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How to establish an effective performance management system

Many companies have implemented the performance appraisal, but basically a form, do not play a substantial role. According to the authority of the survey, more than 70% of the employees of the company's performance management system, there is a certain degree of dissatisfaction, so the performance management has also become the "Achilles heel" of business management. Here is how I organized for you to establish an effective performance management system, for your reference, I hope to help friends in need.

The construction of a performance management system, in any company is a rather tricky issue. So how should a company build an effective performance management system? Mr. Zhao Yunyang believes that this includes, but is not limited to, the following eight aspects:

First, a clear purpose of performance management

Some companies equate performance appraisal with performance management, performance management refers to the entire staff in order to achieve the strategic objectives of the enterprise, *** with the participation of the development of performance plans, performance counseling, performance appraisal, performance interviews, performance, improvement of the continuous cycle of the process. Improvement of the continuous cycle of the process, and performance appraisal is just a part of performance management. Enterprise performance management, in the end is for what, in the implementation of performance management must be answered before, otherwise the performance management process will be biased. Heavy penalties, light rewards, is the thinking of many business owners, the performance appraisal of some enterprises in addition to deducting money or deducting money, resulting in deviation from the essence of performance management. From a humane point of view, I believe that the purpose of performance management is to "let the staff income and pay proportionate to achieve the strategic objectives of the enterprise", so that employees are widely involved in the performance appraisal of the main body, the performance management may be implemented successfully.

Second, the job description

The organizational structure of the enterprise is the main body of the enterprise operation, is the carrier and the basis of enterprise operation. Enterprises to determine the organizational structure, the need to set up the appropriate positions, and clear job responsibilities of each position, the conditions of competence, the corresponding system processes, etc., the job description is the position, the process is organically combined with the carrier, therefore, the job description is the most basic work of human resources. A complete job description is the basis for recruiting, hiring employees, employee performance appraisal, the enterprise to develop compensation and welfare policies, employee training and development, employee promotion and development. Therefore, the job description is the construction of performance management system and the entire human resources work of the enterprise is the most important, the enterprise must improve the content of the job description, otherwise the assessment can not begin.

Third, the performance plan

The main contents of the performance plan include: the post in the performance cycle of the work of the key items; the expected results of the work of the target; in the process of reaching the goal of the difficulties and obstacles that may be encountered; positions in the completion of the work of the power and resources can be deployed; the organization is able to provide support and help and communication methods for the staff. and help and communication methods. The performance plan must be broken down to the department head, each employee, must be up and down to achieve consensus.

Fourth, performance counseling

Performance counseling is the longest part of performance management, but also in the performance management of the most easily ignored aspects. The purpose of performance counseling is to help employees achieve performance goals and increase revenue. Whether employees can achieve performance goals, the quality of performance counseling is particularly important. As a leader, it is incumbent upon the subordinates to conduct performance counseling. Performance counseling is mainly embodied in two aspects: one is the staff's usual performance behavior supervision and inspection, and the second is to put forward reasonable requirements to help employees. Only the top and bottom of the heart, can ensure that the performance objectives.

Fifth, the performance appraisal

Performance appraisal refers to the appraiser based on both sides to accept the assessment criteria, the assessment of employees, and the results of the assessment of the process of feedback to the appraised. Appraisers should be open, fair and equitable, factual appraisal of the appraisee, do not distort the facts, retaliation, otherwise it will be "can't take it home". Design of the 'appraisal form the simpler the better, the best is a day a summary, a month a table on the line, do not pursue the rich form, so that the performance evaluation takes up too much time in the daily work. This is the basic principle of any management.

Six, performance interview

Performance interview refers to the end of the performance evaluation, the appraiser's direct supervisor and the appraiser through the communication of the performance evaluation results to confirm, identify the advantages and shortcomings, and develop a corresponding improvement program process. The performance interview should "review the past, grasp the present, look forward to the future", that is, to summarize the work of the past, to find problems, to the existing achievements to give affirmation, and at the same time to set goals for the future performance, to achieve performance improvement.

Seven, the use of performance results

Performance results can be used as the basis for training needs, job adjustment, job adjustment, new employees to correct, the issuance of year-end awards. And many companies only play a role in the issuance of wages, and then locked into the cabinet to go, which is very undesirable. Through the application of performance results can play a role in motivation, management in a sense, is also a kind of incentive.

Eight, process and system

I believe that the system and process is the foundation of any management system construction, but also the most important. The system is a guideline, but also a decree, the process of doing things in order. Only system and process standardization, in order to fundamentally ensure that the management system landing. Leaving the system and process, the end result is arbitrary, management chaos.

