CORPORATE LEADERSHIP COUNCIL

LITERATURE REVIEW

Successful Performance
Management Principles
October 1998

· What are the failings of traditional performance management systems?

· What principles lead to successful performance management systems?
· What are the critical issues for performance management
implementation?

This project was researched and written to fulfill the specific research request of a single member of the Corporate Leadership
Council and as a result may not satisfy the information needs of other members. In its short answer research, the Corporate
Leadership Council refrains from endorsing or recommending a particular product, service or program in any respect. Sources
are contacted at random within the parameters set by the requesting member, and the resulting sample is rarely of statistically
significant size. That said, it is the goal of the Corporate Leadership Council to provide a balanced review of the study topic
within the parameters of this project. The Corporate Leadership Council encourages members who have additional questions
about this topic to assign custom research projects of their own design.

Catalog No.: 070-213-162

 New Performance Management Principles
October 1998

Table of Contents

EXECUTIVE SUMMARY 1
The failure of traditional performance management systems, characterized by retrospective,
single-source appraisals, is forcing companies to eliminate their processes or revamp these
traditional systems with new performance management principles. Organizations should focus their
greatest efforts on aligning systems with business strategy, attaining senior management support
and training evaluators in feedback and coaching to create a dynamic and valuable performance
management function.

FAILINGS OF TRADITIONAL PERFORMANCE MANAGEMENT 4

Managers and subordinates convey negative attitudes concerning the current state of performance
management. Evidence presented below can indicate to companies that their programs are merely
annual routines with no significant impact upon organizations.

FOCUSES ON RESULTS RATHER THAN BEHAVIORS 5

ADDRESSES VAST AND COMPLEX INFORMATION 6
LACKS BALANCE BETWEEN DEVELOPMENT AND APPRAISAL 7
LACKS OWNERSHIP AMONG SENIOR AND LINE MANAGEMENT 9

NEW PERFORMANCE MANAGEMENT PRINCIPLES 10

Rather than eliminate performance management from organizations, companies can utilize the
following strategies to revitalize systems and have significant, positive impacts on performance.

ALIGN WITH OVERALL BUSINESS STRATEGY 11

ENSURE EFFECTIVE FEEDBACK AND COACHING 14
PROVIDE COMPANY-WIDE TRAINING 16
STRIVE FOR FLEXIBLE CONSISTENCY 18
FORMULATE AN EFFECTIVE EVALUATION FORM 19
UTILIZE MULTI-RATER FEEDBACK 20

CRITICAL ISSUES FOR PERFORMANCE MANAGEMENT IMPLEMENTATION 21

As discussed briefly in previous sections, the following issues are of particular concern to human
resources professionals when implementing new performance management systems.

TRAINING AND PERFORMANCE MANAGEMENT 22

GLOBAL ADMINISTRATION OF PERFORMANCE MANAGEMENT 25
360-DEGREE REVIEWS AND PERFORMANCE MANAGEMENT 27
 CORPORATE LEADERSHIP COUNCIL
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EXECUTIVE SUMMARY

In many organizations traditional performance management has fallen into disrepair. Designed as a tool
for development, motivation and recognition of achievement, the system has, in some companies,
unfortunately evolved into more of an annual routine than a process bearing significant impact. In such
situations, performance management processes are not only dreaded by managers and subordinates alike,
but constitute a significant expense for companies. The first section of this report focuses on the
characteristics common to ineffective performance management programs; these pitfalls are briefly
summarized below.

Failings of Traditional Performance Management

œ Focuses on results rather than behavior—Organizations often place inordinate

emphasis upon production numbers when making compensation and promotional decisions
and ignore the behaviors that lead to end results. Such practices can promote actions that
are inconsistent with corporate culture or that display marginal ethics.
œ Addresses vast and complex information— Rather than focus upon issues of strategic
value, many performance management systems inundate employees with detailed
operational feedback; developmental information should focus on areas that significantly
influence overall business goals.
œ Lacks balance between development and appraisal— Performance management
systems provide evaluation, appraisal and developmental data; organizations often fail to
emphasize developmental aspects, creating programs that are purely retrospective in nature
and promote a negative atmosphere.
œ Lacks ownership among senior and line management— Human Resources often
assumes responsibility for performance management systems due to their relation to human
assets; however, line management should internalize systems as management processes and
utilize Human Resources as internal consultants. Additionally, companies must ensure that
senior management supports performance management initiatives, perceives those
initiatives as valuable and models targeted behavior in relation to systems. Without this
commitment, credibility of systems will suffer throughout organizations.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 2
OCTOBER 1998

In the face of this difficult situation, many organizations have entertained the idea of eliminating
performance management altogether. However, literature suggests that addressing the problems of
traditional programs and implementing new principles can reshape performance management from its
ineffective condition into a truly valuable function. The second section of this report addresses these
solutions in depth; a summary of these new performance management principles is presented below.

New Performance Management Principles

œ Align with overall business strategy—Organizations should establish goals and identify
key behaviors and skills for performance management that support the strategic goals of
business units and whole corporations; additionally, performance management systems
should align with the goals of all other systems within organizations.
œ Ensure effective feedback and coaching—Emphasize coaching as the driving force
behind effective performance management systems and support that sentiment through
evaluator training and communication of program value.
œ Provide company-wide training—The most important initiative related to effective
performance management is the provision of training for all system participants; such
efforts communicate the importance of programs to workforces, enable managers to
properly deliver feedback and encourage ongoing communication between managers and
subordinates.
œ Strive for flexible consistency—Companies should strive to maintain consistent
performance management principles across the organization while allowing business units
enough flexibility to utilize systems most appropriate for differing workforces. This can be
accomplished by providing business units a “toolbox” of available performance
management options from which they can build appropriate systems.
œ Formulate an effective evaluation form—Ineffective evaluation forms undermine the value of
feedback in well-designed performance management systems. Additionally, organizations must
maintain objectivity when formulating this document to avoid legal complications.
œ Utilize multi-rater feedback— As increasingly interdependent workplaces have
rendered traditional manager-subordinate reviews ineffective, corporations should include
feedback from all parties related to individual employees. However, organizations should
be aware of two complicating factors related to multi-rater feedback:
Ø Can create an abundance of information
Ø Can be difficult to utilize data for compensation decisions
due to the possibility of rater bias
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 3
OCTOBER 1998

While all of the principles presented on the previous page are important for successful performance
management design and implementation, three issues are essential for organizations to achieve
significant performance improvement in a modern business environment. The final section of this report
discusses in detail the concepts presented below.

