1、Seminar ContentvWhy is PM Important to Business Performance?vWhat is PM?vThe PM CyclevEffective PM SystemvIdentification of Individual Performance MeasuresvWhat is Balanced Scorecard?vBarriers in Strategic Management of Organizational PerformancevHow does a Balanced Scorecard Translate Company Strat
2、egy into Action?vFramework of a Balanced Scorecard Performance Measurement SystemvAction Required for Implementation of an Effective PMWhy is Performance Management(工作表現工作表現管理制度管理制度)Important to Business Performance?改善工改善工作程序作程序員工態度改員工態度改變變接受變接受變革革External Pressures 外來壓力外來壓力修訂營修訂營運策略運策略提提高高生生產產力力宏觀環
3、境宏觀環境:公司公司:個人個人:提出人力提出人力管理變革管理變革工作表現工作表現管理制度管理制度Why is Performance Management(工作表工作表現管理制度現管理制度)Important to Business Performance?Benefits to Individuals vBetter understanding on performance standards vBetter development opportunities vMotivated as it is a fairer system to measure employees performan
4、cevImproved relationship with supervisors vImproved individual performanceWhy is Performance Management(工作表工作表現管理制度現管理制度)Important to Business Performance?Benefits to OrganisationvEffective monitoring systemvBetter understanding on performance standardsvOrganisations expectations can be clearly comm
5、unicatedvLink individuals work output to organisational goalsvBetter moralevShape organisations cultureWhy is Performance Management(工作表工作表現管理制度現管理制度)Important to Business Performance?Ultimate BenefitstoOrganizationBusinessResultsDriveWhat is Performance Management(工作表現管理制度工作表現管理制度)?“A process for e
6、stablishing a shared understanding about what is to be achieved,and how it is to be achieved;an approach to managing people which increases the chance of achieving job-related success.”Different ApproachesTraditionalIntegrated Performance ManagementCompetency-based Integrated PM ProcessPM as Core Pr
7、ocess for Change As driver for change Integrated Fit with culture Self-managed individuals&teams Harmony with rewards Motivating work climate Integrated with competency model Focus on developing people Linked to succession planningCovers 3 phases:planning managing/coaching reviewing Once a year even
8、t Not integrated Little managing of performanceDegree of integration with other HR processesPerformance Management-Current Trends(當前趨勢當前趨勢)vPerformance management as a core processvNew approaches:self-appraisal 自我評核peer appraisal 同級同事評核upward appraisal 下屬對上司的評核360 degree appraisal 360 度評核vGreater em
9、ployee involvement/participationvFrom measuring outputs measuring outputs+inputsvGreater line-management ownershipvFormal,once-a-year feedback more informal,on-going communication Performance Management-Core Principles(核心原則核心原則)vCorporate&individual performance are mutually dependentvOn-going proces
10、s providing the basis for continuous improvementvRelies on consensusvNot just top-downvA 2-way communication processvForward lookingvConcentrate on positive attributesvWorks best when applied to all staffThe Performance Management Cycle表現管理週期表現管理週期Performance planning 表現的計劃表現的計劃Performance review表現的
11、檢討表現的檢討Performance coaching表現的督導表現的督導Reward報酬報酬 Training 培訓培訓Succession planning 人才銜接計劃人才銜接計劃Discipline 紀律紀律Business strategy 商業策略商業策略People management strategy 人力資源管理策略人力資源管理策略The PM CycleHR Practices 人力資源措施人力資源措施Performance Management-Interlinking Parts表現管理的互相緊扣的部份表現管理的互相緊扣的部份Measurement量度表現量度表現Le
12、arning&Development學習與發展學習與發展Goal Setting確立目標確立目標PerformanceManagement表現管理表現管理Appraisal(Review)評評 核核(檢討檢討)Towards an Effective PM System邁向有效的表現管理制度邁向有效的表現管理制度What to Measure評估什麼評估什麼?How to Measure如何評估如何評估?Work Outcomes工作成果工作成果PerformanceFactors工作表現要素工作表現要素Appraisal Form Design評核表格評核表格的設計的設計UserTraini
13、ng評核人的評核人的培訓培訓 The Appraisal 評核階段及評核面談評核階段及評核面談 The Process評核程序評核程序Measuring Outcomes(Results)如何評核工作成果如何評核工作成果(效果效果)Accountabilities(負責範圍負責範圍)PerformanceStandards(表現標準表現標準)Objectives(目標目標)What are the focus areas?(主要工作範圍主要工作範圍)How will the results be measured(量度量度)?Within each area,what are the obje
