Case Study

 Performance Appraisal = routine activities

 Old Format
Performance Review
 Performance Management
 Performance Management has 3 critical
phases – Planning, Coaching and PLANNING FOR
PERFORMANCE
Reviewing Performance. In this session
Setting organizational &
we will focus on creating effective individual objectives,
building personal dev.
objectives, which is part of the planning plans

phase. REVIEWING & COACHING FOR

REWARDING PERFORMANCE
PERFORMANCE Providing ongoing
Providing year end coaching on performance,
review/ ratings and including quarterly
 Each of these three phases must be compensation. reviews.

done well. They all interconnect.

 This phase, planning is all about setting

people up to be successful. If you
manage others, you can’t succeed
unless your people succeed first!
 Step
 Alignment

 Organizational & Individual Alignment

 Setting Effective Objective

 Alignment … Step 1
Step ONE – horizontal Corporate Goals
alignment, or alignment

between organizations

Sales

R&D

Marketing

Finance

Supply Chain
How does it happen? By

leaders aligning their

respective organizations

to work together
 Alignment … Step 2
Corporate, Organizational and Group Goals

My Manager’s Key Objectives:

1).______________________________
2).______________________________
Step TWO – vertical 3).______________________________
alignment, or
alignment within IFF
My Key Objectives:
organizations 1).______________________________
2).______________________________
3).______________________________
How does it happen? By Key Objectives for my Direct Reports:
leaders aligning their
work with corporate, 1).______________________________
org. and group goals 2).______________________________
and cascading them to
their people 3).______________________________
 Example
Example: Corporate & Organizational Goals:
X% Revenue Growth, X% Operating Profit, Strategic Projects

My Manager’s Key Objectives: VP Global Manufacturing

1). Implement global inventory reduction program
2). Initiate productivity program in all sites
3). Develop global customer service measures
My Key Objectives: Site Operations Manager
1). Reduce inventory by x%
2). Increase plant efficiency (productivity) by y%
3). Achieve customer service measures of z%
Key Objectives for my Direct Reports: Production Manager
1). Work with planning, purch. & inventory control to reduce inventory by x%
2). Implement projects A, B & C to increase productivity by y%
3). Initiate new processes to achieve on time orders of z%
 Setting Effective Objective
 Objectives – are the “what” of performance management

 The specific things we need to do and the results that we need to

achieve

 Need to clearly define what is expected of us

Use this formula to keep it clear, specific & measurable:

Use an action verb Make it measurable Make it time-bound

For example: For example, answer: For example:
Increase….. How much more? Phase 1 by June 1
Complete…. How many? By the 5th of each
Conduct….. How much better? month
Attain…. How much faster? By the end of
Achieve…. How much less? Quarter 1
To be measured
monthly
New Format P.A.F