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NATO PERFORMANCE MANAGEMENT
Intensive HRM Training Day
Dr. Eric WelchHead, Talent Management and
Organizational DevelopmentNATO HQ
HR Vision
HR Mission
NATO International Staff attracts, retains and develops a diverse and flexible cadre of highly qualified staff who can adapt to and deliver on the evolving priorities of the Alliance.
To serve as a strategic business partner by providing efficient and effective HR leadership, expertise, products and results.
NATO IS Excellence
HR Leadership
Staff Diversity and
Culture
Efficiency and Planning
Leveraging Change
Recruit the Right Talents
Evolve Training & Development Programs
Align and Manage Performance
Create Flexible Employment Framework
Balance Retention and Rotation
Enable Internal Mobility
Increase Geographic Diversity
Advance Gender Balance
ClarifyEmployment Mix
Increase Employee Engagement
Clarify Manpower Targets and Priorities
Validate IS Grade Levels
Continue Vacancy Prioritization
Finalize NNHQ Support Staff Design
Identify New Ways of Working
Develop Training for NNHQ Transition
Prepare HR Business Processes for NNHQ
Right Peoplein the
Right Jobs
EasierHR Decisions
Engaged & Representative
Workforce
Valuefor
Money
BetterService Delivery
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Describe the profile
Identify the person
Train/ Develop the
person
Design the posts
Human Resource Management Process
Strategy and Requirements
Performance (Organizational and personal)
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Director HR
Policy and Strategy Coordination Staff Services
Management and Organizational
Support
Recruitment
Talent Management and
Organizational Development
HR Advisers
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Performance Review and Development (PRD)
• Why• History• What we’re doing• How it works• Current challenges
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Why PRD?
• Ensure managers communicate with staff about how they are performing
• Provide a basis for effective HR decision-making (e.g., step increases, contract decisions, recruitment)
• Improve and standardize management practices across the Organization
• Promote and support individual development • Help ensure strategic objectives are met
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PRD History
• 2005 – Performance Management• 2009 – discontinued electronic system• 2010 – PRD creation and launch
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PRD Ongoing Goals
• Provide information to the Organization to be able to make personnel decisions based on performance
• Motivate staff by providing appreciation for their efforts and developmental feedback tailored to their situation and aspirations
• Motivate staff by providing them explicit understanding of how their objectives and efforts are consistent with Organizational priorities
• Improve Organizational performance by providing mechanisms to deal with poor individual performance
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PRD Cycle Overview
• Starts following the successful completion of the probationary period
• Phase 1: Objective setting • Phase 2: Mid-term review • Phase 3: Annual review
– Objectives, competencies, overall performance– Calibration
• Performance Improvement Program (PIP)
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How: Phase 1: Objective setting
• Set and discuss:– the results to be achieved – how these will be measured – by when
• Consider: – competencies – development/training topics
• Review the job description
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Objectives
• Cascade• Focus on:
– Goals or projects for the year, OR – Daily operational tasks based on result areas in the job
description
What are the most important things required in the job?What is the staff member expected to achieve in these
areas?What behaviors (competencies) will the staff member
have to demonstrate?
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SMART Objectives
• Specific: clear, unambiguous, straightforward, understandable
• Measurable: assesses quantity, quality, time, budget, resources
• Agreed: the meaning of the objective is agreed between the parties
• Realistic: challenging, but within the capabilities of the staff member
• Time-related: to be completed within an agreed timescale
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Description of objective: Coordinate the XYZ Conference to include
advertising, supporting the conference center in the updating and organization of the program, liaising with Procurement on the contract, and liaising with NATO-wide and Partner contacts.
Measurement: 1. Advertise the conference in January 2013 and draft list of potential speakers for review by Divisional leadership before end-April 2013. 2. Contract signed with conference centre by June 2013. 3. Coordinate preparations and logistics leading up to Sep 2013 conference. 4. Participate in lessons-learned discussions in Oct 2013.
Description of objective: Support Head ABC in the daily management
of his office, tasks and information flow, with focus in mid-year on the transition to new structure. Manage the section’s budget.
Measurement: 1. Queries and requests are dealt with as quickly as possible taking into account all necessary aspects - to the satisfaction of customers and Head ABC. 2. In the event of conflicting priorities, launch an automatic discussion of workload impact.
Example objectives: Assistant
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Description of objective: Develop financial plans that superiors
consider useful for making decisions.
Measurement: 1. Prepare and submit financial plan for XYZ project by March 2013. 2. Revise as necessary following feedback. 3. Submit final version to committee in June 2013.
Description of objective: Engage in identifying and implementing
strategies to improve productivity.
Measurement: 1. Participate in the implementation of the ERP. 2. Following identification of the implementing consultant, coordinate efforts between Division staff and consultants for implementation. This is expected to happen in Q3 and Q4, and could require approximately 20% of the staff member’s time.