14、ctives(目標目標)?(Sales managementTo generate sales cost-effectively To increase sales by 10%in 1998 Measuring Outcomes(Results)如何評核工作成果如何評核工作成果(效果效果)Accountabilities,examples(負責範圍的典型例子):vHuman Resources 人力資源Staffing 聘用人才Staff relations 勞資關係Compensation planning 薪酬策劃Benefits administration 褔利行政Executive
15、 development 管理層培養Policy development 政策制定Measuring Outcomes(Results)如何評核工作成果如何評核工作成果(效果效果)vSalesNew business developmentSales managementLead generationAccount developmentvMarketingAdvertisingPromotion strategyPricingMarket researchMedia relationsSetting Objectives 建立目標建立目標vStephen Covey:set your goa
16、ls within your role(介定角色、確立目標)vAn objective is a statement of results to be achievedvCharacteristics:FocusedWrittenStated forcefullySignificantPrioritized and weightedNot too manyCommunicated“SMART”,“SMARTER”Defining Performance Standards制訂表現標準制訂表現標準vMeasurable factors from a performance factorv4 di
17、rect measures of output:QualityQuantityCostTime vMay be“hard”/“soft”numbers,problems to overcomevCost effectiveAgreeing on Action Plan共同協議行動計劃共同協議行動計劃vWhatvWhenvWherevWhovWrittenvCommunicatedAssessing Performance Factors(表現原表現原素素)/Competencies(稱職原素稱職原素)Examples:Coca-ColaMobilPerformanceCompetenciesF
18、actorsCommunicationTeamworkJob knowledgeTechnical knowledgeProblem solvingSetting high standardsWork relationshipsConcern for accuracyLeadershipConcern for effectivenessPlanning,organisingFlexibilityPersonal Drive(主動性主動性)Identify own strengths and weaknesses Learn from own mistakes and those of othe
19、rs Change behaviours as a result feedback Keep update on own field of specialisation Try influence rather than passively accept an event Continuously looking for innovative means to achieve results Show enthusiasm and drive to get things done Be persistent towards the achievement of plans or initiat
20、ives Remain committed in spite of problemsActively learning主動學習主動學習Demonstrating Commitment表現投入感表現投入感Taking initiative採取主動採取主動 Determine Performance FactorsDetermine Dimensions(量度方向量度方向)Determine Behaviour Indicators(行為指標行為指標)Determining Performance Factors (Competencies)-An ExampleDesigning the Pro
21、cess 設計評估階段設計評估階段vDetermine the purposes 確立目標vDevelop the procedures 程序應包括:No.of forms 表格數目What to be assessed 評核甚麼Who should appraise 誰來評該 Appraisal period 評核期Frequency of meetings 評核面談的頻率Linkage with pay 與薪酬的聯繫Designing the Appraisal Form 設計評核表格設計評核表格vWhat to include 應包括甚麼?Work outcomes or objecti
22、ves 工作成果(目標)Performance factors 表現要素Jobholder personal data 員工個人資料Major achievement 主要成就Development needs and plans 培訓需要及計劃Approvals 審批機制Employee comments 員工意見Promote abilityvRating scheme 表現評級標準How many levels 多少級別?What will we call each level 級別名稱?Performance Review 表現評核表現評核vStrategy&system for pe
23、rformance managementvContinuous process of Review 檢討表現Feedback 回應不理想的表現 Reinforcement 強化好的表現vDocumentation of the on-going processObjectives of Performance Appraisal表現評核的目的表現評核的目的vMotivate/reinforce good performancevIdentify areas for improvementvIdentify training&development needsvClarify job expec
24、tationsvStrengthen staff-supervisor relationshipElements of a Good Appraisal好的表現評核好的表現評核1.Document performance2.Performance diagnosis3.Seek bilateral participation4.Focus on goals6.Minimal criticism7.Single purposeAppraisal Errors 表現評核常見錯誤表現評核常見錯誤vHalo error 以偏概全vContrast error 對比誤差vFirst impression
25、 error 先入為主vRegency error 近入為主vLeniency error 寬容誤差vSeverity error 嚴厲誤差vCentral tendency error 中庸誤差Optimising Your Existing System改善你公司現行的制度改善你公司現行的制度 vWhat we can do to improve?Review your existing system and identify:vImbalancesvAmbiguitiesvNon-alignment with strategic objectivesvInappropriate simp
