It can be seen that the implementation of performance management in enterprises is not an overnight thing, and it needs to lay a solid foundation, step by step, and constantly improve. This is a continuous cycle and gradual improvement process.
XX Group has its own destination to implement performance appraisal (at first, it can only be called performance appraisal, not to mention performance management. Even now, although there has been a sense of performance management for a long time, it has not really played the role of "management", and it is essentially based on "assessment". It has been nearly 10 years. 10 years, after continuous trial and adjustment, we have gone through many detours, and the foundation of performance management system has been initially established, but it is still not perfect, and there is still a long way to go. Taking this opportunity, combined with the actual situation of performance management in XX Group, I will briefly introduce how to establish a scientific and reasonable performance management system.
I. Overview of Performance Management
(A) the definition of performance management
Performance management refers to the continuous cycle process in which managers and employees at all levels participate in performance planning, performance coaching and communication, performance evaluation, performance result application and performance goal promotion in order to achieve organizational goals. The purpose of performance management is to continuously improve the performance of individuals, departments and organizations.
It must be noted here that performance management must focus on motivation and strive to play its positive guiding role. Heavy punishment and light reward are the management ideas of many business owners. Although this idea has its rationality in specific enterprises, we should encourage, praise and motivate the managed people more and criticize and punish them less from the perspective of China's general environment, the trend of modern enterprise management and the psychological characteristics of the new generation of professionals in China. When the word "penalty" takes the lead, the guiding direction of performance management has deviated. No professional wants to stay in a company that is easy to be punished, especially in the innovation industry. Performance management should not only punish, but also let employees get paid according to their own abilities and contributions, and give corresponding performance rewards when they reach their goals. If they fail to reach their goals, there will be no performance rewards. Only if the goal is not achieved for a long time, it is possible to get a salary reduction or other punishment, but this also accounts for a small proportion. In short, performance management should "reward the excellent and punish the poor, and the reward is greater than the penalty", so as to effectively motivate employees to forge ahead.
So what employees hate is poor performance management, and what they like is scientific performance management. Good performance management can motivate employees to make progress and arouse their enthusiasm. Performance management is an encouraging and systematic management system.
(B) the differences and connections between performance management and performance appraisal
Performance evaluation (technical level)
Performance management (organizational level)
get in touch with
Performance appraisal is a part of performance management, which provides the premise and foundation for the feedback and application of performance.
Difference point
process
complete
Local links and means in the management process
A complete management process, including all personnel and activities, is a closed-loop process.
emphasize
Pay attention to judgment and evaluation, and emphasize post-event evaluation.
Pay attention to information communication and performance improvement, and emphasize communication and commitment in advance.
Management value
Human resource procedures
administration program
Object of investigation
Focus on results
Pay attention to results as well as behavior.
focus
Focus on results and past performance.
Pay attention to process, improvement and promotion, and pay attention to the improvement of future performance.
appear
stage
Only for a certain period of time.
Accompanied by the whole process of management activities
Result application
Pay more attention to the distribution of wages and bonuses.
The application of evaluation results is diversified, and besides the necessary material incentives, more attention is paid to how to connect with training, employee career planning and career development.
(C) the level of performance management and its management orientation
As can be seen from the figure, the performance management system is established on the basis of perfect work business processes and complete job descriptions, and then the strategic objectives of the enterprise are finally realized by gradually realizing employee performance, department performance, system performance and enterprise performance, and ensuring from bottom to top.
(D) Characteristics of an efficient performance management system
1, system
Performance management system not only refers to the performance appraisal system composed of performance appraisal indicators, but also includes the determination and decomposition of performance objectives, the formulation of performance plans, the control of performance implementation process, performance feedback and the application of performance results. Only when the performance management system is regarded as a complete system can the whole performance management framework play the role of "1+ 1 >"; 2 "effect.
Step 2 be complete
The object of performance management is the whole enterprise. Therefore, the design of performance management system should pay attention to the relationship between organizational performance goals, departmental performance goals and individual performance goals of employees, and ensure the realization of the overall performance goals through the decomposition of performance goals.
3. Sustainability
Performance management should take into account the needs of short-term and long-term goals of enterprises and provide guarantee for the continuous improvement of enterprise performance. Therefore, when selecting performance appraisal indicators, both operational indicators and developmental indicators should be set.
4. Removability
A perfect performance management system itself should have a mechanism that can be continuously optimized and adjusted: the setting of performance appraisal methods and the selection of performance indicators should be adjusted accordingly with the changes in the actual situation of enterprises. In other words, the design of performance management system should include this periodic adjustment mechanism.
