At its core, performance management boils down to a continuous process in which the employee and their manager work together to plan, monitor and evaluate the individual’s performance in the workplace. When done well, a performance management program, coupled with regular, ongoing coaching and feedback contributes not only to the growth of the employee, but also the achievement of the company’s mission. 

Organizations have recognized for some time that managing performance has its benefits. As a concept, performance management has evolved from a tool (the performance review) which was initially designed to reward good performance and punish poor performance (the carrot and stick approach), to more of an employee engagement system or philosophy with far greater and more lasting impacts.

When done effectively, performance management:  

• Supports the employee’s understanding of their role
• Aligns individual efforts with the business direction/mission/values
• Supports the employee’s understanding of what they are expected to achieve (and how)
• Establishes feedback and review requirements needed to ensure successful performance
• Provides opportunity for intentional building of skills
• Motivates employees by providing clear direction
• Provides a mutual understanding and accepted basis for planning, monitoring, reviewing, and discussing performance

Benefits For employees:

• Focuses efforts
• Increases job satisfaction
• Increases engagement
• Builds trust

Benefits For leaders: 

• Maximizes productivity
• Supports retention of talent
• More engaged workforce
• Builds trust - changes happen faster and with less resistance

Benefits for the Organization:

• Competitive advantage
• Delivery of exceptional services through performance
• Improved retention rates
• Let go of low performers with more valid and reliable data/notes
• Easier recruitment of talent

Now that we have examined the meaning and importance of performance management, let’s introduce the model upon which the evaluation and feedback framework has been crafted.   

While there are many performance management models in use today, we have chosen to highlight this one in particular for its simplicity. This model identifies three major phases within the performance management cycle; those are: planning, monitoring, and reviewing. Inextricably connected to the performance management cycle, and paramount to its success, is the concept of ongoing coaching and feedback. 

During the initial planning phase, thought is put into the performance objectives and developmental goals for the term.  The second phase- the monitoring phase, is the longest of the cycle, as it represents the period during which the employee is executing on their work and development plan.  

Finally, rounding out the cycle is the third phase- the review phase. At this point, the term (and thus the performance period) has wrapped up, and it’s time to review and celebrate both the work accomplishments and personal achievements. Supporting each of the three phases, and arguably the most critical element, is feedback.  

For a performance management system to be most effective, the following five best practices are recommended:  

1. Expectations are clear.  Before jumping head first into any performance management process, it’s essential that everyone is on the same page.  Both director and instructor should be knowledgeable about the process and their role in it and have an understanding of what it is that you are trying to achieve.  It’s also critical both parties know how they can support the process, and what tools are available to help them.  To support you in rolling the program out to instructors, an Instructor Toolkit has been created which outlines the purpose, model, tools, and roles in the performance management system.  This toolkit is intended to be shared with instructors during the orientation process.   
2. Set SMART goals.  Setting clearly defined, achievable goals that align the instructor’s role to the goals of the organization will go a long way to securing the performance results you are seeking.  The tried and true SMART (Specific, Measurable, Achievable, Relevant, and Time-Bound) framework for goal setting is a tool you can use with your instructors to focus their performance efforts.   
3. Encourage an employee-driven approach.  Research shows that employees who take the driver’s seat in terms of their own development are more productive and engaged, translating into lower absenteeism rates, increased retention, productivity,  and the likelihood of higher quality work.  Let your instructors take the lead in determining their development goals, and take every opportunity to collaborate with them in identifying opportunities to achieve them.  Be there to support and encourage them.   
4. Manage performance continuously.  Gone are the days of managers meeting with their employees only once or twice a year to discuss performance.  Research has shown that regular, ongoing performance discussions are far more effective.  This feedback & evaluation system has been centred upon a continuous feedback model wherein directors and instructors meet frequently to discuss performance.  It’s important to remember, nothing shared in a performance review should be a surprise.  By sharing feedback in real time through regular touch-base discussions, you should be able to avoid catching your instructors off-guard during the formal review.  
5. Encourage a growth mindset.  Focusing on your instructors’ ability to learn, grow, and contribute to your organization’s goals not only benefits the instructors, but the organization as well.  When employees understand they have an opportunity to develop their existing skills, and learn new ones, they are more engaged and motivated to deliver exceptional performance.  Support your employees by helping them to identify opportunities for them to develop specific skills on the job and by providing them with effective feedback along the way.  

1. Outline the existing performance management processes and practices in your workplace. What do these look like? 
2. How does this performance management model compare to the existing performance management practices you have identified in your workplace?  
3. What are some of the changes you might need to make in order to adopt the performance management model introduced in this course?