Best Practices for Designing Your

Always, Ongoing Performance

Management Process

Performance Management Virtual

Conference
February 4, 2014

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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 Jeremy S. Lurey, Ph.D.
CEO & Chief Architect

 Dr. Lurey is a talented leadership coach and organizational change specialist who partners with his clients
to improve performance and produce better business results. With nearly 20 years of progressive
experience as a management consultant, he is a trusted business advisor for and has supported clients
ranging from small start-up organizations to Fortune 100 multi-national corporations, including numerous
not-for-profit and government agencies.
 Dr. Lurey has particular expertise in leadership development, succession management, change 866.PLS.DLTA x4612
management, process improvement, and strategic planning. Some of his project highlights include: jslurey@plusdelta.net
 Designed and facilitated one-on-one leadership coaching programs with high-potential leaders to www.plusdelta.net
help them develop the presence and skills required to be promoted and perform at the next level.
 Coached President/CEOs in transition to shift their management responsibilities to their identified
successors and mentor these next-generational leaders as well as establish their post-retirement
plans for living their “third acts” in life.
 Facilitated strategic planning and leadership alignment retreats with senior management teams to
define organizational visions, identify core values, and develop detailed operational plans.
 Led various talent management efforts to assess HR operations, design more integrated human
capital strategies, develop standard operating procedures, and implement enhanced performance
management systems and succession planning programs to attract, develop, and retain top talent.
 Developed and delivered numerous Leadership Excellence workshops to chief executives,
operational leaders, and HR professionals to enhance senior leadership skills and increase capacity
for managing performance and providing constructive feedback to others.  Certified
Speaker,
 Dr. Lurey holds MS and PhD degrees in Organizational Psychology. In addition to his role as a consultant, Vistage
he is an Adjunct Faculty member at the Graziadio School of Business and Management and frequently International
presents at professional conferences and seminars. He has also authored several publications on change  Certified in
management, succession management, organization development, and leadership excellence. Before Myers Briggs
establishing Plus Delta, he worked at both PricewaterhouseCoopers and Andersen Consulting. Type Indicator®
& DiSC Profile®
 Select clients: Blue Shield of California, Cargill, Experian, Gap, Health Net, Inc., International Association of
Refrigerated Warehouses, Kaiser Permanente, Nestlé USA, Raytheon & St. Joseph Health System
© 2013 Plus Delta Consulting, LLC  www.plusdelta.net
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 Group Poll –
Annual Performance Reviews

 Do you currently have a standard annual performance review in your

organization?

1. Yes
2. No

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 Workshop Overview

 Employee performance and satisfaction is critical to every organization’s

success.
 Managers and employees alike often complain because they think of
performance management as that thing they have to do for HR at year-
end so that people can qualify for their bonuses or other pay increases.
 Performance management is not just a once-a-year HR task though. It’s
an always, ongoing activity that effectively communicates company goals
and rewards employees fairly for helping achieve those objectives.
 With focused attention to attracting, developing, and retaining top talent,
you can more effectively engage employees, develop a more productive
workforce, and ultimately compete in today's competitive marketplace.

If you want individual employees to “succeed,”

you need to help them manage their performance!

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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 Basic Building Blocks for Performance

What is performance?

Performance = Results (what) +

Behavior (how)

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 Benefits of a
Performance Management System

 Consistent participation and standardization across the entire

organization
 Clear expectations and established policies and procedures for
everyone
 Decreased resistance with increased employee involvement and
enhanced understanding of the process
 Lasting engagement and commitment because employees
believe in the purpose and equity of the process
 Growth and development of fundamental leadership skills,
especially coaching and feedback, for continued organizational
success throughout the year
 Continuous performance improvement throughout the
year, rather than isolated feedback that might create
unsustainable behavioral change once in awhile

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 Performance Management Roles

Manager’s Role Employee’s Role

Provide ongoing feedback throughout the year Take ownership for own performance excellence

Help your employees be successful Focus on exceeding customer expectations

Manage performance as a process Actively participate in own performance review

Strategize ways to improve performance Identify ways to improve performance

Follow up!!! Be open to performance feedback

Focus on performance, not the person Focus on performance

Ask as much as tell, engage the employee Ask for performance feedback

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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 Group Poll –
What a Performance Review Is

 What is a performance review?

1. Interactive conversation between manager & direct report

2. Objective review of critical competencies & individual goals
3. Chance to review past performance & discuss future goals
4. All of the above

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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 Group Poll –
What a Performance Review Isn’t

 What isn’t a performance review?

1. A singular event just to “get through” for HR and be done

2. 1-way communication where manager “talks at” direct report
3. Negotiation or discussion solely about raises & promotions
4. Any of the above

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 The Performance Review

Performance Review IS: Performance Review is NOT :

A process An event

One component of performance management All there is to performance management

Interactive, 2-way communication “Talk at”, 1-way communication

Time to review & summarize performance The time for surprises

A time to help the employee be more successful About passing judgment

Focused on performance, facts and data Focused on person, personality or impressions

Opportunity to look backward and look forward Just a look at past performance

About getting better, growing skills, improving Solely about getting raises and promotions

An opportunity for a rich, valuable discussion Something to just “get through”

About more than the form!!! About the form!!!

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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 Key Elements of An Effective
Performance Review Form

 Competency-based Performance Factors

 In line with the company’s core values and reflecting one’s demonstration of the
job’s desired behaviors
 1-5 Likert-scale scores, clearly distinguishing Exceptional to Unsatisfactory
performance
 Job Performance Goals
 Jointly set with staff and their supervisors rather than dictated top-down
 “SMART” based on specific job expectations and responsibilities
 Individual Development Plan
 Focusing attention on what an employee needs to do to improve performance
during the next performance assessment period
 Consisting of both professional development goals and other learning objectives
 Summary Performance Rating
 Final rating for the overall performance review
 Typically includes a weighted average of Performance Factors and
Goals (i.e., 75/25, 50/50, etc.)

