to Change
Part 2: Designing an Effective Performance Management System
Chapter 5: Delivering Strategic Business Results
Linking Performance Management with Strategic Business Objectives
Conducting an External and Internal Analysis of Strengths, Weaknesses, Opportunities, and Threats
Creating and Understanding Your Organization’s Mission and Vision
Setting Up Objectives and Strategies Based on Your Mission and Vision
Linking Your Organization’s and Unit’s Strategic Plans with Job Descriptions
Chapter 6: Becoming a Performance Management Leader
Becoming an Effective Coach
Observing and Documenting Performance
Giving Feedback Effectively
Chapter 7: Defining Performance
Performance Is All about Behaviors and Results
Causes for Excellent and Poor Performance
Focusing on Four Different Performance Dimensions
When to Define Performance as Behaviors or Results and Why
Chapter 8: Measuring Performance as Results
Measuring Performance as Results
Choosing a Measurement System Congruent with Context
Chapter 9: Measuring Performance as Behaviors
Measuring Competencies
Measuring Behaviors Using Comparative Systems
Considering Advantages and Disadvantages of Comparative Systems
Measuring Behaviors Using Absolute Systems
Chapter 10: Using Performance Management Analytics
The Jury Is Out: All Firms Collect Performance Data
Including Critical Components in Effective Performance Appraisal Forms
Including Critical Characteristics to Make Evaluation Forms Effective
Computing Overall Performance Score
Using Multiple Performance Touchpoints
Chapter 11: Minimizing Rating Distortion
Dealing with Disagreements across Performance Touchpoints
Minimizing Intentional Rating Distortion
Minimizing Unintentional Rating Distortion
Part 3: Implementing Performance Management Effectively
Chapter 12: Creating and Implementing Personal Development Plans
Creating Personal Development Plans
Facilitating Employee Development
Using Multisource Feedback Systems in Implementing Development Plans
Chapter 13: Conducting Effective Review, Disciplinary, and Termination Meetings
Conducting Effective Review Meetings
Making the Tough Calls: Disciplinary Process and Organizational Exit
Chapter 14: Implementing Team Performance Management
Not All Teams Are Created Equal
Designing a State-of-the Science System
Implementing a State-of-the-Science System
Chapter 15: Evaluating Your System
Pilot Testing the Performance Management System
Ongoing Monitoring and Evaluation of the Performance Management System
Part 4: Connecting Performance Management with Rewards and the Law
Chapter 16: Offering Financial and Nonfinancial Rewards
Not All Rewards Are Created Equal
Different Types of Financial Rewards
Different Types of Nonfinancial Rewards
Linking Performance Management with Different Types of Rewards
Chapter 17: Setting Up an Effective Pay System
Setting Up Traditional and Contingent Pay Plans
Implementing Contingent Pay Plans
Selecting a Contingent Pay Plan
Chapter 18: Staying on the Right Side of the Law
Implementing the Golden Rule
Six Legal Principles Affecting Performance Management
Laws Affecting Performance Management
Part 5: The Part of Tens
Chapter 19: Ten Reasons for Implementing Effective Performance Management
Six Useful Purposes
Self-Insights, Development, Motivation, and Self-Esteem
Better Understanding of Job Requirement
More Employee Engagement and Voice Behavior
Improved Commitment and Decreased Turnover
Early Detection of Performance Declines and Less Employee Misconduct
Differentiation between Good and Poor Performers
Common Understanding of What Is Good Performance
More Fair and Legally Defensible Administrative Decisions
Easier Organizational Change
Chapter 20: Ten Key Factors for Delivering Outstanding Results
Congruence with Strategy and Context
Thoroughness and Inclusiveness
Meaningfulness
Practicality
Reliability, Validity, and Specificity
Identification of Effective and Ineffective Performance
Standardization and Thoroughness
Openness
Correctability
Acceptability, Fairness, and Ethicality
Chapter 21: Ten Tips for Becoming a Great Performance Management Leader
Become an Effective Coach
Develop a Good Coaching Relationship and Facilitate Employee Growth
Understand Your Own Coaching Style
Make the Employee the Director of Change
Learn How to Evaluate Performance Accurately
Document Performance Accurately
Give Feedback Effectively
