Information Manual For Employees signing a full Performance Agreement (SMS MEMBERS)

Transcription

1 LIMPOPO PROVINCIAL GOVERNEMNT Performance Management System (PMS) Information Manual For Employees signing a full Performance Agreement (SMS MEMBERS) April 2004 (2 nd Edition) Compiled: by Simeka Management Consulting through the support of the Integrated Provincial Support Programme (IPSP)

2 (i) Table of Contents Page i Table of Contents 1 ii List of tables 2 iii List of diagrams 3 iv Declaration 4 v Foreword 5 vi Acknowledgement 6 PART A: THE PERFORMANCE MANAGEMENT FRAMEWORK Chapter 1: The design and implementation of a Performance Management System of the Limpopo Province: An Overview 1.1 Phases of PMS design and implementation 8 Chapter 2: Introduction to Performance Management 2.1 What is Performance Management? Why is Performance Management system necessary? What does Performance Management system do? What are the main objectives of a Performance Management System? What are the underlying Principals of a PMS? What does the legislation say about PMS in the Public Sector? 11 PART B: THE PERFORMANCE MANAGEMENT SYSTEM Chapter 3: What is the balanced scorecard (BSC)? 3.1 What constitutes the Provincial PMS What is a score-card The four perspectives, which form the pillars of the BSC approach to 16 performance management 3.4 The strengths of the BSC approach How does the BSC help managers? Alignment of management plan to the balanced scorecard 19 PART C: IMPLEMENTATION OF PERFORMANCE MANAGEMENT SYSTEM (PMS) Chapter 4: A Step-By-Step Guide: Developing the Organisational PM Framework in line with BSC 4.1 Introduction Developing the strategic level framework Developing the operational level framework The performance management cycle What are performance measures? Criteria of a good measure 42 Chapter 5: Performance Planning and Contracting 5.1 Introduction to Performance Planning and Contracting The different types of performance instruments Who uses which type of performance instrument? The parts of a complete performance instrument (PI) About competences Completing the generic performance agreement (Part A of PI) The development of performance plan (Part B) for SMS 48 Chapter 6: Monitoring Performance 6.1 Introduction to monitoring progress 63 1

3 6.2 Conducting Progress Reviews Some useful notes in preparing and conducting progress review 68 discussions 6.4 Conducting the actual PRD What skills and attitudes are required to engage in an effective PRD 72 Chapter 7: Performance Evaluation 7.1 Introduction to performance evaluation Conducting individual or team evaluations Performance rating Step by step performance evaluation / Rating process Evaluating departmental / directorate performance 90 Chapter 8: Managing Performance Outcomes 8.1 Role of communication in minimizing conflict What guiding principles should manage performance outcomes? What do the Public Service Regulations say about under-performance? How to support employees who under-perform or whose performance is 104 unacceptable 8.5 Managing disagreement at the initial stage of drawing up a performance 106 agreement or memorandum of understanding on performance? 8.6 What are the consequences of collective agreements? Performance improvement plan outline for managing underperformance 107 Chapter 9: Oversight, Institutional Arrangements and Structures, Stakeholder Roles and Responsibilities 9.1 Performance management oversight Oversight functions Lines of accountability Dispute Resolution Institutional arrangements, structures, roles and responsibilities Key stakeholders and their roles and responsibilities Enabling conditions Step-by-step in the development of a PMS roll-out 119 Annexure 1. Full Performance Agreement Example Some Criteria for Assessing Generic Core Competencies 138 (ii) Lists of Tables Table 1 The four perspectives of the BSC Pg 15 Table 2 Summary of the strengths of the BSC Pg 18 Table 3 Confirmation of the departmental vision Pg 27 Table 4 Developing a departmental strategic focus Pg 28 2

4 Table 5 Translating strategic objectives into four Pg 29 perspectives Table 6 Identifying measures of success for each Pg 30 strategic objective Table 7 Developing the operational level framework Pg 31 Table 8 Description of P.M. Cycle: Phase 1 Pg 35 Table 9 Description of P.M. Cycle: Phase 2 Pg 36 Table 10 Description of P.M. Cycle: Phase 3 Pg 38 Table 11 Preparing for the self / managerial reviews (PRD) Pg 68 Table 12 Step-by-step guide to prepare for progress Pg 69 review Table 13 Step-by-step guide to conduct managerial & peer Pg 70 reviews Table 14 Rating scale Pg 87 Table 15 Points scale Pg 87 Table 16 Step-by-step guide to conduct department & Pg 91 directorate evaluations Table 17 Routes to follow in the event of disagreement Pg 106 when drawing up a P.A. Table 18 Step-by-step guide for managing under / unacceptable performance Pg 107 (iii) List of Diagrams Diagram 1 The four perspectives of the BSC Pg 17 Diagram 2 Confirmation of the departmental vision Pg 27 Diagram 3 Performance Management Cycle Pg 22,34 Diagram 4 Description of elements of performance measures Pg 23, 40 Diagram 5 Example of performance measures Pg 24,41 Diagram 6 Phase 1: (Planning and Contracting) Pg 44 Diagram 7 Phase 2: (Monitoring Progress) Pg 65 Diagram 8 Phase 3: (Performance Evaluation) Pg 85 Diagram 9 Performance rating components Pg 86 Diagram 10 Managing Performance Pg 109 Diagram 11 P.M.S. institutional arrangements Pg 112 3

5 (iv) Declaration DECLARATION OF COMMITMENT BY THE PREMIER OF THE LIMPOPO PROVINCE ON BEHALF OF ALL MEMBERS OF THE EXECUTING COUNCIL (MECS): 23 TH OCTOBER 2002 I, Ngwako Ramathlodi, Premier of the Limpopo Province, in my capacity as Head of the Executive Council, hereby commit myself and all members of the Executive Council to lead and support the full implementation of the Performance Management System (PMS) adopted and developed in this Province. We undertake to champion this system in each department in the full belief that an effective PMS, well managed and efficiently implemented will inevitably lead to improved service delivery, to the benefit of all our citizens in our Province. Signature: Date: 23/10/2002 4

6 (v) Foreword Since 1997, there has been a major shift in the focus of the South African Public Service towards transformation. A number of pieces of legislation, white papers as well as collective agreements have been passed to ensure this focus is not lost in the daily bustle and hustle commonly associated with large bureaucracies like government departments. Most notable of these legislative frameworks affecting organizational and individual performance is; The White Papers on Public Service Transformation, Service Delivery Affirmative Action and Human Resources Management The Public Service Act on Labour Relations (LRA), New Public Service, SAQA, Employment Equity and Skills Development The Public Service Regulations (as amended) And PSCBC and other relevant resolutions The shift in focus has meant that all levels or tiers of government have had to direct their energies in developing policies, systems and practices that seek to put delivery of service to the customer first, following Batho-Pele principles. The establishment of appropriate internal and external mechanisms for monitoring and evaluation will be central to the process of administrative transformation. Performance auditing and appraisal will be an integral part of this process (The White Paper on Public Service Transformation). To ensure that all departments find effective and efficient ways of turning around the focus of each individual in the public service, the Limpopo Provincial Administration agreed to have a uniform PMS based on an adapted balanced scorecard approach for all its ten[10] departments. The system has the following characteristics: Focuses on results or outputs rather than activities and processes; Administratively non-burdensome; Developmental rather than punitive; and Able to differentiate between employees who perform well and those who do not perform, in either case suggesting ways of rewarding or addressing performance gaps respectively The PMS manual was developed and used to train all employees on the system. This portable manual is the latest version of a series of continuously updated editions, which guides all the employees on how to use the system. This portable edition explains concepts and other issues relating to the implementation of the system in simple and understandable terms. DG, Limpopo Province. Signed: 5

7 (vi) Acknowledgments A sincere word of gratitude goes to Simeka Management Consulting (SMC), which rendered technical assistance in developing and implementing the system. The Provincial Administration is also indebted to the Integrated Provincial Support Programme (IPSP) for their financial assistance in developing and implementing the system. The Limpopo Provincial Government also thanks members of the staff for their comments and suggestions that continue to help sharpen many of the issues addressed in this manual. 6

8 PART A THE PERFORMANCE MANAGEMENT FRAMEWORK 7

9 1 The design and implementation of a Performance Management System of the Limpopo Province: An Overview This section provides an account of the phases undergone in developing the provincial performance management system. 1.1 Phases of PMS design and implementation process In realising the Public Service transformation imperatives, Simeka was, appointed in October 2000, through the Integrated Provincial Support Programme (IPSP), to design and implement a performance management system for the Limpopo Provincial Government. SMC used a phased approach to design and implement the PMS: Phase 1: Phase 2: Phase 3: Phase 4: Phase 5: Phase 6: entailed a project start-up and communication; involved a system design and piloting in three Departments; was about system refinement and production of first edition of PMS manual; culminated in the province-wide PMS Implementation and advisory roles; and involved the project team handing over the project to line managers (in case of internal consultants like champions and PM committees) or to departments (in the case of SMC as an external consultancy); reassessing the performance culture change following the full implementation of the system, revising the manual (2 nd edition), evaluating PMS Communication Strategy and adjusting the Business Plans to Balanced Score Card format to enhance strategic alignment. 8

10 2 Introduction to Performance Management This section covers the following questions: What is performance management? Why is a performance management system necessary? What does a performance management system do? What are the main objectives of a performance management system? What are the underlying principles of a performance management? 2.1 What is performance management? Performance management is a process of harnessing all available resources within an organisation and ensuring that these perform to the maximum, in order to achieve the desired results. Performance management involves building processes, systems, culture and relationships that facilitate the achievement of organisational objectives. 2.2 Why is PMS necessary? The Limpopo Province has a wide range of challenges to which it must respond. These include: Meeting the statutory and constitutional requirements in respect of service delivery; Addressing backlogs in a largely rural and under-developed province; Implementing its Provincial Growth and Development Strategy; Transforming an amalgamated public service from a rule-driven set of organisations into a developmental and transformative institution that promotes integration and co-operation at inter-departmental and intergovernmental levels; and Re-engineering the public service to address changing needs and to ensure that government and the administration of service delivery are accessible to the people of the province. The implementation of an effective performance management system would ensure that limited resources are utilised optimally in order to efficiently address budgetary limitations and inadequate inter-governmental transfers. 9

11 Effective performance management systems are built on the existence of a clear vision, mission and strategic goals indicating what the province and its departments need to achieve. The provincial performance management system is a systemic process of: Planning work, setting expectations and standards; Developing a highly skilled base of staff members who know what they should contribute and how they should go about making this contribution; Nurturing an organisational culture that strives towards excellent performance and service delivery; Continually monitoring performance; and Rewarding excellent performance. 2.3 What does a performance management system do? Performance management provides the system and processes to put the above elements in place and to ensure that each staff member is clear about the important role s/he plays in the organisation and the achievement of organisational objectives. At an individual staff member level, a performance management system allows for the following: Agreement to be reached on individual, team and departmental responsibilities and the linking of these with the overall goals of the department. The clear definition of areas of responsibility and determination of indicators against which performance can be measured Providing and receiving feedback on performance Recognition and understanding of levels of performance. For each department, team and the province as a whole: The drawing of clear links between what the department, teams and individuals do and the goals of the province as a whole Recognition of good performance Improvement of poor performance. 2.4 What is the main objective of a PMS? The main objective of the system is to clarify and align broader organisational, departmental, team and individual efforts and expectations, thereby ensuring that energies are directed at achieving the Provincial strategic goals. This will ensure that excellent performance is recognised, rewarded and nonperformance is addressed. 2.5 What are the underlying principles of a performance management system? 10

12 The performance management system is developmental rather than punitive. It provides a clear and detailed framework for: Agreement on performance contracts Clear measures of agreed upon standards A balance between organisational needs and employee rights The system allows for joint responsibility and accountability based on mutual trust and respect and is cost-effective and practical as it enhances improvements in quality of services. 2.6 What does the legislation say about performance management in the Public Sector? The new Public Service Management Framework that includes amongst other legislation, the Public Service Act, 1994, as amended, as well as the new Public Service Regulations, came into operation on 1 July The following points are integral to the policy and framework: The Public Service Commission developed and implemented a framework to evaluate Heads of Departments (HoDs) only, and they are required to sign a performance contract. The new approach to performance management for employees below management level is embodied in the amended Public Service Act and the PS Regulations of 2001 aim at employee development and empowerment, and not punishment. The performance management procedures may differ, but the same principles should apply to all departments: An orientation towards results Focusing on training and development Rewarding good performance Managing poor performance and Adherence to openness, fairness and objectivity. In the context of the new regulations, three salient points of the new approach to performance management are that: Each department will select its own system or model within the framework of the purpose and principles in the regulations, to fit its unique needs and requirements It embodies a shift from personnel appraisal, to a process-approach to performance management, encompassing the organisation, teams and individuals and The approach will allow for the development of under-performing individuals rather than take a punitive approach to under-achievers. 11

13 The policy framework, designed to transform the public service, is focused on improving service and is informed by the following mandates: Legislation such as the Constitution, the Public Service Act, 1994, as amended, Labour Relations Act, SAQA Act, Skills Development Act and the Employment Equity Act The various White Papers such as Transformation of the Public Service; Transforming Public Service Delivery; (Batho Pele); Human Resource Management; Affirmative Action; and Training and Education The new Public Service Regulations Relevant collective agreements. Resolution 2/1999 The Public Service Co-ordinating Bargaining Council (PSCBC) has adopted various collective agreements that inform aspects of performance management, and these include: Resolution 13/1998 on Performance Agreements for Senior Management from level 13 upwards and Resolution 2/1999 on Benefits and Allowances. All of the requirements are included in the performance management system designed for the Limpopo Province. 12

14 PART B THE PERFORMANCE MANAGEMENT SYSTEM 13

15 3 What is the Balanced Scorecard (BSC)? This section explains: The context under which the balanced score card is used, What constitutes the Provincial PMS? What is a PM framework? What is a PM model? The four perspectives that form the pillars of the BSC? The four perspectives, which form the pillars of the Balanced Scorecard approach to performance management. The strength of the BSC How does the BSC help managers to effectively manage? 3.1 What constitutes the Provincial PMS? Limpopo Provincial Government s PMS comprises of a performance management framework and a model. Limpopo has adopted the balanced scorecard approach as a model that captures performance dimensions that will be measured. The Performance Management framework links directly the departmental vision and its strategic focus as described in the strategic plan, to the strategic goals of the province on the one hand; on the other hand, it also links the foregoing to individual performance or achievement. This it does by clearly showing what information has to be collected, how to collect it and when it should be collected. The Performance model on the other hand is a tool that helps an organisation to identify key performance dimensions which it wants to measure. This helps to align the focus of a department towards its vision. Within this Balanced scorecard model, this refers to the four perspectives and the KRAs within each perspective. 14

16 3.2 What is a scorecard? The scorecard is a mechanism to try and pull together in a balanced way historically- based measures of organisational performance (like financial) and drivers of future performance based on the vision and strategic plan. The score card seeks to balance external measures of customer and stakeholder satisfaction with those of internal critical business success processes, innovation, growth and learning. Some indicators are maintained to measure an organization s progress toward achieving its vision; other indicators are maintained to measure the long term drivers of success. Through the balanced scorecard, an organization monitors both its current performance (finance, customer satisfaction, and business process results) and its efforts to improve processes, motivate and educate employees, and enhance information systems its ability to learn and improve. The use of the balanced scorecard approach in the development of performance instruments is currently restricted to levels 13 and above. However, some lower level managers heading institutions and districts / regions may consider using the balance score card methodology to organise their key results areas (KRAs). The balanced scorecard is a conceptual framework for translating an organization s strategic objectives into a set of performance areas distributed among four perspectives. It is important to understand the number of questions that each of the perspectives seeks to answer for the betterment of the organisation. The following table outlines some of the questions that each perspective of the balanced scorecard seeks to answer in order to ensure all critical performance areas of the organisation are measured. Table 1: The four perspectives of the BSC 1. Service Delivery 2. Financial To achieve our vision, how should we appear to our customers-the public? To succeed financially in our accounting, how should we appear to our public-tax-payers -PFMA belongs here. 3. Internal Business Process 4. Learning and Growth To satisfy our stakeholders, including customers, what business processes must we excel at? To achieve our vision, how will we sustain our ability to change and improve? The process to be followed in grouping key result areas (KRA) into the balanced scorecard perspectives starts with: Setting objectives for each KRA; Developing measures of success for set objectives; 15

17 Setting targets to show performance improvement; and Identify initiatives to achieve measures and their targets. The balanced scorecard gives managers information from four different perspectives. By minimising the number of measures used, it forces managers to focus on what is most critical. 3.3 The four perspectives which form the pillars of the BSC approach of performance management. The advantage of BSC is that it brings together on a single management report many of the disparate elements of an organisation s strategic agenda. It also forces managers to consider the important operational measures together, thus letting them see whether improvement in one area was achieved at the expense of another. The BSC translates mission and strategy into objectives and measures, organised into four different perspectives. Diagram 1 below presents a graphical description of the four perspectives. 16

18 Diagram 1: The four perspectives of the BSC The Four Perspectives Accountability Cost recovery Affordability Linkages with financial allocations to service delivery priorities Financial Internal and external client needs Level of service output Perceptions of services received Process and manner of service delivery Partnerships Learning & innovation VISION Service delivery 1. Experimental or innovative programmes 2. Partnerships 3. Linkage Organisational processes 4. Systems efficiency IT, HR, management, administration 5. Human resource development 6. Human resource administration 7. Recruitment and selection 8. Organisations development 9. Management development 10. Employment equity 17

19 The measures of the balanced scorecard are not merely descriptions of past performance. It is NOT a controlling system. The measures should be used to articulate and communicate the strategy of the organisation. They are also designed to help align individual, organisational, and cross-departmental initiatives to achieve a common goal. So, what makes the BSC different from a mere collection of performance measures? The Balanced Scorecard is much more like a network of linked performance measures. The strategy of an organisation is usually articulated around a set of cause-effect relationships. A well-built scorecard should reflect the intrinsic connections between each aspect of the strategy and each of the measures chosen to assess it. It balances and links financial and non-financial indicators, tangible and intangible measures, internal and external aspects, performance drivers and outcomes. 3.4 The strengths of the BSC. Table 2: Summary of the strengths of the BSC methodology: Strengths * Less linear and, therefore, potentially less mechanical than the excellence models which tend to prescribe what and how much should be measured for all situations. Integration of perspectives enables a more holistic assessment of performance in a department. Clearly links planning, measurement and management. Clearly links planning, measurement and management Relatively simple integrated model pulling from across a number of organisational performance drivers. It does not try to be comprehensive but seeks to capture key strategic objectives (key result areas) for purposes of management. The measures incorporated in the Balanced Scorecard are grounded in the organisation s strategic objectives and delivery demands. Therefore this set of critical indicators helps the organisation focus its efforts on the strategic vision Strengths (continued) Relies on clear objectives and measures that are objective and reliable. Links between the perspectives can be used to diagnose performance problems. Forms the basis for staff management as well as organisational. The four perspectives of the Balanced Scorecard enable organisations to track financial management indicators while simultaneously monitoring progress in building the capabilities and acquiring the intangible assets they need for future growth. The Balance Scorecard then becomes the cornerstone of the organisation s current and future success. Also, by balancing external and internal measures, there is no trade-off among key success factors. Has a strong emphasis on learning and development consistent with the developmental emphasis recommended in the PMS and 18

20 Strengths Strengths (continued) PMDS principles set in the DPSA 3.5 How does the BSC help managers to effectively manage performance? In light of the above and in conformity with the government s thinking on transforming the Public Sector to utilise resources more effectively and efficiently, the Balance Scorecard seems to be a strategic management tool that can easily be adapted by managers to: Clarify and gain consensus about strategy; Communicate the strategy throughout the organisation; Align departmental and personal goals to the strategy; Link strategic objectives to long-term targets and annual budgets; Identify and align strategic initiatives; Perform periodic and systematic strategic reviews; and Obtain feedback to learn about and improve strategy. 3.6 Alignment of Management plans to the balanced scorecard. To facilitate ease of strategic alignment, all management plans have been formatted along the BSC lines. The management plans are not included in this manual but should be referred to during all PM cycle phases. 19