5, operability
The operability principle of performance management is mainly reflected in the data source of assessment indicators. Evaluation indicators should have reliable and easily available data sources to promote the implementation of evaluation.
(5), the preparation of job descriptions
When it comes to performance management, salary management, or what is the foundation of human resources work, first of all, everyone will think of organizational structure. Only when the organizational structure is determined, can the work responsibilities and authority of each department and post be divided and the work processes be standardized. Organizational structure is the main body of the company and the basis of organizational operation. So how can we enrich this organization and coordinate all the work? What else do we need? What we need is a job description. The job description organically combines all jobs and work processes to ensure the orderly development and completion of all work. So job description is the cornerstone of human resources work. However, many enterprises do not realize the importance of job descriptions, so they have to deal with and piece together when making them. How to ensure the effective implementation of the follow-up work if the foundation is not firmly laid?
A perfect job description can play the following six roles:
1, which provides a basis for recruiting employees;
2. Manage employees by objectives;
3. It is the basic basis of performance appraisal;
4. Provide basis for enterprises to formulate salary policies;
5, the basis of employee education and training;
6. Provide a basis for the promotion and development of employees.
Therefore, in order to make the performance management system more stable, enterprises must attach importance to the formulation of job descriptions, improve the contents of job descriptions as much as possible, and lay a solid foundation for the construction of performance management system and even the whole human resources work. The contents and production methods of the job description will not be introduced in detail here.
Second, the construction of performance management system
Performance management is different from performance evaluation or performance appraisal, and it is a cyclic process of setting and realizing the whole goal, including the latter. The spiral process of performance management is a means to promote the spiral improvement of performance, which is also the basic law of the development of things.
An effective performance management system should be a cycle of performance planning, performance implementation, performance evaluation and performance improvement based on "PDCA", so as to ensure the realization of performance goals of companies, departments and employees at all levels. According to the idea of "PDCA" closed loop, the construction of performance management system can be divided into six links:
P (plan): make performance plan and its measurement standard;
D (execution): daily performance execution and guidance;
C (evaluation): evaluate performance regularly or irregularly, feed back the results of performance evaluation to the assessed, and apply the results of performance evaluation;
A (improvement): analyze the results of performance appraisal and put forward the improvement plan.
Among them, regular or irregular performance appraisal is what we often call performance appraisal. In addition, the performance management system is formulated for the first time, and a "performance introduction" link should be added before the performance plan and its measurement standard are formally formulated. Each link of the performance management system is shown in the following figure.
(1) Performance introduction (preliminary formulation)
The performance lead-in period is the preparatory work in the early stage of performance, that is, the basic stage, which is the core work of the whole performance management and directly affects the success or failure of the company's performance management. Its main work includes:
(1) collate and analyze the company's basic data;
(2) Conduct performance management training;
(3) Survey of opinions of middle and senior managers and employees;
(4) Determination of performance management system and policies;
1, basic data analysis of the company.
The first step for an enterprise to do performance management is to sort out and analyze all the basic data, sort out all the work processes and work systems according to the company's management system, and formulate the basic ideas for future work. The management foundation and management status of each enterprise are different, so the arrangement of basic data is different. The most important materials are: department organization chart (table), post establishment chart (table), department description, job description, work flow chart/table (personnel, finance, business, production, etc. ), various management systems (personnel, finance, business, production, etc. ) and salary status.
To carry out performance management, we must first integrate and analyze the above basic information, and what is generally available needs to be updated and adjusted according to the actual situation. Especially in many companies, these basic data are not perfect, so it is necessary to sort out these basic data first as the primary work before performance implementation.
By combing the above work information, we can understand the basic situation of enterprise personnel, the rights and responsibilities of departments and the connection of various businesses of the company. There is also a very important job to be done, that is, understanding the salary situation.
The company is an economic organization. As an economic organization, the first thing to be solved is the distribution of economic benefits. We implement performance management, which is to distribute economic benefits rationally and realize pay according to work. Therefore, salary management is the core work of enterprise management, and it is also the most important problem to be solved in performance management. Companies with perfect salary system should consider how to adjust the salary structure and reasonably divide performance pay. Companies that do not have a perfect performance system should consider how to establish a reasonable salary system while improving their performance. This also determines the success or failure of company performance execution.
After comprehensive analysis of the above information, you can start the formal introduction of performance management in the early stage.
2. Performance management training.
The introduction of performance management, the first task is training, training will always carry out performance management.
There are three main pre-training tasks:
(1) performance management training: what is performance management, what is performance appraisal, what is the relationship between performance management and our work, the strategic significance of performance management (with top management as the core), the management significance (with middle management as the core), the significance of work execution and performance improvement (with grass-roots management and employees as the core), the advantages and disadvantages of performance management, the successful case analysis of performance management, the setting of performance pay and the results of performance.