Example objectives: Officer
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How: Phase 2: Midterm Review
• Re-examination of objectives and training topics
• Confirmation of their continued relevance or need to change them, if necessary
• Opportunity for either party to raise any concerns about performance (if applicable)
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How: Phase 3: Annual Review
• Two steps: Performance review + calibration • Formal opportunity • Progress the staff member has made towards:
– their individual objectives– competencies
• Proposed rating
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Performance review - Competencies
• Behaviors that are required for successful performance in the job
• PRD assesses the extent to which a staff member demonstrated the required competencies during the performance cycle
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Ratings
• Exceptional – in a properly managed organization, only a handful of people earn this rating occasionally throughout their career
• Excellent – this rating is normally reserved in most organizations for just a small proportion of high performing staff
• Very good –this is the rating used by organizations for the significant amount of staff whose performance is clearly better than the standard one
• Good – this is the expected rating for everyone in a good organization. The most frequent one
• Fair – this is the rating used by organizations for the small amount of staff whose performance is proficient but requires improvement
• Unsatisfactory – most organizations have some unsatisfactory performers, but they are a very small minority in most cases
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Calibration
• To improve consistency and fairness • To make sure managers apply similar
standards for all staff • To eliminate bias as much as possible • To promote discussion of performance
expectations at all levels • To bring outstanding and poor performers to
the attention of top management
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Timeline
2014 cycle
January – Feb. June - July
Objective Setting 2014 Mid-term
Review
Annual Review 2014
Objective setting 2015
Annual Review 2013 Calibration
January – Feb.
FEEDBACK
FEEDBACK
You are here
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Performance Improvement Program (PIP)
• Why– To help staff get back on track – Provide framework for managers to address
performance issues • Two phases
– Preliminary phase– IP Program phase
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1. Preliminary phase
• Whenever an aspect of performance needs improving, at any time during the year
• Or after a final rating of “Fair” • Up to 180 days• Use an Improvement Monitoring Form
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2. IP Program phase
• 30-90 days (+ 30-90 day extension if needed)• After an unsuccessful Preliminary Phase, OR • After two consecutive final ratings of “Fair”,
OR • Any time a staff member is not working up to
requirements in a critical area • Action plan established • If unsuccessful, leads to termination of
contract
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“Unsatisfactory” rating in AR
Two consecutive ratings of “Fair” in AR
Unsuccessful Preliminary phaseIP Program
IP Action Plan starts
max. 1 x
Training ?
Training ?
DecisionUn-
satisfactory result
Satisfactory results
IP file closed
Back to normal performance
Extension
Ground for dismissal
Training ?
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2012 Results2011 PRD ratings (#)
2011 PRD changes (#) in cal-ibration
Exceptional; 24 Excellent; 138
Very good; 532
Good; 303
Fair; 10Unsatisfactory; 4
2012 PRD ratings (#)
No change Changes0
100200300400500600700800900
1000
2012 PRD changes (#) in cal-ibration
Exception. Excellent Very Good Good Fair Unsatisfactory0
10
20
30
40
50
60
70
2012 PRD ratings (%) by grade family
grade Agrade Bgrade Cgrade Igrade T
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Current challenges in PRD
• Expanding the PRD system NATO-wide• Developing a performance-based reward
system• Implementation of new tools and workflows
due to ERP
ME
Objectives: I will set them with my manager
Mid-term: we will review progress
Annually: I will be evaluated on my work and on ….
My Competencies
And if I want OR I need, I can further develop my Competencies………….
Competenciestraining
NATO’s Objectives & Needs
My Post Description
My Languages
My ITBecause of
different job families and work levels
Language Courses
IT Training
NATO Executive Development Programme
Pre-deployment training
ManagementDevelopment Programme
Senior Circle
Leadership Journey
My Result Areas
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Eric Welch, Ph.D.North Atlantic Treaty Organization
[email protected]+32 (0)2 707 3750
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Staff Skills Database
• Purpose: mechanism to expand capabilities in times of crisis (Surge Capacity) using existing resources from other divisions
• What it is: individual profiles completed and maintained by staff members – focus on the skills not used in the normal job
• Where: HR Service Portal• Additional benefit: ad-hoc support for short-
term help on other projects and initiatives
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Identify skills
• Inputs: – Education and Languages– Skill Categories, Areas, and Topics– Professional Interests– References– Career Goals and Expectations (HR eyes only)– Menus and free text
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Meet needs
• Structured + Free text search options• Production of CV-type reports• Open to all staff, on request• Result: 180 unique visitors, 60 profiles, 70
searches within 30 days of implementation• Next steps: Increase usage, expand to other
NATO bodies, create Surge Capacity Pool