21 PART C IMPLEMENTATION OF THE PERFORMANCE MANAGEMENT SYSTEM 20

22 PRFORMANCE MANAGEMENT FRAMEWORK OPERATIONAL LEVEL OPERATIONAL LEVEL The operational level performance management framework describes the specific strategic choices made by a department, in order for it to be an effective services provider, as well as an effective, efficient and transformed organisation. ORGANISATIONAL INDIVIDUAL Departmental/ Organisational Level Individual Level 1 year 1 year Departmental Management Plan Fin Overall Outputs Ser Del Org Pro Directorate Management Plan L C O M P E T E N C Y Senior Management Performance Agreements Fin Overall Outputs Ser Del Org Pro L Fin Overall Outputs Ser Del Org Pro L P R O F I L E Management Performance Agreements Overall Outputs Team Delivery Plans Fin Ser Del Org Pro L Overall Outputs Support Staff Work plans Competency profiles Fin Ser Del Org Pro L Professionals Standards framework Competency profiles Project Managers Work plans Competency profiles 21

23 Diagram 3: Performance management cycle Review of departmental / directorate performance Individual performance evaluation Performance Management Cycle Departmental strategic plan: Objectives and measures of success Planning and contracting Evaluating performance Development of performance plan for next year Departmental Management plan ANNUAL ANNUAL 3 Identifying outcomes: Performance improvement plan Recognition Non-performance measures SYSTEM MAINTENANCE AND DEVELOPMENT Self review Directorate Management plan Team Delivery plan Individual performance plan: Performance agreements, work plans and standards frameworks, competency profiles 1 Peer / managerial review informal and formal Monitoring progress Customer review where possible QUARTERLY 2 22

24 Diagram 4: Description of elements of performance measures Performance measures describe what is expected in terms of satisfactory performance. They set the required level of Standards describe the requirements for effective performance. Standards consider both process and outcome requirements of effective performance Standards PERFORMANCE MEASURES Indicators Objectives and Key Results Areas Objectives are a statement of intent by an organization or an individual. They identify what outcomes or outputs are expected within a particular time frame Key results areas describe focus areas of performance. A group of KRAs (usually 3-5) describe the overall function of an employee Target The target sets a specific quality or quantity of performance within a specific timeframe. Indicators provide evidence that the standard has been achieved. They identify particular aspects of performance that reflect success 23

25 Diagram 5: Example of performance measures in use PERFORMANCE MEASURES Curriculum framework covers all aspects of science and technology education required for Grade 10; developed in consultation with stakeholders and easy to understand Standards Comprehensive science and technology curriculum framework developed in line with outcomes based requirements Indicators Objectives and Key Performance Areas Curriculum Development Target Framework finalized by 31 October 2000 Identified stakeholders sign off on framework document Curriculum presented in simple guidebook format, in four languages 24

26 4 A Step-By-Step Guide: Developing the Organisational PM Framework in line with BSC This section explains how to: Develop a departmental strategic focus from the departmental vision. Translate strategic objectives into the four perspectives. Identify measures of success for each strategic objective Develop the departmental business plan Develop directorate business plans Develop team delivery plans 4.1 Introduction The development of a performance system that requires the adaptation and alignment to the BSC follows a number of strategic steps that are interlinked and aligned. The starting point in developing a BSC approach to performance management is embracing a futurism stance. This implies the development and/or confirmation of the organisation s desired future (vision) underpinned by the strategic level which has a 3-5 years focus. The departmental strategic focus is followed by the translation of strategic objectives into the four perspectives of the BSC as explained in chapter 4. The final step is identification of success measures for each strategic objectiv. The organisational PM framework consists of two levels (the strategic level; and the organisational level): The strategic level is about ensuring that there is a clear vision, mission and focus areas guiding all long term to medium term direction of the department; and The operational level directs the short-term efforts of the department, its directorates, teams and individuals in the directions already set and agreed in the strategic framework. The strategic level diagram shows how the balanced scorecard system allows for a clear relationship to be drawn between the vision and strategic focus or mission of the organisation, and strategic objectives which allow for certain 25

27 outcomes to be achieved. The vision and mission of the particular department are translated into strategic objectives via the four perspective areas. At the operational level, the diagram distinguishes between organisational and individual levels and breaks these down into different levels of organisation (department, directorate, team) and levels of employee (ranging from senior management to support staff). 4.2 Developing the strategic level framework At a strategic level framework, the BSC methodology, as with most performance management methodologies, requires the creation of a vision, mission statement, and strategy for the organisation. This ensures that the performance measures developed in each perspective support accomplishment of the organisation s strategic objectives. It also helps enployees visualize and understand the links between the performance measures and successful accomplishment of strategic goals. The key, as pointed out by the BSC methodology, is to first identify where the organisation wants to be in the near future. Set or confirm the departmental vision. Secondly, craft a strategy to realize the vision, and thirdly, develop measures that would indicate progress towards reaching the desired destination. The following diagrams explain this process. 26

28 Diagram 2: Confirmation of the departmental vision Step 1: Confirmation of the departmental vision Over 10 years VISION M A N D A T E Informed by legislation and policy long term interpretation of role Table 3: Confirmation of the departmental vision Focus Area Action Steps Determine status of Conduct interviews and workshops with vision stakeholders (senior management, unions, staff) to determine whether there is agreement on the current vision of the department If necessary, discuss this at a departmental planning or review session Confirm existing If there is agreement on the vision, vision stakeholders should measure it against the following criteria: Does it describe what the department wants to achieve in the next 10 years? Is it clearly informed by legislation and policy developed in the sector? Is it transformative in nature does it describe a context different to the current reality? The vision becomes the starting point of the PM framework Develop new vision If the vision does not exist or is strongly contested, conduct a visioning exercise in a representative forum, following these steps: Conduct a SWOT analysis to determine internal strengths and weaknesses and external opportunities and threats. Analyze the legislation and policy documents guiding the sector in which the department works to identify what should change. Brainstorm on the kind of sector that stakeholders would like to see in 10 years time Identify key words that need to be included in the vision. Ask small groups to write up vision statements and present them to the group Develop a vision statement. 27

29 Step 2: Developing a departmental strategic focus 3-5 years STRATEGIC Who we are What we do Who we serve Contextual factors Environmental factors Assumptions / risks Table 4: Developing a departmental strategic focus Focus Area Action Steps Identify key factors Use the current departmental mission statement (if there is one) as a starting point. Ask yourself: Who is the department? What does it do? Who does it serve? Conduct an external Undertake a SWOT 1 analysis (if not done as review part of the visioning exercise) Undertake a STEP 2 analysis Identify risk factors that may be beyond the department s control Make strategic choices Based on the above inputs, answer the following questions: Given the current context, what can we achieve in the next five years? What risk factors will cause failure and how do we avoid them? Will this bring us closer to achieving our vision? What are the choices we need to make? Agree on the strategic focus through making specific choices about what the department will and will not do in the next five years. 1 A SWOT analysis examines the internal Strengths and Weaknesses of an organisation and the Opportunities and Threats it faces in the external environment 2 A STEP analysis identifies the Social, Technological, Economic and Political factors that may impact on an organisation s success 28

30 Step 3: Translating strategic objectives into the four perspectives PERSPECTIVES Financial Service delivery Organisational processes Learning & innovation 3 years STRATEGIC OBJECTIVES Assumptions Enabling mechanisms Table 5: Translating strategic objectives into four perspectives Focus Area Action Steps Link existing Clarify the meaning of each perspective, in the context of strategic the department objectives to List all strategic objectives that have already been the four identified by the department (list all objectives even if they perspectives have been grouped under focus areas) Organise the objectives under the four perspectives. Ask yourselves, Is this action primarily of a financial, service delivery, organisational process or learning & innovation nature? In cases where the strategic objectives are linked to more than one perspective, list them under all relevant Regroup objectives perspectives Take each perspective one by one group the objectives that seem similar together Discard any statements that are shorter term objectives, activities or tasks Develop one strategic objective out of a group of similar objectives Identify no more than 3 strategic objectives under each perspective Identify gaps In relation to each perspective, ask: Have we identified all the critical strategic objectives within this perspective to enable us to achieve our strategic focus? What other objectives will be required to ensure that we are successful in the next 5 years? Identify any additional objectives Streamline the new objectives with the existing objectives to ensure that there are no more than 3 strategic objectives under each perspective Check balance for Read through all of the strategic objectives. Ask: 1. If we achieve each of these objectives will we 29

31 Focus Area Action Steps achieve our strategic focus? 2. Is there sufficient focus on each perspective to ensure that there is a balanced picture of the department? Step 4: Identifying measures of success for each strategic objective PERSPECTIVES Financial Service delivery Organisational processes Learning & innovation 3 years MEASURES OF SUCCESS SERVICE STANDARDS Outcome measures incorporating service standards Table 6: Identifying measures of success for each strategic objective Focus Area Action Steps Link measures to each Take each strategic objective. Ask: strategic objective How will we know that we have achieved our desired outcomes? What standard of performance do we want to achieve? What evidence will we need as proof of this achievement? Develop an agreed upon a measure of success for each objective Check the measure against the criteria for a good performance indicator Each objective may have more than one measure of success, depending on the nature of the objective Measures may be quantitative or qualitative in nature. 30

32 4.3 Developing the operational level framework 1 year Departmental Business Plan / Scorecard Overall Outputs Directorate Business Plan / scorecard Fin Ser Del Org Proc L& G Overall Outputs Team Delivery Plan / Scorecard Fin Ser Del Org Proc L& G Overall Outputs Fin Ser Del Org Proc L& G Table 7: Developing the operational level framework Step Focus Area Action Steps Step1: FOR EACH PERSPECTIVE Departmental Business Plan Identify overall outcomes within a one year framework Identify outputs within In relation to each strategic objective within the perspective, identify the specific outcomes that can be achieved within the one year framework; Identify performance measures for each outcome. Ask: How will we know that we have achieved our desired outcomes? What standard of performance do we want to achieve? What evidence will we need as proof of this achievement? Test the measures against the criteria for good indicators Define actions that will contribute to the achievement of each objective 31

33 Step Focus Area Action Steps a one year For each action identify a performance framework measure, according to the process outlined above Set clear time-frames Identify enabling actions that may need to be taken to ensure success, or partners that should be brought on board Outline all resource requirements financial, Step2: Directorate Business Plan Step 3: Team Delivery Plan/ Divisional Plan Obtain approval for plan Allocate strategic objectives Develop plan Identify teams Develop plans human and physical Ensure that senior management endorse the business plan and reflect commitments on the budget Based on strategic objectives identified and organisational structure, allocate objectives across all chief directorates and directorates Ensure that all objectives are equally allocated and that there are none left unallocated Develop a business plan according to the steps outlined above Check that there is no duplication across the strategic plans Identify natural work teams, or project teams, that require individual plans. These may be teams within the department or across other departments Get agreement on which teams require specific plans and identify which strategic objectives they will contribute to. Develop team delivery plans according to the workplan format Identify key performance areas that the team will be required to deliver on these are overall areas of performance List specific actions or outputs required to achieve each key performance area Set performance measures, according to the criteria listed above, for each output Set clear time-frames Identify enabling actions and partners Identify any resources required by the team to enable successful performance. 32

34 4.4 Performance management cycle The performance management cycle describes the various phases that the system moves through over the course of one year. There are three main phases of the performance management cycle: Planning and contracting Monitoring progress; and Evaluating performance. In addition, the PM cycle incorporates system maintenance and development. The cycle is shown in the diagram 3 below and tables 9-11 on the other hand provide a detailed explanation of each phase. Provide a detailed explanation of each phase. 33

35 Diagram 3: Performance management cycle Review of departmental / directorate performance Individual performance evaluation Performance Management Cycle Departmental strategic plan: Objectives and measures of success Planning and contracting Evaluating performance Development of performance plan for next year Departmental Management plan ANNUAL ANNUAL 3 Identifying outcomes: Performance improvement plan Recognition Non-performance measures SYSTEM MAINTENANCE AND DEVELOPMENT Self review Directorate Management plan Team Delivery plan Individual performance plan: Performance agreements, work plans and standards frameworks, competency profiles 1 Peer / managerial review informal and formal Monitoring progress Customer review where possible QUARTERLY 2 34

36 Table 8: Description of Performance Management Cycle: Phase 1 PHASE Component Description Planning and Departmental The strategic level performance Contracting Strategic Plan management framework describes the specific strategic choices made by a department, in order for it to be an effective service provider, as well as an effective, efficient and transformed organization. The strategic plan consists of a vision statement, strategic focus statement and strategic objectives, and measures of success, in line with each of the four perspectives. Departmental The operational level performance Business Plan management framework describes how the department aims to achieve its strategic objectives through specific actions. It gives guidance to the work of the department for the year under review. Directorate Business Plan Project Teams Plan Individual Performance Plans Business plans need to be in place for each directorate. These outline the areas of performance of each directorate, and which strategic objectives they will contribute towards. They describe the specific actions to be undertaken for the period under review. Project teams These teams are temporary and only exist for the duration of a project. It is crucial that project teams also monitor their own performance and those of individual members. Participation in project teams implies added tasks and these should always be reflected on the individual s performance agreements / work plans. Existence of project teams also allows for formal peer reviews. Each individual within the department, from the level of HOD downwards, will have a performance plan. This may take a number of forms, depending on the role that the person plays within the department. The various performanceplanning tools are the performance agreement, the work plan and the standards framework. Each performance plan is accompanied by a competency profile, used largely for skills development 35

37 Table 9: Description of Performance Management Cycle Phase 2 PHASE Component Description Monitoring progress Self review Before the progress reviews and the performance evaluation take place, employees should review their own performance before meeting with their supervisors or team leaders. The selfreview process will assist employees in jointly taking responsibility for their development. In addition, employees should begin to develop a reflective framework in which they evaluate their Peer / managerial progress review own performance on an ongoing basis. Progress reviews ensure that feedback on performance is continuously shared between supervisors/team leaders and employees. These reviews may be provided formally or informally. 3. Informal progress reviews: Informal reviews will enable supervisors / team leaders and employees to provide each other with performance feedback on a daily basis. Feedback will be provided on an ad hoc basis after work activities have been undertaken. Formal progress reviews: These progress reviews should be held at least twice, and preferably four times a year. Comments made during these reviews and feedback received from internal and external stakeholders will be documented. If there are changes to the general tasks or competencies, exerted by either the internal or external environment, the individual s performance agreement / workplan can be re-negotiated at this stage. For practice purposes only and as a guide to performance trends, the use of rating scales is encouraged. 36

38 However, there should be no aggregation of the quarterly scores to contribute to the end of year score as the KRA do not necessarily carry proportionate weightings every quarter. Any scoring results can only be formative at this stage. Customer review If possible, feedback from customers should be incorporated into the performance review process. This may be easier to obtain from internal clients, or in relation to a section or directorate, rather than an individual. Where possible it should be used to provide a more holistic picture of performance 37

39 Table 10: Description of Performance Management Cycle: Phase 3 PHASE Component Description Evaluating Performance Identifying outcomes & Managing Outcomes Performance Improvements Recognition and Corrective action 4. There should be consequences or outcomes linked to the completion of each round of performance evaluation. These outcomes can be in the form of: Performance improvements Rewards Corrective action Performance Improvements Performance improvements may be suggested where employees are performing well but require further training and development in some aspects of the job. This may be technical training linked to job activities or training focusing on behavioural patterns. Performance improvements will generally link with the department s training and development policy. Recognition Outcomes in the form of recognition may be linked to the Province s Remuneration policy, but may also incorporate non-financial rewards Corrective action may be necessary due to two main outcomes: Employees consistently perform poorly: After several warnings and suggested performance improvement mechanisms, consistent poor performance on the part of an employee may be referred to Industrial Relations for disciplinary actions as stipulated by the Labour Relations Act. Immediate supervisor s consistent negative behavioural patterns during performance evaluation meetings: Where employees complain of the immediate supervisor s negative behavioural patters during performance evaluation meetings, the employees may refer the grievance to the appropriate directorate for attention. 38

40 PHASE Component Description Evaluating System The HRM section in the Office of the performance Maintenance Premier plays a critical role in & Managing and monitoring the implementation of the Outcomes Development system, collecting data on the outcomes of performance evaluations and ensuring that consistency and equity apply in all cases. Once the system is computerised it will be far easier to store data and track performance trends. 4.5 What are PM Measures? A critical component of any performance management system is the measures that are used to describe satisfactory performance. Many different words are used to describe measures indicators, targets, standards, results, etc. It is important to clarify exactly what we mean when we refer to performance measures. The performance management system is making use of the following approach (see diagram 4 and 5 below): 39

41 Diagram 4: Description of elements of performance measures Performance measures describe what is expected in terms of satisfactory performance. They set the required level of Standards describe the requirements for effective performance. Standards consider both process and outcome requirements of effective performance Standards Objectives are a statement of intent by an organization or an individual. They identify what outcomes or outputs are expected within a particular time frame PERFORMANCE MEASURES Indicators Objectives and Key Results Areas Key results areas describe focus areas of performance. A group of KRAs (usually 3-5) describe the overall function of an employee Target The target sets a specific quality or quantity of performance within a specific timeframe. Indicators provide evidence that the standard has been achieved. They identify particular aspects of performance that reflect success 40

42 Diagram 5: Example of performance measures in use PERFORMANCE MEASURES Curriculum framework covers all aspects of science and technology education required for Grade 10; developed in consultation with stakeholders and easy to understand Standards Objectives and Key Performance Areas Comprehensive science and technology curriculum framework developed in line with outcomes based requirements Indicators Curriculum Development Target Framework finalized by 31 October 2000 Identified stakeholders sign off on framework document Curriculum presented in simple guidebook format, in four languages 41

43 4.6 Criteria for a good performance measures (standards, indicators, baseline and targets) When identifying performance/indicators, it is firstly important to identify WHAT we want to measure, and then to consider the criteria of a GOOD measure. When selecting an indicator, first ask yourself: what do I want to measure? : Economy: how do actual costs compare with planned costs? Cost and Efficiency: what is the ratio of outputs to resource inputs? Awareness: are the intended beneficiaries aware of the service? Service volume / outputs: is the service available to the intended beneficiaries? Service take-up: are the intended beneficiaries actually receiving the service? Targets/milestones: what must be achieved by the end of a specified quarter? Capacity utilization: how effectively and efficiently will the resources and infrastructure be used in the attainment of targets in a specified quarter? Quality: are we achieving quality standards and 'customer satisfaction'? Effectiveness: do actual outputs and outcomes achieve our intended objectives? Impact: what net improvement have we made to the quality of life of the local community? Equity/Fair Access: is the distribution of outputs, outcomes, benefits and impacts equitable? Once you have selected your measure, ask yourself if it meets the criteria for a good measure. Is it smart? S - Simple M - Measurable A - Attainable R - Realistic T - Time-bound 42

44 5 Performance Planning and Contracting This section includes: An introduction to Performance Planning and Contracting The different types of performance instruments (PIs) Criteria on who uses which type of performance instrument? Different parts of a complete performance instrument (PI) A step-by-step guide for developing an Individual or Team Workplans or Standards Framework. How to complete the forms for planning and agreements in the 5.1 Introduction The development of Individual/team performance plans is a critical step in phase 1 of the performance management cycle. This phase of the PM cycle is shown by the shaded area in diagram 6 below. The planning and contracting phase in the PM cycle must always be informed by and drawn from departmental and directorate business plans or score cards. Individual/team development plans are the sole basis upon which an employee s performance will be measured in each and every department. 43

45 Diagram 6: Planning and contracting Review of departmental / directorate performance Evaluating performance ANNUAL 3 Individual performance evaluation Development of performance plan for next year Identifying outcomes: Performance improvement plan Recognition Nonperformance measures Performance Management Cycle SYSTEM MAINTEN- ANCE AND DEVELOP- MENT Departmental strategic plan: objectives and measures of success Departmental business plan Directorate business plan This Section in the PM Cycle Team delivery plan Planning and contracting Individual performance plan:performance agreements, workplans and standards frameworks, competency pro files ANNUAL 1 44