Critical Issues for Performance Management Implementation

œ Training—Training of all performance management participants is essential to the

success of performance management initiatives. Effective training programs build
credibility for programs and encourage effective feedback and coaching processes.
œ Global administration—Organizations need to maintain consistency in performance
management principles at corporate levels while allowing individual business units the
flexibility to adjust for regional and cultural differences. Companies can effectively
implement successful global systems through the following steps:
1) Implement standardized global performance management guidelines but assist
localities in customizing systems to unit idiosyncrasies
2) Allow individual localities to maintain ownership of communication processes
surrounding performance management
3) Standardize components of pay-for-performance systems within legal
limitations
4) Standardize compensation procedures in relation to global teams
œ 360-degree reviews—Multi-rater feedback provides organizations numerous advantages
within performance management; multiple perspectives ease the acceptance of performance
criteria, provide a more consensus-driven view of performance and encourage open
discussion between managers and subordinates. However, conflicts of interest among
raters create significant complications when attempting to connect 360-degree reviews with
compensation decisions.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 4
OCTOBER 1998

Failings of Traditional Performance Management

An examination of characteristics and common elements

of ineffective performance management systems
 SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 5
OCTOBER 1998

FOCUSES ON RESULTS RATHER THAN BEHAVIORS

Topic Summary
By emphasizing end results in the performance management process and ignoring the means to
those results, companies can ultimately reward employees who display behavior inconsistent
with corporate culture and ethics. Companies should strive to link compensation and
promotion decisions to employees’ production and their underlying behaviors and actions.

“Respondents generally saw While organizations may believe that their performance management programs
a strong link between pay
review both behaviors and results, employees often feel that systems focus solely
and the objectives they
achieve, but…only a weak
on the latter measure; such practices promote an “ends justify the means”
link between pay and their mentality that can lead to unethical behavior for the purpose of improving
behavior.” individual performance assessments. Additionally, companies reinforce this
SHRM/DDI Study, mentality by linking performance management results with compensation and
“Performance Management” promotion decisions.

Companies can attempt to alleviate this problem through the following efforts:

Ø Include performance categories specifically devoted to behavioral aspects of employee

achievement and legitimize this action by giving behavioral and “bottom-line” measures
equal weight within the system
Ø Establish an explicit link between performance appraisal and compensation/promotion
decisions and effectively communicate this connection to all involved parties
Ø Minimize “judgement” of bottom-line achievements, instead focusing on forward-looking
value and growth strategies
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 6
OCTOBER 1998

ADDRESSES VAST AND COMPLEX INFORMATION

Topic Summary
Companies should focus on specific job competencies that contribute to the accomplishment of
strategic business goals when designing performance evaluation criteria. Such a practice
prevents an accumulation of insignificant data and creates a stronger link between individual
employees and overall company success.

Many performance management processes review all aspects of employee performance, whether
strategically valuable or merely operational. By including measurements of daily activities and other
minutia, companies overload the performance management system, causing the detrimental effects
presented below.

Ø Essential job functions receive consideration incongruous with their actual importance to
organizational performance
Ø Complex information hinders communication between supervisor and subordinate—
Managers and direct reports process information from different perspectives and enter that
information into their personal models of thinking. The use of complex information greatly
increases the opportunities for miscommunication and disagreement among participants in
the performance management process.

When developing performance review criteria, companies should identify essential job priorities and
success factors that support those priorities. Subsequently, evaluators and employees can create
development plans that encourage strategic competencies and behaviors. By focusing on a small number
of key strategic objectives that contribute to the overall goals of the business unit and corporation,
organizations can maintain performance management systems with the following characteristics:

X Act as an integral part of strategy management

X Demand respect within the organization—thus enhancing their overall effectiveness
X Increase employee empowerment—each employee will contribute directly to strategic
business goals through performance objectives
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 7
OCTOBER 1998

LACKS BALANCE BETWEEN DEVELOPMENT AND APPRAISAL

Topic Summary
Companies can maintain effective performance management systems with or without a formal
link to compensation and promotion decisions. However, regardless of their relation to
compensation, the systems must emphasize development in order to remain dynamic and
forward-looking.

Significant debate exists concerning whether organizations should link compensation to performance
improvement initiatives. While compensation can provide necessary motivation to employees to take
performance management systems seriously, it can also overshadow and ultimately hinder developmental
efforts by focusing an inordinate amount of attention upon appraisal processes.

A performance management system can serve both development and compensation goals effectively, but
each function requires separate emphasis and communication in order to develop, motivate and reward
employees properly. To ensure effective results companies should follow the guidelines presented below
when creating performance management systems.

œ Companies must emphasize the developmental aspects of performance management—

While a link to compensation promotes performance management’s motivational facet, a
meaningful performance improvement process must be present in order to develop
employees’ skills effectively. Without this balance, performance management systems
devolve into perceived control mechanisms, creating an oppressive and retrospective
atmosphere during appraisal periods. Organizations can emphasize the importance of
employee performance development in the following ways:1

v Communicate that the prospective and ongoing nature of development provides more
strategic value than does appraisal
v Deliver messages concerning appraisal continuously throughout year, thereby
allowing employees to internalize those messages and create a platform for next
steps in improvement
v Provide frameworks, processes, skills and rewards necessary for managers to
develop subordinates
v Make performance management a collaborative effort that encourages development
tied to strategic goals

1
Gerard Egan, “A Clear Path to Peak Performance,” People Management (18 May 1995): page unknown.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 8
OCTOBER 1998

œ Performance management can thrive without a link to compensation—Literature indicates

that compensation is not a necessary motivational presence within performance management
systems. However, companies that do not link the process with compensation require
significant support and modeling from senior management to emphasize the importance of
the system and ensure effectiveness.

