COMPETENCY-BASED

PERFORMANCE MANAGEMENT
Group 1

Farrell Hafizh - 2006583601

Rahmad Ridho Sadoyo - 1906366305
Muhammad Ishmael Raffly G.W - 1906387953
Rifqi Dwi Fianto - 1906366583
 PERFORMANCE VS COMPETENCIES
Performance Competencies
"what" of performance "how" of performance
Quantitative tied to unit goals More value added
Current timelines and performance Perspective timelines
Reward oriented Performance in present as well as
Result oriented future
Individual motivation subjective Development (behavior change)
Isolated from main stream oriented
Value oriented
Institutional motivation/objective
Leads from business competency
WHY COMPETENCY- "competency-based PMS shifts the
BASED PERFORMANCE emphasis on the appraisal of
MANAGEMENT? organizational results achieved to
employee behaviors and
competencies demonstrated"

01 UNCERTAIN
ENVIRONMENTS "competency-based PMS assesses
both performance results and
competency behaviors that the
performance in the job"

02
QUALITATIVE
IMPOSES "competency-based PMS has 2
SERVICE JOBS independent cycles; (1)
competency management process,
(2) measurement and reward
system
Fundamental
changes in HRM
The cultural shift that's happening globally
imposes several implication for HRM from
hiring and recruiting to rewards and
lifestyle

Importance of
Recruiting
The recruiting process determines in the
end whether the company has realized their
investment potential to the fullest or not
THE CAPACITY BUILDING CYCLE

The Capacity Building Cycle

focuses its development plans and
individual action steps for integrating the
learning's from assessment centre findings
with that of a gap analysis and finally a
development plan that focuses on both
short term cycle and long term cycle
 THE CBPMS CAN DEFINE
vision / common PMS GOALS
COMPETENCY-BASED PMS CORE
BOTH INDIVIDUAL & TEAM
purpose Increases management WORKING
control over work and results
Increases management
ability to identify problems
Measurable, Evaluatable &
company values early Quantitative Goals
Linking employee's
objectives and functions to
Soft & Sensitive
overall org. objectives Qualitative Goals
core human values Motivates employees by
Human Process and
allowing input & ownership of
their objectives and People Management Goals
standards of performance
Enhances communications
Architecture Management
org. core purpose Supports remedial action or & Overall Systematic
disciplinary action
Provides a system where
Goals
feedback can be given to Rare & Unique Goals
leadership employees on a more
Individual & Self Appraisal
objective basis
Provides objective criterion Critical Competencies &
that management can use to
behaviour make decision regarding pay
Skill Attributes
scale and promotion
modification
 THE CBPMS CAN DEFINE
BOTH INDIVIDUAL & TEAM
WORKING
Overall comprehensive
summary
Team and individual
strengths, weaknesses
Future scenario setting
and potential assessment
Performance review,
feedback, and counselling
Overall ranking and tiering
 WHY DO PEOPLE NOT PERFORM ON THE JOB?

They don't know what is expected.

They do not have the tools, space, and authority.
They do not get feedback about performance quality.
They are punished when they do it right.
They are rewarded when they do it wrong.
They are ignored whether they do it right or wrong.
They do not know how to do it.
 CHARACTERISTICS OF PERFORMANCE MANAGEMENT
It is a performance-improvement process based on a joint problem-solving approach rather
than an evaluation and control system.
It places an emphasis on corporate goals and values with individual managers’ objectives
being formulated as part of a cascade of the integrated set of goals and standards.
It recognizes that performance cannot be assessed solely by quantified measurement –
qualitative performance indicators are given full recognition.
It places as much emphasis on longer-term goals as on short-term objectives.
It places emphasis on how results are obtained, with special concern for human resources
management and teamwork as well as the results themselves.
It is a two-way, participatory process, not a top-down procedure.
It should provide for interaction with data across the chain of command.
It should allow for feedback mechanisms to work all 360 degrees of the management
hierarchy.
Line management owns it, not the human resource department. It is an integrated approach,
balancing people (attitudes and skills) and process (procedural framework) factors to reflect
the organization's culture.
INVOLVING PEOPLE IN GOAL SETTING IS MOTIVATING

Intuitively this is true. People do appear to want to have more

control over their job tasks. Unfortunately, research suggests
that this conclusion may be unwarranted.
a study by CARROLL & TOSI (1973) results indicated that
"subordinate participation in setting goals did not result in
higher levels of perceived goal success nor in more favorable
attitudes towards a superior or toward competency by
objectives". It may be that in some situations, employee
involvement is seen as positive, and in others not so.
the simple act of involving employees in the setting of their
objectives is not sufficient. This is because employees are still
uninvolved in the setting of organizational goals and objectives
that, by and large, determine their personal objectives.
 KEY ISSUES

