The French writer Antoine de Saint-Exupery once said “a goal without a plan is just a wish”.
Today’s presentation summarizes Health System’s plan for implementing a formal performance appraisal system for each employee, both individually and as part of a team, as well as outlines our strategy for implementing an organization-wide succession plan to fully maximize our use of human resources.
As you were briefed at the last Board Meeting, our most recent employee survey revealed that many of our employees reported not receiving regular performance evaluations and expressed concerns about a perceived lack of a formal evaluation system, as well as no structured approach ...view middle of the document...
Key performance indicators (KPIs) measure human capital outcomes such as talent management, employee engagement and high performance, and they highlight the organization’s business, financial and strategic goals as well as foster collaboration and partnership between HR and executive-level leadership (Lockwood, 2006).
In 1995 management expert Mark Huselid demonstrated the influence of HR’s strategic planning on the promotion of effective organizational performance, sustainability and financial success (Lockwood, 2012). Further, a more recent survey demonstrated that strategic business planning nearly doubled a company’s chances of success (Lesonsky, 2010).
These statements highlight the importance of developing a plan to maximize our use of human resources, and the following slides illustrate our strategy to do just that.
Thus, regular performance evaluations can be effective tools for improving employee performance and productivity, as well as can determine employee developmental needs.
If properly executed, they can serve as a basis for hiring new employees, the training and development of current employees, restructuring of workflow, and employee motivation (Gluck, 2012).
They can have profound effects on satisfaction and motivation levels (Archer, 2010) A thoughtful review can stimulate an employee’s interest and motivation in improving job performance.
Similarly, they can provide supportive documentation for pay increases or for terminations.
In addition, the existence of a structured and regular performance evaluation demonstrates the organization’s commitment to an individual’s performance, value and growth, which ultimately enhances the employee’s sense of worth, commitment and belonging (Archer, 2010). This can translate into lower absenteeism and turnover rates (Archer, 2010).
Last, consolidated evaluation data can provide valuable information regarding overall need for and direction of training, as well as can be used to gauge the effectiveness of recruitment and retention strategies (Archer, 2010).
Several types of performance appraisals exist, such as 360 degree feedback appraisals, performance rankings, paired comparison analysis, behavioral observation scales, and graphic rating scales among others. Commonwealth Health System’s approach will follow the management by objectives (MBO) approach in which employees and managers set objectives at the beginning of the evaluation period and use a scale to assess how well those objectives have been met at the end of the evaluation period, in this case one year.
The following items outline HR’s recommended actions that should be taken prior to a formal appraisal of an employee being conducted:
1. Set a calendar date and time in advance that is mutually convenient for both you and the employee (HR of UC Berkley, 2012) and allow enough time for discussions (1-1.5 hrs)
2. Familiarize yourself with the evaluation form
3. Identify performance measures and...