26、licity/complexity,etc.vPossible changes might be:Change the event an ongoing processStart with the form start with planningFocus on traitson behaviors (what he is)(what he does)Provide appraiser trainingCultural Issues 文化因素文化因素vCulture is a common excuse fornot setting up a performance management sy
27、stem(PMS)not optimizing the existing systemvPMS needs to be compatible with existing organizational culturevWhat is often overlooked is:PMS can help to drive change,which will lead to a new organizational culturevCheck your organization for readinessCriteria for an Effective Appraisal System好的表現管理制度
28、好的表現管理制度-標準標準vRelevance 關聯性vSensitivity 敏感性vReliability 可靠性vAcceptability 認受性vPracticability 可行性Critical Success Factors 成功要訣成功要訣vOpen,honest management style-high degree of trustvLine managers feel sense of ownershipvSupportive HR/personnel functionvSenior management support vBusiness plan-linked w
29、ith organisational goalsIdentification of Individual Work Outcomes(工作成果工作成果)and Performance Measures(量度量度標準標準)vBased on the Balanced Scorecard System 均衡績分表系統What is a Balanced-Scorecard均衡績分表均衡績分表?It is a new framework(Kaplan&Norton)integrating performance measures derived directly from business stra
30、tegy,which allows a company to:-translate its strategy into action;-turn measures into a performance management process.Barriers in Strategic Management(策略管理策略管理)of Organizational Performance(組織表現組織表現)The Management System:Vision are not actionable Strategy not linked to departmental and individual
31、goals Strategy not linked to resource allocation Feedback is tactical,not strategicBarriers in Strategic Management of Organizational Performance The Traditional Financial Measurement System:(傳統的財務管理)Retrospective Fail to predict future performance Plays down on strategic determinants for long-term
32、success Unable to measure and manage such determinantsWhat is a Balanced-Scorecard?How do customers see us?(customer perspective 客戶觀點)What must we excel at?(internal perspective 內部財務)How can we continue to improve and create value?(innovation&growth perspective 創新及不斷學習)The principal framework of the
33、 balanced scorecard allows managers to look at the business from four important perspectives:How do we look to shareholders?(financial perspective 財務方面)What is a Balanced-Scorecard?These four critical-success factors:Customer Satisfaction,Internal Business Process,Innovation&Learning of the Organiza
34、tion,plus Financial Perspective,are regarded as the drivers of future financial achievement for their significant impact on organizational performance.What is a Balanced-Scorecard?Customer Satisfaction 滿足客戶-to stay competitive,we need to satisfy our customers requirements.In a broad sense,customers
35、are mainly concerned about time,quality,service&cost;However,we must be sensitive to other value-added attributes,e.g.customers loyalty.The balanced-scorecard tends to focus on entirely new internal business processes generating most customer satisfaction and achieving the companys financial objecti
36、ves,e.g.core competencies,critical technologies needed to stay ahead of competitors.What is a Balanced-Scorecard?Internal Processes 內部業務:Once customer-based measures are formulated,companies must then identify what internalprocesses to excel in,in order to fulfill customers needs.What is a Balanced-
37、Scorecard?Innovation&Learning 創新與不斷學習:The companys ability to learn and improve continuously are crucial to its long-term success in the face of immense competition&fast changing customers requirements.The balanced-scorecard articulates and measures companys growth by bridging the organizational cap
38、abilities,such as people,system,and procedures,with what is required to achieve breakthrough performance.What is a Balanced-Scorecard?Financial Performance 財務方面:The balanced-scorecard also retains a financial dimension to measure and indicate whether or not the companys strategy,implementation and e
