End objective of a matured performance management system is not to evaluate performance rating of an employee but to take actions basis these ratings. Readers should go through my previous posts on matured performance management system to understand how to build mature performance management system and what do rating scale means which I will refer in my post here.
Below are links of all previous post on matured performance management system:
HR should take action in both cases-(1) where employee is not performing as per expectation and (2) where employee is performing more than expectation
I am sharing one of such model, which I found most effective. Hope it will help you take suitable actions post performance evaluation to strengthen productivity level of your organization at each level.
Actionable on Employee scoring Rating 1
Rating 1 signifies that performance level of the employee is far below expectation / poor performance. This is not at all acceptable for any profile (except where employee has joined within 2-3 months). HR should be extra concerned about such cases and take appropriate action along with reporting manager on immediate basis.
Below are suggested actions depending upon number of occasion employee score rating 1.
Ist Occasion :
HR Action : Put employee in PIP (Performance Improvement Plan). To know more about PIP, refer the post- "How to design and implement PIP-Performance Improvement Plan policy?"
Manager Action : Counsel the employee and explain objective of PIP to employee along with HR.
You can download it from link “Post PIP Evaluation format”
IInd Occasion :
HR Action : Ask employee to go.
Manager Action : Communicate employee along with HR and exit from system.
Actionable on Employee scoring Rating 2
Rating 2 signifies that performance level of the employee is below expectation but can be improved after some training or counseling.
Below are suggested actions depending upon number of occasion employee score rating 2.
Ist Occasion :
HR Action : Counseling of employee- Employee should be counseled along with manager. Employee should be given fair chance to mention obstacles in performing duties. Manager and HR should try to resolve concern raised by employee so that employee can perform. Whole process of counseling should be properly documented and counseling form should be filled, which should be signed by employee, manager and HR. Filled counseling form should be kept in personnel file of employee for future reference.
You can download format of Employee Counseling Form format.
Manager Action : Manager need to be present in such counseling session and has to find solutions of problem stated by employee and resolve them.
IInd Occasion :
HR Action : Put employee in PIP (Performance Improvement Plan).
Manager Action : Counsel the employee and explain objective of PIP to employee along with HR.
IIIrd Occasion :
HR Action : Ask employee to go.
Manager Action : Communicate employee along with HR and exit from system.
Actionable on Employee scoring Rating 4 or 5
Rating 4 or 5 signifies that performance level of the employee is above expectation.
Below are suggested actions depending upon number of occasion employee score rating 4 or 5.
Ist Occasion :
When employee scores rating 4 or 5 for first time, it implies that employee has started performing well. I believe there is no need to take any substantial step when employee scores rating 4 or 5 for first time. Still below action should be taken so that employee is motivated to perform well.
HR Action : Appreciation mail can be sent to all employees group email id mentioning name of employees who have scored rating 4 or 5. You can also mention name or place photograph of such employees on Wall of Fame.
Manager Action: Manager should also appreciate team member verbally or written. Manager can also appreciate team member during team meeting etc.
IInd Occasion:
When an employee score rating 4 or 5 again for second time then HR should take substantial action such as follows.
HR Action : Rewarding employee in some way. HR can decide way of rewarding employee after due approval from management. You can give monetary incentive to employee or gift vouchers etc. Also you can publish list of such employees who have achieved incentive.
Manager Action : No as such action is required by manager.
IIIrd Occasion:
Such team members are asset to organization and organization should spend time and efforts to make them ready for next level.
HR Action : Discussion with team member in presence of manager to understand what are his expectation from organization and how he want to grow professionally.
Manager Action: After discussion with employee, manager and HR should internally discuss on possibility of profiles where they want to grow these employees professionally. Framing career road map of such employees in organization.
IVth and more Occasion:
HR Action : At this point of time, we will know where we want to take such employees then HR should plan for various training program for them so that they can be groomed for such profiles.
Manager Action: Manager should be part of action taken by HR. At the same time, manager should allow and make employee free for such training programs otherwise there is no point of organizing training programs which employee will not attained.
Actionable on Employee scoring Rating 3
Rating 3 signifies that performance level of the employee is fit to expectation meaning employee is doing what he is suppose to do. Hence there should be no action required as such from HR and manager.
Actionable when there is a difference of 2 or more ratings of an employee
HR should also do some analysis of performance rating patterns and take actions accordingly. If an employee’s rating gets changed by 2 rating scales (Eg. In March employee’s rating was 3 and in April his rating is 5 or vice versa) then HR should definitely clarify the same from manager and ensure data points in support of that.
Actionable when Bell curve is not matching for a department or project
HR should also prepare bell curve of a particular project or department and share findings of analysis with manager and project Head. In case of higher deviation clarification should be taken or advise to manager accordingly.
I have also made a spreadsheet of above suggested actionable and you can refer link “Actionable by HR post performance evaluation” to download it.
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7 comments:
Such a nice notes especially while i seek more inputs in PMS.. Also, i would like to get to know more about 360* appraisal and its special features...
Dear Kannan,
Well, 360 degree appraisal systems is one the best appraisal system but it is not very easy to implement. Also you need to have software to ensure getting data and evaluation of data.
Dear Sir,
Can you please explain some more about this bell curve used in performance appraisal.
Dear Sarita,
Bell curve is a proven theory on distribution of performance level in a group. Request you to post your further queries on www.hrsuccesstalk.com/forum
Hello Govind,
Nice Blog! I would like to add some point as mentioned below.
Company can also announce employee of the month scheme.
Dear Growline,
Thanks for your contribution
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