46 5.2 The different types of performance instruments There are three types of performance instruments (PIs) that will be used for different levels of employees in each of the provincial departments. The three different types of performance instruments are: I. Full Performance Agreements for sms members and other managers in charge of institutions and regions / districts; I. Workplan type of memorandum of understanding on performance; and II. Standard framework type of memorandum of understanding of performance. 5.3 Who uses which type of performance instrument? As was described earlier, levels require a full performance agreement in terms of the Public Service Regulations (as contained in the latest amendments). Informed by the relevant Public service regulations (PSR), 1998, 2001 and any later amendments as well as other best practice criteria, the following guidelines directing who should use which form of Performance Instrument have been given; Senior management service (sms) (13-16) and other lower level managers (mostly middle managers) in charge of institutions like hospitals, colleges etc, regional and district offices conclude a full performance agreement. These employees must reflect all four perspectives in their PIs as they are responsible for the holistic well being of their institution, district, region, directorate, branch or department as the case may be. Most middle managers and other staff members whose jobs are not repetitive or routine or do not put them in charge of a lot other staff and resources should use the workplan. Project managers and other staff whose tasks have a specific start and end point must use these workplan types of memorandum of understanding on performance. Staff whose tasks are repetitive and those whose performance are governed by pre-determined professional standards, must use the standards framework type of memorandum of understanding on performance. These standards may be pre-set by professional bodies, equipment manufacturers or for that matter, between employee and the supervisor during the conclusion of the planning and contracting phase. Such staff could either be high level professionals or lower level employees. The key issue here is that they perform work that is task oriented and repeats itself over time, always seeking to keep to very clear performance standards all the time, and not based on a start-end basis. 5.4 The Parts of a Complete Performance Instrument (PI) Each of these three performance instruments are made up of 4 parts, namely; Part A: Generic Performance Agreement. 45

47 This generic performance agreement sums up the employee s identity, the context and spirit of performance expectations, roles, limitations, commitment, modalities and outcomes for the whole PI. An example of this part of the performance instruments is shown as annexure 1. This part of the performance instrument applies to all employees irrespective of their level or job specialisation. As such it will be found at the start of each PI, regardless of type. Part B: The Performance Plan. The performance plan details in tabular form all the employee s performance outcomes, performance dimensions (KRAs), outputs, targets and resource requirements. The performance plan constitutes 90% of the priority or weight of the whole performance instrument. This % may vary from year to year but it must be determined and communicated centrally at the start of the year. See attached format 1. The performance plan is the first part of the performance instruments that must be measured in the performance management cycle. Part C: Competency Profile. A competency profile describes the employee s current competences and seeks to relate them to the employee s job competency profile. In this regard, an employee s competence must be identified first, and the level of each of the employee s competences presented on a scale of 1-3, where 1 is the lowest and 3 the highest. The competence level indicated by the employee is compared with the level of competence required by the employee s job (if that competence is a requirement on the job). Where the competence listed by the employee is applicable for the job, the difference in levels determines whether that competence should be developed further or left alone as adequate. Where the competence level profiled by the individual is lower than that required by the job that competence must be listed in Part D below as a development during the current performance cycle. It must be emphasised that the competence profile does not get measured during the performance measurement process but rather it sets a baseline form which planning and measurement of the acquisition of future competences must take place. Part D: Competence-based Individual Development Plan. The competence-based individual development plan seeks to address identified competency gaps from the competency profiling exercise. A competency based individual plan is the second part of the performance instruments that would be measured during the cycle of the performance management cycle. The competency based individual development plan constitutes a pre-determined weight as well e.g. 10%. 5.5 About Competences Competences to be profiled have been divided into three parts. They have been split in this way in this edition to minimise the practise where most employees have been listing the same competences as if they all came from one directorate and did the same type of jobs and had the same career destination. The three sections are; I. Generic competences 46

48 II. III. Job specific competences and Other competences as shown. It may be useful although it is not compulsory to prioritise these competence sections in %. For example, generic competences may constitute 40%, job specific competences 45% while others may constitute 155. This prioritisation may differ between levels in the organisation, from time within the organisation s cycle as well as strategic focus of the organisation. The three different types of competences are briefly explained below as: Generic competences are those that any one employee, either by virtue of being an employee and / or occupying a particular level of the organisation, must possess. Generic competences are thus common to a number of employees at that level, for example, financial management for all sms managers (as required by PFMA), programme and project management for most management levels up to first line managers, honesty and trustworthiness for all employees. These competences usually form the foundation for any one employee to effectively and smoothly carry out their job and contribute to the progress of the whole organisation regardless of the job details. Job specification competences are unique to the job being performed by the employee. These competences distinguish say, an office administrator or clerk from a groundsman, a project manager from a spokesperson, a financial manager from a labour relations manager, an HR practitioner from an engineering or legal officer etc. These competences are usually what any prospective employee would particularly want to sell during a job interview. Other competences refer to competences that an employee has or wishes to have which have been gained in previous jobs, training, prior learning which are not required directly in the current job but whose possession helps to understand and make one s job more effective. For example, having good numeric competence helps a lot of employee s interpret PMS weights and ratings and thus quickly complete their PIs than those not so numerate; or an HR practitioner who has had legal background will find it easy to clarify, advise and deal with labour related queries; or a groundsman who has worked in his previous life as a garage hand will find it easy to fix lawn mowers etc while working with these implements in doing what is her / his core function of cutting grass. On the other hand, other competences may be what an employee needs to gain in order to be more effective in other future job roles in or out of the organisation. These would then be isolated for future career or succession planning. All the planning formats that need to be completed for each of these types of the three performance instruments are shown below in forms 6.1 (a-d). The formats referred to constitute Part B (performance plan), Part C (competency profile) and Part D (competence-based individual development plan). Diagram 6 outlines the planning and contracting phase as a critical step in the development of performance instruments. It is the first step in the performance management cycle discussed in chapter 5, diagram 3. This phase informs the 47

49 process of signing a performance agreement or a memorandum of agreement as the case may be. 5.6 Completing the Generic Performance Agreement (Part A of PI) This part has been shown as annexure 1 in this manual. It is the same for each employee regardless of rank or role. This part must be completed first and it must be done diligently as it provides the context for the whole performance instrument. Each section of this Part A, just like the other parts must be scrutinized by the manager and discussed with the employee during the contracting discussion which happens at the conclusion of the planning phase. The overseer will also pay attention to the contents of this section when the PI is later submitted to them for endorsement. 5.7 The development of Performance Plan (Part B) for SMS While Part A of the PI discussed above gives the context within which performance shall be delivered, Part B, the performance plan, gives the content of what the performance will be on. The process of developing a performance plan for SMS is provided by the steps detailed below. These steps should be read in conjunction with the planning forms 6.1 (a) shown below Steps in Completing the Performance Plan (Part B of PI) Step 1: Step 2: Step 3: Step 4: Step 5: Step 6: Document the % weighting assigned centrally (by DG or HOD) Identify one BSC perspective for each grid as shown below. Indicate the perspective. Allocate a weighting for each perspective informed by the strategic goals or focus on the department or directorate as shown in the business plan or score card. Here the skill is to prioritize perspectives and give them individual weighting which must add up to 100% for all the four perspectives. List 2-3 key outcomes for each perspective. The outcomes should also be informed by the strategic goals of the department. They should clearly demonstrate how the equality of life of customers will be impacted or affected by services to be delivered. Set performance targets for the 2-3 key outcomes listed in step 3 above. Identify and document between 3-5 key result areas (KRAs) per grid that will lead to the effective achievement of the listed key outcomes. Each KRA must be drawn from a clearly indicated strategic objective / goal in the business plan or score card. 48

50 Step 7: Step 8: Step 9: Step 10: Step 11: Step 12: Step 13: Step 14: Indicate the number of the strategic objective or goal taken from the business plan or score card. Weight the KRA. In other words, prioritise the KRAs in order of contribution and impact in achieving the listed key outcomes. The weighting must be a percentage, which must add up for all the KRAs chosen to the same % weighting allocated in step 3 above for each perspective. Develop key result indicators that will indicate progress in achieving the KRAs. The KPIs would type of quantity or quality of inputs to be used and outputs to be delivered. Determine the current quantity or quality of inputs or outputs in relation to the KPI chosen in step 7 at the start of the financial year. Set targets against the determined baseline indicator. The target must state the quantity or quality or both of inputs and / or outputs to be achieved at the end of a specified period. An annual target must be set and broken into 4 quarters. A target must focus on a combination of inputs to be used and outputs to be delivered. An example, 2 bridges built and R10 million of budget used. Targets must be set after due consideration of present and future resource allocation realities. Identify the means of verification or performance evidence that will be produced to show the target has been reached and indicate where the evidence is located or how it shall be produced during performance assessment or evaluation. Allocate resources following established financial and other national and provincial management regulations and other practices [medium term expenditure framework (MTEF)], physical infrastructure, current and future establishment (organogram). Tidy up all totals as appropriate and sign-off in space provided during the contracting discussion Completing the Competency Profile (Part C of PI) The following steps must be implemented by completing form 6.1 (b) below. Step 1: Step 2: Identify all the competences that you currently have. These are the competences that you would put down in your CV or resume when applying for a job for instance. List them down on a piece of paper. Break the list from step 1 above into the three competence sections discussed above, namely; generic, job specific and 49

51 others. Document each competence into each category as appropriately shown in the format below. Step 3: Step 4: For each of the competences that you have listed per competence section or category, indicate those competences that are required for your present job or role (left hand side of the format). For each competence in each category, indicate the current level of competence that you possess as well as the level of competence required by the job (only where the competence is a job requirement). To gauge the competence levels, the following guidelines which explain what each competence level entails should be used: Level 1: Describes the competence needed at a support level to complete tasks effectively within a given framework for a particular job. These are competences required to support the core function of that job rather than competences actually required to perform the core function itself. For example, a senior manager may need to file and respond to all correspondence but their strategic function is not correspondences, hence, their level of competence in filing and correspondence will be level 1. Another useful way of viewing this level of competency is that at this level, the employee has skills, knowledge and attitudes 9competence) that is not enough to run their own job of unit. It needs to be developed further in order for the employee to operate well and sufficiently within her / his job role. Level 2: Describes the competences needed to manage activities in relation, self and others to ensure success in the defined core function of that employee. The competence they have is enough for them to just manage what their job requires but not much more. For example, all employees need to plan their work, but an officer employed in the department s planning section would need more knowledge and skill in the area of planning than all other employees. Another example may be the fact that all senior managers are supposed to make finances in their directorates. However, the CFO or Finance Manager would need to have more financial knowledge and skills than her / his colleagues even at the same level. Level 3: Describes needed to evaluate and reshape processes, to develop frameworks and guidelines within which to work and to identify standards in relation to activities and outputs. This level of competence is such that, the one who possesses it can guide other employees in relation to that area of competence. Fro example, all PMS champions are supposed to have expert knowledge on the PMS system, how it should be implemented by all employees at, above and below their own 50

52 level. They participate with the designers and the evaluators of the system. The assessment of competence levels possessed by each individual for a competence is done in one or more ways; Self assessment, based on previous experience Against specified SAQA unit standards where these are available Feedback from previous PRD feedback as well as previous cycle evaluations Clearly agreed means of verification or performance outputs for each competence. A suggested list of core managerial competences is shown below. Employees are advised to select from and add to these (if necessary). Strategic Capability and Leadership Programme and Project Management Financial Management Knowledge Management Service Delivery Innovation Problem Solving and Analysis People Management and Empowerment Client Orientation and Customer focus Communication Honesty and Integrity Team Building and Leadership Completing the Competence-based Individual Development Plan This should be read in conjunction with Format 6.2 below. Step 1: Step 2: Step 3: Step 4: Write down the weighting for Part D of the Performance Instrument. This is the difference between what has been allocated for the Performance Plan (Part B) and 100%. In the illustration above, it will be =20%. Go to the competency profile, and identify all competences required for the job where own current level of competence is lower than that required by the job. Tabulate each of these competences in the appropriate categories or sections (generic, job specific and other competences) of the form 6.2. Think about and indicate why a particular competence is required, i.e. how does it impact the achievement of a particular key results area (KRA). If it is required for a crucial KRA, or a high priority one, it must be assigned a higher weighting in the next column of the planning grid. 51

53 Step 5: Step 6: Step 7: Step 8: Step 9: Step 10: Step 11: Step 12: Step 13: Prioritize each of the competences required and assign weights in % in the appropriate column. Indicate current level for each competence listed. This should be taken from the competency profile listing in Part C above. Indicate the targeted level of performance to be attained by the end of each quarter. Think of and document all activities that will be needed to gain the required competences to the level listed in step 7 above. List the resources that will be needed to ensure that these competences are attained within the specified time to the level desired and indicated. Tidy up all totals as appropriate. During the planning discussion, both the employee and the manager now sign-off all the spaces with their names and signatures and finally The manager / supervisor now passes a copy of the entire PI document with its four parts duly completed and signed by contracting parties to the overseer (manager-one-level up) for oversight and endorsement. This means if a senior manager is concluding a PI with one of her / his managers, a signed copy should be sent to the GM who will also counter-sign to signify approval of the PI (focusing on format and strategic direction and not content details). The GM need not be part of the planning discussion. The document duly signed by all 3 parties will be the one treated as final. The manager hands a copy to the system designers and administrators (usually HR unit) and keep a copy for her / his own reference while the employee keeps a copy to guide her / his daily performance focus. 52

54 Form 5.1 (a): Part B: SMS Performance Plan for the FY : Note: Here look at the strategic plan and business plan of your department as well as your directorate. Then complete each column below taking a stringent effort to ensure that what is intended in the strategic and business plans is achieved. Ideally, this should be completed by most middle managers and supervisory levels as well as some lower levels who feel that their performance plan requirements are not adequately catered for by the standard frame-work. The list should be between 3-5 KRAs per perspective. Performance Plan Weighting (: e.g. 80%) Business Unit and / or Directorate: 1.0 Balanced Score Card Perspective: Service Delivery Weight of Perspective: e.g. 35% List of Key Outcomes: Performance Targets for Each Key Outcome Listed Opposite Key Result Area (KRA) & Batho -pele princi ple Manage ment Plan Referen ce Weight of KRA in % Key Performanc e Indicators (KPI) / (type of quantity, quality of inputs to be used: outputs to be delivered Baseline measure for each target KPI or Performance Measure (what is the state of this quantity or quality of input or output at the start of the financial year) Performance Measurement Information Targets (use a combination of at least two of the indicator types listed below which respectively show what the quantities and or qualities of: inputs to be used outputs to be delivered or produced End of 1 st quarter target End of 2nd quarter target End of 3rd st quarter target End of year or 4th quarter target Means of Verification for Each Target (what evidence will be produced to show that target has been reached?) Resources and Accountability Resources required e.g. human physical and financial

55 3 4 5 Total (where applic able) E.g. 35 % (same as perspec tive weight) 54

56 2.0 Balanced Score Card Perspective: Financial Management Weight of Perspective: e.g. 25% List of Key Outcomes: Performance Targets for Each Key Outcome Listed Opposite Key Result Area (KRA) & Batho -pele princi ple Manage ment Plan Referen ce Weight of KRA in % Key Result Indicators (KRI) / (type of quantity, quality of inputs to be used: outputs to be delivered Baseline indicator for each target KRI (what is the state of this quantity or quality of input or output at the start of the financial year) Performance Measurement Information Targets (use a combination of at least two of the indicator types listed below which respectively show what the quantities and or qualities of: inputs to be used outputs to be delivered or produced outcomes for each KRA End of 1 st quarter target End of 2nd quarter target End of 3rd st quarter target End of year or 4th quarter target Means of Verification for Each Target (what evidence will be produced to show that target has been reached?) Resources Resources required e.g. human physical and financial Total (where applic able) E.g. 25 % (same as perspec tive weight) 55

57 3.0 Balanced Score Card Perspective: internal / Organisational Weight of Perspective: e.g. 24% List of Key Outcomes: Performance Targets for Each Key Outcome Listed Opposite Key Result Area (KRA) & Batho -pele princi ple Manage ment Plan Referen ce Weight of KRA in % Key Result Indicators (KRI) / (type of quantity, quality of inputs to be used: Baseline indicator for each target (what is the state of this quantity or quality of input or output at the start of the financial year) Performance Measurement Information Targets (use a combination of at least two of the indicator types listed below which respectively show what the quantities and or qualities of: inputs to be used outputs to be delivered or produced Outcomes for each KRA End of 1 st quarter target End of 2nd quarter target End of 3rd st quarter target End of year or 4th quarter target Means of Verification for Each Target (what evidence will be produced to show that target has been reached?) Resources Resources required e.g. human physical and financial Total (where applic able) E.g. 35 % (same as perspec tive weight) 56

58 4.0 Balanced Score Card Perspective: Learning and Growth Weight of Perspective: e.g. 16% List of Key Outcomes: Performance Targets for Each Key Outcome Listed Opposite Key Result Area (KRA) & Batho -pele princi ple Manage ment Plan referenc e Weight of KRA in % Key Result Indicators (KPI) / (type of quantity, quality of inputs to be used: outputs to be delivered Baseline indicator for each target (what is the state of this quantity or quality of input or output at the start of the financial year) Performance Measurement Information Targets (use a combination of at least two of the indicator types listed below which respectively show what the quantities and or qualities of: inputs to be used outputs to be delivered or produced outcomes for each KRA End of 1 st quarter target End of 2nd quarter target End of 3rd st quarter target End of year or 4th quarter target Means of Verification for Each Target (what evidence will be produced to show that target has been reached?) Resources Resources required e.g. human physical and financial Total (where applic able) E.g. 16 % (same as perspec tive weight) 57

59 5.8 All the Workplan and Standard Framework PI s are discussed in detail in the second manual for memorandum of understanding on performance. No further details will be given here. 58

60 Form 5.1 (b) PART C: COMPETENCY PROFILE FOR THE FY : The competency profile has been divided into three because employees (sms and non-sms) tend to focus only on what has been given or suggested in the manual without being. Jobspecific or relevant In Section 1.0, list all those competences which you possess which are not specific to your job title but rather more to your level of responsibility, e.g. those that are the same for every sms, or manager, practitioner, nurse, engineer, grounds person, etc. These must be agreed on with the unit or branch or HOD in the case of sms managers before they are listed. Ideally a list of five priority generic competences must be listed. In section 2.0, list all those competences which you possess that qualify you for your current job, e.g. financial manager, PMS officer etc In section 3.0, list all those competences which, though not directly related to your current job or level of responsibility, are useful now or in the future, e.g. level of numeracy, general knowledge gained experientially or through training. These just make it possible to achieve more in your workplace or career development. INDIVIDUAL COMPETENCY PROFILE List of own current Competencies Current level of competency (1 3) JOB RELATED COMPETENCY PROFILE Is this competence required for the job 1.0 Key Generic Competences 1.1 E.g. 3 E.g. Yes E.g Sub-Total (where applicable) 2.0 Job Specific Competences Sub-Total (where applicable) 3.0 Other Competences Deemed Important / Useful for Career and Performance Enhancement 3.1 Level of Competency Required for the Job. (as explained etc.) 59

61 Sub-Total (where applicable) Grand Total (where applicable) Name of employee: Name of Supervisor / Manager: Name of Overseer (manager s supervisor) Signature of Employee: Signature of Supervisor / Manager: Signature of Overseer: Date Signed: Date Signed: Date Signed: 60

62 Form 5.1 (d): COMPETENCE-BASED INDIVIDUAL DEVELOPMENT PLAN FOR FY: OVERALL WEIGHTING OF 20% FOR EVALUATION PURPOSES. Competence required (from gaps identified in the profiling process above For which KRA and Batho-pele principle is this competency required Weighting in % Current level of competence (taken from competency profiles) Target level of competence (select from level 1-3 from competency profiles) Timetable for gaining targeted competence Activities to close competence gaps 1.0 Generic Competences (Description as for 1. in annexure C above) Weighting of the Competences= e.g. 40% 1.1 E.g. 10% /2005 E.g. Annual Strategic Planning (workshop) Attend strategic planning course Sub Total Number of New Generic Competences Targeted=. 2 Specific Competences (as described in annexure C above). Weighting of this section e.g. 45% Resources Required for this development to take place Sub Total Number of New Job Specific Competences Targeted=. 3 Other Competences (as described above in annexure C) (Here some of the development targets may be good for individual and organizational career and succession planning). Weighting of this section e.g. 15%