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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 Performance Management
as an Ongoing Process

 Performance management is about much more than that thing

managers have to do for HR at the end of the year so that people can
qualify for their bonuses or other pay increases.
 Performance management requires continuous efforts to engage
managers and employees alike in regular coaching, training, and
developmental activities.
 Organizations need to actively identify the learning needs of their
employees and plan appropriate training and curriculum development to
meet the ongoing and changing needs of their workforce.
 Senior leaders also need to actively participate in building their coaching
skills so they can better support the development of the necessary
knowledge, skills, and abilities of their direct reports.

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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 Creating a
Performance Management Culture

Goal Setting &

Alignment

Self-
Mid-Year
Assessment
Evaluation
by Employee
Ongoing
Feedback

Annual
Employee Performance
Development Review by
Manager

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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 Sample Performance Management Process

The following best practice approach is recommended, however it can be adjusted as needed
to support any company’s specific business cycles.
Activity Due Date Responsible

Establish business strategy and define strategic goals for December 31st Executive Team
year ahead
Create individual goals from corporate objectives January 15th Managers, Employees

Employees complete self-assessments for managers January 31st Employees

Managers complete Annual Performance Reviews February 15th Managers

HR and managers calibrate evaluations and discuss February 28th Managers, HR

development opportunities as a group
Managers and staff review final evaluations together March 15th Managers, Employees

Managers provide development opportunities and training Ongoing Managers, HR

for employees to improve and advance
Monthly 1:1 check-ins and quarterly SMART goal review Ongoing Managers, Employees
sessions to monitor performance
Managers complete and share mid-year reviews August 31st Managers, Employees

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 Setting SMART Goals
Based on Strategic Objectives

 Individual performance goals should be directly tied to company and

department-specific objectives
 When setting goals, they should meet the following criteria:
 Describe specific action to be taken (e.g., start with action
verb)
 Include clear, meaningful measurement (often setting the
standard to meet performance expectations)
 Be achievable but encourage individuals to stretch and
enhance their current skills
 Specify a completion date or timeframe

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 Goals Need To Be Flexible

 Goals can be adjusted and/or modified once they are captured in

employee reviews
 Managers can also change performance goals or create alternate goals to
support changes in business plan or environment
 With changes in business priorities, what seems important today may not
be as important tomorrow…
 We need to regularly review individual goals and expect to refine them
throughout the performance review period as business dictates

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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 Goal Setting Do’s and Don’ts

 Do’s:  Don’ts:
– Focus on core competencies – Focus on non-job-specific factors
– Measure important performance – Set goals that cannot be
areas measured
 Example:  Examples:
– Manage XYZ work process – Be on time more often
improvement initiative and – Get along with others
complete project within budget
by 6/30/14 per plan

 Ask the following questions to define individual performance goals:

– What actions should employee take to achieve mutually agreed upon goals?
– How will manager and employee know if goals have been achieved?
– What is target date for achieving each goal?
– What coaching, training, or other resources are needed to achieve goals?

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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 1:1s with Direct Reports

 The weekly and/or monthly 1:1 Meeting offers a foundational approach

for empowering employees and inspiring them to achieve greater results
 The following are 5 quick management tips to enhancing your 1:1
meetings with your direct reports
1. Ask your direct report to own the session – including scheduling,
logistics, agendas, and any pre-meeting communications for each event
2. Ask for a self-assessment – such that they open up and really feel
valued because you demonstrate a genuine interest in them
3. Give your feedback – often structured around the STAR model and
Continue-Start-Stop approach so they are clear on your assessment of them
4. Focus on action – highlighting any actions you or they may need to take
as a result of your 1:1 conversation
5. Have your direct report summarize the session –
making sure they have listened, take ownership of any
next steps, and have mutual understanding with you

(Adapted from Management Training Quick Tips, www.m-t-d.co.uk )

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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 Stop-Start-Continue
for Managing Performance

 The Stop-Start-Continue Approach is a simple approach and offers

another quick way to structure a balanced conversation with your
employees to help manage their performance throughout the year
– Continue – What existing behaviors should I continue based on the
positive results I’m already achieving?
– Start – What new behaviors should I start based on the positive results I
expect to achieve?
– Stop – What negative behaviors should I stop immediately based on the
poor results I’m currently producing

 Use the Start-Stop-Continue approach especially in your quarterly

1:1s when reviewing SMART goal performance to keep your direct
reports on track or anytime you feel they may need to recalibrate
their efforts based on shifting circumstances or new business priorities

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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 Group Poll –
What Types of Feedback to Provide

 What type(s) of feedback should be provided to employees during

these performance management activities?

1. Positive feedback
2. Negative feedback
3. Constructive feedback
4. Positive and Constructive feedback

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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 Why Are We Doing This?

 To get continuously better

results
 To assure our people are
working on the right things
 To give our employees the
feedback – both positive and
constructive – they need to
succeed

“Feedback is the breakfast of champions.”

- Ken Blanchard, One Minute Manager

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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 More Info & An Offer for You!

For more information

or for a FREE one-hour consultation
to enhance leadership and performance
management in your organization,
call Dr. Jeremy Lurey at +1.310.589.4612 or
contact him via email at jslurey@plusdelta.net

© 2013 Plus Delta Consulting, LLC  www.plusdelta.net

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