The Use of Performance Management - Case Study Example

The Strengths and Weaknesses of the Performance Management System of the Riyadh Council: An Empirical Study Introduction Although the use of performance management as an important tool for managing organisations has been evident since the 1800s, during the previous decades, the performance management of the public sector has transformed into one that emphasizes the measurement of outcomes as well as recognition and rewarding of results (Heinrich 2003). Many countries all over the world have authorized the development and implementation of performance measurement systems in public sector organisations such as the use of performance plans annually to measure goals and performance levels against the actual performance of public sector members (Radin 2000). The paper focuses on how the Riyadh City Council demonstrates their performance management practices and standards as they develop ways on improving necessary areas and responding to important issues. Research Context Performance management is primarily known to be a process that encourages collaboration for the members of the local administration. For the Riyadh City Council, they have encountered a number of concerns that must be addressed though performance management standards and practices. For instance, they have experienced problems with improving the methods for keeping up with rapid changes such as civilizational shifts or new lifestyles among community members (Al-Nuaim 2001). To consider services for health, safety, and security, housing plans, and preservation of the environment and historical sites has become a challenge for Riyadh’s local administrators. Moreover, most often, the public’s opinion on the policies implemented by the City Council as well as on the implementation of projects and activities, and the performance of the governing body, has created difficulties for mayors and the rest of the administration in developing their community (Al Riyadh 2004). Because of these, the Riyadh City Council has aimed to boost their performance by focusing on the capability of their workforce, enhancing their projects by being consistent with the community’s needs, and providing their administration with the necessary procedural and managerial specialisations. One weak point that the local city councils in Riyadh has demonstrated is that they are not very capable of integrating various departments for planning and implementation, hence, reducing their likelihood for accomplishing main goals. The Royal Decree No. 5 in Riyadh has mandated the division of municipalities and villages along with the regulations and functions that go with them. Although municipalities have been given administrative and financial autonomy with which authorities and obligations are extended, regional decentralization has not been fully achieved through the administrations’ actual performance. Moreover, mayors and deputy directors lack the proper guidance and follow-up measures in securing the coordination of administrative practices and activities, and maintaining a good level of performance and usage of performance management approaches. Research Aim The main aim of the paper is to determine the strengths and weaknesses of the performance management system of Riyadh City Council. Research Question What are the strengths and weaknesses of the performance management system of Riyadh City Council? Research Objectives 1) To determine the strengths and weaknesses of the performance management system of Riyadh City Council; 2) To ascertain which facets of the performance management system are correlated with overall perceived effectiveness of the system; and 3) To put forth recommendations for improving the performance management system of Riyadh City Council. Review of Related Literature The local and municipal government of Riyadh has aimed to improve and develop their local community by reaching out to the public as well as understanding and finding solutions to various problems. This ability occurs by allowing the local administration to interact with the community which brings about the effective involvement of citizens in relevant activities, thereby increasing the likelihood for national participation in the development process. In order to allow such circumstances to occur, there is a need to look into how the Riyadh City Council sets their standards for performance management as well as the actions that they take to generate favorable outcomes. Requisites of Effective Performance Management at Riyadh City Council To maintain a high level of performance management among the Riyadh City Council, it is of great importance that there is a common understanding among all parties involved, especially in the part of the administrators, with regards to their goals and priorities by means of communication and continual reviews of plans and goals (Ohemeng 2009). Moreover, expectations should be clear when it comes to their performance plans. Job descriptions should be improved in order for public sector employees to understand the roles that they will assume in serving the community (Halachmi 2011). Performance appraisals are also an important process for performance management as it allows organisational members to be aware of their strengths and weaknesses, thereby increasing the likelihood for enhancing certain areas of weaker points (Norman 2002). Those in the higher levels and have had more experience can also provide constructive feedback and coaching to further reinforce the accomplishment of goals by helping improve their members’ performance (Moynihan and Ingraham 2004). Defining the behaviours to be exhibited for successful performance can be achieved through constant learning and feedback. An organisational culture that focuses on growing and learning is more likely to effectively develop and manage performance. Nonetheless, performance planning and management have still been achieved through a number of ways in the Riyadh City Council such as