63 Sub-total Grand Total 100% Number of New Other Competences Targeted=. Name of employee Name of Supervisor / Manager: Name of Overseer (manager s Supervisor): Signature of Employee Signature of Supervisor / Manager: Signature of Overseer: Date Signed: Date Signed: Date Signed: 62

64 6 Monitoring Performance This section explains: Introduction to Performance Progress Monitoring / Reviews The three steps of the performance monitoring phase i.e. selfassessments, managerial or peer review and customer reviews The roles and responsibilities of the employee, the manager / supervisor and the overseer. Step by step guidelines for completing performance reviews forms. 6.1 Introduction to monitoring progress Monitoring individual or team performance is crucial to ensure that employees work towards their set and desired strategic objectives and performance targets stated in their business plans and performance instruments respectively. Monitoring individual or team performance is conducted through a process called Progress Review Discussions (PRDs). These form a continuous process of monitoring and assessing individual and/or team performance based on the instruments concluded during the planning and contracting phase in chapter 6 above. There are three components to progress reviews: self-assessments, peer/managerial reviews and customer reviews. During self-assessments, employees review their own performance before meeting with their supervisor/manager. This is a process of preparing for the formal review discussion. They will do this by completing the appropriate form shown below. The managerial review is the final formal one wherein the two parties, namely, the employee and the supervisor discuss performance progress for each quarter. This session is called the progress review discussion (PRD). Peer reviews provide means of feedback through which an employee gets a sense from peers on how she / he is performing. Peer reviews are between employees in the same capacity and or position. The aim of reviews is to keep track of performance and give feedback so that corrective action can be taken before it is too late. Managerial and peer reviews are both formal and informal. Informal reviews happen on a continuous basis while formal reviews must be concluded quarterly and are recorded and signed off. The formats shown below ensure that all due processes and appropriate detail is captured during this review process to make it more than a mere formality. To ensure that the PMS is managed and implemented well, a role has been established for an overseer (rather than moderator). 63

65 This is the supervisor s manager. Her / his role is simply to cast an overseeing role that ensures that both due process and content of performance plans, reviews and evaluations compliance with the strategic direction as well as the formats prescribed by the Limpopo Provincial Administration s PMS policy. Equally important for the South African public service in general and the Limpopo Provincial Government no less, is the customer review process. This part, if properly done, is what should bring the Batho Pele principles into life. As such, it is crucial for all employees and their departments to undertake customer feedbacks / review. Customers are important to assess the extent and level of services delivered to them. Surveys and other feedback mechanisms are often used. The overseer should signify their satisfaction by signing the relevant part of the PI. If the overseer is not satisfied, as the supervisor s manager, she / he should return the non-compliant PI and request that it should be corrected. The shaded part in diagram 7 below depicts the Phase (2) of monitoring performance in the performance management cycle. Phase 2 focuses on the necessary steps to be followed in undertaking the different progress reviews. Diagram 7: Phase 2 of the PM cycle (monitoring progress) 64

66 Diagram 7: Phase 2 of PM cycle (Monitoring Progress) Performance Management Cycle Review of departmental / directorate performance Individual performance evaluation Departmental strategic plan : objectives and measures of success Planning and contracting ANNUAL 3 Evaluating performance Identifying outcomes: Performance improvement plan Recognition Nonperformance measures Development of performance plan for next SYSTEM MAINTEN- ANCE AND DEVELOP- MENT Departmental business plan Directorate business plan Team delivery plan ANNUAL 1 Individual performance plan: performance agreements, work plans and standards frameworks, competency profiles Self review Monitoring progress Peer / managerial review informal and formal Customer review QUARTERLY 2 This section in the PM 65

67 The monitoring of progress in Phase 2 of the PM cycle is an integral part of individual performance management system. It outlines the types and frequency of performance monitoring that should take place in the department for each individual employee. 6.2 Conducting Progress Reviews What is a Performance Review Discussion (PRD)? A PRD is a discussion between an employee and his or her manager or supervisor in which the employee s performance is assessed against his or her full performance agreement, workplan and standards framework. A PRD between the employee and his or her manager or supervisor or amongst a project team must take place at the end of every quarter. Best practices suggest that PRDs between the manager or supervisor and the employee or amongst a project team must be conducted no less than once every quarter of a performance management cycle. The customer review exercise should be conducted by the department, directorate or unit as well as individuals, each seeking performance feedback from its customers. There are two kinds of PRDs: (I) (II) (III) Ad hoc takes place constantly throughout the year. Feedback on performance is continuous and often informal. Formal takes place three times a year at the end of each quarter. However, some more formal feedback should be given in departmental or directorate meetings no less than once a month. The latter need not be documented, although that documentation would be very helpful. The former definitely has to be documented as shown in the forms below. All outcomes from these discussions are formally noted and signed off on. Customer feedbacks or reviews are also formal and could be signed-off as well as a means of validation of information collected What is the Purpose and what are the benefits of a PRD? A PRD is conducted in order to review performance on a continuous basis to ensure that employees are able to attain their set activities. Specifically; It allows for the opportunity for assessment and feedback on a continuous basis It allows the manager/supervisor and the sub-ordinate or project teams the opportunity to proactively address problems and difficulties It gives supervisors a clear sense of what sub-ordinates or project teams are doing specifically and what is happening within his/her section It gives the employees the opportunity to fix shortcomings before the overall performance evaluation is done at the end of the financial year. 66

68 It informs and allows the adjustment of performance targets if this is required. It allows for the building of co-operative relationships between supervisors and employees. Ad-hoc reviews take place continuously during the year. They provide feedback, on a continuous basis, to employees to address obstacles and challenges to effective performance timeously. These are normally based on completion of activities or projects or weekly or monthly meetings as well. Both parties (signatories to the agreements) must be willing to have an open discussion with each other. However, for the discussion to be meaningful, both parties should have made adequate provisions and preparation for effective progress reviews. Listed in tables 12 and 13 below are some crucial steps that must be followed before the actual PRD, whether it is a self-review, peer/manager review and / or customer reviews. These steps complement the step-by-step guidelines immediately below whose focus is more to do with the actual review discussion sitting. The overseer does not have to sit in the PRD unless requested to do so by either one of the parties. In that case, both parties must be aware. Other representatives may be called to sit in the PRD representing either one of the two main parties or both. In each case, both parties would need to be informed of the presence of outsiders. In some cases, the PRD may be conducted between a small directorate panel and the employee. This should be managed in such a way that the balance of fairness is not removed from the employee due to pressure of numbers for the employer s interests. 67

69 6.3 Some Useful Notes in Preparing for and Conducting Progress Review Discussions Table 11: Preparing for the self / managerial reviews (PRD) FOCUS AREA ACTIONS 1. Preparing for the Prepare feedback reports (preferably written) regarding assessment progress towards outputs and/or activities: Are all the reports up to date and in good order? Are they good sources of information for providing proof of performance? Are all these documents consistent with the means of verification agreed earlier Would they be relevant to the progress review? Do you know what the supervisor is going to need for 2. Undertake a self evaluation 3. Identify problems or difficulties 4. Define possible solutions 5. Confirm the review appointment 6. Complete self-review forms ready for PRD the progress review? Undertake a process of self-evaluation prior to the PRD using the same Means of Verification and rating scales: Which and how many of the expected outputs or outcomes set in the performance plan and the competence-based individual development plan have been met? To what extent has the targeted and documented outputs or outcomes been met? Which of the intended outputs or outcomes could have been met but were not met partly or fully What are the reasons for the above? Identify current problems or difficulties regarding the attainment of set objectives or expected outputs: Are the current problems Infrastructural, financial or skills? Could these have been overcome earlier? Have these problems ever been raised with the manager/supervisor? Identify possible solutions to the identified problems that were outlined: What solutions are available for each of the identified problems? Will these be acceptable, practical and realistic? Ensure that both parties for the review set the time aside: Are there no clashes (double booking) of commitments? Is the manager/supervisor aware of the review appointment? Complete all parts of the Review form 7.1 (a) or 7.2 (a) as shown below on completion of this step 68

70 6.3.2 Preparing for the Progress Review Discussion. The role of the Supervisor/Manager Table 12: Step-by-step guide to prepare for progress review FOCUS AREA ACTIONS 1. Preparing for the progress Prepare all the necessary documentation and/or review information for the review. Is the interview schedule and relevant review forms ready? Is there a report (based on informal reviews) for the meeting? Does this report and other documentation reflect the evidence or means of verification agreed in the PI? Has the employee s performance instrument been 2. Confirm the review appointment reviewed by the manager/supervisor? Ensure both parties for the review set that time aside and are properly prepared: Are there no clashes (double booking) of commitments on your part? Is the employee aware of the review appointment? Is the assessed informed of all the review requirements? 3. Facilitate problem solving exercise 4. Complete self-review forms ready for PRD Facilitate the process of problem identification and problem solving. Is the assessed provided with support for problem identification and solving? Is the assessed provided with support in preparing for the review? Complete all parts of the pre-prd forms 7.1 (a) and 7.2 (a) as shown below on completion of this step The process followed in the reviews is the same for all levels of employees and hence for all three different types of Performance Instruments in use. For that reason, the steps suggested below should be used by sms and all other employees in the same way. The steps should be read in conjunction with the relevant formats attached Conducting a Customer / Peer Review Process 69

71 Departments, directorates and units have customers they provide services to. These customers could either be internal or external. Internal customers include peers (team mates) in the same work place or other employees at the same level but in different roles in the department or other departments. Whether external or internal, customers and peers performance feedback on the employee, the team, directorate or whole department is required. The usual procedure to be followed in preparing and gathering this feedback information is outlined below. It should be noted that, the results of this Customer / Peer Review process should be evidence or a means of verifying performance agreed in the Performance Plan in phase 1 of the PM cycle. Table 13: Step-by-step guide to conduct managerial and peer reviews FOCUS AREA ACTIONS 1. Prepare a questionnaire Departments/directorate management or manager should prepare for the customer review. Issues to be considered: What are the services provided to the said section? How have these services been provided? Are there any services level agreements between the two? Were the services provided according to the services level agreements (standards)? Where and how could service provision be improved? The questionnaire could either be structured or openended / semi-structured. 2. Prepare for the questionnaire administration Inform and agree with the client about the purpose, content and process of information gathering. Is the administration going to be through interviews or will it be self-administered? Have appointments been set and confirmed? Does the client know your expectations? Do they have the information required? 3. Audit performance Engage with the client to review performance as per the agreements through interviews or self-administered questionnaires. Sign-off all evidence as authentic by appropriate structures or overseer or a knowledgeable representative of the Performance Management Committee. 4. Package this feedback in PRD documentation Package feedback results in MoV format agreed in performance plan now ready for PRD 70

72 6.4 Conducting the Actual PRD Step 1: At this stage, the employee makes a copy of the pre-view discussion forms 7.1 (a) and 7.1 (b) below. In addition, the employee collects and assesses all evidence or means of verification listed in her / his Performance Instrument (Part B and D). Also collect all feedback gathered from the manager, customers, peers in and above and consolidates them so that they come to a clear sense of what has been achieved and what is still outstanding and why. Ensure also that the rating scales have been revised and are well understood so that effective scoring can be done. The manager / supervisor, working away from the employee, also carries out similar preparations against the same performance and competence based individual development plan. Step 2: Step 3: Step 4: Step 5: Step 6: Step 7: Where step 1 is being carried out, the employee and manager should again remind each other of the appointment to hold a formal review process and accordingly clear their diaries for an hour or two at most. The second reminder must be done two to three days ahead of the date of the review meeting. Have in hand a copy of forms 7.1 (a) and 7.1 (b) and check that nothing has changed in the performance plan as well as the competence-based development plan since the last review or plan. If there have been some changes and such changes were a result of a previous formal review discussion, in that case, updates the performance and or competence based individual development plan before proceeding. Using the rating scale of 1-5 indicated in chapter 8 below, the employee and the supervisor or manager independently rates or scores each of the targets set for Part B and D of their performance instruments in forms 7.1 (a) and 7.1 (b) respectively. The target scores are consolidated to give the overall key result area score, which is what eventually, gets measured. Ensure that each score can be justified in terms of the agreed means of verification or outputs. Comment on the reasons for any outstanding achievements, or deviations from the employee or manager s perspective. If the pre-discussion preparations in table 12 and 13 above have been followed properly, then these comments would already be available. Before the day of the actual PRD, the employee and the supervisor individually submit copies of their completed pre-prd forms The manager and the employee agree on venue and time of meeting and proceed to create the least threatening environment for the review discussion. Ideally, the meeting should not be held in the manager s office. After due formalities have been dispensed with, the employee and manager, and any other parties who may have been invited to the PRD, share the completed format above and allow a few minutes of perusal and note taking. 71

73 Step 8: Step 9: Step 10: By focusing on outstanding performance areas (for commendations) and deviation areas (for improvement or sanction) and areas where the employee and manager s/ supervisor s pre-assessment differ drastically, the parties explore each others pre-assessment scores and comments / suggested interventions against pre-set means of verification or outputs. They then agree on the final score and comments / interventions. The agreed scores and comments are documented immediately onto forms 7.2 (a) and 7.2 (b) for the assessment of the performance plan and competence-based individual development plan respectively. Hand over the completed forms to the overseer for endorsement or re-direction and coaching on PMS as necessary. After the overseer has signed the PRD report, she / he hands it back to the manager who keeps a copy, gives employee another copy and sends another copy to the HR unit as systems custodians. 6.5 What skills and attitudes are required to engage in an effective PRD? The philosophy underlying the Performance Management system is one of participation and co-operation. This means that antagonistic and adversarial attitudes of the past have to be overcome and that both the supervisor and the employee have to be committed to open and honest dialogue. In addition to new attitudes, there are certain skills that are crucial if PRD s are to be effective. These include: Assertiveness Listening Responding Summarising Computational skills Problem solving These skills will form part of the training employees will undergo as part of implementing the Performance Management System. 72

74 Form 6.1 (a) PRE PRD FORM: PEFORMANCE PLAN (PART B) (FOR SMS AND OTHERS COMPLETING A FULL PERFORMANCE AGREEMENT) BALANCE SCORE CARD PERSPECTIVE: SERVICE DELIVERY (E.G.35%) PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle List of outcomes (taken from strategic goals) Key Result Area (KRA) & Bathopele principle 1 Management Plan Reference List of Performance Targets for each outcome listed opposite Weight in % Indicator Performance Management Information Baseline For Indicators Means of Verification/ Outputs Target For each End PROGESS MONITORING (PART 2 OF PM CYCLE) - To be completed prior to each PRD Self / Manager s Score Intervention for each key outcome: 1 Self / Manager Score & Comment / Intervention for each KRA: 1 Self / Manager s Score Intervention for each key outcome: 2 Self / Manager Score & Comment / Intervention for each KRA: 2 Self / Manager s Score Intervention for each key outcome: 3 Self / Manager Score & Comment / Intervention for each KRA: Total/ Final Score As Appropriate for Perspective e.g. 35 % 73

75 BALANCE SCORE CARD PERSPECTIVE: FINANCIAL MANAGEMENT (E.G.25%) PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle List of outcomes (taken from strategic goals) Key Result Area (KRA) & Batho-pele principle 1 Management Plan Reference List of Performance Targets for each outcome listed opposite Weight in % Indicator Performance Management Information Baseline For Indicators Means of Verification/ Outputs Target For each End PROGESS MONITORING (PART 2 OF PM CYCLE) - To be completed prior to each PRD Self / Manager s Score Intervention for each key outcome: 1 Self / Manager Score & Comment / Intervention for each KRA: 1 Self / Manager s Score Intervention for each key outcome: 2 Self / Manager Score & Comment / Intervention for each KRA: 2 Self / Manager s Score Intervention for each key outcome: 3 Self / Manager Score & Comment / Intervention for each KRA: Total/ Final Score As Appropriate for Perspective e.g. 25 % 74

76 BALANCE SCORE CARD PERSPECTIVE: INTERNAL / ORGANISATIONAL PROCESSES (E.G.24%) PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle List of outcomes (taken from strategic goals) Key Result Area (KRA) & Batho-pele principle 1 Management Plan Reference List of Performance Targets for each outcome listed opposite Weight in % Indicator Performance Management Information Baseline For Indicators Means of Verification/ Outputs Target For each End PROGESS MONITORING (PART 2 OF PM CYCLE) - To be completed prior to each PRD Self / Manager s Score Intervention for each key outcome: 1 Self / Manager Score & Comment / Intervention for each KRA: 1 Self / Manager s Score Intervention for each key outcome: 2 Self / Manager Score & Comment / Intervention for each KRA: 2 Self / Manager s Score Intervention for each key outcome: 3 Self / Manager Score & Comment / Intervention for each KRA: Total/ Final Score As Appropriate for Perspective e.g. 24 % 75

77 BALANCE SCORE CARD PERSPECTIVE: LEARNING & GROWTH (E.G.16%) PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle List of outcomes (taken from strategic goals) Key Result Area (KRA) & Batho-pele principle 1 Management Plan Reference List of Performance Targets for each outcome listed opposite Weight in % Indicator Performance Management Information Baseline For Indicators Means of Verification/ Outputs Target For each End PROGESS MONITORING (PART 2 OF PM CYCLE) - To be completed prior to each PRD Self / Manager s Score Intervention for each key outcome: 1 Self / Manager Score & Comment / Intervention for each KRA: 1 Self / Manager s Score Intervention for each key outcome: 2 Self / Manager Score & Comment / Intervention for each KRA: 2 Self / Manager s Score Intervention for each key outcome: 3 Self / Manager Score & Comment / Intervention for each KRA: Total/ Final Score As Appropriate for Perspective e.g. 16 % 76

78 FORM 6.1 (b) PRE-PRD FORM: COMPETENCE-BASED INDIVIDULA DEVELOPMENT PLAN (PART D OF PI (FOR SMS AND OTHERS COMPLETING A FULL PERFORMANCE AGREEMENT) COMPETENCE ACQUISITION PLANNING PART B OF P1 (PHASE 1 OF PM CYCLE) Required competencies Weighting in % 1.0 GENERIC COMPETENCES For which KRAs & Batho-pele principle Is competence required Current Level of competence taken from competence profile Targeted Level of Competence Attainment by end of each COMPETENCE ACQUISITION PROGRESS MONITORING (PHASE 2 OF PM CYCLE) - To be completed prior to each PRD End of 1 Pre-PRD Score & Comment/ Intervention End of 2 Pre-PRD Score & Comment/ Intervention End of 3 Pre-PRD Score & Comment/ Intervention 2.0 JOB SPECIFIC COMPETENCIES OTHER COMPETENCES TOTAL/FINAL SCORE/ RATING (AS APPLICABLE) 100% 77

79 FORM 6.2 (a) FINAL PRD RECORD FORM: PERFORMANCE PLAN (PART B) (FOR SMS AND OTHERS COMPLETING A FULL PERFORMANCE AGREEMENT) BALANCE SCORE CARD PERSPECTIVE: SERVICE DELIVERY (E.G.35%) PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle List of outcomes (taken from strategic goals) Key Result Area (KRA) & Batho-pele principle 1 Management Plan Reference List of Performance Targets for each outcome listed opposite Weight in % Indicator Performance Management Information Means of Target For each End Verification/ Outputs Baseline For Indicators PROGESS MONITORING (PART 2 OF PM CYCLE) - To be completed prior to each PRD Self / Manager s Score Intervention for each key outcome: 1 Self / Manager Score & Comment / Intervention for each KRA: 1 Self / Manager s Score Intervention for each key outcome: 2 Self / Manager Score & Comment / Intervention for each KRA: 2 Self / Manager s Score Intervention for each key outcome: 3 Self / Manager Score & Comment / Intervention for each KRA: Total/ Final Score As Appropriate for Perspective 35 % 78