œ A distinct separation must exist between development and appraisal—Organizations should

not communicate developmental and appraisal systems simultaneously, but choose instead to
handle these areas separately. Instituting separate performance management and
performance appraisal meetings between supervisors and subordinates disconnects the
processes in the minds of employees. This allows companies to maintain the pay-for-
performance link while avoiding a sense of oppression that may evolve when compensation
obscures developmental initiatives.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 9
OCTOBER 1998

LACKS OWNERSHIP AMONG SENIOR AND LINE MANAGEMENT

Topic Summary
Ownership of the performance management system by Human Resources conveys to the
workforce that the process is a “necessary evil.” By shifting ownership to senior and line
management, organizations can effectively communicate the importance of the process and
allow employees at all levels to identify with the system.

Performance management processes are subject to potential failure at both the senior and line
management levels. Both portions of the workforce must accept accountability for the program and
assume specific roles within the system, such as communicators and trainers, to ensure success;
appropriate roles and actions are presented below.

ü Senior Management—The attitudes and practices of senior management in their daily

activities must model the principles of the performance management system in order for the
workforce to perceive the system as valuable. A lack of commitment from this group strips
performance management of credibility and meaning across the entire organization.
ü Line Management—Performance management should be used as a management tool to
facilitate people development across the company and at all levels; this approach can lead to
improved performance on an individual and business level. Along with ownership of the
process, management should be held accountable for use and continual improvement of the
system.
ü Human Resources—Human Resources should not be the principle owner of the performance
management process simply because the process concerns human assets. Rather, HR can
contribute to performance management in a consultative role, challenging cultural issues that
threaten the perceived importance of the program.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 10
OCTOBER 1998

Successful Performance Management Principles

A discussion of concepts concerning performance management

design and implementation that facilitate program success
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 11
OCTOBER 1998

ALIGN WITH OVERALL BUSINESS STRATEGY

Topic Summary
Organizations need to ensure that the goals of the performance management system and the
developmental goals of participating employees align with both the overall business strategy
and the goals of separate business units. Such tactics increase efficiency and allow employees
to observe how their actions contribute to business success.

Organizations must realize that performance management systems do not exist in a vacuum; rather, the
processes coexist with other functions and concepts within the company, making alignment with the
goals of these functions necessary for organizational success (these relationships are illustrated in the
graphic below). Put simply, companies must ensure that all processes work toward the same strategic
goals and provide mutual support to avoid inefficiencies and/or negative effects on the bottom line.

Alignment of Performance Management

Performance Management System

Concepts Functions
§ Corporate culture § Selection
§ Corporate values § Training and development
§ Standards of conduct § Business planning

Subsequent to performance management and business strategy alignment, organizations must

consistently evaluate their performance management processes to ensure maximum effectiveness and
efficiency. This review should include a re-examination of organizational core competencies and
capabilities, as well as the level of alignment between the performance process and overall business
objectives. Companies can obtain this information concerning competencies through regularly scheduled
focus groups, surveys and interviews with key stakeholders in the performance management process.
Such an evaluation provides the following benefits:

X Promotes and maintains a dynamic and progressive direction for the performance
management system
X Ultimately links vision of each employee’s development to organizational vision
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 12
OCTOBER 1998

The process presented below outlines how companies can ensure that their performance management
system will not contradict corporate culture or any core competencies of the organization.

Aligning Performance Management and Overall Business Strategy2

Define corporate culture and organizational competencies as driving forces in company

Step 1
growth—Determine actions and behaviors necessary for corporate success

Create corporate development language—Establish actions and behaviors as dimensions by which

Step 2
the company will measure employee performance, in addition to specific business objectives

Match employee objectives to business strategy objectives using top-down process—Ensure that
Step 3 development goals for all employees align with strategic business objectives as performance
reviews move downward through employee levels

Align objectives horizontally—Work across the company to integrate the objectives of departments
Step 4 that interface and interact to achieve common goals

Mandate training for all employees—Increase understanding of the performance management

Step 5 system at every employee level within the organization

Set and review performance objectives—Utilize multi-rater reviews and schedule ongoing
Step 6 individual meetings with supervisors to define and redefine attributes necessary to achieve
objectives

Review process—Make (necessary) adjustments and corrections to the performance management

Step 7
system on a regular basis in order to keep the system dynamic

2
Karen Mailliard, “Linking Performance to the Bottom Line,” HRFocus (June 1997): page unknown.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 13
OCTOBER 1998

Case Study Highlight

Warwick, Rhode Island-based Metropolitan Property and Casualty Company decided
to revise its performance appraisal system in order to align it more closely with the
company’s objectives and strategy. To begin the process, the company established focus
groups to review and evaluate the existing system. Using the information gathered from
the focus groups, an employee-management team created a new performance evaluation
system. Under the new system, top management reviews its organizational goals and
strategies with all employees at the beginning of each year. Then, each employee
develops a personalized achievement plan stating employee expectations—including
personal action plans and effectiveness indicators—for the year.
Source: Peter Allan, “Designing and Implementing an Effective Performance Appraisal System,” Review of Business
(Winter 1994): page 7.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 14
OCTOBER 1998

ENSURE EFFECTIVE FEEDBACK AND COACHING

Topic Summary
An absence of effective feedback and coaching allows performance management to devolve
into mere performance appraisal, by itself a retrospective process. Companies should
recognize feedback and coaching as the driving force behind employee development, and
implement training and communication efforts to ensure effective practices.

As expressed in preceding pages, providing effective feedback during the review process and establishing
ongoing coaching for development are perhaps the most integral aspects of successful performance
management programs. However, in reality these are areas of glaring failure for most performance
management systems. Respondents from the SHRM/DDI study provide the following criticisms of
coaching and feedback:3

Ø Less frequent than desired

Ø Unbalanced when identifying strengths and improvement opportunities
Ø General and unrelated rather than specific and objective

Feedback and coaching should be the driving forces behind a dynamic performance management system.
Significant efforts in this area convey a forward-looking, progressive attitude in relation to the process,
rather than the stagnant and retrospective atmosphere associated with appraisal. Organizations should
consider the following suggestions and considerations when attempting to improve these functions:

ü Utilize training and communication—Through increased training for managers and

consistent communications efforts, companies can emphasize the importance and value of
feedback and coaching, thereby improving those areas in practice

ü Encourage ongoing employee evaluations—Supervisors should review the skills of

subordinates from a developmental perspective on a regular basis, thus ensuring continuous
feedback

ü Utilize the most effective coaching sources—Employee coaches do not necessarily have to be
managers; team leaders, designated counselors, mentors and unit coordinators are just a few
examples of other parties that can assume the performance improvement role. Companies
should provide effective training regarding feedback and coaching to whomever accepts this
responsibility.

