PERFORMANCE MANAGEMENT POLICY
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1 PERFORMANCE MANAGEMENT POLICY DESCRIPTION TITLE: POLICY NUMBER : COMPILED BY: PERFORMANCE MANAGEMENT POLICY HRE/10/08/CO DIVISION OF HUMAN RESOURCES & EQUITY EFFECTIVE DATE: 28 NOVEMBER 2008 REVIEW DATE: 2011 APPROVED BY: COUNCIL 28 NOVEMBER 2008
2 1. PREAMBLE The University of KwaZulu-Natal accepts that its employees are its greatest asset and are key to its ability to fulfill its Mission and Vision and achieve its strategic objectives. The University further recognises that managing and reviewing employee performance and fostering employee development are critical factors in achieving institutional strategic priorities and overall success. In pursuit of its vision to be the premier university of African scholarship, a key strategy of the University of KwaZulu-Natal is to accordingly implement an institution-wide Performance Management (PM) System. 2. DEFINITION OF TERMS Performance Assessment The regular process where an employee s performance for the year is formally assessed and rated according to a four- point rating scale. Objectives Objectives/ goals describe what needs to be accomplished by individuals or teams over a period of time. They relate to the overall purpose of the job and are clearly defined and agreed at the start of the performance management cycle. They can be expressed as targets to be met and tasks to be completed by specified dates. Performance Agreement An agreement between a manager and an employee about the employee's responsibilities and behaviour during an assessment period. Seen as a key management tool enabling the university to determine and monitor performance expectations, manage development and align employees with the values, institutional goals and strategies of the University. Personal Development Plan A Personal Development Plan is developed by each employee as part of a structured and supported process undertaken by the employee to reflect upon his/her own learning, performance and/or achievement and to plan for their personal, educational and career development. Performance Target A performance target is a statement of a desired result or set expectation. The term is broadly synonymous with the terms goal and objective. Performance Standard A benchmark, norm, or yardstick to judge one's performance as an individual or unit. Standards are usually adopted as measurable targets to ensure optimal organisational performance. 3. PURPOSE The purpose of the Performance Management Policy is to facilitate and promote the achievement of institutional objectives through the effective management of employee performance. HRE/10/08/CO - 1 -
3 In this regard the objectives of the Performance Management system are to 3.1 Improve organizational and individual performance 3.2 Clarify individual and team performance requirements, standards and expectations 3.3 Align individual and team objectives with those of a Faculty/School/ Division or Department 3.4 Identify and review employee development and training needs and to provide opportunities for employee development and advancement 3.5 Identify organisational and operational changes needed to enhance employee performance and hence enable the Faculty/Division to improve efficiency and effectiveness 3.6 Capacitate, mentor and develop employees through constructive feedback and dialogue 3.7 Further the University s Employment Equity objectives 3.8 Ensure the retention of employees, especially those with scarce and critical skills 3.9 Promote job satisfaction in a motivating and enabling environment 3.10 Measure and evaluate individual and institutional performance 3.11 Improve communication between Managers and Employees through regular dialogue 3.12 Formalise succession plans for top achievers 3.13 Provide appropriate and legally sound mechanisms for addressing poor performance 3.14 Provide credible data to be used as inputs to the University s Academic Promotion process 3.15 Provide a fair and equitable way to recognize and reward good performance 4. PRINCIPLES 4.1 Integration The Performance Management system will integrate and streamline with other University processes 4.2 Inclusivity The Performance Management system will include all permanent and long fixed term 1 contract staff and will encourage vertical mobility 4.3 Outcomes Based Assessment of performance will be evidence-based and measured where possible against agreed pre-determined benchmarks and outcomes 4.4 Individual Responsibility The system will be designed to enable individuals to be responsible for managing their own performance, development and career advancement 1 Staff members appointed on a Fixed Term contract of 2 years or longer HRE/10/08/CO - 2 -
4 4.5 Fairness and Transparency The system is designed on the principles of fairness, internal equity, and transparency 4.6 Flexibility/ Customisation While it is an integrated system, implementation is malleable across the job spectrum, within the bounds of a coherent and consistently applied framework 4.6 Service Excellence The Performance Management system will support an environment of service excellence, continually improving internal/external customer satisfaction levels 4.7 Quality Improvement Recognition that performance management is part of quality management, resulting in enhanced performance 4.8 Continuous Improvement The Performance Management system will measure and aim to continually improve processes, procedures, programmes and services across the University, fostering teamwork, collaboration and integration wherever possible 4.9 Confidentiality The system will preserve confidentiality and disseminate performance information appropriately 5. POLICY STATEMENT The University recognizes the value of a performance based institutional culture that promotes employee productivity, engagement, and development by aligning individual and team performance goals with the university s mission, strategic goals, and objectives 6. SCOPE OF APPLICATION This policy applies to all permanent and long fixed term employees of the University. 7. LINKS TO OTHER HUMAN RESOURCE/ UNIVERSITY PROCESSES This policy promotes a holistic approach to performance management by incorporating all aspects of performance management within a single integrated framework. The following processes are seen as having a clear link into the Performance Management System: 7.1 Induction The induction process will involve developing the employees initial Performance Agreement and Personal Development Plan on the Performance Management System. This will ensure that performance standards and expectations are clearly spelt out at the outset of HRE/10/08/CO - 3 -