80 BALANCE SCORE CARD PERSPECTIVE: FINANCIAL MANAGEMENT (E.G.25%) PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle PROGESS MONITORING (PART 2 OF PM CYCLE) - To be completed prior to each PRD List of outcomes (taken from strategic goals) List of Performance Targets for each outcome listed opposite Self / Manager s Score Intervention for each key outcome: 1 Self / Manager s Score Intervention for each key outcome: 2 Self / Manager s Score Intervention for each key outcome: 3 Key Result Area (KRA) & Batho-pele principle 1 Management Plan Reference Weight in % Indicator Performance Management Information Baseline For Indicators Means of Verification/ Outputs Target For each End Self / Manager Score & Comment / Intervention for each KRA: 1 Self / Manager Score & Comment / Intervention for each KRA: 2 Self / Manager Score & Comment / Intervention for each KRA: Total/ Final Score As Appropriate for Perspective e.g. 25 % 79

81 BALANCE SCORE CARD PERSPECTIVE: INTERNAL / ORGANISATIONAL PROCESSES (E.G.24%) PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle List of outcomes (taken from strategic goals) Key Result Area (KRA) & Batho-pele principle 1 Management Plan Reference List of Performance Targets for each outcome listed opposite Weight in % Indicator Performance Management Information Baseline For Indicators Means of Verification/ Outputs Target For each End PROGESS MONITORING (PART 2 OF PM CYCLE) - To be completed prior to each PRD Self / Manager s Score Intervention for each key outcome: 1 Self / Manager Score & Comment / Intervention for each KRA: 1 Self / Manager s Score Intervention for each key outcome: 2 Self / Manager Score & Comment / Intervention for each KRA: 2 Self / Manager s Score Intervention for each key outcome: 3 Self / Manager Score & Comment / Intervention for each KRA: Total/ Final Score As Appropriate for Perspective 24 % 80

82 BALANCE SCORE CARD PERSPECTIVE: LEARNING & GROWTH (E.G.16%) PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle PROGESS MONITORING (PART 2 OF PM CYCLE) - To be completed prior to each PRD List of outcomes (taken from strategic goals) List of Performance Targets for each outcome listed opposite Self / Manager s Score Intervention for each key outcome: 1 Self / Manager s Score Intervention for each key outcome: 2 Self / Manager s Score Intervention for each key outcome: 3 Key Result Area (KRA) & Batho-pele principle 1 Management Plan Reference Weight in % Indicator Performance Management Information Baseline For Indicators Means of Verification/ Outputs Target For each End Self / Manager Score & Comment / Intervention for each KRA: 1 Self / Manager Score & Comment / Intervention for each KRA: 2 Self / Manager Score & Comment / Intervention for each KRA: Total/ Final Score As Appropriate for Perspective 16 % 81

83 6.2 (b) FINAL PRD FORM: COMPETENCE-BASED INDIVIDUAL DEVELOPMENT PLAN (PART D OF PI) (FOR SMS AND OTHER COMPLETING A FULL PERFORMANCE AGREEMENT) COMPETENCE ACQUISITION PLANNING PART B OF P1 (PHASE 1 OF PM CYCLE) Required competencies Weighting in % 1.0 GENERIC COMPETENCES For which KRAs & Batho-pele principle Is competence required Current Level of competence taken from competence profile Targeted Level of Competence Attainment by end of each COMPETENCE ACQUISITION PROGRESS MONITORING (PHASE 2 OF PM CYCLE) (To be completed during the PRD and kept as final agreed review results) End of 1 Post-PRD Score & Comment/ Intervention End of 2 Post-PRD Score & Comment/ Intervention End of 3 Post-PRD Score & Comment/ Intervention 2.0 JOB SPECIFIC COMPETENCIES OTHER COMPETENCES TOTAL/FINAL SCORE/ RATING (AS APPLICABLE) 100% 82

84 Note: It should be noted that the forms for the progress monitoring for other staff follow exactly the same pattern. For brevity, they have not been included in this manual but rather they have been included in the manual for Memorandums of Understanding on Performance (Workplans and Standard Framework Type PI s) 83

85 7 Performance Evaluation 7.1 Introduction to Performance Evaluation Performance evaluation determines the overall level of performance of employees, teams, directorates or for that matter the whole department for the whole financial year. Evaluations are based on the assessment of stated objectives and related outputs for the entire year. These performance evaluations happen once a year. Based on the Balance Scorecard approach and the need to align organisational and individual performance, these evaluations takes place at three different levels. At the strategic level departmental and directorate performance evaluations are undertaken and at the operational level individual/team performance evaluations are undertaken. Departmental, directorate and unit plans are reviewed for purposes of taking stock of successes and failures as well as for planning for the coming year. Individual/team performance evaluations also assist in the development of individual and team performance improvement plans where performance gaps existed in the previous year. Performance evaluations are also important as they form the bases on which the outcomes of performance should be managed. Good performers need to be recognised, under-performers to be supported and where appropriate, consistent lack of performance should be addressed through applying appropriate sanctions. It is therefore important to conduct performance evaluations that are both seen as objective as well as being actually as objective as possible. The performance evaluation consists of two components: The rating of the performance plans (Part B of each Performance Instrument). (i.e the Full Performance Agreement, workplan or standards framework as the case may be) Rating the competence-based individual plan (Part D of each Performance Instrument) 84

86 Diagram 8: Phase 3 of the PM cycle (performance evaluation) This section in the PM Performance Management Cycle Review of departmental / directorate performance Evaluating performance ANNUAL 3 Individual performance evaluation Development of performance plan for next year Identifying outcomes: Performance improvement plan Recognition Nonperformance measures SYSTEM MAINTEN- ANCE AND DEVELOP- MENT Departmental strategic plan: objectives and measures of success Departmental business plan Directorate business plan Team delivery plan Planning and contracting ANNUAL 1 Individual performance plan: performance agreements, work plans and standards frameworks, competency profiles Monitoring progress Peer / managerial review informal and formal Self review Customer review QUARTERLY 2 85

87 7.2 Conducting individual or team evaluations The process of individual or team performance evaluation is captured by phase 3 of diagram 8. In essence, performance evaluations amount to the summative evaluation of annual performance. The following steps are critical and should be followed whenever one conducts a departmental, directorate, unit, team and individual performance evaluation. 7.3 Performance Rating Performance evaluation is a comprehensive process that begins with Phase 1- Performance Planning, through Progress Monitoring and finally, an end of year evaluation. It includes planning for and on-going meetings and feedback regarding progress in achieving goals and objectives. The evaluation process concludes with the assessment of performance as depicted by section in diagram 8. Performance rating is the process of summatively scoring the individual or team performance taking each key result area or required competence one at a time. In this case, it takes a combination of numerical (scale of 1 to 5) and some brief narrative comments like, (outstanding, commendable, satisfactory, marginal and unsatisfactory). An individual or team must have had an opportunity to perform under their performance instrument in order to receive a performance rating. Diagram 9: Performance rating components Two components of Performance Rating Outputs on 80% Performance Agreements Or Work plan Or Standards PIs Competency Profiles for: 20% Senior Managers Managers General Staff 100% 86

88 7.3.1 Rating scale Table 14: Rating scale Rating Meaning 5 - Outstanding performance 4 - Commendable performance 3 - Satisfactory performance 2 - marginal performance 1 - unsatisfactory performance A practical way of interpreting the rating scale is illustrated below to minimize incidents of subjectivity that are often associated with this area of performance evaluation. This is probably the second most crucial aspect of this system after proper planning (Phase 1) has been done. If scoring or rating decisions are seen to be too subjective, then the whole system falls flat on its face! This must be avoided at all costs Points scale Table 15: Point scale Points Rating Meaning outstanding performance commendable performance satisfactory performance marginal performance unsatisfactory performance Seeking to Bring more Objectivity in Using the Rating Scale As a general rule, the following interpretation of the rating scale will assist in minimizing subjectivity in the scoring or rating of an individual s performance. Five levels: Level 5: Level 4: Level 3: Level 2: Outstanding performance: Performance far exceeds the standard expected of a member at this level. The incumbent has achieved exceptional results against all performance targets agreed for that KRA and has maintained this all year round as seen (but not calculated) from each quarterly review session. Performance significantly above expectations. Significantly higher than expected Fully effective. Performance fully meets the standard expected in all areas of the job. Performance is below standard required for the job in key targets set (key is judged per weight assigned a KRA as well as the targets). Incumbent has achieved adequate results (scored 3 and above) against many key result areas 87

89 (more than half of the targets set for the key results area) but not all others during the course of the year (achieved scores of 2 and 1 for the other targets set in each KRA). Level 1: Performance does not meet the standard expected for the job. The incumbent has not met one or more fundamental requirements and / or has achieved results that are below expectation in most result areas (has scored less than 3 for more than half of the main targets set for that key result area). It is important to remember that the rating or score that is put in the form is for a full KRA and that each KRA area is made up, of 4 targets (input, output and outcome types). 7.4 Step by Step Performance Evaluation / Rating Process. The rating scale 1-5 is used in the rating process. Remember that the priority weight of the performance plan (Part B) and the competence-based development plans have already been allocated at the start of the year as for example, 80% and 20% respectively. These weightings will be used later in the composite rating table. A simple five point rating scale (as depicted by tables 15 and 16) is used to properly take into account the weighting of the two components, as well as the weighting of key performance areas or objectives. The relationship between the two scales is explained below in the description of how the evaluation process takes place. As this is for employees completing a full Performance Agreement, the process of evaluation will be done for each perspective in the same manner described below Evaluating the Performance Plan (Part B) Step 1: Step 2: Step 3: Step 4: Prepare for the evaluation process in the same way as has been done for progress review discussions, namely, set up appointments, give reminders a few days before, gather all necessary evidence or means of verification then Take forms 8.1 (a) as shown below and using all evidence and feedback gathered from peers, customers, manager / supervisor, score each key result area. The score for the key result area is given by an assessment of how far and how many of the stated targets have been reached during the whole year. The scores will be out ot 1-5 as per rating scale, not %. The interpretation of each score is given above in tables 15 and 16 as well the explanation below the tables. Write comments that clarify how any outstanding or unsatisfactory comments arose or interventions to deal with either type of performance rating. On the day of the actual interview or discussion, the employee and manager will agree on the venue, mutually prepare the venue to ensure it is safe and secure 88

90 and begin the session by the usual scene setting, the manager explaining the process, its outcome, exchanging copies of forms 8.1 (a) and letting the employee lead the process there from. Step 5: Step 6: Step 7: Step 8: Refer to Means of Verification or performance evidence by ensuring that the discussion keeps focus on the areas where the manager and employee scores and comments of the forms 8.1 (a) drastically differ. The discussions should however, not smooth over any issues but seek to bring more supportive evidence strictly in line with the means of verification (outputs) stated earlier. Record all final cores (after agreement between the manager and the employee in Form 8.2 (a). Compute the final points, using the weight of each key result area and the score agreed for that key result area on form 8.2 (a). add up the totals. Go to the composite table, (table 34) and interpret the total found at the end of step 6 above back into a rating of 1-5 using the conversion scale of table Evaluating the Competence-based Individual Development Plan (Part D of PI) Repeat exactly the same steps as in above except this time the forms 8.1 (b) are initially used for pre-discussion / evaluation interview followed by to the completion of form 8.2 (b), which has the final score for evaluating the competence-based individual development plan (Part D). There should be no break in the process and time between the evaluation of Part D and Part B of the PI. It goes without saying that each party to the performance evaluation will have done their pre-discussion homework in the same way outlined for the review processes of chapter 7 above Completing the Composite Form This is form 8.3 (a & b) and 8.4 (a & b) having been reserved for the standard framework type of memorandum of understanding on performance as shown below. This composite scoring process should be completed during the final evaluation sitting only. The computation may be verified by the systems administrators, especially in HR, this is particularly important as the final result of this computation is the sole basis for both financial and non-financial rewards and possibly sanctions. Both of these outcomes should be based on accurate decisions and computation / figures to avoid controversies and undermining the credibility of the system and senior management of the implementing department. Step 1: Step 2: Enter the final rating (a figure between 1-5) taken from form 8.2 (a) in the column next to where the focus shows Performance Plan Enter the final rating (a figure between 1-5) taken from 8.2 (b) in the column next to where the focus shows Competence-based individual development Plan (part D). 89

91 Step 3: Step 4: Step 5: Step 6: Multiply the ratings just entered into form 8.3 by the weight of each focus area as decided and communicated earlier at the beginning of the cycle and captured in the planning documents. This gives the points for each focus area. Add up the points just obtained in step 3 above to get the total points for the individual s performance. Using the total obtained in step 4 above, re-interpret the points back to a rating between 1-5 using the same table 16 above. Indicate the final performance ratings and write comments indicating what will happen to the employee or her / his future objectives as a result of the rating just arrived at. This could indicate the areas to be carried over, or some other programme of remedial action or the type of reward. Whichever way, the provisions of the Limpopo Provincial Government should be born in mind at this stage of the implementation. This logically takes us through to the next chapter, which is about how to manage the outcomes of performance results. 7.5 Evaluating Departmental/Directorate Performance Although the focus of the PMS is individual performance, it has been clarified before that individual performance that does not contribute or that is not aligned to the strategic goals of the department and hence province is not useful. As such, this brief note opens a theme that all departments and provinces need to ensure is done in tandem with individual PM evaluations just described. 90

92 Table 16: Step-by-step guide to conduct department and directorate evaluations FOCUS AREA ACTIONS 1. Section/unit Each section in the directorate is requested to conduct performance reviews performance review exercises. Sections/units assess whether set strategic objectives have been met or not. Which of their objectives have been met and why? Which teams/units under-performed and how did their performance affect the others? What measures were put in place to proactively address potential obstacles? What measures could be put in place to correct and 2. Directorate performance reviews 3. Departmental performance reviews improve performance? Each directorate is requested to conduct performance review exercises. Directorates assess whether set strategic objectives have been met or not. Which of their objectives have been met and why? Which sections/components under-performed and how did their performance affect the others? What measures were put in place to be proactive to address potential obstacles? What measures could be put in place to correct and improve performance? These are normally referred to as a strategic planning session. This happens once a year. In these sessions members of the department: Review the achievement of the strategic objectives as set by the department. Which of these have been achieved and why? How did the non-achievement of some of these objectives impact on the department s strategic focus? What mechanism can be put in place to address similar obstacles in future? If necessary, how can the department re-arrange its strategic focus? 91

93 Form 7.1 (a) PRE-EVALUATION DISCUSSION RECORD FORM: PEFORMANCE PLAN (PART B) (FOR SMS AND OTHERS COMPLETING A FULL PERFORMANCE AGREEMENT) NAME OF DIRECTORATE / BRANCH / BUSINESS UNIT: 1.0 BALANCED SCORE CARD PERSPECTIVE: SERVICE DELIVERY WEIGHTING OF PERSPECTIVE: 35% PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle PERFORMANCE Evaluation (PART 3 OF PM CYCLE) - To be completed prior to each end year evaluation List of outcomes (taken from strategic goals) List of Performance Targets for each outcome listed opposite Self / Manager s Score/ Rating for each listed Key outcomes Comment & Decisions on Performance Outcomes Key Result Area (KRA) & Bathopele principl e Management Plan Referenc e Weighing in % Key Result Indicator (KRI) Baseline For Indication Performance Management Information Means of Verification / Outputs Target For each End Self / Manager Score for each KRA Comment / Intervention suggested Total/ Final Score As Approp riate 100% Name of employee: Name of Supervisor / Manager: Name of Overseer (manager s Supervisor) Nature of Employee: Signature of Supervisor / Manager: Signature of Overseer: Date Signed: Date Signed: Date Signed: 92

94 NAME OF DIRECTORATE / BRANCH / BUSINESS UNIT: 2.0 BALANCED SCORE CARD PERSPECTIVE: FINANCIAL MANAGEMENT WEIGHTING OF PERSPECTIVE: 25% PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle PERFORMANCE Evaluation (PART 3 OF PM CYCLE) - To be completed prior to each end year evaluation List of outcomes (taken from strategic goals) List of Performance Targets for each outcome listed opposite Self / Manager s Score/ Rating for each listed Key outcomes Comment & Decisions on Performance Outcomes Key Result Area & Bathopele principl e Management Plan Referenc e Weighing in % Key Result Indicator (KRI) Baseline For Indication Performance Management Information Means of Verification / Outputs Target For each End Self / Manager Score for each KRA Comment / Intervention suggested Total/ Final Score As Approp riate 100% Name of employee: Name of Supervisor / Manager: Name of Overseer (manager s Supervisor) Nature of Employee: Signature of Supervisor / Manager: Signature of Overseer: Date Signed: Date Signed: Date Signed: 93

95 NAME OF DIRECTORATE / BRANCH / BUSINESS UNIT: 3.0 BALANCED SCORE CARD PERSPECTIVE: INTERNAL / ORGANISATIONAL PROCESS WEIGHTING OF PERSPECTIVE: 24% PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle PERFORMANCE Evaluation (PART 3 OF PM CYCLE) - To be completed prior to each end year evaluation List of outcomes (taken from strategic goals) List of Performance Targets for each outcome listed opposite Self / Manager s Score/ Rating for each listed Key outcomes Comment & Decisions on Performance Outcomes Key Result Area & Bathopele principl e Management Plan Reference Weighing in % Key Result Indicator (KRI) Baseline Performance Management Information Means of Verification / Outputs Target For each End Self / Manager Score for each KRA Comment / Intervention suggested Total/ Final Score As Approp riate 100% Name of employee: Name of Supervisor / Manager: Name of Overseer (manager s Supervisor) Nature of Employee: Signature of Supervisor / Manager: Signature of Overseer: Date Signed: Date Signed: Date Signed: 94

96 NAME OF DIRECTORATE / BRANCH / BUSINESS UNIT: 4.0 BALANCED SCORE CARD PERSPECTIVE: SERVICE DELIVERY WEIGHTING OF PERSPECTIVE: 16% PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle PERFORMANCE Evaluation (PART 3 OF PM CYCLE) - To be completed prior to each end year evaluation List of outcomes (taken from strategic goals) List of Performance Targets for each outcome listed opposite Self / Manager s Score/ Rating for each listed Key outcomes Comment & Decisions on Performance Outcomes Key Result Area & Bathopele principl e Management Plan Reference Weighing in % Key Result Indicator (KRI) Baseline Performance Management Information Means of Verification / Outputs Target For each End Self / Manager Score for each KRA Comment / Intervention suggested Total/ Final Score As Approp riate 100% Name of employee: Name of Supervisor / Manager: Name of Overseer (manager s Supervisor) Nature of Employee: Signature of Supervisor / Manager: Signature of Overseer: Date Signed: Date Signed: Date Signed: 95

97 FORM 7.1 (b): PRE-EVALUATION DISCUSSION RECORD FORM: COMPETENCE-BASED INDIVIDUAL DEVELOPMENT PLAN (PART D OF PI (FOR SMS AND OTHERS COMPLETING A FULL PERFORMANCE AGREEMENT) Notes: A separate form should be completed by the manager / supervisor and the employee just before the evaluation interview. Each party, supervisor and employee must table their completed forms during the evaluation interview. The two copies should be attached to the final copies after the interview and kept as part of the Employees manager s and system administrator s records. COMPETENCE ACQUISITION PLANNING PART B OF P1 (PHASE 1 OF PM CYCLE) Required competencies Weighting in % 1.0 GENERIC COMPETENCES Management Plan Reference Current Level of competence taken from competence profile Targeted Level of Competence Attainment by end of each COMPETENCE ACQUISITION PERFORMANCE EVALUATION (PHASE 3 OF PM CYCLE) End of End of 2 1 Pre-PRD Score & Comment/ Intervention Pre-PRD Score & Comment/ Intervention 2.0 JOB SPECIFIC COMPETENCIES OTHER COMPETENCES TOTAL/FINAL SCORE/ RATING (AS APPLICABLE) 100% Name of employee: Name of Supervisor / Manager: Name of Overseer (manager s Supervisor) Nature of Employee: Signature of Supervisor / Manager: Signature of Overseer: Date Signed: Date Signed: Date Signed: 96