3
Author Unknown, “Performance Management,” Compensation and Benefits Review (May/June 1994): page unknown.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 15
OCTOBER 1998

ü Reduce length of review periods—Shorter review periods provide a number of benefits to the
performance management system, including the following:
· Ensure more consistent and frequent feedback
· Provide feedback more relevant to recent performance
· Result in more realistic and attainable goals

ü Emphasize overall benefits—Effective feedback and coaching results in improved corporate

performance and efficiency as well as a more effective performance management process;
communication of all potential benefits can increase employee commitment to feedback
processes.

Case Study Highlight

Ensoniq Corporation, a small manufacturer of electronic musical instruments, believes
that the purpose of performance measurement and review is to provide a dialogue between
the employee and supervisor aimed at improving the employee’s performance. Employee
reviews occur every four months and are based on both qualitative and quantitative
measures. Employees also receive immediate and direct feedback through statistical
quality control methods.
Source: Peter Allan, “Designing and Implementing an Effective Performance Appraisal System,” Review of Business
(Winter 1994): page 7.

Case Study Highlight

Bank of America places considerable emphasis on communication between manager and
subordinate in each phase of the performance evaluation process:
Ø Unit managers work closely with subordinates to develop their performance
goals based on the goals of the unit
Ø Managers observe and talk with each subordinate, providing feedback and
assessments of performance during periodic meetings
Ø Subordinates receive formal evaluations annually. Managers and subordinates
jointly discuss strengths and suggested performance improvements

Source: Peter Allan, “Designing and Implementing an Effective Performance Appraisal System,” Review of Business
(Winter 1994): page 7.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 16
OCTOBER 1998

PROVIDE COMPANY-WIDE TRAINING

Topic Summary
The skills necessary for effective participation in performance management systems, such as
feedback processes for managers, are often not inherent to individual positions. Companies
should provide training in performance management administration to all levels of employees
to ensure that all participants understand their roles within the system.

Actual performance development depends heavily upon the ability of supervisors to counsel
subordinates. However, the skills required for effective coaching and feedback are often not what
companies consider “traditional management” skills; therefore, managers are often underdeveloped in
these areas. Training for appraisers should address the communication and process skills needed for the
following functions:4

“Proper training at all levels of

an organization ensures a
highly effective performance
management system.”
“Performance Management”
Compensation and Benefits
Review
œ Coaching and counseling
œ Corrective and confirmatory feedback
œ Debate and conflict management
œ Innovative dialogue

Training in similar areas for subordinate employees is also essential, as well as education concerning
effective methods for receiving constructive criticism, providing upward feedback and setting appropriate
developmental goals. Providing training for all employees offers the following benefits:

v Increases sense of ownership regarding performance management among the workforce and
allows supervisors and subordinates to work from shared learning experiences
v Increases mutual trust and respect between supervisors and subordinates, opening
communication and improving performance management

4
William S. Hubbartt, “Bringing Performance Appraisal Training to Life,” HRMagazine (May 1995): page unknown.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 17
OCTOBER 1998

Literature recommends utilizing the training tactics presented below in order to impart necessary
performance management skills to supervisors.5

Ø Use actual work issues and problems—Helps make performance management relevant to
trainees and can serve to stimulate solutions for problems participants will actually face
Ø Teach in phases—Involve the following performance management steps:
§ Job definition
§ Goal setting
§ Performance measurement
§ Appraisal discussions
§ Compensation correlation (if applicable)
Ø Use case studies for discussion—Prompting participants to discuss actual work issues and
situations in small group case studies allows them to apply company policies and newly
learned performance management techniques to real-life situations
Ø Use role response and role-plays—These practices acclimate employees to the dynamic
interpersonal exchange characteristic of effective performance management systems;
additionally, management can receive first-hand experience concerning difficult
conversational situations.
Ø Cover “what ifs”—Address all questions that commonly arise during performance
management reviews and discussions
Ø Explain legal issues—Ensure that all employees have a basic understanding of equal
employment opportunity and other labor laws that affect employment decisions; trainers
should communicate the real potential for legal recourse concerning appraisal decisions
without entering highly technical legal issues.

5
Hubbartt, page unknown.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 18
OCTOBER 1998

STRIVE FOR FLEXIBLE CONSISTENCY

Topic Summary
When designing performance management systems, organizations must balance the need for
consistency with the varying requirements of differentiated business units. Companies can
achieve this balance by establishing centralized guidelines for performance processes while
allowing business units the freedom to design a customized program within those boundaries.

Organizations maintaining differentiated business units often encounter difficulty when attempting to
align performance management with business strategy. While the concept of a single, consistent process
is attractive, a “one size fits all” approach can lead to a performance management system devoid of
meaning and impact.

Corporations need to balance local and corporate performance management needs; to do so, companies
can set general guidelines while allowing individual units freedom to construct their own performance
management system within these standards. Centralized guidelines can address general performance
management considerations such as the following:

Ø Schedule of performance management events (e.g., annual appraisal meetings, quarterly

developmental reviews)
Ø Methods and processes for obtaining feedback concerning employee performance
Ø Sources of feedback concerning employee performance
Ø General attributes consistent with corporate culture and suitable for measurement on all
employee reviews
Ø Rating scales

By providing options in performance management components that serve corporate goals, individual
business units have more flexibility to construct customized systems that satisfy local needs. Instituting
the “hybrid” system described above yields two additional advantages:

X Heightens business unit motivation—Providing this flexibility increases empowerment and

ownership of the performance management process at the business unit level; as discussed in
previous sections, this can make the system more meaningful and productive.
X Facilitates knowledge management—By allowing Human Resources to serve as a central
source of information, organizations can document innovative ideas and share them with
separate units to encourage creative and effective concepts. The department can survey
various customized practices and subsequently catalog and disseminate innovative
applications that may facilitate performance management in other areas of the company.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 19
OCTOBER 1998

FORMULATE AN EFFECTIVE EVALUATION FORM

Topic Summary

A well-designed performance management system will still fail to provide informative feedback
without an effective evaluation tool, often a form with which to convey written feedback.
Additionally, evaluation documents carry legal implications, especially when performance
management is linked to compensation; therefore, organizations should strive to maintain
objective ratings throughout the evaluation form.

