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Performance Mgmt System

YK Kim

Visiting Professor

Central Official Training Institute

ykkim6166@hanmail.net

Agenda

• What is performance management ?

• Success factors for performance management

• How to set Key Performance Indicators ?

• Discussion points for implementation

What is Performance Mgmt ?

PMS in your government ?

Your performance mgmt system

What are the issues ?

Success factors for PM

• Performance mgmt system in place

• Mgmt buy-in

• Organizational skills & experience for

implementation

• Employee maturity

Arguments with PM in gov’t ?

HR strategy of Global Organization

Performance Mgmt is a cornerstone for

- Differentiation

- Talent mgmt

- Attrition mgmt

Diversity

Work / Life Balance

Key Concept for PM

Key Concept for PM

• MBO : Management By Objective

• BSC : Balanced Score Card

• CSF : Critical Success Factor

• KPI : Key Performance Indicator

• What is management ?

• How can we ensure that our employees are

doing their best every day at job to meet

organizational objectives ?

Differentiation Vitality Curve

Promotion, Bonus Training, Counseling Recycle

A-Player(20%) C-Player(10%)

“Top 20” “The Vital 70” “Bottom 10”

B-Player(70%)

Top Middle Bottom

High performing organization

Top Middle Bottom

Low performing organization

Management By Objective

• Which one is better for organization ?

Did best or Met objectives ?

• Without measurement, how do we know we

are meeting objectives ?

If we focus 1 year performance only,

how can organization sustain to grow ?

Balanced Score Card

If we focus 1 year performance only,

how can organization sustain to grow ?

Balanced score for today & tomorrow

- Financial

- Talent Development

- Customer satisfaction

- Process innovation

Critical Success Factor

• When Samsung plans to introduce new

smartphone model in your country ,

what are the CSF’s ?

KPI of private company

• Sales

• Professor

• Plan and Control

Tools for PM in enterprise

• Incentive bonus

• Salary increase

• Stock option

• Sales contest : family trip etc.

• Promotion

KPI of government

• Direct General in HQ

• Director General in COTI

• Professor

Tools for PM in gov’t

• Salary increase

• Promotion

• Since tools are limited,

role of manager is more important in gov’t.

Performance Management cycle

1.2 Flow of Performance management

Performance Mgmt Cycle

2. Implementation

1. Performance plan

4. Feedback

3. Performance evaluation

Mutual consent between manager & subordinate on

performance goal & indicator

Performance Plan

1.2 Flow of Performance management

Mandatory at the beginning of the year

Desirable status that each individual's

work should reach Goals

Indicator Criterion for measuring whether or not

the performance goal is attained

No.1 Key to ‘high performance’

Knowing what’s expected

The opportunity to do what I do best

Recognition and praise

Someone at work cares about me

From ‘12 elements of great managing’

Principle of ‘SMART’

Specific

Measurable

Attainable

Result-oriented

Time-based

1.2 Flow of Performance management

Periodic performance record mgmt

Objective

Contents Period

Monitor & record the achievement progress

To give coaching on unsatisfactory aspects & resolve hurdles

To make objective & fair evaluation in reference to the records

Excellent points

Areas for improvements

Action plan for the gaps

Appraiser conducts monitor on the

work progress of the subordinates

Every quarter

1.2 Flow of Performance management

Performance interview

Concept

To share opinion between mgr & subordinate

regarding goal setting, progress & result

Need To enhance performance and secure fairness

Time

At the beginning of the year Planning interview

In progress Mid-term review

For the final appraisal Year-end interview

Contents Excellent and Poor points / Areas for improvement

- 12 -

1.2 Flow of Performance management

Evaluation & Feed back

G5 & Lower SCS, G4 & Higher

Evaluation System including job performance agreement

Work performance appraisal system

Promotion Performance-related payment

Personnel management

Use of Performance evaluation result

Evaluation system

- reassignment, training, low performer management

Major points for discussion

Role of manager and employee

“I don’t want to be the only manager to be tough”

“Relationship is more important than performance in our org.”

‘My boss does not like noise from employees.’

Role of manager

• Buy-in of PMS : can explain clearly to

employee ‘why and how’

• Follow the process tightly

• Exercise prudent judgment

• Learn and practice skills

Mgmt buy-in

• Understand

• Commitment

• Action

Role of employee

• Understand PMS of ‘why and how’

• Involve to set up performance plan and KPI

• Focus on performance improvement rather

than rating itself

• Have a copy of mgr’s plan

Performance and Success

Buy-in of PMS is related with

value systems and organization culture

Do they have career aspiration ?

What does it mean by success ?

Do they believe that evaluation and promotion is

decided based on performance ?

Grade 5

Senior Civil Service

Director

Optional by agent

Mandatory

- 24 -

Competency Assessment for Promotion

Discussion for implementation

Performance Planning

Performance Evaluation

Quantitative vs Qualitative ?

Short-term vs Long-term ?

Activities or Result ?

Individual or Group ?

Money or Promotion ?

Performance planning

Top-down or bottom-up ?

100% allocation with predefined tasks ?

Weight should be clear

Performance Evaluation

Top-Down or Bottom-Up ?

What can be discussed ?

How can we handle arguments for rating ?

Quantitative vs Qualitative ?

Quantitative is Objective ?

Qualitative is Subjective ?

How can we measure quality ?

Short-term vs Long-term ?

Can we reflect long–term plan ?

Yes, we can include long-term plan.

Progress, however for 1 year should be

planned and evaluated.

Activities or Process vs Results ?

Which one is more important ?

Individual vs Group ?

“PMS may hurt teamwork.”

Money vs Promotion ?

Money for performance

Promotion for

competency + performance

Appeal process

PMS should include appeal process

Two-level mgmt system is required

Appeal is not bad thing.

Mgmt should be ready for handling.

Managing sub-standard

Most serious issues in every organization

Total process and legal implication should

be clear and understood.

Mgmt should be trained to manage

My messages…

Do it and improve it.

No system is perfect.

Select trustworthy person to manager and

trust him/her.

Organization should be predictable, and

people will act on expectation

Books for reference

‘Being the boss’ by Linda Hill

‘The 1st 90 days in government’

by Daly Watkins

‘12 elements of great managing’

by Rodd Wagner

2009-03-19 5급 승진자 과정 48

감사합니다

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