Performance management system is a systematic project, both to focus on the process of management, pay more attention to the structure, the need to emphasize the performance of communication, so that employees become the main body of the performance appraisal, so that the performance appraisal of the true depth of people's hearts.

Expansion:

Five-step rule of effective design of enterprise performance management

No performance of the enterprise is no value of the enterprise, there is no value of the enterprise is no need to exist in the enterprise, therefore, the managers ultimately is in the management of performance.

The mission, vision, and values of an organization are the source from which performance arises. Small and medium-sized enterprises, although not said, nor hung on the wall, but in fact there is some kind of business beliefs, at least in the minds of entrepreneurs. With the most fundamental corporate culture comes corporate strategy, and a business without strategy is a dangerous business. Strategy is the choice of opportunities based on one's own strengths. To realize the strategy of an enterprise, we need to find the key business areas to realize the strategy, and then find out the key success factors through the fishbone diagram and brainstorming method.

This process is easier said than done. It is necessary to involve all staff and connect with the reality of the enterprise in order to really find the key success factors. In order to make the critical success factors a reality, they need to be converted into controllable key performance indicators, otherwise they cannot be assessed.

The first step: decomposition of the strategy map

The process of forming the appraisal index system is the process of decomposition of corporate strategy. From the company level, departmental level to the individual level, in which the strategy map is an effective tool for us to carry out the decomposition. After the indicators are refined, different weights should be set for different indicators, and the process of setting weights is also a process of brainstorming. Some companies have HR managers patting their heads and setting them out, which seems to be perfect, but is actually full of loopholes.

The development of appraisal standards is the basis for performance appraisal, without a standard there is no comparison, can not come up with a convincing assessment results. Where do the standards come from? Combined with the annual business plan and budget, the development of financial indicators from the company's strategic objectives. Some business owners at the beginning of the year only a financial lagging target, but not decomposed process goals, on the one hand, the target is not decomposed, on the other hand, the indicators of the reality of the behavior of the target is missing, to the end of the year appraisal, the actual performance and the target performance is too far away from the target, hanging on the wall of the slogan target or written in the document target figures into a pose.

For qualitative goals should also be described very clearly and unambiguously, and even qualitative goal standards can be transformed into the corresponding figures, energy quantification as far as possible. Appraisal system to choose the assessment method, there are many methods, the key is to choose the most appropriate method. The method of assessment is a very technical work, rigorous and scientific is the attitude that should be.

The second step: the implementation of the individual

The design of the performance plan from the highest level of the company began to break down the performance objectives to all levels of subsidiaries and departments, and ultimately to the individual. For the subsidiaries, this step is the business performance planning process, while for employees, it is the performance planning process.

Step 3: Focus on the process of the problem

The performance process of communication, supervision, guidance and adjustment is a must in the appraisal cycle. Not the indicator system, the performance objectives of a decomposition, managers will wait for a shortcut. What are the difficulties in the daily work and what support is needed, as a manager should have a clear idea in time. Some managers just don't want to get too involved in the process and keep asking their subordinates for results, and the answer is basically a big disappointment.

Step 4: "soft" landing

The performance of the implementation of the program is to ensure that the performance of the landing mechanism.

First, the boss must have a firm determination to implement performance appraisal. Second, the assessment cycle is too long will make the enthusiasm frustrated, too short will make the manpower, material and financial resources waste serious. General quantitative indicators relatively speaking, the cycle should be shorter, qualitative indicators should be longer. Monthly, quarterly, semi-annual, annual and long-term should be combined to complement each other. Third, the source of data is also a guarantee of whether the performance appraisal has credibility and validity. In order to normalize and objectivize data collection, the duty of information collection should be included in the performance appraisal index as part of the employee's daily work. Fourth, the control of errors can not be taken lightly, pay special attention to the accidental errors to be avoided as far as possible, because people are emotional individuals, as far as possible to stand in a rational, fair, objective position, if not to remove the thought barrier, performance appraisal may become some people retaliation against others "weapon".

Fifth step: the application of performance results

The application of performance results is the last leap in performance management.

The first spent a lot of time and energy to do the preparation, if the last stage can not really put into practice, like 10,000 meters long-distance running to the last 100 meters stop. The analysis of data can be analyzed with the help of advanced data analysis software, drawing visual charts, tables, so that the results of the performance appraisal at a glance presented and persuasive.

In addition, if employees do not know how the assessment results come out, they will be skeptical. At this time, the performance interviews can not be ignored, to be sure of the employee's achievements, while pointing out the shortcomings, and further full communication to develop a program of improvement.

Finally, the assessment results are not linked to pay, development and promotion can not play a real role in motivation. Now more popular is the assessment results and performance pay and year-end bonus linked to ensure that the value of performance appraisal to the real and constantly upward.