In addition to addressing the larger design and implementation issues surrounding performance
management, organizations should address the design of the evaluation form itself. Ineffective review
documents can limit the amount and value of feedback employees receive through the performance
management system. Additionally, these forms can pose significant legal implications for companies,
especially when linked with compensation and promotion decisions. Literature advises employers to
consider the following concepts when formulating performance management and appraisal documents:

X Allow for customization among business units and/or specific positions—Generic

evaluation forms often fail to provide the specificity necessary to accurately measure
performance for a specific job; additionally, the same sentiments can apply to highly
specialized business units or functions.6 In these situations, organizations should utilize one
of the following options:
· Design customized performance evaluations in accordance with job description or
business unit function
· Allow business units to utilize supplemental evaluations, specific to specialized
positions and functions, in addition to standard forms

X Strive for objective descriptors—Incorporate performance categories that are work-related

and measurable in order to avoid feelings of bias and inequity among the workforce;
performance measures should focus on work performed, effectiveness on the job, work
behaviors and job-related activities.7

X Establish “standards” of performance—Companies should implement ratings scales, such

as a five-point Likert scale or graphic rating scale (i.e., least desirable to most desirable),
rather than judgement-oriented scales that evaluate in terms of “average” and “below
average.”8 The latter type of ratings can threaten employees and hinder the benefits of
constructive feedback.

X Provide opportunities for written feedback—Regardless of document format, organizations

should allow for written feedback, concerning both employee performance and effectiveness
of the performance management system.

6
Peggy Anderson and Marcia Pulich, “Making Performance Appraisals Work More Effectively,” Health Care Supervisor
(June 1998): page unknown.
7
Thomas C. Timmreck, “Developing Successful Performance Appraisals through Choosing Appropriate Words to Effectively
Describe Work,” Health Care Management Review (22 June 1998): page unknown.
8
ibid, page unknown.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 20
OCTOBER 1998

UTILIZE MULTI-RATER FEEDBACK

Topic Summary
Obtaining feedback from multiple sources provides organizations numerous advantages, such
as a more balanced view of employee performance, dispersed sources of employee motivation
and an informative process for assessing team performance. However, companies must choose
the number and type of raters carefully to avoid an overabundance of information.

The use of multi-rater reviews, such as 360-degree evaluations, is becoming increasingly prevalent and
necessary within effective performance management systems. Important aspects of the multi-rater
concept will be discussed later,* however, it is important to note that these types of reviews provide the
following benefits:9

œ Provide a more accurate view of employee performance—Input from a variety of sources

renders a more balanced view of performance; additionally, managers often have spans of
control too large to report accurately on overall employee performance.
œ Encourage consistent effort in all areas of employee responsibility—Feedback solely from
management can cause employees to perform only those tasks that please their managers;
multiple raters increase the likelihood of “well-rounded” effort.
œ Allow for effective team-performance review—The increasing use of team-based work
necessitates input from various sources. Additionally, the responsibilities of work teams can
span various functions; performance reviews should expand laterally to reflect performance
more accurately.

When utilizing multi-rater reviews, companies should obtain feedback only from key stakeholders in that
employee’s performance, such as supervisors, direct reports and internal and external customers; this
practice helps to avoid an inundation of information into the performance management process.

* Pages 27 to 32.
9
Richard Lepsinger and Anntoinette D. Lucia, “360-Degree Feedback and Performance Appraisal,” Training (September 1997):
page unknown.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 21
OCTOBER 1998

Critical Issues for Performance Management Implementation

A detailed consideration of issues of utmost importance when

implementing performance management systems
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 22
OCTOBER 1998

TRAINING AND PERFORMANCE MANAGEMENT

Topic Summary

An emphasis on consistent and continual training concerning performance management

administration is essential to maintaining a meaningful, productive and enduring process.
Training programs that accomplish these goals generally include the following characteristics:
Ø Processes to educate and motivate all levels of employees concerning performance
management processes and goals
Ø Formal and informal training opportunities to communicate essential performance
management information consistently across the company and to provide forums
for targeted training
Ø Formalized procedures to assess the effectiveness of performance management
training and to identify areas for improvement

As mentioned previously, training for all employees ranks as an essential component of successful
performance management systems. Well-designed and comprehensive training programs promote the
credibility of performance management within the company and encourage ongoing feedback and
coaching efforts, which in turn aid the long-term health of the process. Additional benefits of
performance management training are presented below.10

œ Promotes consistency across management in the application of performance management

procedures
œ Increases understanding of performance management importance for both the business and
individual employees

10
Corporate Leadership Council, Training Leaders in Performance Management Processes, Washington:
The Advisory Board Company, November 1997: page 4.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 23
OCTOBER 1998

Companies profiled in past Corporate Leadership Council research indicate that adhering to the
following four steps will facilitate the design and implementation of effective performance training: 11

1) Secure buy-in from all employee levels—Achieve support regarding the importance of
performance management to motivate all employees to pursue training opportunities with
enthusiasm.

TACTICS TO SECURE PERFORMANCE MANAGEMENT BUY-IN

Tactic
Company-Wide Training
Train all salaried employees on
performance management
processes in same sessions
Autonomous Trainers
Train line employees and
managers to be performance
management trainers
Link to Business
Performance
Emphasize impact of
performance management on the
bottom line
Advantages Disadvantages
§ Ensures consistent § Entails difficult
understanding of process implementation in large
measurements and goals organizations due to
§ Prevents any feelings of staffing and time
exclusion from the process constraints
§ Increases sense of
ownership
§ Requires significant time
§ Allows for peer training,
investment to “train the
which can be more
trainers”
effective due to familiarity
with work environment
§ Communicates role in
business strategy § Lacks formal enforcement
§ Promotes importance of mechanisms
overall process

2) Construct a formal training program—Emphasize hands-on activity and application of

performance management processes; these efforts can increase retention of information
presented in initial training efforts.

