PARTNERING FOR PERFORMANCE Presented by EXCELLENCE The European Excellence model is based on the premise that: Excellent results with respect to performance, customers, people and society are achieved through effective management and leadership driving policy and strategy, that is delivered through people, partnerships and resources, and processes. “Excellence is not a theory; it relates to the tangible achievements of an organisation in what it does, how it does it, the results it gets and the confidence that these results will be sustained in the future.” European Foundation for Quality Management EUROPEAN EXCELLENCE MODEL WHAT IS MANAGEMENT? Management is about the achievement of business results by, with and through competent people PARTNERING FOR PERFORMANCE Performance management is about commitment to, and taking responsibility for, the results that staff deliver. Maximising performance and results requires an ongoing partnership between the manager and team members to develop and entrench a results- oriented performance culture. PEOPLE, PERFORMANCE & PRIORITY It should be determined by senior management that by effectively managing people, performance and development, the organisation can achieve its broader aims and goals. Performance management should be prioritised and this should be actively and clearly communicated to all levels of management and staff. ENERGY & ENTHUSIASM Excellence is a challenging, dynamic goal that does not come easy! People need to be constantly energised towards the outcome. The most effective ways to achieve this is to practice active performance management. Lead by example! Your enthusiasm and commitment to performance management will impact the level of results achieved in your business unit. EXPERIENCE How the people in the organisation experience the leadership, the strategy and policy, partnerships, resources and processes, determines their level of commitment, buy- in and ultimately, performance. A people-centred culture is a critical requirement for the development and entrenchment of a result- oriented performance culture in a business or business unit! EXPERIENCE Staff members base the perceived value of their performance on more than the specifications of their performance expectations, scores and bonuses. Their perceptions include the rational and emotional experiences that they have during the performance management cycle when agreeing, contracting, executing and evaluating. Each of these is an opportunity to create a Moment of Truth. Team members join organisations but work for managers and need management to create a participative and satisfying work experience. The conversation is more important as the score! ACCOUNTABILITY Performance management is about commitment to, and taking responsibility for, the results that staff deliver. If the management of the ‘enablers’ is focused on the desired service results, then job expectations, performance contracts, appraisals, recognition, reward and promotion must all be linked to satisfying customers’ needs and expectations. Managers and leaders, are accountable for linking each and every person’s performance contract and performance results to the service results desired by the business. This ensures that individuals are held accountable for their performance and results, both positive and negative. OPENNESS & HONESTY All communication should be open and honest, particularly performance feedback. Openness and honesty should be embedded in the fabric of the organisation, entrenched in the values and ‘lived’ and reinforced in all communication, decisions and commitments. LEADERSHIP COMPETENCE Leadership and management are the drivers of achievement of the strategy by, with and through the people. Interpersonal, functional and performance management skills are required in addition to technical expertise, in order to develop and entrench a people- centric, participative culture. The new mind-set requires a new skill-set! LEADERSHIP COMPETENCIES Technical / Functional Interpersonal Performance Management THE MEASURE OF GOOD LEADERSHIP … IS ACHIEVEMENT Customer 70 Satisfaction* Perceptions of Customer 60 68% 50 Satisfaction 39% 40 49% Better 30 39% Results *Results 20 from a large high technology company 10 0 Bottom 20% Middle 60% Top 20% Leadership Effectiveness * Based on research published in “The Extraordinary Leader” by Jack Zenger & Joe Folkman, 2003. THE MEASURE OF GOOD LEADERSHIP … IS ACHIEVEMENT Net $5,000,000 Income $4,516,974 $4,000,000 *Results from a large mortgage bank $3,000,000 $2,384,588 89% Better Net Income $2,000,000 Results $1,000,000 $0 -$1,000,000 -$1,176,454 -$2,000,000 Bottom 10% Middle 80% Top 10% Leadership Effectiveness * Based on research published in “The Extraordinary Leader” by Jack Zenger & Joe Folkman, 2003. COMMUNICATION & CONVERSATION When it comes down to it – it is all about communication. Communicate passionately Communicate empathetically Communicate actively And LISTEN! The ‘conversation’ is the most important element of the management / team member partnership. It creates a channel for discussion and develops trust and cooperation, resulting in commitment-driven performance. MEASURABLE STANDARDS Having SMART performance standards ensures that people know exactly what is expected of them, when, how and why. All performance management discussions should focus on the SMART standards and expectations that were agreed to at the beginning of the performance management cycle. When standards are: Specific Measurable Attainable Result-oriented Time-framed, they form the basis of the performance contract. MEASURABLE STANDARDS Only these standards must be used during performance appraisal and management in order to ensure that feedback is performance related, relevant and results- oriented. SMART standards enable people to measure their own performance and regular, honest, relevant feedback based on the SMART standards ensures that they know how you perceive their performance. The combination of the SMART standards and management feedback ensures that appraisal sessions hold no negative, unforeseen surprises! RESULTS-ORIENTATION Performance management should focus on assisting people to achieve desired results in terms of service, customer reference sites, quality and innovation. All job expectations, performance contracts, appraisals, recognition, reward and promotion must be linked to the achievement of these business priorities. Do not measure input and effort. Only measure outcomes and results! STAFF COMPETENCE The development of staff competence is a key issue that can be addressed in many forms. The performance appraisal process is a powerful opportunity to identify development requirements and opportunities. Active performance management identifies staff needs in terms of the development of technical, functional, self-management and interpersonal competencies required in order to achieve desired performance results. PERFORMANCE COMPETENCIES Technical / Functional Interpersonal / Team Self- management People should know that they are expected to use their knowledge and abilities to meet customer needs! FEEDBACK IS VITAL Feedback should be personalised: this communicates your interest in the individual and his/her work. Feedback should be constructive: it must focus on behaviour rather than attitudes or personal characteristics and should never undermine the recipient’s self esteem. Feedback should be specific: it must include examples of the team member’s performance and behaviour. Feedback should be timeous: it should be given immediately when possible, in order to enable people to maintain or improve their performance. NO SURPRISES Feedback should be candid and consistent. Feedback should be regular, everyone needs and wants feedback. It is not a once-a-year event, but an ongoing, active process. Feedback must address positive and negative behaviours in order to enable individuals to perform at their best. Jack Welsh, former CEO of General Electric and author of “Winning” says that people should always know where they stand and should never be surprised by the feedback or appraisal they receive. RECOGNITION Recognition should NOT be ‘saved’ for the annual performance appraisal discussion. Recognition should be given at every opportunity in order to create a culture of creativity and accountability. Recognition needs to be personalised and should always be substantiated with specific examples of performance. Sincere, honest recognition and appreciation develop confidence, self-esteem and fosters growth of both the individual and the team. GREAT PERFORMANCE People, Performance & Priority Experience Results-oriented Feedback Openness and honesty Recognition and reward Measurable standards Accountability No surprises / Negativity Competence and Conversation Energy & Enthusiasm IMPLEMENTING PERFORMANCE EXCELLENCE Excellence is an ongoing challenge that requires commitment and action at many levels. The Workwise SMART Performance Management & People Development Process assists managers to improve service delivery and business results by proving a framework for developing understanding, commitment and motivation to achieve excellence. “Work the system, so that the system can work for you!” Thank you for your time and attention Questions please!