98 FORM 7.2 (a): FINAL EVALUATION RECORD FORM: PERFORMANCE PLAN (PART D OF PI) (FOR SMS MANAGERS OTHERS COMPLETING A FULL PERFORMANCE AGREEMENT) NAME OF DIRECTORATE / BRANCH / BUSINESS UNIT: 1.0 BALANCED SCORE CARD PERSPECTIVE: SERVICE DELIVERY PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle WEIGHTING OF PERSPECTIVE: 35% PERFORMANCE EVALUATION (PART 3 OF PM CYCLE) - To be completed prior to each end year evaluation List of outcomes (taken from strategic goals) List of Performance Targets for each outcome listed opposite Final Score/ Rating for each listed Key outcomes Comment & Decisions on Performance Outcomes Key Result Area & Bathopele principl e Management Plan Reference Weighing in % Key Result Indicator (KRI) Baseline Performance Management Information Means of Verification / Outputs Target For each End Self / Manag er Score for each KRA Points = weight x final score / rating Final Comme nt / Decision on Perform ance Total/ Final Score As Approp riate 100% Name of employee: Name of Supervisor / Manager: Name of Overseer (manager s Supervisor) Nature of Employee: Signature of Supervisor / Manager: Signature of Overseer: Date Signed: Date Signed: Date Signed: 97

99 NAME OF DIRECTORATE / BRANCH / BUSINESS UNIT: 2.0 BALANCED SCORE CARD PERSPECTIVE: FINANCIAL MANAGEMENT PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle WEIGHTING OF PERSPECTIVE: 25% PERFORMANCE EVALUATION (PART 3 OF PM CYCLE) - To be completed prior to each end year evaluation List of outcomes (taken from strategic goals) List of Performance Targets for each outcome listed opposite Final Score/ Rating for each listed Key outcomes Comment & Decisions on Performance Outcomes Key Result Area & Bathopele principl e Management Plan Reference Weighing in % Key Result Indicator (KRI) Baseline Performance Management Information Means of Verification / Outputs Target For each End Self / Manag er Score for each KRA Points = weight x final score / rating Final Comme nt / Decision on Perform ance Total/ Final Score As Approp riate 100% Name of employee: Name of Supervisor / Manager: Name of Overseer (manager s Supervisor) Nature of Employee: Signature of Supervisor / Manager: Signature of Overseer: Date Signed: Date Signed: Date Signed: 98

100 NAME OF DIRECTORATE / BRANCH / BUSINESS UNIT: 3.0 BALANCED SCORE CARD PERSPECTIVE: INTERNAL/ORGANISATIONAL PERSPECTIVE PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle WEIGHTING OF PERSPECTIVE: 24% PERFORMANCE EVALUATION (PART 3 OF PM CYCLE) - To be completed prior to each end year evaluation List of outcomes (taken from strategic goals) List of Performance Targets for each outcome listed opposite Final Score/ Rating for each listed Key outcomes Comment & Decisions on Performance Outcomes Key Result Area & Bathopele principl e Management Plan Reference Weighing in % Key Result Indicator (KRI) Baseline Performance Management Information Means of Verification / Outputs Target For each End Self / Manag er Score for each KRA Points = weight x final score / rating Final Comme nt / Decision on Perform ance Total/ Final Score As Approp riate 100% Name of employee: Name of Supervisor / Manager: Name of Overseer (manager s Supervisor) Nature of Employee: Signature of Supervisor / Manager: Signature of Overseer: Date Signed: Date Signed: Date Signed: 99

101 NAME OF DIRECTORATE / BRANCH / BUSINESS UNIT: 4.0 BALANCED SCORE CARD PERSPECTIVE: LEARNING AND GROWTH PERFORMANCE PLANNING (PART 1 OF PM CYCLE) - To be completed at the start of the PM cycle WEIGHTING OF PERSPECTIVE: 16% PERFORMANCE EVALUATION (PART 3 OF PM CYCLE) - To be completed prior to each end year evaluation List of outcomes (taken from strategic goals) List of Performance Targets for each outcome listed opposite Final Score/ Rating for each listed Key outcomes Comment & Decisions on Performance Outcomes Key Result Area & Bathopele principl e Management Plan Reference Weighing in % Key Result Indicator (KRI) Baseline Performance Management Information Means of Verification / Outputs Target For each End Self / Manager Score for each KRA Points= weight x final score / rating Total/ Final Score As Approp riate 100% Name of employee: Name of Supervisor / Manager: Name of Overseer (manager s Supervisor) Nature of Employee: Signature of Supervisor / Manager: Signature of Observer: Date Signed: Date Signed: Date Signed: 100

102 FORM 7.2 (b) Notes: FINAL EVALUATION RECORD FORM: COMPETENCE-BASED INDIVIDULA DEVELOPMENT PLAN (PART D OF PI) (FOR SMS MANAGERS AND OTHERS COMPLETING A FULL PERFORMANCE AGREEMENT) A separate form should be completed by the manager / supervisor and the employee just before the evaluation interview. Each party, supervisor and employee must table their completed forms during the evaluation interview. The two copies should be attached to the final copies after the interview and kept as part of the employee s, manager s and system administrator s records. COMPETENCE ACQUISITION PLANNING PART B OF P1 (PHASE 1 OF PM CYCLE) COMPETENCE ACQUISITION PERFORMANCE EVALUATION (PHASE 3 OF PM CYCLE) Required competencies Weighting in % 1.0 GENERIC COMPETENCES For which KRAs & Batho-pele principle Is competence required Current Level of competence taken from competence profile Targeted Level of Competence Attainment by end of each End of 4 Final Score/ Rating (after discussion with manager) Point (Weight X final score) Final Comment & Decisions on Competences 2.0 JOB SPECIFIC COMPETENCIES OTHER COMPETENCES TOTAL/FINAL SCORE/ RATING (AS APPLICABLE) 100% Name of employee: Name of Supervisor / Manager: Name of Overseer (manager s Supervisor) Nature of Employee: Signature of Supervisor / Manager: Signature of Overseer: Date Signed: Date Signed: Date Signed: 101

103 Note: Although managers completing full performance agreements are expected to know about the workplan and standard framework types of memorandums of understanding on performance (Pls), these types have not been described in this section of the manual. Details of these will be found in the relevant manual for Memorandums of Understanding on Performance. 102

104 8 Managing Performance Outcomes This section looks at: Role of communication in minimising conflict Ways to manage under-performance and/or unacceptable performance by taking corrective and remedial measures Rewards for Good performance 8.1 Role of Communication in Minimising Conflict Often this part of the PM process is the one where a lot of disagreements are found. There will be disagreement about the ratings and what they entitle each employee to. A good communication strategy and plan must be developed to ensure that key areas of the Provincial PMS policy are understood and known in good time. Examples of some of the key communication messages would be; Weighting of performance plans (Part B) and competence-based development plans (Part D). Are they going to be 90% and 10% or 80% and 20% or 85% and 15% respectively for this year? This must be clarified at the start of the PM cycle when individual contract. Are weights referred to above going to be applicable in the same way in all departments (in which case the DG must send a communication). If the departments can make their choices, the DG must set upper and lower limits as well as the delegations to make final decisions and communicate to staff through HoDs. Again this should be at the start of the cycle. The rewards regime, what can be expected by those who score what? This should be thought out in terms of existing PMS policy as well as other Provincial and DPSA wide salary and rewards provisions. The DG should communicate the upper and lower limits and departments must in turn communicate their own limits for the year in question. Failure to communicate effectively undermines one of the aims of the system and will eventually lead to more problems in the work place than if the system was not being applied. 8.2 What guiding principles should manage performance outcomes? The following guiding principles on performance management form the base for managing performance outcomes: 103

105 PM must be linked to staff development and align decision-making and activity with the objectives set out in the department s strategic plan. PM must be a vehicle to encourage discussion about work outputs, outcomes and processes between employees and their managers. The focus of PM must be developmental, while allowing for an effective and relevant response to both inadequate and outstanding performance. Performance must be managed in a consultative, supportive and non-discriminatory manner in order to enhance efficiency, effectiveness and accountability. The owner of the PI must at all times be the one who leads and carries full responsibility for all performance outputs, outcomes and processes. Performance management procedures must not place unnecessary administrative burdens on supervisors but must be adequate for maintaining administrative justice. 8.3 What do the Public Service Regulations say about underperformance? In the case of unacceptable performance, an executing authority shall: Require the designated supervisor to inform the employee of the reasons for the poor assessment in writing. This will be done after necessary discussion with the employee in question. Allow the employee to refuse to sign a performance assessment instrument Clearly identify the appeals route against the performance assessment Permit an employee to bring a colleague or trade union representative to assist the employee during the appeals process and Provide remedial and systematic support to assist the employee to improve her or his performance; or consider steps to discharge the individual for unfitness or incapacity to carry out her or his duties, if the desired improvement cannot be effected. 8.4 How to support employees who under-perform or whose performance is unacceptable? There are five basic steps suggest to manage underperformance by deciding on appropriate actions Establish reasons for underperformance 1. Identify and agree on the problem. This involves the analysis of feedback and obtaining agreement from the individual on what the shortfall has been. 2. Establish reason(s) for the shortfall. Managers should not try to attach blame. The aim should be for the manager and individual jointly to identify the facts that have contributed to the problem. It is on the basis of this factual analysis that decisions can be made on what to do about it by the individual, the manager or the two of them working together. 104

106 It is necessary to first identify any causes that are external to the job and outside the control of either the manager or the individual employee. Any factors that are within the control of the individual and/or the manager can then be considered. What needs to be done is to determine the extent to which the reason for the problem is because the individual: Did not receive adequate support and guidance from his/her manager Did not fully understand what he/she was expected to do Could not do it - ability Did not know how to do it skill Did not want to do it attitude Action to be taken to deal with underperformance 3. Decide and agree on the action required. The individual, the manager or both parties may take action. This could include: Taking steps to improve skills or change behaviour the individual Changing attitudes - this is up to the individuals as long as they accept that their Attitudes need to be changed. The challenge for managers is that people will not change their attitudes simply because they are told to do so. They can only be helped to understand that certain changes to their behaviour could be beneficial, not only to the organisation, but also to themselves. This can be facilitated by a counselling approach that: Provides more support or guidance Clarifies expectations - job requirements, objectives and standards Jointly helps develop abilities and skills in the sense that individuals may be expected to take steps to develop themselves, but managers can provide help in the form of coaching, shadowing, mentoring, additional experience or training. Performance measures and feedback arrangements should also be agreed upon as a basis for determining whether subsequent action has been successful. 4. Resource the action. This simply means that provision should be made for coaching, training, guidance, experience, or facilities required to enable agreed actions to happen. 5. Monitor and provide feedback. At this point steps are taken to monitor performance, ensure that feedback is provided or obtained and analysed, and agree on any further actions that may be necessary. Individuals should be encouraged to monitor their own performance and take further action as required. This can be described as a selfmanaged learning process. 105

107 8.5 Managing disagreement at the initial stage of drawing up a performance agreement or memorandum of understanding on performance? The Public Service Regulations are quite specific regarding the outcome and communication of assessment results. It is not however clear what route one should follow if there is disagreement at the initial stage of drawing up a performance agreement. It is suggested that this should be left to the discretion of the head of department. Depending on the level of the individual concerned, the following procedure is suggested: Table 17: Routes to follow in the event of disagreement when drawing up a PA Parties to the dispute HOD & MEC HOD & his/her Deputy Among other sms managers and managers not reporting directly to the HOD Where appeal should be lodged Premier MEC Manager one level above most senior of disputing parties and later the HOD and even MEC. From the level of a manager down, any dispute between a supervisor and his/her subordinate shall be referred to the immediate manager of the supervisor for mediation. However, in the event that the matter is not resolved to the satisfaction of any of the parties involved, any party should have the right to appeal up to ministerial level, provided the correct channels of communication are followed. 8.6 What are the consequences of collective agreements? From 1 July 1999, the new Public Service Management Framework and hence all departmental activities, are informed not only by legislation such as the Public Service Act, 1994, as amended, and the new Public Service Regulations, 1999, but also by collective agreements concluded by bargaining councils in the public service. The Public Service Co-ordinating Bargaining Council (PSCBC) is the bargaining council for the public service as a whole. A number of collective agreements reached in the PSCBC influence the determination of elements of performance management. The most important of these are: Resolution 13/1998 on Performance Agreements for Senior Management from level 13 upwards (refer to paragraph 10) Resolution 2/1999 on Benefits and Allowances. 106

108 8.7 Performance improvement plan outline for managing under-/ unacceptable performance Table 18: Step-by-step guide for managing under-/unacceptable performance Step 1. Identify the problem 2. Identify the possible causes of the problem 3. Identify a proposed solution to each area of difficulty Actions What is the objective or required capability on which the employee has not performed? Why has the employee not performed? Is it due to lack of: - Skills and knowledge - Poor working conditions - Insufficient guidance and support - Interpersonal relations in the workplace - Personal problems? Lack of skills and knowledge conduct needs assessment through the HR practitioner to identify training needs Poor working conditions: - Is this due to late hours, insufficient equipment, and unreasonable expectations? Insufficient guidance and support: - Does the person not know what is expected of him/her, despite having drawn up a workplan? - Do roles need to be reclarified and the objectives on the workplan revisited? - Does the immediate supervisor require management training? Interpersonal relations: - Is communication a problem? - Are issues of diversity and cultural difference a problem? - What is the core problem causing the conflict? Personal problems: - Is the employee experiencing stress at home? - Is there any way in which the supervisor can assist? Financial Rewards Financial rewards still rank highest in employee suggestions of possible rewards. Departments must estimate and budget for all the financial rewards that they wish to pay, otherwise grievance an de-motivation will result among staff. The financial awards must be within the PFMA limits. However, it should be noted that rewards by definition are only useful if they lead to sustained new behaviour or a continuation of the old but desirable behaviour. In this regard, cash or money is not the most sustaining of motivators, research has found. Other types are listed below n

109 8.7.2 Some non-financial possibilities It is worth remembering that some incentives are not compensation they are recognition, a meaningful way to say thank you while still focusing your attention on departmental goals. Remuneration or compensation for being employed is a different though often related process and should not be confused with recognizing performance. The motive for recognizing performance is incentivising the employee first and foremost so that they can continue with the good work and more. Some of the many possibilities are listed below; Give individual recognition and acknowledgement of any form is the key one. Time-off (may be given in more short spells than leave). A piece of exciting and strategic action. Allowance to do favourite work most of the time. Advancement like promotions where competences exist. Freedom to decide on work issues where the employee shows excellence. Fun. Prizes, cash or otherwise. Rent a sports car for the employee to drive for the week. Feature the employee s picture in billboards or communication messages that of departmental strategic importance. Praise them. Many managers underestimate the power of praise. Take the person to a midday movie. Give the employee a round of golf or some other sporting event of their choice. When you hear a positive remark about somebody, report it to them and others as soon as possible. Seek the person out if necessary. If you can t meet, leave an electronic mail or voice mail message. Grant two hour lunches for one week and pay for their dessert or lunch where possible. Give the employee a three-day weekend. Give spontaneous time-off for specific accomplishments or week and arrange to have his or her work done in the meantime. Arrange a photo session with the MEC, HoD. Give personalised departmental logo items with employees name, e.g. umbrella, T-shirt, pencil sets etc. Give unusual personal value items that are meaningful, e.g. boxer shorts, etc. Diagram 10 below gives a graphic illustration of the process of managing performance outcomes. 108

110 Diagram 10: Managing performance Managing Performance Collective agreements & PSR will determine financial incentives Good performance Recognition Outcomes Poor/nonperformance Corrective measures for performance improvements Steps to manage underperformers Identify and agree on problem. Establish reason(s) for shortfall. Decide and agree on action required. Resource the action Monitor and provide feedback Pay increase Promotion Cash bonus Special achievemen t awards Pay-at-risk Financial Low cost Organised lunch with MEC Time off to attend national conference Time off over and above leave Given priority to attend training Non financial Support and development Coaching Mentoring Counselling Training Guidance Facilities required to enable agreed action to happen Discipline in terms of DPSA Incapacity (in terms of code) No-cost Public note /memo Written personal letter Employee / team month recognition Delegation of more responsibility Represent department in official functions / forums 109

111 9 OVERSIGHT, INSTITUTIONALARRANGEMENTS AND STRUCTURES, STAKEHOLDER ROLES AND RESPONSIBILITIES This section looks at: Provincial and departmental PMS oversight roles and responsibilities Lines of accountability Stakeholder roles and responsibilities PMS project roll-out plan in a department 9.1 Performance management oversight The implementation and management of the performance management system has to be constantly checked. It is therefore important for the province and each department to have a structure that will continually audit the effectiveness and success or failure of the whole system. These structures will thus play an oversight function. Their oversight roles are graphically represented by diagram 11 as follows: 111

112 Diagram 11: PMS Institutional arrangements Office of the Premier (HR Transversal in Public Service Transformation Branch) Overall Provincial PMS Policy and Championing Overall provincial co-ordination of the system, Monitoring the implementation of the system, Auditing the effectiveness and efficiency of the system (using internal or external resources), and Ensuring alignment and review of the PM system with provincial priorities Department A (PM Committee) Monitor implementation and management. Assess evaluations and recognition recommendations Make decisions on recommendations Recommend changes to the system. Final decision on sanctions and recognition for approval by HoD Department B (PM Committee) Monitor implementation and management. Assess evaluations and recognition recommendations Make decisions on recommendations Recommend changes to the system. Final decisions on sanctions and recognition for approval by HoD 112

113 9.2 Oversight Functions: These committees will ensure that no single individual shall make sole decisions around individual or team performances in the departments without their oversight endorsement. This does not take away from the one-on-one basis of reviewing progress or evaluating performance at the end of the year. It simply means that all decisions and processes are constantly monitored and moderated by these structures as the need arises. 9.3 Lines of accountability To avoid confusion and inaction on the part of staff members, it is crucial that lines of accountability be clarified. The management of performance in the department is a line function responsibility. Individual performance plans and agreements are concluded between the immediate supervisor/manager and the respective employee(s). In managing, assessing and evaluating individual and/or team performance, the following lines of accountability apply: In these cases, lines of accountability will follow reporting lines. This applies primarily in cases of project or team-based work in directorates, units or transversal projects. Base on the abovementioned lines of accountability, each manager/ supervisor will be responsible: Jointly (with the employee) for developing and completing a suitable performance instrument (PI). For performance reviews of employees (informal and formal) For providing a conducive environment for effective employee performance and For performance evaluations and recommendations of recognition. 9.4 Dispute Resolution In case of disputes regarding the management of performance, employees need to resolve them with their immediate supervisors/managers. Should the dispute not be resolved at this level, the matter is then referred to the next level above. For example, if a dispute is not resolved between the Manager and the Senior Manager, then it should be referred to the General Manager in the relevant work stream. If the matter is still not resolved, then internal dispute resolution processes need to take precedence, for instance, refer to Labour Relations unit who will make a recommendation to the HoD etc. 9.5 Institutional arrangements, structures, roles and responsibilities: By institutional arrangements is implied the creation of permanent or temporary structures within the organisation which will manage, monitor and ensure the PMS is alive and well in the Department. The purpose of setting up these institutional structures and arrangements is to ensure that the department has enough capacity and resources directed at efficiently and effectively implementing the PMS in all its institutions. This section of the handbook seeks to further pinpoint the specific roles and responsibilities of these structures and / or individuals. Some of the structures have been created specifically for PMS implementation while