5 employment. Areas of development will also be identified at this stage. This process will be closely aligned to the probationary process. 7.2 Probation Probation will complement the induction and performance management processes. The purpose of the probationary period is to ascertain whether the conduct and work performance of the employee meet the standards expected by the Line Manager before the permanent appointment is confirmed. This process will be driven by the Performance Management System. 7.3 Performance Assessment Performance assessment is a key feature of the University s Performance Management System. The aim of the assessment process will be to promote continuous learning and improvement through a process of selfassessment and reflection. 7.4 Mentoring and Coaching Coaching and Mentoring will be key tools used to continuously improve job-related tasks and behaviours and to unlock the potential of employees to exhibit the behaviours and achieve the results expected by the University. Formal mentoring guidelines will be designed as part of the Performance Management system. 7.5 Learning, Training and Development Training and Development will be explicitly linked to performance management and is one of the key outputs of the system. In terms of the Performance Management System each employee will be required to complete a Personal Development Plan which will indicate areas of development in relation to the required job output and performance expectations for that position. The Learning, Training and Development strategy will bridge the gap between the expected performance output and the skill/ competency gap identified in terms of the employee s performance. 7.6 Leadership Development/ Succession Planning Leadership development processes will be introduced as part of the Performance Management System which will enable the University to identify and fast track development opportunities and to formalise succession plans for the top talent identified. This process together with the mentoring/ coaching process will also be used as a means of dealing with the issue of scarce skills faced by the University. This process reflects the University s continuing commitment to the achievement of our institutional goals and the attainment of our values through the recruitment, retention, development and promotion of excellent employees. 7.7 Counselling One of the outputs of the Performance Management System will be the identification of poor performance. The counseling procedure will be key in giving guidance and support to poor performing employees in order to bring their performance up to the expected standard. The counseling procedure may lead to disciplinary action if development and support HRE/10/08/CO - 4 -
6 options have been exhausted and performance has not reached satisfactory levels. 7.8 Disciplinary Process Disciplinary processes will be invoked in order to address misconduct or persistent poor performance, including performance issues which may initially have been dealt with via the formal counseling procedure. These performance issues will be identified through the assessment process of the Performance Management System. Disciplinary action is intended to encourage a poor performing employee to improve. 7.9 Academic Promotion For promotion, academic employees will be evaluated on the quality of their performance and achievement relative to what would normally be expected of an employee at the level being applied for. In addition, to be eligible for promotion applicants must first demonstrate that they are performing at the norm for their current level. The areas of evaluation as contained in the Academic Promotions Policy of the University together with other Faculty/School/Department performance objectives will be incorporated into the Performance Agreements of each academic staff member. Only those academic staff members who fulfill the requirements in terms of the areas of evaluation will be considered for promotion Extension beyond normal retirement The Performance Management System will provide valuable performance related information on all employees qualifying for extension beyond normal retirement based on their assessment records. Only those employees who have consistently performed at a significantly high level and have consistently achieved the performance targets of the Faculty/Division/School/Department will be considered for this process. All employees who have been granted extension beyond normal retirement will be subject to the assessment process on an annual basis as part of the Performance Management System. Based on the outcome of this assessment and the level of performance obtained, extensions may or may not be granted. 8. LINK TO REWARDS 8.1 All employees already receive a salary commensurate with expected standards of performance. Additional remunerative rewards may be offered to individuals or teams in return for specific performance. Except in the case of academic promotion, this reward will make up the variable pay component of an employees remunerative package. 8.2 Remunerative rewards shall take the form of promotion (academic staff only) and the payment of performance related incentives. 8.3 Non-remunerative rewards may include flexible working arrangements and support for one s academic or professional development in the form of sabbatical, study leave and/or financial support. HRE/10/08/CO - 5 -
7 8.4 Changes to fixed pay will be determined by the annual salary increments negotiated in the Joint Bargaining Forum. 8.5 Performance related salary adjustments may be made to achieve the market benchmarks in terms of the Remuneration policy. 8.6 Employees must successfully complete at least one year s service as at 31 December and be formally assessed to qualify for the performance incentive award. 8.7 Employees who are still within their probationary periods as at 31 December will not be considered. 8.8 In the event of termination of service for whatever reason, no performance incentive is payable except where the termination takes effect after December 31 and the employee has completed his/ her probationary period. 8.9 It is recognised that all rewards, whether financial or non-financial in nature, still have resource implications and, as such, the level of rewards will be based on the principle of affordability. The nature, type and size of rewards offered by the University will be reviewed from time to time, based on this criterion This policy needs to be read in conjunction with the UKZN Remuneration Policy document. 10. EFFECTIVE DATE The effective date of this policy is 28 November REVIEW DATE This policy shall be reviewed at minimum after every three years from effective date. HRE/10/08/CO - 6 -
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