(2) Performance appraisal operation training (to be conducted during performance implementation): how to conduct performance appraisal, what is our work and relationship in performance appraisal, how to obtain high performance, how to conduct performance interviews and how to make performance complaints.
(3) Performance management summary meeting training (performance improvement period): how to summarize the performance of departments and individuals, how to implement improvement plans, and how to discuss improvement with employees.
The training work in the introductory period is mainly to carry out (1) training. Of course, these trainings are divided into many courses. According to different management levels, the training handouts are appropriately adjusted, and the places that students are most concerned about are the core of training. Moreover, the training content should be combined with the third work, "Survey of Opinions of Middle and Senior Managers and Employees".
3, senior management and staff opinion survey
Why put the investigation after the training? Because of the diversification of information, middle and senior managers and employees will have a vague understanding of performance management, so we must first instill the concept of performance management in a unified way, so that the company can have a unified understanding of performance work, and our work will get twice the result with half the effort on the basis of this understanding.
The survey was conducted in the form of training+discussion (departmental interview and personal interview)+questionnaire. Although it will be complicated, our performance management system will be effective only if employees participate and performance management becomes the work of every employee and department. At the same time, it can also make employees realize the fairness and justice of company management, realize their own value and get respect, and lay a good interpersonal foundation for our future work.
Through investigation, summarize and discuss the opinions at all levels, so as to roughly establish the company's performance system and management plan.
Among them, the establishment of performance management committee is a powerful guarantee for performance work. It is the important significance of performance management to include the real power figures in various departments, so that the performance will be in place at one time, without repeated communication and confirmation, and the performance problems will be passed on to the departments and company management.
4. Determination of performance management system and policies
The determination of performance management system and policy is the unity of opinions of all management. We need to draw up a performance management system according to this unified core, and conduct another training through the discussion and approval of the management, so that the performance management system can be formally established and our performance lead-in period can win for the first time.
In the performance management system, the powers and responsibilities of performance work at all levels are defined, and the distribution policy of performance pay, the assessment cycle of each post, the application of performance results, rewards and punishments and other related contents are defined. So as to build the company's most basic performance framework, the rest is just to improve and enrich its content.
(2) Performance Plan (P)
The establishment of performance management system provides the core concept and basic policy for the development of performance management. In the future, we should make performance plans and targets on this basis.
The main contents of the performance plan include: the work items of this position in this performance cycle; The expected goal of the work result; Difficulties and obstacles that may be encountered in the process of achieving the goal; The power and resources that each post has when completing the work; The support and help that the organization can provide to employees and the way of communication.
The performance target should follow the principle of "top-down decomposition and bottom-up guarantee", and decompose the overall target of the company into every department and every employee.
Design of performance appraisal index system
The design of performance appraisal index system includes the selection of performance appraisal dimensions, the design of performance indicators, the setting of corresponding performance standards, the selection of the weight of performance indicators, the setting of data sources and the selection of appraisal cycle.
(1) Selection of performance appraisal dimensions
The selection of performance appraisal dimensions refers to the classification and generalization of the concerns of performance appraisal, so as to ensure that the selected dimensions can ensure the realization of strategic objectives and are operable. For the balanced scorecard as an evaluation method, the step of selecting evaluation dimensions can be omitted, because the dimensions to be evaluated by the balanced scorecard have been determined.
(2) Design of performance indicators
Performance indicators refer to specific aspects of measuring or evaluating work performance. The design of performance indicators should follow the SMART principle.
Usually, the setting of performance indicators adopts the top-down decomposition method. KPI assessment dimension, target management and balanced scorecard can all be used as the starting basis for the decomposition of performance appraisal indicators.
(3) Set corresponding performance standards
Performance standard refers to the work performance level corresponding to each performance indicator.
The setting of performance standards should follow two basic principles: quantification and moderation.
Quantification refers to setting quantitative assessment standards for indicators that can set quantitative standards; For indicators that cannot set quantitative standards, qualitative grading should be carried out.
The setting of assessment standards should also follow the principle of moderation. Excessive standards often hinder efforts; Low standards will lead to slack work and affect the implementation process of enterprise strategy.
(4) Weight selection of performance indicators
Weight represents the relative importance of indicators, indicating the priority degree of concerned issues in a certain period of time. The combination of Delphi method and paired comparison method can be used to set the weight.