Conduct Effective Performance Review Meetings
Be Fair and Direct in the Disciplinary Process
Be Fair and Direct in the Termination Process
Index
About the Author
Connect with Dummies
End User License Agreement
Chapter 1
TABLE 1-1 Performance Management versus Performance Appraisal
TABLE 1-2 Scale Anchors for Rating Tasks in a Work Analysis
Chapter 2
TABLE 2-1 The Purposes of a Performance Management System
TABLE 2-2 An Ideal Performance Management System
Chapter 5
TABLE 5-1 Trends to Consider When Conducting an Environmental Analysis
Chapter 7
TABLE 7-1 Key Differences between Task and Contextual Performance
Chapter 9
TABLE 9-1 Comparative and Absolute Systems to Measure Performance as Behaviors
TABLE 9-2 Anchors for Behavior Checklists of Frequency
TABLE 9-3 Anchors for Behavior Checklists of Amount
TABLE 9-4 Anchors for Behavior Checklists of Evaluation
TABLE 9-5 Anchors for Behavior Checklists of Agreement
Chapter 10
TABLE 10-1 Critical Components Present in Generic Performance Review Form in Fig...
TABLE 10-2 Critical Characteristics Present in Generic Performance Review Form i...
Chapter 16
TABLE 16-1 Different Types of Rewards and Their Dependency on the Performance Ma...
Chapter 17
TABLE 17-1 Which Contingent Pay Plan to Use Depending on Your Strategic Business...
Chapter 1
FIGURE 1-1: The performance management process.
Chapter 3
FIGURE 3-1: Cascading of strategic priorities and goals from the organization to...
FIGURE 3-2: Performance is a combination of behaviors & actions as well as resul...
Chapter 4
FIGURE 4-1: 3-step appeals process
FIGURE 4-2: Key questions that you should answer with your performance managemen...
Chapter 5
FIGURE 5-1: Relationship between an organization’s strategic plan, a unit’s stra...
FIGURE 5-2: How KeyBank linked performance management with strategic business ob...
Chapter 7
FIGURE 7-1: Performance is a combination of behaviors & actions and results & pr...
FIGURE 7-2: Performance is caused by three factors: abilities and other traits, ...
Chapter 9
FIGURE 9-1: A competency and its behavioral indicators.
FIGURE 9-2: Example of relative percentile method scale.
FIGURE 9-3: Normal (bell-shaped) versus heavy-tailed distribution of performance...
FIGURE 9-4: Example of behavior checklist item.
Chapter 10
FIGURE 10-1: Example of generic performance review form.
FIGURE 10-2: Performance appraisal form in grocery retailer.
Chapter 12
FIGURE 12-1: Example of a development plan.
Chapter 14
FIGURE 14-1. The components of the team performance management process.
Cover
Table of Contents
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Performance management is a continuous process of identifying, measuring, and developing the performance of individuals and teams and aligning their performance with the strategic goals of the organization. So performance management is a key tool to transform people’s talent and motivation into a strategic business advantage.
But because you are reading this book, you already know that performance management is broken. You hate wasting time dealing with “HR cops” who ask you to fill out useless performance evaluation forms. And you surely hate those dreaded soul-crushing annual performance review meetings. I don’t need to tell you, because you already know, that performance management is not even close to living up to its promise of turning human capital into a source of competitive advantage.
Though you may see media headlines proclaiming “Performance Evaluation is Dead” and “The End of Performance Reviews,” performance management is not going away. On the contrary, many companies such as GE, Microsoft, Google, Yahoo!, Adobe, and Accenture are transitioning from performance appraisal (once-a-year evaluation and review) to performance management (ongoing evaluation and developmental feedback). In other words, performance management is becoming a normal, routine, built-in, and ever-present aspect of work in 21st-century organizations, particularly considering demographic trends about Gen X and Gen Y employees who are digital natives, demand ongoing feedback, and thrive when given growth opportunities.
So if you want to be a successful manager, you need to be a successful performance management leader, which means you need to have the knowledge and skills to manage the performance of your employees. And this is exactly what this book will teach you how to do.