FORMAL PERFORMANCE MANAGEMENT TRAINING TACTICS

Tactic
Behavioral Interviewing
Train managers to effectively
solicit performance information
through interview process
Performance Workbooks
Provide workbooks to guide
managers through performance
management training
Case Studies/Role Plays
Divide employees into small
groups and administer actual
performance situations
Advantages Disadvantages
§ Standardizes method of
§ Requires dedication of
gathering performance
management for success
data
§ Provides a more
§ Requires significant time
interactive method of
investment to assemble
learning
effective workbook
§ Promotes discussion
§ Provides “hands-on” § Requires trainers to
method for training actual facilitate the process
performance related issues within each group

11
ibid, pages 5-18.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 24
OCTOBER 1998

3) Provide opportunities for self-led and informal training—Encourage follow-up to training

and address individual training needs to ensure that performance management information is
assimilated into the organization.

INFORMAL PERFORMANCE MANAGEMENT TRAINING TACTICS

Tactic
Targeted Training
Managers request training in
specific aspects of performance
management, either for
themselves or their employees
Electronic Publishing
Human Resources posts on-line
versions of performance
management material
Advantages Disadvantages
§ Places onus for continued
§ Addresses specific issues
training on managers, with
in greater detail than
no enforcement
general training
mechanisms
§ Hinders continued
communication between
§ Allows easy access to supervisor and subordinate
information for large concerning performance
number of employees by decreasing the necessity
to converse with
supervisor

4) Implement evaluation and feedback mechanisms—Ensure ongoing evaluation of training

effectiveness and swift resolution of training inadequacies related to performance
management administration.

PERFORMANCE MANAGEMENT TRAINING EVALUATION

Tactic
Level-Four Evaluation
Examine training effectiveness
from direct job applicability
through return on investment
Performance Audits
Human Resources reviews
sample of employee
development plans for accuracy
and relation to business strategy
Advantages Disadvantages
§ Provides aggregate,
§ Involves time-consuming
quantitative information
and complex
useful in measuring
implementation and
success factors and
analysis
improvement areas
§ Involves time-consuming
§ Provides method for
and complex
targeting specific
implementation and
weaknesses in training
analysis
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 25
OCTOBER 1998

GLOBAL ADMINISTRATION OF PERFORMANCE MANAGEMENT

Topic Summary
Global administration of performance management revolves around the balance between
corporate consistency and business unit flexibility. By centralizing performance management
principles while allowing customization within those guidelines, corporations can satisfy both
corporate and business unit needs and maximize performance.

While it is important to maintain consistency across individual business units concerning performance
management processes, the need to implement appropriate systems within each unit weighs heavily as
well. Corporate culture and overall business strategy are two characteristics that can vary widely among
operating units, especially in global organizations. As these considerations also contribute greatly to
effective performance management programs, companies should provide some flexibility within the
organization to formulate customized performance management programs.

Information from secondary literature suggests that global organizations follow the steps presented below
and on the following page to maximize performance management effectiveness across global business
units.12

1) Implement standardized global performance management guidelines—Companies should

provide business units with guidelines and standards within which they can customize a
performance management process specific to their needs (see examples of guideline topics
on page 15). Additionally, Human Resources should serve as a consultant to operating units
when attempting to assess unit idiosyncrasies and navigate local laws and customs. An
effective global implementation process is presented on the following page.

12
Corporate Leadership Council, Global Performance Management, Washington: The Advisory Board Company,
December 1997: pages 5-6.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 26
OCTOBER 1998

Global Performance Management Implementation13

Set global guidelines—Corporate headquarters sets global guidelines based upon

Step 1 company objectives; employees incorporate guidelines into personal objectives
throughout organization

Formalize rollout strategy—Senior management develops global implementation

Step 2 time-line to help gauge implementation efficiency at worldwide locations

Present system to top global line management—Senior corporate management trains

Step 3 regional managers to develop common understanding and buy-in

Assist divisions in addressing regional differences—Headquarters partners with

Step 4 divisions to secure consistency while allowing for cultural variances

2) Allow individual localities to maintain ownership of the communication process—

Providing local ownership of performance management communication facilitates buy-in and
implementation across the company. Organizations can utilize the two tactics presented
below to aid in this process.

Ø Mandate training—Headquarters trains human resources staff at global

locations and provides materials for localized training
Ø Administer training within divisions—Each location translates corporate
communication into native language (if necessary) to accommodate dialect
differences and increase regional process ownership

3) Standardize components of pay-for-performance systems—With exceptions for local law,

companies can standardize pay-for-performance systems across global business units;
common components of standardized systems are presented below.

Ø Adjust actual compensation to local economy

Ø Tie base and merit pay to performance rating
Ø Base variable pay upon combination of strategic company goals and
individual performance objectives

4) Standardize compensation procedures in relation to global teams—Based upon corporate

guidelines, companies should maintain a single, centralized and globally-applied system for
appraising and compensating global teams.

13
Global Performance Management, page 5.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 27
OCTOBER 1998

360-DEGREE REVIEWS AND PERFORMANCE MANAGEMENT

Topic Summary
While 360-degree reviews offer organizations numerous advantages over traditional
supervisor-subordinate appraisal processes, linking such feedback to compensation and
promotion decisions creates difficulties due to rater bias. Companies attempting to utilize
multi-rater reviews for personnel/promotion decisions should first implement the system for
developmental purposes. As the workforce grows increasingly comfortable and trusting of the
process, organizations can begin a slow transition to 360-degree appraisal.

Utilization of 360-degree feedback is increasing within performance management systems due to the
numerous advantages it provides to organizations. However, such systems are not without drawbacks,
and become complicated when companies attempt to link multi-rater information to compensation.
Presented below are details concerning 360-degree feedback that corporations should consider prior to
implementing such a system.