(5) Determination of data sources
The determination of data source is helpful to improve the objectivity and fairness of performance appraisal and reduce the negative human factors in the appraisal process; Clarify the division of responsibilities of various departments and personnel in performance appraisal; At the same time, it is also a necessary part to verify whether the performance index is reasonable. Unreasonable performance indicators may not necessarily determine the source of data.
(6) Selection of evaluation cycle
According to the specific needs of performance appraisal, determine the performance appraisal cycle.
The general principle of setting the performance appraisal cycle is to shorten it gradually from top to bottom. For example, the performance appraisal cycle of a group company to its subsidiaries can be set as annual appraisal, the department-level appraisal cycle can be set as semi-annual appraisal+annual appraisal, and the employee-level appraisal cycle can be set as quarterly appraisal+annual appraisal.
The formulation of performance plans and targets should be organized and coordinated by the Human Resources Department, directly led by employees and completed by employees themselves. Direct leaders and employees will be clear about what employees are going to do this year, why they are going to do it, to what extent they need to do it, what assessment indicators they have and when they will finish it. This is a process of getting to know each other and reaching a * * * understanding. Finally, the performance plan responsibility book should be formed in written form.
(3) Performance implementation (D)
Performance implementation and counseling is the longest link in performance management, but it is also the most easily overlooked link in performance management. Under the coordination of the Human Resources Department, the direct leaders of employees should understand and guide the implementation of employee performance.
The process of performance implementation and coaching is the process that employees' direct leaders answer the following questions: How is the set work goal progressing? What is going well? What aspects need to be further improved and improved? Are employees moving towards the established performance goals? What improvements need to be made to enable employees to better achieve performance goals? What do managers need to do to improve employees' knowledge, skills and experience? Do you need to adjust employees' performance goals, and if so, how? In what ways do managers and employees agree? In what areas do managers and employees need further communication?
Performance implementation and counseling is actually the process control of performance implementation.
(iv) Performance evaluation (c)
This link includes three aspects: regular or irregular performance appraisal, feedback of performance appraisal results to the assessed, and application of performance appraisal results.
1. Evaluate performance regularly or irregularly.
Performance appraisal is closely related to performance planning, which is a process of evaluating employees' attitudes, behaviors and performance in the process of work, guided by work objectives and based on work standards, using reasonable evaluation methods and measurement techniques. Most enterprises regard performance management as performance appraisal, so many companies implement performance management on the surface, but in fact it can only be regarded as performance appraisal.
Selection of performance evaluation methods
The choice of performance appraisal method needs to comprehensively consider three important factors: practicality, cost and nature of work.
(1) practicality
Different assessment methods have different emphases. For example, the 360-degree assessment method focuses on the choice of examiners; KPI focuses on the selection of indicators; Balanced scorecard focuses on ensuring the realization of enterprise strategic objectives through the dimension of assessment indicators; Target management focuses on setting goals.
(2) Cost
Costs include development costs and implementation costs. Development cost mainly refers to the time, personnel and expenses required to build an evaluation system. The implementation cost mainly refers to the time and energy that the evaluator needs to provide.
(3) Nature of work
Different job types can collect different performance data. For example, some jobs need to be measured by behaviors (such as receptionists) and some jobs need to be measured by results (such as senior managers, salespeople and operators).
Common performance appraisal methods include BSC, MBO, KPI, 360-degree, behavior anchoring and so on. These performance appraisal methods have their own emphasis, and they should be selected according to the specific situation in practical application, and even combined in many cases. For example, the balanced scorecard usually needs to be combined with KPI (which is also the method currently adopted by XX Group), because the balanced scorecard focuses on the selection of assessment dimensions, and KPI is a relatively mature method for selecting indicators; In practical application, KPI can be used to select four dimensions of balanced scorecard.
In addition, different performance appraisal objects of the same enterprise should also choose different performance appraisal methods according to actual needs. For example, the balanced scorecard, target management, KPI and other assessment methods can be selected for departmental performance, but the behavior anchoring method for assessing individual behavior is not applicable. Employees' performance can be assessed by objective management and 360 degrees, while too simple personal positions and non-profit positions are not suitable for balanced scorecard and other assessment methods.
2. Feedback the performance appraisal results to the appraisee.
Performance feedback is an important part of performance management, and it is a communication process to improve dissatisfied behaviors, consolidate and strengthen excellent behaviors, so as to achieve established goals and achieve performance results. Assessment is only a means. The positive purpose of performance management is to let employees know the gap between personal performance goals and enterprise requirements, analyze the reasons, provide solutions, and promote the development of employees, so that employees can realize and use their full potential to improve their work performance while performing enterprise tasks, and realize the unity of interests between enterprises and employees.