39、xecution are contributing to bottom line improvement.The balanced-scorecard allows the company to weigh short-term gains against long-term business development,and re-examine business strategy to achieve the right balance between bottom line and operational improvements.How Does a Balanced-Scorecard
40、 Translate Company Strategy into Action 均衡績分表如何實踐公司策略均衡績分表如何實踐公司策略By translating the vision and strategy so that it is understoodand can be acted upon.To be the best integrated refiner/marketer in the United States by efficiently delivering unprecedentedvalue to our customers.We achieve this mission
41、 by six strategic themes:An integrated business Reduce our cost structure Weed out under performing assets New sources of income Advance the focus of TQM Profitably increase scalePioneers Mission(使命)How Does a Balanced-Scorecard Translate Company Strategy into Action均衡績分表如何實踐公司策略均衡績分表如何實踐公司策略Pioneer
42、s Balanced Scorecard Strategic Objectives Strategic Measures 策略目標策略目標 量度標準量度標準FinCustInternal I&LFinancially strong.Return on Capital Employed.Delight the customer.Mystery shopper ratingWin-win relationship.Dealer/Pioneer Gross Profit Split.Safe&Relaible Mfg reliability indexCompetitive supplier Day
43、s away from work placeQuality Quality IndexMotivated&prepared Strategic competency availability How Does a Balanced-Scorecard Translate Company Strategy into ActionThe Revenue Growth Strategy“Improve stability by broadening the sources of revenue from current customers”The Productivity Strategy“Impr
44、ove operating efficiency by shifting customers to more cost-effectivedistribution channels”Improve ReturnsBroadenRevenueMixImprove operatingefficiencyIncrease cust.confidence in our fin.advice Increase cust.Satisfaction thru sup executionUnderstand customersegmentsDevelop newproductCross-sell thepro
45、duct lineShift to appropriatechannel Minimize problemsProvide rapidresponse Increase employeeproductivityAccess to strategicinformationDevelop strategicskillsAlign personalgoalsFinancial CustomerInternalI&LHow Does a Balanced-Scorecard Turn Measurement into Performance ManagementStrategic Objective
46、Strategic Measurements (Lag Indicators)(Lead Indicators)Fin.Customer Internal Learning Improve Returns Broaden Revenue Mix Reduce Cost Structure Return on Investment Revenue Growth Deposit Ser.Cost Change Revenue Mix Increase Customer Satisfac-tion With Our Product And People Increase Satisfaction“A
47、fter The Sale”Share of Segment Customer Retention Depth of Relation Satisfaction Survey Understand Our customers Create Innovative Products Cross-Sell Products Shift Customers to Cost-Effective Channels Minimize Opt Problems Responsive Service New Product Revenue Cross-Sell Ratio Channel Mix Change
48、Service Error Rate Request Fulfillment Time Product Development Cycle Hours with Customers Develop Strategic Skills Provide Strategic Info Align Personal Goals Employee Satisfaction Revenue per Employee Stgic Job Coverage Ratio Stgic Info Availability Rto Personal Goals Alignment (%)The measurement
49、system is the organizing framework for the mgt system.How does a Balanced Scorecard Translate Company Strategy into Action均衡績分表如何實踐公司策略均衡績分表如何實踐公司策略vExample:an Electronics CompanyVision “To diversify our customer base and become a competitive and reliable supplier to ANY potential customers”Translat
50、ion of Vision into Strategic Objectives“a competitive and reliable supplier”would meanvcost effectivevbetter product developmentvgood customer serviceTranslation of Strategic Objectives into Organizational Goals 組織目標組織目標&Measures 量度量度標準標準Strategic Perspective Organizational MeasuresObjectives GoalsC