œ 360-Degree Reviews and Traditional Performance Appraisal—Multi-rater reviews

generally alleviate many of the problems organizations face with traditional forms of
performance management, as presented in the graphic below.14

Traditional Appraisals 360-Degree Reviews

Lack agreement about performance Ensure that supervisors and

measures and subsequently often subordinates work from the same
over-emphasize achievements rather model of effective behaviors and
than objectives outcomes by allowing raters to
interpret performance measures

Raters and ratees each process a large Provide a broader range of

amount of information from their own information and perspectives,
personal perspectives, leading to allowing supervisors and subordinates
confusion and disagreement to view feedback in a more objective
manner

Negative feedback causes individual Reduce defensive emotions due to

defense mechanisms to protect increase in feedback sources;
self-image, limiting the utility of encourage open discussion
performance reviews concerning multiple perspectives and
feedback

14
Lepsinger, page unknown.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 28
OCTOBER 1998

œ 360-Degree Reviews and Performance Appraisal—While multi-rater feedback provides

organizations with advantages over traditional performance management systems, such
evaluations present drawbacks when linked with compensation and personnel/promotion
decisions. Literature warns that companies attempting to transition from strictly
developmental 360-degree reviews to an appraisal format face significant obstacles, largely
due to the following two changes in focus:15

X Ownership of data—In development-only systems, 360-degree data often remains the

sole property of the recipient, who in turn decides exactly how that data is utilized.
In contrast, 360-degree feedback within performance appraisal systems is the
property of the organization and can be used however the company’s performance
management system dictates.
X Perception of consequences—In development-only systems, employees focus upon
skill improvement, and therefore generally value feedback. When linked with
compensation and promotional decisions, the implications regarding the content of
360-degree data expand and assume enhanced importance.

Despite these obstacles, considerable debate exists concerning the appropriate application of
360-degree reviews. During the course of research, three major approaches emerged
regarding the link between multi-rater evaluation and compensation; these approaches are
presented graphically below and are described on the following pages.

Use for Development Purposes Only

Use for Appraisal/Compensation

Incremental Use for Personnel Decisions

15
Lepsinger, page unknown.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 29
OCTOBER 1998

Approach #1: Use of 360-Degree Reviews for Development Purposes Only

“I will do everything I can to make sure that 360-degree reviews are never used as part of our
appraisal system, performance evaluations, hiring or promotional criterion.”

—Executive and Management Development Process Manager, Company E

360-Degree Reviews: Implementation, Corporate Leadership Council (January 1998)

Companies embracing this approach strongly believe that the only purpose for 360-degree reviews is for
the identification of developmental needs. In fact, one of the earliest champions of 360-degree feedback,
Greensboro, North Carolina-based Center for Creative Leadership, requires that its clients sign a
statement stipulating that the feedback will not be used to determine pay, promotion or termination.16

Five companies contacted in the past Corporate Leadership Council brief entitled 360-Degree Reviews:
Implementation (January 1998) utilize 360-degree reviews for development purposes only; the most
salient reasons proposed by interviewed individuals for restricting their use are listed below.

Ø 360-degree instrument is not customized for an individual’s particular job—An executive

development manager at a company profiled in 360-Degree Reviews: Implementation
explains that such instruments are not designed for specific positions and it would be unwise
to hold employees accountable for competencies that may not be relevant to their individual
jobs.17

Ø Use for personnel decisions may decrease validity of rater response—If raters know that
their feedback will be used for compensation/personnel decisions, they may unconsciously
alter that information for fear that negative comments may impact the recipient’s
promotional opportunities. A previously interviewed human resources development
consultant firmly believes that “using 360s for anything but developmental purposes is out of
the question. It would most certainly affect the how people rate others as well as deter
participation.”18

Ø Encourages raters to “game the system”—In addition to the inadvertent bias presented
above, raters may deliberately use invalid rating systems and provide responses that are
uniformly at the top or bottom of the scale for purposes of friendship or competition, as the
examples below illustrate.
Ø Friendly alliances or personal vendettas may cause inordinately positive or negative
feedback
Ø Employees rating coworkers who are eligible for similar promotions may furnish
negative evaluations

16
Robert Carey, “Coming Around to 360-Degree Feedback,” Sales and Marketing Management (March 1995): 56+.
17
Corporate Leadership Council, 360-Degree Reviews: Implementation, Washington: The Advisory Board Company,
January 1998: page 7.
18
ibid, page 7.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 30
OCTOBER 1998

Approach #2: Use of 360-Degree Reviews for Appraisal, Compensation

Organizations explain that evaluating the performance of multiple employees naturally creates a
situation for comparison. Rather than utilize performance measurement purely for
developmental purposes, some companies choose to take advantage of this situation and
incorporate feedback into compensation decisions.

Significant debate exists surrounding the use of 360-degree results as criteria for personnel decisions;
nonetheless, a recent study reported that despite this controversy 90 percent of companies with such
processes use them for a variety of purposes including merit increases and promotions.19 Arguments
supporting this trend include the following:

Ø Increased credibility and validity—Assessment research shows that multi-rater systems such
as 360-degree reviews are more accurate, credible and predictive than single-rater systems

Ø Support among consultants—A number of top suppliers of 360-degree instruments such as

Personnel Decisions, Incorporated (PDI), Watson Wyatt, and Hewitt Associates have
reported success with linkage of 360-degree results to pay systems

Ø Support among employees—Studies report that employees welcome the opportunity to

receive feedback from other sources within the organization, as the supervisor may not be
adequately positioned to monitor all aspects of job performance

Case Study Highlight

Company C, profiled in the 1998 Council report entitled 360-Degree Reviews:
Implementation, utilizes 360-degree reviews for both development and performance
appraisal purposes, and has done so since program implementation. The director of
organizational development states that linking 360-degree reviews to salary results in the
two positive outcomes presented below.

1. Conveys to employees the high regard that the organization holds for
corporate values
2. Increases the likelihood that significant change will result from the feedback

19
Don L. Bohl, “360-Degree Appraisals Yield Superior Results,” Compensation and Benefits Review (16 September 1996):
page 16.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 31
OCTOBER 1998

Approach #3: Incremental Use of 360-Degree Reviews for Personnel Decisions

“In organizations that elect not to begin implementation with development-only feedback,
participants are less optimistic and less interested in providing valuable information.”

—Mark R. Edwards, Chief Executive Officer, TEAMS, Inc.

Many organizations elect to initiate 360-degree reviews for development purposes with the intention of
transitioning their use for other purposes such as appraisal, compensation and hiring decisions.
Incremental adoption of the process allows participants to become familiar with the tool as well as gain
experience in providing feedback to supervisors, direct reports and peers. Examples of companies that
have made this transition are presented below.