114 Others are part of the permanent organisational structure of any department. 9.6 KEY STAKEHOLDERS AND THEIR ROLES AND RESPONSIBILITIES I. The Executing Authority: Ensures that there is a PM policy and approved system meeting the legal and DPSA good management guidelines Ensures that there is a valid and appropriate management plan for the department, developed between the departments HoD (and his/her senior managers) and the EA Holds the HOD accountable for overall departmental performance only on the basis of the HoD s Performance agreement in terms of the agreed PMS, which will include delivery of an organisationally sustainable PMS. II. HoD: Develops the PM policy in line with DPSA and provincial policies. Ensures that the PMS policy of the department is clear on issues of motivating and rewarding good performance, and dealing with unacceptable performance in the organisation on an annual basis. Reviews all policy issues associated with PMS at the time other strategic reviews are done before the start of every financial year. Delegates powers and authority to various line managers and structure that are linked to PMS implementation Leads by example in the implementation of the PMS Monitors and ensures the continued strategic linkage of the top management with his / her PA and the Dept strategic objectives Consciously builds an open culture of a performance driven Dept Insists and ensures that every SMS manager prioritises and contracts on implementing the PMS in his / her unit of control. This means implementation of PMS or people management will be one of every managers key deliverables. Timeously sets up a PMS oversight committee (PM Committee) clearly mandates and monitors their work regularly. Ensures there is a balance in the strategic objectives of the Department by using the chosen model of the province, in this case, the balanced score card model. Ensures that there are adequate resources directed at meeting the priority strategic objectives in any one year Monitors and reviews the attainment of departmental strategic objectives based on the PMS adopted. Reports progress in PMS implementation to the EA as required. III. SMS MANAGERS These are senior line managers in the department. Their main responsibilities include: 114

115 Ensure they have agreed on and developed their own unit (directorate) management plans based on the departmental management plan Ensure that they workshop their unit s management plan before they and their staff below them sign their PIs. Lead their units by example, through signing their own PIs and working in accordance to these PIs. Ensure they understand and champion the proper implementation of the department s PM policies and systems within their own unit. Personally communicate, champion the PM system as part of their unit s work systems not as an HR or other externally driven system which takes away from their own line work. Employ the PMS as the only tool and system for managing performance. Adhere to all time frames of the PMS. Monitor and review individual performance regularly and fairly. Reward good performance and support those who may be struggling as per prescriptions of the department s PMS Allocate resources, including own staff and time assigned to champion and advance the PMS in the rest of the department. Document and utilise all processes and results of the individual Performance reviews. Motivate unit project teams to use the PMS and never undermine the PM system overtly or otherwise. Serve in the PM committee or PM project implementation team when assigned to do so. IV. ALL OTHER MANAGERS This refers to any other supervisor at the rank of managers, deputy, assistant managers or first line manager. Their role and responsibilities are largely similar to those of their managers above but are more specifically focused at only those units below them. Other roles and responsibilities include: Use PMS tools as designed and agreed. Communicate and champion PMS as an essential and good people management tool. Understand and remove any possible conflicts between the PMS and other collective agreements, policies in their work environment. Championing proper application of PMS and other systems must sit prominently as one of their own strategic objectives or key result areas so that they can be measured on how they must implement it. V. Senior Manager: Human Resources / Corporate Services / Performance Monitoring And Evaluation Manager (As Applicable In A Department) The arrangements are not always the same in all departments of government. In some cases different individuals as named above may be in charge of the PMS. Whoever the individual is, they must, inter alia: Immediately link the Department s HR Planning processes and outcomes to the strategic objectives of the department through inter alia, the PMS. Understand and support the PMS. Manage the system through being a custodian of the policies, processes and practices of implementing a successful PMS. PMS implementation must be one of their main objectives in any one year. 115

116 Should head the PMS project implementation team. Ensures all PIs are correct, collected, and their results documented into an HR system to inform other related HR processes and systems. May also be a custodian of all other HR systems linked to PMS e.g. remuneration and Reward Policy, LRA, recruitment and selection etc. If not the custodian of other systems, at least will ensure that the PMS is properly aligned to these other related systems. Coach other senior line managers. Member of the PM committee. Provide regular reports to all management at regular intervals. Progressively move towards automating the PM system in order to increase efficiency and reduce administrative burden. VI. PM COMMITTEES These should be selected and tasked this responsibility by the HOD in person, who should hold then individually and severally responsible for the success of the PMS in the whole department at all times. This team must be given power to review, change systems and enforce policy at all times relating to PMS. In each department there will only be one such committee. These are not the same committees that used to assess employees for merit awards by employment categories in the past. Collectively and individually sponsor and support all departmental efforts to institutionalise the PMS. Prioritise and contract on the PMS as one of their key individual deliverables in their own PIs. Lead by example by being the first ones in the department to complete their PIs. Regularly advise the HOD on what steps to take to motivate, enforce compliance with PMS policy and milestones. Understand and coach other top managers, on the PMS in general and their own individual roles in particular. Consistently monitor the whole process and application, and ensure all role players play their part timeously. Monitor and report on, top management leadership behaviour that supports and that which diminishes the effective implementation of the PMS in the department. Use the mid-term review as a key PMS milestone to look at the overall performance of the organisation and modify any objectives, PIs of senior managers that may need to. Sponsor and champion as a change process, all new aspects of the PMS Ensure the implementation of the PMS is benchmarked on provincial, national and international best practices, all informed and complying with DPSA and other national regulations. Strategically monitor all directorate objectives and their implementation against the department s strategic objectives at regular top management meetings. Sponsor and champion create space, time and resources for champions in particular Moderate the PM outcomes (not actual scores or evaluation results of individual PIs) Strategically support the HR or Corporate Services manager(s) in securing resources to install and run efficient IT based management systems to enhance the usability of the PMS. 116

117 VII. PM CHAMPIONS These individuals have already been chosen or should be chosen to communicate, push and persuade all units in their overall understanding and implementation of the PMS in the department. Their selection should preferably be made from senior or influential managers in the department. All Training and development personnel should be brought in as champions, possibly together with HR practitioners to ensure an HR team approach to PMS capacity building. Those selected must be sanctioned and given their task orders by the HOD. Their roles and responsibilities will have been discussed elsewhere in this Information Handbook. In particular, their roles need to include: Understand and support the implementation of the whole PMS Training all other staff in their units and other units too. Negotiate and manage training, coaching and support of other staff on all matters of PMS as assigned to them. Develop a training plan or schedule to manage the PMS training process and get HoD sign-off of the plan Communicate all events and changes in the implementation process of the PMS within their assigned units. Serve in the PMS project implementation team, as well as PM Committee as required. Give reports on PMS implementation to the PM committee and line managers, including HOD if requested. Ensure all notices and support materials reach, are understood and used by their assigned units within the department. VIII. PMS PROJECT IMPLEMENTATION TEAM These will be individuals chosen by the PM committee, endorsed by the HOD, whose main role is to ensure there the implementation of the PMS is projectised. To achieve this, the team will need to distil and agree with their principals, viz, the PM committee and the HOD on: Understand and present PMS as a change management strategy in the department, thereby preparing the ground for change before implementing the change. Project statement of work, specifications, milestones Work break down structure, cots, time and quality dimensions needed Ways in which the plan will be implemented, monitored and controlled, and The closing out phase of the whole project. Implement the above project plan themselves or support such implementation. Draft and do all documentation of policies, procedures, guidelines, and lessons from interactions relating to the PMS. Lead by example in all this work by ensuring that own behaviour, own PIs are exemplary and done on time to specification. Work with any specialists on PM engaged by the department on PMS process and document all the inputs there from. IX. EACH INDIVIDUAL EMPLOYEES Understand and implement the PMS as prescribed in their unit Sign appropriate PIs that link their daily actions to their unit s objectives. Actively participate in feedback and other data gathering processes used in the PMS. 117

118 9.7 Enabling Conditions: PM Culture and Associated Leadership Behaviours that Support an Effective PMS Implementation These are useful as a checklist to be used by all those involved in the systems design, the various roles listed above. Taken cumulatively, they help to set a benchmark for good PMS practice. The checklist is given here without detailed discussions: Is there a strategic plan on which this whole PMS process is based? Have or can resources be allocated to each directorate by the start of the financial year? Have all the assumptions made in using this particular PMS system been explained and clarified to all stakeholder groups and individuals in the department? Is there a clear PM policy already in existence in the department at the start of the implementation which will be or has been revised annually thereafter? Does this policy clarify how the results and outcomes of the PMS will be interpreted, actioned upon and link to the pay and reward systems of the department? Is there clear and demonstrable support from top managers, especially the HOD of the PMS? Are there clear job competency profiles that define what is required from the manager, and the competencies that will support this service delivery? Have the team delivery objectives been identified, assigned to appropriate teams and properly factored into PAs of individuals? Has there been agreement in the department on performance measurement and competency measurement tools, what evidence of performance will be acceptable for each employee? Has the most appropriate performance tool or instrument been identified, discussed before its use? Have the times of performance reviews been agreed and diarised by both the owner of the PI and his / her manager? Has there been a clear dispute resolving mechanism agreed and signed on by the manager and the managed? Has the whole PI now been properly documented, signed by the responsible manager? Has a copy of each PI been forwarded to the HOD and DPSA (for SMS managers as applicable)? Are the managers one above checking how their own reportees are managing the performance of those that are under their supervision? Is there constant adherence to the PI as an instrument for managing individual and organisational performance? Are there enough provisions for formal and informal performance reviews to avoid delayed and hence meaningless feedback? Are all reviews being conducted on time, based on an equal and fair discussions between supervisor and employee or are the playing fields still uneven. Are there good and usable records of performance being kept and used? Do they reflect corrective action that must be taken or has been taken in the past? Are the results of performance and competency assessment applied in accordance with the agreed PM policy of the department? If not, what is the PM committee, the HR / Corporate Services Units and HoD doing about it? Are the lessons and incomplete objectives being properly rolled over or appropriately discarded at the end of the planning year in line with adjustments in the strategic plan? 118

119 9.8 Step-by-Step - Development of a PMS rollout The directorate charged with implementing the PMS in each department must draw up an annual roll-out plan and communicate it in tandem with the communications directorate of the Provincial Government. In addition, it is strongly suggested that a Provincial Government PMS Annual Implementation Plan be developed by the HR Transversal team and be communicated to all employees via departmental structures as well as then Provincial Communications Directorate. 119

120 ANNEXURE 1 EXAMPLE OF FULL PERFORMANCE AGREEMENT IN A PROVINCIAL DEPARTMENT Note: Parts A, C and D are covered by the same illustration as the formats processes are identical. Only parts B are different. The part B of the Standard Framework type is illustrated as part B(2) after Annexure 2 below. Part A: Generic Agreement on performance For the period: 01 April to 30 March 2005 This agreement sets out the expectations of the head of the Department of xxxx (represented by the General Manager) for the senior manager. Management and Community Services performance as well as the undertakings of the same by the senior manager: Management and Community Services. It further provides a basis for a systematic evaluation of the performance of the Senior Manager: Management and Community services in achieving objectives set out in the Department Strategic and Management Plan (FY: ). Job Description and Employment Contract (12 th June th June 2004). 1. Job details Salary No: XXXXXX Rank: Manager: Community Services Sub- directorate Location: Polokwane Post reports to: Senior manager Date of first appointment to this department: 1 st June 1999 Date of appointment to this position: 1 st November 2003 Appointment status: Permanent. 2. Job Purpose In the main, the purpose of this job is to: - Ensure that the stakeholder participation in all areas designated by the Strategic and Management Plans are met. - Provide management support to all department s outreach and public service setting of, review and communication of service standards. - Conduct and report on departmental service delivery performance assessments in a systematic way as agreed and aligned to existing PMS model that also meets Treasury requirements. 3. Job Functions As fully described in letter of appointment to this (herewith attached) as well as item 2 above. 120

121 4. Duties, responsibilities, and Accountability 4.1 List the duties as in the in job description, e.g. managerial, operational etc, even if it is only 3-4 lines done. - As in 2 above o Also give all support to the senior manager and those that report to the incumbent in performing the directorate and department s mission. 4.2 The resources to be managed are the following: Human Resources: All employees of the Management and Community Services Directives as indicated on the latest organogram of the Department namely: - 2 deputy managers - 3 staff members - 1 vacancy for 1 staff member to be filled this FY Financial Resources The operating budget for the sub- directorate is R The operating budget for the finance department is R Reporting Requirements/lines and assessment lines 5.1 The manager shall report to the senior manager for all parts of this agreement in all aspects and at regular intervals as indicated in this agreement (on a quarterly basis). The manager shall: 5.2 Alert the senior manager to any emerging factors that could preclude the achievement of any performance agreement undertakings. 5.3 Establish and maintain appropriate internal controls and reporting systems in order to meet performance expectations; and 5.4 Discuss with the Senior Manager all progress on achieving the undertakings on this agreement, on revision of targets if necessary, performance improvement plans and outcomes of good or inadequate performance in terms of this agreement 6. Performance Plan (See part B of P1 Below) This part forms the individual performance plan for the incumbent, which shows all the relevant objectives, indicators and targets as agreed during the discussions leading to the conclusion of this agreement. 7. Competency Profile 121

122 The following competences have been highlighted as crucial in this role; - Excellent verbal & written Communication skills - Attention to detail & accuracy - Report writing - Budgeting & business planning skills - Project management The meaning and standards of for some of useful and commonly used generic competences is given in annexure 2 below. This provides a useful reference point. 8. Competence-based individual development plan (see part D of P1 Below) This is also one aspect of the PI that will be measured quarterly and during progress review discussions. The development plan listed hereto has been discussed and agreed by the manager and the senior manager. The required competences are crucial in ensuring that the manager can deliver the best service to the public and her customers in terms of her result areas. 9. Performance reviews and evaluation 9.1 ly performance reviews The quarterly review will be conducted between the incumbent and the senior manager. Performance will be reviewed against the set objectives and the performance targets as indicated in the key performance plan outputs as well as the competences targeted for acquisition during the financial year. The review discussion will address all activities within the key outputs scheduled and consider opportunities and constraints being experienced. Where necessary a revised output/target will be agreed upon. Results of the quarterly progress reviews will be documented and signed on the form provided. 9.2 Annual Evaluation The annual evaluation will be conducted between the Manager and the Senior Manager. Annual evaluations and ratings will be recorded on the official evaluation forms and signed by both parties to this agreement. The final annual performance evaluation will take place no later than the end of the first month following the end of the financial year (April 2004) 122

123 10. TIMETABLE FOR ASSESSMENTS Progress reviews and feedback sessions as well as the annual evaluation session will take place on the following dates: 1 st : During the first week of July nd : During the first week of October rd : During the second week of January th : During the second week of April PERFORMANCE OUTCOMES AND REWARDS 12.1 Performance on agreed original or revised targets will attract one or other of the following outcomes; 12.2 In terms of clause xxx of the incumbent s employment agreement and the provincial PMS, the annual performance bonus will be calculated as stated in the PMS policy (see first Part of Provincial PMS Manual) 12.3 If there has been none or poor performance in respect of any of the objectives mentioned in this memorandum of understanding on performance caused by circumstances beyond the control of the manager, she/he will ensure that the relevant targets are adjusted and agreed upon with the Senior Manager accordingly before the evaluation discussion session at the end of the year. 13. Dispute settlement 13.1 Any disputes about the incumbent s key responsibilities, priorities, methods of assessment and/or any substantive procedural aspect of this agreement will be dealt with in terms of clause 9 of the incumbent s employment agreement, all in line with the prevailing labour laws of South Africa In any case, the first point of mediating any dispute will be with the General manager, up to HoD and eventually EA/MEC before any other external persons or bodies are involved In the event of any dispute arising out of the interpretation or application of this agreement, the parties agree to submit the dispute to mediation and arbitration The arbitrator shall be a suitably qualified person agreed to by all the parties to the dispute and failing which, one appointed by the CCMA/ Labour Court The decision of the arbitrator shall be final and binding on all parties The arbitrator s costs in respect to the arbitration shall be divided equally between the parties, save that the arbitrators shall be authorized to make a special order to directing any parties to pay any costs involved in the arbitration on grounds of any frivolous or vexatious on the part of such party. 123

124 14. AMENDMENT OF AGREEMENT Amendments to the agreement shall be in writing and can only be effected after discussion and agreement by both parties. The amendments must always be attached to the original agreement for later referencing. 15. SIGNATURES OF PARTIES TO THE AGREEMENT 15.1 The contents of this document have been discussed and agreed with the senior manager, management and Community Services The contents of this document have been discussed and agreed with the manager, Community Services Sub- directorate. As Head of Department, I sign this agreement on behalf of the Department. Name of employee: Name of Supervisor / Manager: Name of Overseer (manager s Supervisor) Nature of Employee: Signature of Supervisor / Manager: Signature of Observer: Date Signed: Date Signed: Date Signed: 124

125 PART B OF PI: PERFROMANCE PLAN INDIVIDUAL SCORECARD (WEIGHT=80%) NAME OF DIRECTORATE/ BUSINESS UNIT MANAGEMENT AND COMMUNITY SERVICES DIRECTORATE 1. BALANCED SCORE CARD PERSPECTIVE: SERVICE DELIVERY List of Key Outcomes WEIGHT (35%) Performance Targets for Key outcomes Listed Management of department is strategic and compliance with planning frameworks of SA public service 100% compliance with all prescriptions of the province and Treasury in terms of formats and timelines for all strategic planning documents and reports Continuously Increasing levels of community participation among all stakeholders in department s governance processes. At least 15% increase in number of feedback reports from lower economic sectors of the community Perceptible increases in quality of suggestions made by members of the public used in current and future strategic plans. Key Result Area & Bathopele principle 1.0 Strategic and manageme nt planning All Batho pele principles Management plan Reference Weight of KRA in % Key Result Indicators (KRI) (type of quantities, quality of inputs to be used: outputs to be delivered or outcomes to be attached) Objective Availability of strategic plan documents in time to be used by departments % level of customer satisfaction with new planning and reporting formats Level of compliance/ deviations with formats prescribed by province and national treasury Baseline measure for each target KRI (what is the state of this measurement at the start of the year) Current plan was late in compilation and delivery to department Previous plans have not been compliant with Balanced scorecard and national treasury requirements Performance Measurement Information Targets (use a combination of at least two of the indicator types listed below which show what the quantities and or qualities of: Inputs to be used Outputs to be delivered or produced Outcomes to be achieved End of 1 st quarter target Formats for strategic plan and management plan and reporting formats agreed and communicated to all senior management and compilers of strategic documents. End of 2nd quarter target Training of all staff involved in compiling and using strategic plan documents. Draft Balanced scorecard examples for illustration to all compilers and users the strategic plans, the management plans as well as the related reporting formats. End of 3 rd quarter target Strategic management and monitoring/ report End of year or 4 th quarter target Strategic, management plans for financial year: 2004/ 05 finalised End of year drafts according to and reports approved during the year Zero queries from internal audit and Means of Verification for Each Target (what evidence will be produced to show that target has been reached?) New planning and reporting formats along balanced scorecard approved with HoD signature Each quarterly report of the department along the reporting lines Strategic, management plans drafted according to balanced scorecard format Resources Resources require e.g. human physical and financial. Sub directorate corporate planning R for training and distribution and development 125

126 2.0 Stakeholder Participatio n All Batho-pele principles 2.0 Monitor and Evaluate Department al Service Delivery All Batho pele principles Total (where applicable) Objective Number of forum meetings held Objective 1.4 and 1.1 Increase in attendance of forum meetings Quality of participation (debates, presentations and usable suggestions form participating stakeholders) 10 Number of quality monitoring reports Customer satisfaction levels Service standards No forums in place, no meetings as yet held. No service standards agreed. Previous reports not complaint to BSC formats and show very little alignment with strategic and management plans of the department. Forum structure approved by HoD. Service standards agreed with stakeholders and approved by HoD Stakeholder map and communication plan concluded and implemented. First quarter report complying with suggested formats First forum meeting held and implementation training given Communication plan completed and implemented Second quarter report acclaimed as easier and better aligned by all compliers and readers 2 forum meetings held in compliance with standards. 10% increase in numbers of stakeholders participating Third quarter report acclaimed as adding clarity, readability by compliers and users, including internal auditors Total of 5 forum meetings held by end of the year and key issues raised passed onto strategic planning team to include in next strategic plan. Baseline measurement of quality inputs and suggestions made. 50% increase in number of participants from targeted stakeholders attending. 80% or more clients satisfied with new plans and reports. Invitations and HoD approved Agendas, and signed minutes of Forum meetings. Document indicating current measures and baselines for next FY All 3 quarterly and one end of year report fully complaint with formats agreed. Customer survey samples and full analysis reports Community Outreach Subdirectorate staff. R Monitoring and evaluation Subdirectorate R % All subdirectorate managers and their staff R

