28 May 2009 - Why employers should manage performance
Why do employers manage performance? This was the question posed to members attending a monthly breakfast forum organised by Employment Relations Solicitors. It resulted in a lively discussion, with answers ranging from “because everyone else does it” to “it has fallen into disuse because of lack of time” and “to have a happy successful company”.
Tony Bertin, of Employment Relations Solicitors in Elham, said: “Performance management is probably the biggest single area of omission by employers that we see. In the absence of regular performance management, and performance management that is honestly and dispassionately undertaken, it can be very difficult to select employees for redundancy, dismiss an employee on capability grounds and resist claims for discrimination.”
The forum is an opportunity for local business people to discuss and share experiences with other employers. Numbers are kept small and everyone has an opportunity to participate in what is intended to be a relatively informal and conversational event. It is free and takes place at the The Rose and Crown, Elham, from 8.00 to 9.30, with breakfast provided.
What emerged from the last forum is that different companies have different reasons for managing performance – it’s not one size fits all. Members suggested they manage performance to set objectives, to define standards and competences so they can be accurately measured and performance improved, to provide excellent customer service, to improve communication within a company and to make their company happy and successful. Some were even honest enough to admit they did it because others did and they felt they should too. All agreed, however, that embarrassment was often a significant obstacle to effective performance management.
They also agreed that the starting point should be to establish clear targets for the next six months or year aligned with the business plan. Appropriate monitoring will lead to higher productivity through enhanced job performance. It will increase profitability, but must suit the needs of each individual organisation. It is better to have a simple assessment system that is easy to understand, commands respect and is delivered regularly, than highly sophisticated tools that neither appraiser nor appraised can understand. Managers must be trained to manage performance effectively and employees must understand why it is done.
Previous forums have explored discrimination in the work place, grievance procedures, redundancy and stress. When performance management has failed to improve an employer may need to take disciplinary action, and the management of a disciplinary investigation will be the topic at the next breakfast forum on Friday 12 June.
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Inquiries
Tony Bertin, Employment Relations Solicitors 01303 840001 tonybertin@employment-relations.co.uk
Anne Leva, Employment Relations Solicitors 01303 840001 Anne@employment-relations.co.uk
www.employement-relations.co.uk
