Performance Mgmt System

YK Kim
Visiting Professor
Central Official Training Institute
ykkim6166@hanmail.net

Agenda
What is performance management ?
Success factors for performance management
How to set Key Performance Indicators ?
Discussion points for implementation

What is Performance Mgmt ?

PMS in your government ?

Your performance mgmt system
What are the issues ?

Success factors for PM

Performance mgmt system in place
Mgmt buy-in
Organizational skills & experience for
implementation
Employee maturity

Arguments with PM in govt ?

HR strategy of Global Organization

Performance Mgmt is a cornerstone for
- Differentiation
- Talent mgmt
- Attrition mgmt
Diversity
Work / Life Balance

Key Concept for PM

Key Concept for PM

MBO : Management By Objective
BSC : Balanced Score Card
CSF : Critical Success Factor
KPI : Key Performance Indicator

 What is management ?
How can we ensure that our employees are
doing their best every day at job to meet
organizational objectives ?

Differentiation Vitality Curve

A-Player(20%)

Top 20
Promotion, Bonus

B-Player(70%)

C-Player(10%)

Bottom 10

The Vital 70
Training, Counseling

Recycle

Low performing organization

High performing organization

Top

Middle

Bottom

Top

Middle

Bottom

Management By Objective
Which one is better for organization ?
Did best or Met objectives ?

Without measurement, how do we know we

are meeting objectives ?

 If we focus 1 year performance only,

how can organization sustain to grow ?

Balanced Score Card

If we focus 1 year performance only,
how can organization sustain to grow ?

Balanced score for today & tomorrow

- Financial
- Talent Development
- Customer satisfaction
- Process innovation

Critical Success Factor

When Samsung plans to introduce new
smartphone model in your country ,
what are the CSFs ?

KPI of private company

Sales
Professor
Plan and Control

Tools for PM in enterprise

Incentive bonus
Salary increase
Stock option
Sales contest : family trip etc.
Promotion

KPI of government
Direct General in HQ
Director General in COTI
Professor

Tools for PM in govt

Salary increase
Promotion

Since tools are limited,

role of manager is more important in govt.

Performance Management cycle

1.2 Flow of Performance management

Performance Mgmt Cycle

1. Performance
plan

2. Implementation
4. Feedback
3. Performance
evaluation

1.2 Flow of Performance management

Performance Plan
Mutual consent between manager & subordinate on
performance goal & indicator
Mandatory at the beginning of the year

Goals

Desirable status that each individual's

work should reach

Indicator

Criterion for measuring whether or not

the performance goal is attained

No.1 Key to high performance

Knowing whats expected
The opportunity to do what I do best
Recognition and praise
Someone at work cares about me
From 12 elements of great managing

Principle of SMART
Specific
Measurable
Attainable
Result-oriented
Time-based

1.2 Flow of Performance management

Periodic performance record mgmt
Objective
Monitor & record the achievement progress
To give coaching on unsatisfactory aspects & resolve hurdles
To make objective & fair evaluation in reference to the records

Period
Every quarter
Appraiser conducts monitor on the

work progress of the subordinates

Contents
Excellent points
Areas for improvements
Action plan for the gaps

1.2 Flow of Performance management

Performance interview
Concept

To share opinion between mgr & subordinate

regarding goal setting, progress & result

Need

To enhance performance and secure fairness

At the beginning of the year Planning interview

Time

In progress Mid-term review

For the final appraisal Year-end interview

Contents

Excellent and Poor points / Areas for improvement

- 12 -

1.2 Flow of Performance management

Evaluation & Feed back
Evaluation system
SCS, G4 & Higher

G5 & Lower

Evaluation System including

job performance agreement

Work performance appraisal system

Use of Performance evaluation result

Promotion

Performance-related payment

Personnel management
- reassignment, training, low performer management

Major points for discussion

Role of manager and employee

I dont want to be the only

manager to be tough
Relationship is more important
than performance in our org.
My boss does not like noise from
employees.

Role of manager
Buy-in of PMS : can explain clearly to
employee why and how
Follow the process tightly
Exercise prudent judgment
Learn and practice skills

Mgmt buy-in
Understand
Commitment
Action

Role of employee
Understand PMS of why and how
Involve to set up performance plan and KPI
Focus on performance improvement rather
than rating itself
Have a copy of mgrs plan

Performance and Success

Buy-in of PMS is related with
value systems and organization culture
Do they have career aspiration ?
What does it mean by success ?
Do they believe that evaluation and promotion is
decided based on performance ?

Competency Assessment for Promotion

Mandatory
Senior Civil Service

Director

Optional by agent
Grade 5

- 24 -

Discussion for implementation

Performance Planning
Performance Evaluation
Quantitative vs Qualitative ?
Short-term vs Long-term ?
Activities or Result ?
Individual or Group ?
Money or Promotion ?

Performance planning
Top-down or bottom-up ?
100% allocation with predefined tasks ?
Weight should be clear

Performance Evaluation
Top-Down or Bottom-Up ?
What can be discussed ?
How can we handle arguments for rating ?

Quantitative vs Qualitative ?
Quantitative is Objective ?
Qualitative is Subjective ?
How can we measure quality ?

Short-term vs Long-term ?
Can we reflect longterm plan ?

Yes, we can include long-term plan.

Progress, however for 1 year should be
planned and evaluated.

Activities or Process vs Results ?

Which one is more important ?

Individual vs Group ?
PMS may hurt teamwork.

Money vs Promotion ?
Money for performance
Promotion for
competency + performance

Appeal process
PMS should include appeal process
Two-level mgmt system is required
Appeal is not bad thing.
Mgmt should be ready for handling.

Managing sub-standard
Most serious issues in every organization
Total process and legal implication should
be clear and understood.

Mgmt should be trained to manage

My messages
Do it and improve it.
No system is perfect.
Select trustworthy person to manager and
trust him/her.
Organization should be predictable, and
people will act on expectation

Books for reference

Being the boss by Linda Hill
The 1st 90 days in government
by Daly Watkins

12 elements of great managing

by Rodd Wagner

2009-03-19

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