§ AlliedSignal, Incorporated § Intel Corporation

§ AT&T Corporation § Meridian Oil
§ DuPont § Monsanto Company
§ Honeywell, Incorporated § The Boeing Company

Case Study Highlight

Company A, profiled in the 1998 Council report entitled 360-Degree Reviews:
Implementation, launched its 360-degree review process in 1997. Implemented initially
for developmental purposes, the company plans to apply results to partially determine
annual bonuses. According to the individual interviewed, this advancement will give the
multi-rater review system “the teeth” it needs to have a significant impact on the company.
He further notes that the gradual process allows employees to grow accustomed to the
concept of multi-rater reviews and the proper methods to give and receive feedback before
applying compensation consequences.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES PAGE 32
OCTOBER 1998

Certainly, companies can successfully implement 360-degree reviews with performance management
goals; however, as mentioned previously, any organization attempting to do so should be aware that the
path to success is filled with many obstacles. Literature suggests that companies heed the following
advice when developing a performance management system:

¨ Ask raters to support their evaluations—Anecdotal evidence will be more valuable to the
ratee and will increase the likelihood that the information is valid
¨ Customize assessment instruments to core competencies—Generic assessment tools usually
not specific enough to support compensation decisions
¨ Ensure collection of relevant data—Focus on behaviors and outcomes that raters are able to
judge
¨ Involve people—Make employees a significant part of the development of the system in order
to strengthen their commitment to the system
¨ Move slowly and start small—Gradually move from development to performance appraisals,
starting first with pilot groups
¨ Train ratees—Acknowledge that proper reception of information is as important as proper
provision
¨ Train raters—Increasing raters’ observation skills will lead to more concrete, reliable and
valid information

To conclude, both developmental and appraisal reviews involving multi-rater feedback possess positive
and negative implications; these characteristics are summarized in the table below.

ADVANTAGES AND DISADVANTAGES OF DEVELOPMENTAL AND PERFORMANCE REVIEWS

Advantages
§ Allows employees to concentrate
solely on personal improvement
§ Allows ratee to be less defensive when
receiving feedback
Developmental § Presents no legal implications since
the results do not affect compensation
§ Yields more reliable and valid
feedback
§ Allows for accountability measures on
part of rater and ratee
Performance § Ensures supervisor and employee
work from same model, thus
increasing agreement
Disadvantages
§ Disagreement between supervisor and
employee on evaluation criteria
§ No assurance that ratee will actually
heed developmental suggestions
§ Increases likeliness that ratee will
resist the results
§ May create competition among peers
§ May negatively affect the validity and
reliability of rater response
§ Negates value of feedback for
developmental purposes
§ De-emphasizes importance of
productivity in evaluation
 CORPORATE LEADERSHIP COUNCIL
THE ADVISORY BOARD COMPANY
__________________________________________________________________________________________________

600 New Hampshire Avenue, N.W. · Washington, DC 20037 · Telephone: 202-672-5600 · FAX: 202-672-5700

BIBLIOGRAPHY

Successful Performance Management Principles

October 1998

Section 1: Successful Performance Management Principles

Campbell, Robert B. and Lynne Moses Garfinkel. “Strategies for Success.” HRMagazine
(June 1996): 98-104.

Egan, Gerard. “A Clear Path to Peak Performance.” People Management (18 May 1995): 34-37.

Mailliard, Karen. “Linking Performance to the Bottom Line.” HRFocus (June 1997): 17-18.

Author Unknown. “Performance Management.” Compensation and Benefits Review

(May/June 1994): 71-75

Smith, Brien N., et al. “Current Trends in Performance Appraisal.” SAM Advanced Management
Journal (Summer 1996): 10-15.

Mohrman, Allan M., Jr. and Susan Albers. “Performance Management is ‘Running the Business’”
Compensation and Benefits Review (July/August 1995): 69-75.

Moravec, Milan. “Bringing Performance Management Out of the Stone Age.” Management Review
(February 1996): 38-42.

Rummler, Geary. “In Search of the Holy Performance Grail.” Training and Development
(April 1996): 26-32.

Author Unknown. “What Makes a Performance Management System Succeed.”

www.ioma.com/newsletters/pfp/articles/0998.shtml (17 September 1998).

Lawler, Edward E., III. “Performance Management.” Compensation and Benefits Review
(May/June 1994): 16-19.

Corporate Leadership Council. Performance Management Programs. Washington:

The Advisory Board Company, February 1997.

Corporate Leadership Council. Performance Management Benchmarking. Washington:

The Advisory Board Company, November 1996.

Corporate Leadership Council. Implementing Performance Management. Washington:

The Advisory Board Company, June 1996.
SUCCESSFUL PERFORMANCE MANAGEMENT PRINCIPLES
OCTOBER 1998
BIBLIOGRAPHY

Section 2: Training for Performance Management

Corporate Leadership Council. Training Leaders in Performance Management Processes. Washington:

The Advisory Board Company, November 1997.

Hubbartt, William S. “Bring Performance Appraisal Training to Life.” HRMagazine

(May 1995): 166-168

Section 3: Performance Management in Global Organizations

Corporate Leadership Council. Global Performance Management. Washington:

The Advisory Board Company, December 1997.

Corporate Leadership Council. Global Performance Management. Washington:

The Advisory Board Company, October 1996.

Corporate Leadership Council. Performance Management in Global Corporations. Washington:

The Advisory Board Company, January 1996.

Section 4: Performance Management and 360-Degree Reviews

Lepsinger, Richard and Anntoinette D. Lucia. “360-Degree Feedback and Performance Appraisal.”
Training (September 1997): 62-70.

Edwards, Mark R. and Ann J. Ewen. “How to Manage Performance Management.”

Compensation and Benefits Review (May/June 1996): 41-46.

Professional Services Note

The Corporate Leadership Council has worked to ensure the accuracy of the information it provides to its members.
This project relies upon data obtained from many sources, however, and the Council cannot guarantee the accuracy
of the information or its analysis in all cases. Further, the Council is not engaged in rendering legal, accounting or
other professional services. Its projects should not be construed as professional advice on any particular set of facts
or circumstances. Members requiring such services are advised to consult an appropriate professional. Neither The
Advisory Board Company nor its programs is responsible for any claims or losses that may arise from any errors or
omissions in their reports, whether caused by The Advisory Board Company or its sources.