Performance Management in Action - Essay Example

CONTENTS PAGE LRQA..2 2. ISO 9001 and CMM/CMM3 3. Public-private partnership.4 4. LRQA appraisal method - CMM model..4 5. Best Practice appraisal and performance management techniques..6 6. Sources...11 1. LRQA LRQA guarantees the selection of suitably qualified individuals based on a thorough appraisal of their experience and qualifications. LRQA's internal systems have been intended to direct and evaluate assurance and certification assessments. This includes a review by senior management of the result derived from the procedure applied to the assurance of corporate reports. Lloyd's Register Quality Assurance (LRQA) is one of the world's oldest and most respected organizations in assisting customers use management systems to advance their business. LRQA is an auxiliary of Lloyd's Register of Shipping (LR), which was set up in 1760 as a world's top ship classification society. It now has 400 representative offices in 123 countries globally. LRQA was founded in 1985 to offer management system certification services. In 1986, LRQAbecame the first certification body to get the UKAS(UK) and the RvA (Dutch) approval for quality management systems (QMS) to ISO 9000 2. ISO 9001 and CMM/CMM CMM/CMMI are qualitative models offered at an abstract level which explains the attributes and key practices assumed at five stages, from the first stage typified by informal management practices and untidy processes through to the last level where continual development has become institutionalised. Like ISO 9001:2000, its intention is not to be regulatory in content but it advocates the advantages from officially defined processes producing data and metrics which drive constant improvement. The goal of both models is to encourage comprehension and maturity, where the organisation monitors its execution in a continuous cycle to better its services and products. Both models are similar in intent and in representing best practice; however there are disparities particularly in the formal evaluation process. ISO 9001 certified companies should meet the requirements of the standard and persist on doing so by undertaking routine surveillance, so as to guarantee that the results of the initial assessment stay valid. In contrast, the SEI characteristically requires just a one-off assessment in order to corroborate an organisation's maturity rating contending that once a company has sustained improvement entrenched within its culture then it shall continue to do so. On the other hand, CSC had become familiar to the benefits offered by its regular LRQA visits and feels that comparable benefits could be present through regular checks against the CMM. LRQA has offered its routine ISO surveillance activity to include the concern of the SEI CMM model criteria. The LRQA evaluator who is trained in the CMM model consequently takes this into account while looking at the every visit and references his findings within the evaluation report. 3. Public-Private Partnership A Public-Private Partnership (PPP) is a contract between a public agency (local, state or federal) and a private sector body. Through this agreement, the assets and skills of each sector (private and public) are shared in bring a service for the use of the common public. Concomitant to the sharing of resources, all party shares in the rewards and risks possibility in the delivery of the service or facility. The PPP form is a comprehensive form that is used by LRQA in approaching the evaluation. This form covers important aspects like Goal Setting; Performance Review; Training and Development Plan; Career Development and Progression; and a Summary that includes the manager's comments on overall performance review. 4. LRQA appraisal method - CMM model Since 2003, LRQA has been deploying the CMM model during its regular ISO 9001 inspection visits for CSC. This has seen LRQA adjusting its characteristic audit approach to also integrate assessment against CMM criteria. During the audit, the LRQA assessor uses CMM evaluation type techniques to collect data to judge observance with both ISO 9001 and the CMM. This technique includes review of certification and exhaustive interviews with proper staff including senior management, process owners as well as training department. For the CMM review, this characteristically includes evaluation of three projects, with each project taking a day. This involves each team coming up with a project documentation pack that is assessed by LRQA to confirm how well the data is complying with the process. Moreover, this gives the requisite preparation for the interview sessions. The objective is to judge how integrated the process is within the team which also offers invaluable input to the 9001 surveillance portion of the audits. The gains of this method are clear for CSC. It props up their activities in the area of CMM. "Organisations need to be assured that their suppliers and trading partners will continue to maintain their maturity rating. While the SEI hold rigorous checks of its lead assessors to ensure the quality of those undertaking formal CMM or CMMI assessments, CSC feels that the additional assurance provided by regular, independent audits can offer significant benefits," - Dave Wynn, Principal Quality Management Consultant for CSC. From an LRQA point of view, in very realistic terms it provides the assessor more prospects for information to be sought in a highly methodical and planned way, which results in the creation of a report that references CMM. "Increasingly companies are looking at how to drive improvement through their business processes. Many organisations, such as CSC are looking to build on the firm foundation that ISO 9001 has given their business and looking to other models to complement their approach. CSC has chosen LRQA as its certification partner in its global programme. It is hoped that as CMMI becomes more widely recognised globally, there will be an opportunity to roll out the combined surveillance approach trialled here in the UK." - Mike James, general manager of LRQA. The maturity level attained through a proper SCAMPISM * appraisal process gives recognition of accomplishment at a specific point in time. By deploying the ISO 9001:2000 surveillance process to complement the initial appraisal customers will have a greater degree of assurance that the organisation's systems would meet the requirements of the model. It is expected that a blended approach will be recognised by the authorization bodies. 5. Best Practice appraisal and performance management techniques The best practice appraisal and performance management techniques applied in the UK: Involves an ongoing procedure of goal-setting, planning, feedback and performance reassessment Is an series of discussions between employee and supervisor rather than an yearly event Concentrates on the future rather than the past Stresses on improving employee performance and career progression rather than employees' errors Is deployed as a tool to develop trust, communication and supervisor/employee relationships at every level organization Performance Appraisal Best Practices UK Companies with world-class performance evaluation systems usually engage in the following practices: Make performance assessment part of the culture. The CEO should model the performance appraisal behaviour with his direct reports. Relate performance evaluation to organizational aims. Devote time to education and training. Construct a system for the unique needs of the organization. Use performance evaluation to develop relationships between supervisors and employees. Use customized appraisal forms. Detach the performance review from compensation conversation. Implementing a Performance Management System Implementing an efficient performance management system necessitates four basic steps: 1. Employee and supervisor reciprocally agree on the job responsibilities, measurement criteria and goals. 2. Supervisor and employee should meet every one or two months to evaluate the progression of goals. 3. Supervisor and employee recognise areas for development and supervisor offers extra coaching and resources. 4. Supervisor and employee mutually agree on expectations versus performance and start planning for the next year. Experts advocate a five-step process for performance review: 1. The primary objectives are to assess performance over the preceding period, talk about any "leftover" issues and map the future. 2. Both supervisor and employee should prepare a rough draft assessment as well as any questions to be discussed. 3. Supervisor should recognise what he needs to learn and convey to the employee. Produce a list of open-ended questions to make the employee talking during the course session 4. Check attitude. Is the review a part of performance management process or is it just an obligation 5. Select the appropriate place and time. Plan an hour of uninterrupted time-if possible outside the office. Creating a Customized Appraisal Form Keep away from standardized performance appraisal forms. In its place, make your own customized form that: Fits the exclusive needs of the organization and the performance appraisal system Correctly documents job-based understanding that grows between supervisor and employee Offers easy-to-reference data to correctly guide the future development of the staff Is flexible Concentrates more on the future. Armstrong and Baron (2004)emphasize that performance management is an instrument to guarantee that managers manage efficiently effectively. Also, they have to make sure that the teams they manage: understand and know their job responsibilities have the skill and the wherewithal to deliver on the expectations are supported effectively by the organisation to meet these expectations and are given feedback regarding their performance have the opportunity to talk about and add to individual and team objectives and aims. It is also about making sure that those managers are themselves conscious of the impact of their personal behaviour on the people they administer and are encouraged to show positive behaviours.1 6. Sources Read More