Performance Management For Dummies is a definitive guide on how to design and implement a successful performance management systems. You’ll learn how to maximize the benefits of performance management and minimize its pitfalls.
Performance Management For Dummies teaches you how to make performance management work for you by connecting individual and team performance with your organization’s strategic goals and priorities. This book also teaches you the nuts and bolts of how to define and measure performance in terms of what employees do (behaviors) and the outcome of what they do (results) — both for individual employees as well as teams. And this book also teaches you how to use performance management not just as an evaluation tool but, just as importantly, to help your employees grow and improve on an ongoing basis.
The book also covers how to gather and use data to understand whether the performance management system is working and where fixes may be needed. Overall, the book teaches you how to design and implement a state-of-the-science performance management system.
And if you don’t manage employees yet, you can give a copy of this book to your managers because what they learn in this book will help them manage your performance and make your own job a lot more satisfying and rewarding.
The information contained in this book is deliberately accessible and covers everything you need to know about performance management from the basics to the more sophisticated insights that will improve and fine-tune your existing performance management system. As a result, this book is essential reading whether you are new to business, in your first management or HR job, or a seasoned professional seeking some additional nuggets of wisdom to help squeeze just a little more value out of performance management. If you are already familiar with performance management, this book shines some light on the common problems or mistakes people make, so you can rectify any errors that may be impairing your results. Reinventing the wheel is time consuming and costly. Instead, it’s better to learn from both the evidence and research accumulated over decades as well as other people’s mistakes to make your performance management system work right now. You want to performance management to be a useful and insightful business tool rather than a once-a-year, soul-crushing, and time-wasting exercise.
Consider this book your performance management guide and come back to it often. Try out the ideas and suit your situation in your business. Make it your own and allow performance management to inform your talent-related decisions and support your strategy.
For this book, I’ve assumed that you are a participant in performance management in any capacity. This means your performance is evaluated, you evaluate someone else’s performance, or you are a member of the HR or related talent management function. Also, I’ve assumed that your participation in performance management is in the context of a business, government department, or not-for-profit organization seeking to better understand and use performance management.
All For Dummies books use distinctive icons to draw attention to specific features within a chapter. The icons help you quickly and easily find particular types of information that may be of use to you:
This icon highlights a practical tip to help you with designing or implementing a performance management practice.
When you see this icon, I’m highlighting a valuable point that you’ll want to remember. It saves you from underlining or using a highlighter pen as you read, but feel free to highlight key points as you go through the book.
Nothing makes a point better than a real-life example, so I include illustrations of how many organizations do things in practice. I’m not doing this to impress you but to impress upon you the ideas that I’m trying to get across.
Every once in a while, you may want to do one thing when it would actually be better to do the opposite (or to do nothing at all). I call attention to these situations with the Warning icon.
This icon contains an activity, question, exercise, or self-assessment that will help you learn by doing. It will help you make the material more personal and applicable to your organization and specific situation.
In addition to the material in this print or e-book you’re reading right now, this product also comes with some access-anywhere goodies on the web. Check out the free Cheat Sheet at www.dummies.com for some helpful checklists. Just go to the site and type “Performance Management For Dummies cheat sheet” in the Search box.
Also, check out my personal website, where you will find many relevant articles and resources about performance management and talent management in general: www.hermanaguinis.com.
That’s entirely up to you. You can read this book in order from Chapter 1 to 21, but you don’t have to. Where you start reading depends on how familiar and comfortable you are with performance management already.
In you are new to performance management or are interested in or charged with designing or improving an existing performance management system, then start at the beginning. Otherwise, use the table of contents to find what you are most interested in and jump straight to that section. Whatever reading approach you take, you will find a treasure trove of useful information and evidence-based advice that will allow you to unlock the true potential of performance management to transform people’s talent and motivation into a strategic business advantage and make work a more satisfying and rewarding experience.
Part 1
IN THIS PART …
Discover why you need an effective performance management system.
Understand the purpose and benefits of performance management.
Define and measure employee performance.
Avoid the problems caused by flawed systems.