Many enterprises think that performance management is over after performance appraisal. This is fundamentally wrong. After performance appraisal, managers should pay attention to performance feedback and communication. Performance management is a process of continuous two-way communication between managers and employees. The main problem of performance feedback and communication is to tell employees the results of performance appraisal, what they did well, what they did wrong, how to improve, and so on. Including the process of communication between superiors and subordinates and the process of reaching understanding.
Effective performance feedback can make employees clear their performance and correctly understand their strengths and weaknesses through communication with employees. Performance communication with employees can also make employees more identify with the results of performance appraisal and reduce or even avoid employees' possible dissatisfaction with performance management.
3. Apply the results of performance evaluation.
The application of performance appraisal results is to motivate the assessed according to the appraisal results and fulfill the promise of performance return. The fundamental purpose of performance appraisal is to establish a feedback mechanism. Only by linking the assessment results with human resource management decisions can we really play a role, change people's behavior, fully mobilize employees' active participation and help organizations gain competitive advantages.
Enterprises should attach importance to the application of performance results. Different performance appraisal results should be applied in different ways, including promotion, training, bonus and salary increase.
Performance results have a wide range of applications, which can be used in many aspects of human resource management and enterprise management.
(5) performance improvement (a)
Performance improvement needs to identify the gaps in work performance, find out the reasons, formulate and implement targeted improvement plans, and continuously improve the performance level.
On the basis of performance evaluation, we know the results of the evaluation. In order to improve the organization, we must also carry out "five comparisons" to compare the work results and find out the gap. "Five comparisons" are five ways to compare performance, including: compared with the plan, compared with the past, compared with colleagues, compared with opponents and compared with benchmarks.
In view of the existing gap, we should analyze and find out the reasons. The common tools of cause analysis can use refined management technology: seven QC technologies, seven new QC technologies, IE technologies, etc. Through the cause analysis, we can formulate corresponding countermeasures.
Finally, according to the improvement countermeasures, organize the performance improvement work, so that the established goals can be realized. According to the way of performance improvement, five improvements can be adopted: responsibility improvement, coordination improvement, training improvement, innovation improvement and foreign aid improvement.
In addition, performance improvement also needs to pay attention to the following elements:
Willingness-help employees build a desire for change. If employees don't want to change themselves, it will be difficult to carry out the follow-up work.
Knowledge and skills-let employees know their own abilities and gaps, know what to do and know how to do it.
Atmosphere-provide a working environment for employees, encourage them to improve their performance, and get the assistance of their immediate supervisor and give appropriate counseling when encountering difficulties.
Reward-let employees believe that they will be rewarded after behavior changes; Rewards should be timely, appropriate and targeted.
The above is the whole process of performance management system construction. In addition, we should also pay attention to avoid several common problems in performance management during construction:
(1) Performance Goal "Overlord"-When determining the assessment goal, set the high goal, which is not negotiable. Therefore, the assessed will respond passively. If a goal can't be achieved no matter how hard you try, no one will try to achieve it.
(2) "Subjectivism" of performance plan-when the assessed draws up the performance plan, it is taken for granted that the implementation of the plan is not smooth and the effect is not good.
(3) the "secrecy" of performance appraisal-the data source is unreliable, or there is no data, the appraisal depends on the impression, the appraisal process is not open, and finally the appraisal results are simply given. The result of this assessment is that many employees are dissatisfied and have great opinions, and finally they don't take the assessment seriously.
(4) "nihilism" of performance communication —— Without performance communication or just the approval communication of the assessment results, employees cannot correctly and accurately understand the performance assessment and the subsequent progress direction. Performance management has become a "one-man show" for managers, and employees have never become "people in the play".
(5) Performance coaching "letting itself drift"-in the process of implementing the performance plan, employees do not feel the concern of the appraisers. Performance management should not only pay attention to the results of performance, but also pay attention to the process of performance. Without a good process, there will be no good results. Inspectors can't just be "coroners".
The purpose of performance management is to motivate the assessed through management means and promote the assessed to achieve higher performance. This is inseparable from the communication that runs through the whole process in performance management, and from the * * * knowledge between the appraiser and the appraisee. This kind of communication runs through every link from "performance introduction" to final "performance improvement". Only in this way can we learn from others, form a scientific and applicable performance management system, and ensure that performance management is "open, fair and just".
Performance management pays attention to process management, emphasizes performance communication, and needs layers of protection! It is an enterprise-wide project, which needs the participation of all levels from top to bottom and all departments from left to right. If performance management is completely regarded as a matter of human resources department, then performance management will inevitably encounter many obstacles. Therefore, adhering to the comprehensive, systematic and dialectical concept and implementing performance management should be the basic point for enterprises to implement performance management.