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Performance Evaluation

Performance Evaluation

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Performance Evaluation

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  1. Performance Evaluation Presented by: Linda C. Ridge President OnPoint Solutions, Inc. Lridge@thepointline.com © 2006 OnPoint Solutions, Inc. All rights reserved

  2. What’s Out? • Checklist management • Did it, checked it off the list • Checklist performance evaluation • Doing is acceptable performance • Once-a-year performance evaluations

  3. What’s In? • Outcomes based performance evaluation • Still considered the best approach • It’s no picnic: It takes time and effort but is still considered the best approach because it provides big payoffs • Focuses CEO and other staff members on what matters – successful association outcomes • Increases objectivity in the evaluation process • Severely reduces both conscious and subconscious “favoritism” • Documenting performance facts and outcomes prevents legal problems down the road

  4. Also In • Periodic monitoring: • Performance outcomes review quarterly or even more often • Increased likelihood of achieving desired outcomes • Good for the association • Allows course corrections before its too late • Good for the employee • Annual outcomes review as basis for compensation adjustment

  5. Making Two Links • Link individual achievement with organizational success • Individual objectives flow from organizational objectives; Strategic Plan Goals/Objectives • Strategic outcomes the individual is accountable for, in whole or in part • Usually CEO and higher level professional staff • Programmatic Performance • Programs and activities for which the individual has some role and outcomes accountability • Applies to all staff, just differently depending on their job responsibilities • Link achievement with compensation

  6. Planned Achievement • Treat individual performance much like organizational performance • Individual Performance Objectives • Established for the coming year • Defines outcomes to be achieved • Based on the association’s strategic objectives and/or programs • Performance Improvement Strategies • Suggest methods or steps for improvement • Include tactical evaluation: How well implemented?

  7. When No Strategic or Operating Plan Exists: 1 – 2 - 3 • Job description • Each duty/activity in the job description is translated to a measurable outcome to be achieved for that duty/activity in the coming year • Special objectives • Non-reoccurring special activity or program outcomes to achieve, in whole or part, during the evaluation year • Work style objectives • Behavioral characteristics desired; planned action to achieve desired behavior and measures to determine success

  8. Establish Performance Expectations Before Year Begins • For CEO’s performance objectives • President and CEO collaborate on 1st draft • Mutually Agree to performance objectives • Clear statements of outcomes to be achieved • Timeframes • Financial implications/impacts • Board adjusts if necessary and approves • For association professional staff • CEO and staff collaborate to develop • Both sign-off on objectives

  9. Outcomes (Not To-Do Lists) • Performance expectations stated as outcomes to be achieved • Not this – measurable but vague: • Increase annual meeting attendance • More like this – measurable and unambiguous: • Increase annual meeting attendance by at least 1.5 percent over the next 3 years; 2008-2009-2010

  10. “Scoring” Performance • Point Scoring facilitates objective evaluation. Example: • Exceeded performance plan = 5 points • Achieved through corrective action = 4 points • Achieved as planned = 3 points • Partially achieved = 2 points • Not achieved or poorly achieved = 0 points • You could also use point ranges for “degrees” of achievement: • 5.0 – 5.9 • 4.0 – 4.9 • 3.0 – 3.9 • 2.0 – 2.9 • 0.0 – 1.9

  11. Programmatic Performance Scoring Example Add up total points earned. Add up total number of programs in the plan. Total points earned, divided by total number of programs & special objectives equals overall score. In the above example, 49 points divided by 14 programs equals overall score of 3.50.

  12. Work Style Objectives Example Work Style And Behavioral Objectives Scoring Action taken beyond that specified; specified result exceeded 3 points Specified action taken; result achieved 2 points Specified action taken, result not achieved 1 point Failed take action; result not achieved 0 points

  13. Using Both Objectives & Work Style • If only a few work style improvements desired, add them and their points to the program/objectives list • If there are more than a few style improvements, they could skew the review outcome • Reduce values for work style improvements • Example • Action beyond that specified; result exceeded 1.5 points • Specified action taken; result achieved 1.0 point • Specified action taken, result not achieved 0 points • Failed take action; result not achieved 0 points

  14. Performance Based Compensation

  15. Overall Evaluation=Compensation Example

  16. Summary • What’s Out? • To dos – checklist management and performance • What’s in? • Outcomes (objectives) based performance • Objectively judged – e.g. scored • Progressively monitored – periodically throughout the year • Compensation tied directly to performance