through open and strong communications with departments that participate in service delivery and administration. For instance, the municipality of Riyadh arranges regular meetings with other region’s municipalities and discusses the concept of local performance and administration as well as the management methods applicable to the current and possible future issues (Al Riyadh 2004). Meetings such as these provide local administrators to interact and exchange ideas for community management and improving the performance of their local public sector employees toward the public, thereby significantly contributing to the administrative experience for overall management. The presentations provided in such meetings allow the Riyadh City Council to look at new approaches with which they can come up with appropriate decisions to enhance government work performance and respond to the population’s requirements. Discussing the management of their performance as administrators allows the governing body to identify the obstacles for local decision making regarding the management of cities, planning relevant activities, and focusing on the management of risks. This way, they can align their actual performance in accordance to the expectations of the community whom they have promised to serve. Reportedly, such meetings have had positive outcomes particularly manifested through their workers’ performance. The role of the mayor and other high ranking officials was also emphasized- that they should be actively involved in their city’s urban development. Through working papers, academic and practical information are presented to discuss possible various experiments and programs; gathering information can improve the performance of public sector employees and contribute to the motivation of citizens for their participation in community development (Ritz 2009). Furthermore, continuous provision of training opportunities for civil servants allow them to accomplish goals through the enhancement of competencies and increase of both general and specialized knowledge, increasing the possibilities of favorable solutions and innovations and motivating the public to establish trust towards these civil servants’ performance (Al Riyadh 2004). The Riyadh City Council has encountered a number of challenges to managing and monitoring performance as they lack consistent performance measurement standards with which performance plans and actual performance can be aligned with goals. Measurement of competencies is also strongly suggested as employees play the most important role in delivering services to the public and demonstrating the actual performance of the government; therefore, assessing the skills and behaviours which civil servants should possess and comparing these with actual performance can help enhance competencies and prevent future problems regarding public service delivery (Steijn 2004). According to Morton (2011), to effectively achieve performance management, there is a need for organisations to consider their processes as interconnected and that these should flow in congruence with each other to consistently meet objectives. Because performance management focuses on goal alignment, there is also a need to exhibit flexibility in establishing such goals and performing in accordance with these (de Waal and Counet 2009). Nevertheless, the Riyadh City Council has been able to achieve favorable outcomes by strengthening communications and utilising information to set standards for performance. Moreover, identifying relevant issues and coming up with possible solutions for such concerns can improve the administration’s performance with regards to community development (Hatry 1999). To live out a culture that is performance-driven that exhibits a high level of transparency and use systems that provide a view for expected and actual performance can shift the focus from individual performance alone to organisational and shared performance (Leisink and Steijn 2009). Methodolological Approaches and Considerations The study shall make use of an exclusively quantitative approach in addressing the research problem. The research design shall be descriptive-correlational, where the researcher will not intervene to change the levels of performance management within Riyadh City Council, but instead will observe the variables as they naturally transpire. In addition, the various facets of performance management shall likewise be correlated against evaluations of overall effectiveness. Purposive sampling shall be used to select the staff of the Council who shall be part of the sample proper. The inclusion criteria are as follows: 1) must be a staff of the Council; 2) have a minimum tenure of 1 year; and 3) must be willing to participate in the study. All statistical analyses, mainly composed of descriptive statistics and the Pearson correlation coefficient, shall be carried out through the Statistical Package for the Social Sciences (SPSS) version 17.0. References Al-Nuaim, A 2001, Management of cities and municipalities, Paper presented to: International Forum on Poverty “Productive and Exclusive Cities: Towards Cities for All”, Rabat, Morocco. Al Riyadh 2004, HH Secretary inaugurates regular meeting of mayors in gathered in Riyadh, Available at: http://www.alriyadh.gov.sa/ de Waal, A, and Counet, H 2009, Lessons learned from performance management systems implementations, International Journal of Productivity and Performance Management, vol. 58, no. 4, pp.367 – 390. Halachmi, A2010, Imagined promises versus real challenges to public performance management, International Journal of Productivity and Performance Management, vol. 60, no. 1, pp.24 – 40. Hatry, H 1999, Performance measurement: getting results, The Urban Institute Press, Washington, DC. Heinrich, CJ 2003, ‘Measuring Public Sector Performance and Effectiveness’, in Peters, G, and Pierre, J (eds.) Handbook of Public Administration, Sage Publications, London, pp. 25-37. 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