127 NAME OF DIRECTORATE/ BUSINESS UNIT MANAGEMENT AND COMMUNITY SERVICES DIRECTORATE 2. BALANCED SCORE CARD PERSPECTIVE: FINANCIAL MANAGEMENT List of Key Outcomes WEIGHT (25%) Performance Targets for Key outcomes Listed Sound and accountable financial management 100% compliance to MTEF and PFMA budgeting and budget control processes, timelines Increased financial viability of directorate. and reporting Debt collections increased to 80% and debt age reduced to 120 days or less. Key Result Area & Bathopele principles 1 Budgeting Batho pele Principles no.1; 2 & 8 2 Financial Management Batho pele Principle no. 1; 2; 7 & 8 Management plan Reference E.g. Objective 2.1 E.g. Objective 2.3 Weight of KRA in % Key Result Indicators (KRI) (type of quantities, quality of inputs to be used: outputs to be delivered or outcomes to be attached) 5% Preparation of the 2004/05 MTEF budget. 15% Number of financial and process delegations documented and given. % compliance to Baseline measure for each target KRI (what is the state of this measurement at the start of the year) No budget for next FY in place yet. No delegations as yet given or implemented Current levels of compliance Performance Measurement Information Targets (use a combination of at least two of the indicator types listed below which show what the quantities and or qualities of: Inputs to be used Outputs to be delivered or produced Outcomes to be achieved End of 1 st quarter target All subdirectorates allocations and budget priorities signed-off Implementation of all projects and programmes started according to budgets allocated. Concluded research on delegations and initial discussions about what delegations need to be given by who in terms of what legislation. Set up all checklists and other End of 2nd quarter target All subdirectorates have submitted their budget for next FY All delegations now identified and documented and formally handed over to directorate and staff. All procurements made are in full End of 3 rd quarter target Next FY budget of directorates has been submitted to Finance in compliance with MTEF All directorate and branch staff trained on delegations affecting them and starting to use them. All procurements made are in End of year or 4 th quarter target Received budget allocations from Finance directorate and all subdirectorate complete allocations. All staff in directorate operating clearly with directorate and individual written delegations 100% compliance to Means of Verification for Each Target (what evidence will be produced to show that target has been reached?) Completed budget draft as requested by Finance Directorat e at appropriat e times. All subdirectorate allocations and delegations by start of next FY List of signed delegation s and trained staff. 100% Complianc e with delegations by all staff all the time. Compliance report Resources Resources require e.g. human physical and financial. All managers No additional funds or other resources required. All staff to be involved. R Available personnel and budget 127

128 3 Revenue Generation Batho pele Principle no. 1; 2; 6; 8 E.g. Objective 2.4 procurement policy and monitoring % reduction in audit queries 5% Appointment and reports from Service Provider % of debts in directorate related business (internal staff and external debts) still outstanding Reduction in age of debts to120 days average at 60% as picked from internal analysis and audit general report of last yr. 60% of reported transactions were queried No service provider yet appointed. Budget available. Only 10% level off rand amounts collected at any one time. Debtors age average 200 days procedures to increase compliance monitoring. Train all staff concerned. Set up all checklists and other procedures to increase compliance monitoring. Service providers advert and appointment following procurement processes. Status quo report and agreement on turn-around strategies compliance with policy. Internal audit raises 0% queries Agreed strategies implemented. 50% collection of debt averaged Average debt age down to 180 days full compliance with policy. Internal audit raises 0% queries Strategies and some structures revised. 70% level of collection debts outstanding Average age of debts now at 150 days or less procurement policies Reduction in audit queries 80% of debt book collected Average debt age not more 120 days A-G Report and at least two internal audit reports 0% queries on all transactions made. Service Provider Contract and report of assigned work completed Financial analysis report complying to set targets Procurement unit. All staff in directorate Directorate approved budget All 4 managers in directorate R for service provider Tender issued to collect outstanding debt Total (where applicable) 25% All subdirectorate managers and their staff R

129 3. BALANCED SCORE CARD PERSPECTIVE: INTERNAL/ORGANISATIONAL PROCESSES List of Key Outcomes WEIGHT (24%) Performance Targets for Key outcomes Listed Well organized and effective directorate Organizational structure aligned and suited of departmental service delivery Motivated and capable directorate personal with aligned competences Key Result Area & Bathopele principle 1 Directorate s Organisational structure All Batho pele principles Management plan Reference Weight of KRA in % Key Result Indicators (KRI) (type of quantities, quality of inputs to be used: outputs to be delivered or outcomes to be attached) Objective Review of own directorate organogram in line with MTEF strategic plan. Approved of revised organizational structure for directorate Baseline measure for each target KRI (what is the state of this measurement at the start of the year) Current structure developed before the new strategic thrust of whole organisation Budget for a new structure has already been approved since last financial year Organisational structure revised and approved New structure implemented fully and its impact on service delivery assessed Employees in jobs requiring competences that match their competences New IT capability built for the directorate to enhance information management and communication. Performance Measurement Information Targets (use a combination of at least two of the indicator types listed below which show what the quantities and or qualities of: Inputs to be used Outputs to be delivered or produced Outcomes to be achieved End of 1 st quarter target Research report of organizational structure presented and changes in structure identified and approved End of 2nd quarter target New structure implemented fully through funding allocation End of 3 rd quarter target New structure implemented fully through funding allocation End of year or 4 th quarter target New structure implemented fully through funding allocation Means of Verification for Each Target (what evidence will be produced to show that target has been reached?) New organogram signed-off by HoD showing directorate establishment Resources Resources require e.g. human physical and financial. Support from planning subdirectorate. R

130 2 Information Technolog y Manageme nt Batho pele Principle no. 1; 2; 5 & 6 Objective Installation of new IT infrastructure One computer for each employee All key reports and documents on a shared drive in common server Only the director currently has a laptop. Director s secretary has a stand alone computer not linked to the LAN. Rest of 14 staff need to be provided with desk tops and connected to the LAN. New staff positions to be added onto the establishment will need hardware and connections. All key document are currently on hard copies and filed in filing cabinets All requisitions have been made and concluded, waiting equipment delivery Staff training roll out plan agreed and resourced Network connections made to rest of the organisation. 70% of budget committed or used. All staff in directorate have their desk tops and are connected Key documents within the directorate have been identified and are all transferred onto the shared drive of the directorate. All staff has been trained in the most effective use of the system and are managing all information using latest IT provided. All staff communicate via wherever possible and when no personal contact is required. All staff appointed and to be appointed have been computers and connectivity All key reports are given in the appropriate computer program. All key documents generated in and outside departments are properly filed electronically and retrieved efficiently by all who need to use them. 20 latest model computers purchase. Working IT linkages with rest of department Electronic availability and catalogue and retrievability of all key documents R Human Resources Management and Development All Batho pele Principles Objective 3.4 and % expenditure of budget allocated. 9 % of staff appointed and % of directorate targets being met. % of staff properly matched in positions in terms of job and individual competences Budget for this it provision already approved waiting implementation. No staff competence audit. Existing staff of 14 have to be audited and new staff appointed on clearly assessed for competences. All new positions created in Competence audit completed and individual staff movements or job reassignments completed. New positions created are advertised and selections and appointments finalised All staff oriented I or re-oriented. All staff in place and contributing to the directorates core function (90% or more of targets being met) All staff positions have been filled and individuals placed according to new directorate structure. Each manager R for advertising 130

131 4 PMS implementation All Batho pele principles Total (where applicable) Objective % of staff implementing their functions according to the PMS approved by the province terms of new organizational structure are filled. Currently old staff have completed Pls which were not adequately compliant with new formats and were not adequately strategically aligned All staff completes their Pls by end of the first month. All performance is henceforth managed I terms of the new PMS of he province ly performance reports comply with PMS system and show 10% improvement in service delivery targets met. All staff completes their performance agreements according to directorate management plan. ly reports now meet all targets by all employees as per their Pls, except new ones. 100% of directorate and individual targets have been met and reported accordingly in terms of new PMS Performance Management ly and Management Reports that focus on evaluation of target attainments not processes R for incentives and increments 24% All subdirectorate managers and their staff R

132 4. BALANCED SCORE CARD PERSPECTIVE: LEARNING AND GROWTH WEIGHT (16%) List of Key Outcomes Performance Targets for Key outcomes Listed Improved communication and research effectiveness in directorate Increased investment in human and IT capacity development Increased levels of innovativeness. Key Result Area & Bathopele principles 1 Human Resources Development All Batho pele principles Management plan Reference Weight of KRA in % Key Result Indicators (KRI) (type of quantities, quality of inputs to be used: outputs to be delivered or outcomes to be attached) Objective Completion audit. Baseline measure for each target KRI (what is the state of this measurement at the start of the year) No audit ever done in this directorate to date. 25% Increase in number of referred research reports improvement in the directorate Bi-weekly Hod reporting sessions instituted and adhered to At least two key innovations accepted within directorate, even department address a particular problem. Performance Measurement Information Targets (use a combination of at least two of the indicator types listed below which show what the quantities and or qualities of: Inputs to be used Outputs to be delivered or produced Outcomes to be achieved End of 1 st quarter target Competency audit completed and mapping of competence gap closure plans agreed and aligned to organizational skills development plans End of 2nd quarter target Staff matched with competence found or engaged in interventions to close gaps found. End of 3 rd quarter target 50% of all competence gaps identified have been closed and competence evidence well met. End of year or 4 th quarter target At least 80% competence gaps identified have been closed and rest have a clear acquisition plan for completion in the first quarter of the following year. Means of Verification for Each Target (what evidence will be produced to show that target has been reached?) Directorate development unit supported by HRD directorate of the department Resources Resources require e.g. human physical and financial. R for audit and training development in the directorate. % increase in number of study leave granted per individual per quarter. Current levelsat1.5 study leave days per quarter. 30% increase in study leave days taken. 50% increase in study leave days taken 75% increase in study leave days granted per individual. 150% increase in study leave granted (annual target) % increase in component of the T & D budget allocated to the development (not training) 5% is current percentage expenditure of the D in the T & D budgeted interventions. % increased to 15% of T & D budget. % increased to 20% of expenditure on the D in the T & D budget % increased to 30% of expenditure on D in the T & D budget % increased to 40% (as maximum targeted) 132

133 related interventions. 2.increased innovativeness within directorate and department All Batho pele principles Objective Increase in number of new systems or processes which have shown 20% or more improvements in service delivery Level of staff and customer satisfaction with new systems introduced in the directorate. Innovations meeting the standard recorded in last two years in this directorate 30% level of satisfaction recorded Agree on innovation standards and measurements. Also draft innovation proposals accepted and signed-off by sms manager. Report on research effort being planned and budgeted for. Innovation progress reports tabled and results evaluated with suggested changes indicated. Innovation reports showing any service delivery changes in identified areas. 30% level of satisfaction reached already Final research and impact of innovation report. Indication of new practices suggested and approval of new process or system if there is such already designed. 80% and above level of satisfaction Innovation proposals signed-off. Progress reports and impact changes of each innovation. Surveys samples and analysis reports showing percentage shifts in customer satisfaction. Customer Care improvement and research unit. R research budget. Budget of R in place for directorate to do or commission research Last budget allocated was not used at all for research purposes. 20% of budget committed. 50% of budget 70% or more of budget already used. 100% budgets utilization. Audited (at least internally) financial statement 133

134 Total (where applicable) 16% All subdirectorate managers and their staff R Grand Total 100% R

135 PART C OF PI: COMPETENCY PROFILE INDIVIDUAL COMPETENCY PROFILE List of own current competencies Current level of competency (1 3) JOB COMPETENCY PROFILE Is this competence required for the job Level of Competency Required for the job. (as explained etc) 1.0 Generic Competences (these are common to all employees of that rank generally that organisation. They are necessary to support the employee perform using the job specific competences) 1.1 Strategic Capability and Leadership 2 Yes Programme and Project Management 3 Yes Financial Management 2 Yes Change Management 3 Yes Knowledge Management 3 Yes Service Delivery Innovation 3 Yes Problem Solving and Analysis 2 Yes People Management and 1 Yes 3 Empowerment 1.9 Client Orientation and Customer Focus 3 Yes Communication 3 Yes Honesty and Integrity 3 Yes 3 3. Team Building and 1 Yes 2 Leadership 4. Service Delivery Management Challenge ( Khaedu) 1 Yes Job Specific Competences (These relate and distinguish one employee from another in the same rank on the basis of their job roles) 2.1 Strategic Planning 2 Yes Programme Management 3 Yes Financial Planning 2 Yes Monitoring and Evaluation 2 Yes Community Participation and advocacy 2 Yes Other Competences (Here some of the development targets may be good for individual and organizational career and succession planning) 3.1 Financial and Managerial Numeracy 1 Not particularly Balanced Score card Planning 2 Would help - Name of employee: Name of Supervisor / Manager: Name of Overseer (manager s Supervisor) Nature of Employee: Signature of Supervisor / Manager: Signature of Overseer: Date Signed: Date Signed: Date Signed: 135

136 PART D: COMPETENCE-BASED INDIVIDUAL DEVELOPMENT PLAN (WEIGHT 20%) Competence required (from gaps identified in the profiling process above For which KRA & Batho-Pele principle is this competency required Weighting in % 1. Generic Competences (description as for 1. in annexure C above) Current level of competence (taken from competency profiles) Target level of competence (select from level 1-3 from competency profiles) Timetable for gaining targeted competence Activities to close competence gaps Resources Required for this development to take place 1.1 Strategic Capability and Leadership All & All By mid year Attend internal training R Financial Management 1.3 Problem-solving and Analysis 1.4 People management and Empowerment 1.5 Team Building and Leadership All, 2;7; By the end of year Attend external training All, 2;6; By mid year Attend external training All & All By end of year Attend external training All & All By mid year Attend external and internal training R3000 R4000 R5000 R Service Delivery Management Challenge (Khaedu) All & All By mid year Attend external and internal training Sub Total 50 R Specific Job Competences (as described in annexure C above) 2.1 Strategic Planning All & All By end of first quarter Attend internal training R2000 R Monitoring and Evaluation All & All By end of quarter Attend internal training 2.3 Community All & All By mid year Attend external Participation and training advocacy Sub Total 36 All competences specific to my job have been identified, assessed, and developed at appropriate times by end of FY: R1000 R

137 03/2004 R Other Competences (as described above in annexure C) 3.1 Financial and All, & All By end of year Attend internal R1000 Managerial Numeracy training 3.2 Balanced score All & All By end of year Attend external and R2000 card and Planning internal training Sub-total 14 R3000 Grand Total 100%s By end of 2004 All relevant and priority competences have been developed and used in my overall evaluation. R24000 Name of employee: Name of Supervisor / Manager: Name of Overseer (manager s Supervisor) Nature of Employee: Signature of Supervisor / Manager: Signature of Overseer: Date Signed: Date Signed: Date Signed: 137

138 ANNEXURE 2: SOME CRITERIA FOR ASSESSING GENERIC CORE COMPETENCES Criteria Standards 1. Strategic Capability and Leadership - Gives direction to team in realizing the organizations strategic objectives - Impacts positively on team morale, sense of belonging and participation - Develops detailed action plan to execute strategic initiatives - Assists in defining performance measure to evaluate the success of strategies - Achieves strategic objectives against specified performance measures - Translates strategies into action plan - Secures cooperation from colleagues and team members - Seeks mutual benefit/win-win outcomes for all concerned - Supports stakeholders in achieving their goals - Inspires staff with own behaviours walks the talk - Manages and calculates risks; - Communicates strategic plan to the organization; and - Utilises strategic planning methods and tools 2. Programme and Project management - Establishes broad stakeholder involvement and communicates the project status and key milestones - Defines roles and responsibilities for project team members and clearly communicates expectations - Balance quality of work with deadlines and budget - Identifies and manages risk to the project by assessing potential risk and building contingencies into project plan - Uses computer software programmes to help manage project; and - Sets and manages service level agreements with contractors 3. Financial Management - Demonstrates knowledge of general concepts of financial planning, budget and forecasting and how they interrelate - Manages and monitors financial risk - Continuously looks for new opportunities to obtain and save funds - Prepares financial reports and guidelines based on prescribed format; - Understands and weights up financial implications of proposition - Understands, analyses and monitors financial reports - Allocates resources to established goals and objectives - Aligns expenditure to cash flow projections - Ensures effective utilization of financial resources; - Develops corrective measure/actions to ensure alignment of budget to financial resources; and - Prepares own budget in line with the strategic objectives of the organization 4. Change Management - Performs analysis to determine the impact of changes in the social, political and economic environment - Keeps self and other calm and focused during times of change or ambiguity - Initiates, supports and encourages new ideas - Volunteers to lead change efforts outside of own work team - Consults and persuades all the relevant stakeholders of the need of change - Inspires and builds commitment within own area for the change by explaining the benefits of change and the process of implementing the change - Coaches colleagues on how to manage change 138

139 - proactively seeks new opportunities for change - Identifies and assists in resolving resistance to change with stakeholders - Designs specific projects to enable change that are aligned to the organizational objectives; and - Uses the political, legislative and regulatory processes of the Public Service to drive and implement change efforts 5. Knowledge Management - Uses appropriate information systems to manage organizational knowledge - Uses modern technology to stay abreast of work trends and information - Evaluates information from multiple source and uses information to influence decisions - Creates mechanisms and structures for sharing of knowledge in the organization - Uses libraries, researchers, knowledge specialists and other knowledge bases appropriately to improve organizational efficiency - Prompts the importance of knowledge sharing within own area - Adapts and integrates information from multiple sources to create innovative knowledge management solutions; and - Nurtures a knowledge-enabling environment 6.Service Delivery Innovation - Consults clients and stakeholders on ways to improve the delivery of services - Communicates the benefits of service delivery improvement opportunities to stakeholders - Identifies internal process improvement opportunities to SDI - Demonstrates full knowledge of principles of service delivery innovations; - Identifies and analyses opportunities where innovative ideas can lead to improved service delivery. - Creates mechanisms to encourage innovation and creativity within functional and across the organization; and - implements innovative service delivery options in own department/organization 7. Problem Solving and analysis - Explains potential impact of problems to own working environment - Demonstrates logical problem solving approach and provides rationale for proposed solution - Determines root cause of problems and evaluates whether solutions address root causes - Demonstrates objectively, thoroughness, insight fullness, and probing behaviours when approaching problems; and - Demonstrates the ability to break down complex problems into manageable parts and identify solutions 8. People Management and Empowerment - Seeks opportunities to increase contribution and level of responsibility - Supports and respects the individuality of others and recognizes the benefit of diversity of ideas and approaches - Delegates and empowers other to increase contribution and level of responsibility - Applies labour and employment legislation and regulations consistently - Facilitates team goal settings and problem solving - Recognises individuals and teams and provides developmental feedback in accordance with performance management principles - Adheres to internal and national standards with regards to HR practices - Deals with labour matters - Identifies competencies required and suitable resources for specific tasks - Displays personal interest in the well being of colleagues 139

140 - Able to manage own time as well as time of colleagues and other stakeholders; and - Manages conflict through a participatory transparent approach 9. Client Orientation and Customer Focus - Develops clear and implement able service delivery improvement programmes - Identifies opportunities to exceed the expectations of customers - Designs internal work processes to improve customer service - Add value to the organization by providing exemplary customer service; and - Applies customer rights in own work environment 10. Communication - Expresses ideas to individuals and groups both in formal and informal settings in an interesting and motivating way; - Receptive to alternative viewpoints - Adapts communication content and style according to the audience including managing body language effectively - Delivers messages in a manner that gains support, commitment and agreement - Writes well structured complex documents - Communicates controversial sensitive messages to stakeholders tactfully - Listens well and is receptive; and - Encourages participation and mutual understanding 11. Honesty and Integrity - Conducts self accordance with organizational code of conduct - Admits own mistakes and weaknesses and seeks help from others where unable to deliver - Reports fraud, corruption, nepotism and misadministration - Honours the confidentiality of matters and does not use it for personal gain or the gain of others - Disclose conflict of interest issues - Establishes trust and shows confidence in others - Treats all employees with equal respect - Undertakes roles and responsibilities in a sincere and honest manner - Incorporates organizational values and beliefs into daily work - Uses work time for organizational matters and not for personal matters; and - Shares information openly, whilst respecting the principle of confidentiality 140