Has the company implemented an HR system and process to manage people issues?
Is there top management commitment to appraising and developing people?
Are line managers adequately knowledgeable in management thinking?
Is there a felt need at the line management level the need for a development tool for
people?
Is the company culture conducive to feedback, coaching, and training?
Is there a budget for expenses for training and developing people?
Does the company wish to integrate appraisals with career planning and succession
systems?
Is there an HR audit system to measure the effectiveness of HR systems and
practices?
Is there a stated corporate vision, values, and mission statement?
Are there valid reasons being articulated by the management in general by expressing
the need for human intervention and management of human capital?
PERFORMANCE MANAGEMENT SYSTEM

OBJECTIVE
For self-appraisal, is to carefully ponder over
one’s own contributions and achievements.
To management/appraiser, is for reviewing
employees' work performance against mutually
set objectives.
To appraise for post-appraisal discussions and
guidance.
To appraiser for feedback and upward
communication
To identify the training and development needs
of the appraiser.
To recognize and reward meritorious
performance based on an objective criterion.
To identify employees having the potential to
assume higher responsibilities.
 COMPETENCY BY OBJECTIVES (CBO)

WHY PERFORMANCE APPRAISAL? Competency by objectives (CBO) is a strategy

Allows you to MEASURE performance. of individual planning, establishing behavioral
Allows you to MERGE individual goals with processes, mapping ability, and getting results
corporate objectives in the direction that is driven by organizational
Allows you to DIFFERENTIATE performance. strategy, goals, and objectives and needs to
Allows you to FIX human problems that do not take into cognizance individual, team, and
surface easily through coaching. organizational concerns while meeting goals
Allows you to BENCHMARK against best and satisfaction of its employees.
practices on people issues and concerns.
Allows you to CONSTRUCT ideal models for
motivation and retention strategies
Allows you to IDENTIFY AND BUILD
competencies.
Allows you to IDENTIFY training needs.
Allows you to REDEPLOY personnel.
Allows you to REWARD performance.
 BASIC INGREDIENTS OF CBO OPERATING PRINCIPLES OF CBO

OBJECTIVES Unity of managerial action is more likely to

Objectives are events or accomplishments occur when there is a pursuit of a common
planned and expected to happen. objective.
TIME-STRATEGY RELEVANCE The greater the focus and concentration on
Time strategy is the timetable for blending the results one wants to achieve on a timescale,
activities and operations of individual the greater the likelihood of achieving them.
managers to achieve long and short-range sets The greater the participation in setting
of results. meaningful work with accountability for a
TOTAL MANAGEMENT APPROACH result, the greater the motivation for
Total management refers to formalized efforts completing it.
to involve and coordinate the contributions of Progress can only be measured in terms of
each individual manager toward a common what one is trying to make progress towards.
goal.
INDIVIDUAL MOTIVATION AND DRIVE
Individual motivation refers to personal
involvement and participation in the objective-
setting process. This involvement tends to
generate a desire and willingness to achieve.
 HOW TO ESTABLISH PERFORMANCE
MEASURES AND GOALS

1. Define Organizational Vision, Mission and Strategy

Metodologi CBPMS (Competency Based
Performance Management System)
2.Develop Performance Objectives, Measures and Goals
Mengidentifikasi apa yang harus dilakukan organisasi dengan baik (yaitu,
tujuan kinerja) untuk mencapai visi yang diidentifikasi.

Integrating Performance Measurement with Other Business Strategies

- Strategic Plan.
- Performance Plan.
- Budget Process.
- Procurement Performance Measurement Plan
 HOW TO ESTABLISH PERFORMANCE
MEASURES AND GOALS

3. Evolve with experience

Performance and career

coaching
Tujuan coaching adalah untuk
membangun keterampilan dan
hubungan untuk mencapai
peningkatan kinerja yang
berkelanjutan.
 APPRAISAL/EVALUATION

Evaluasi berhubungan secara erat dengan penetapan tujuan juga proses pembinaan dan
memberikan dasar untuk pengembangan dan penghargaan. Oleh karena itu evaluasi
formal harus dilakukan secara rutin, tanpa tinjauan dari diskusi sebelumnya.

Beberapa fitur, keuntungan dan kerugian dari berbagai jenis penilaian:

Umpan balik tentang perilaku alih-alih kepribadian

Konsentrasi pada masa depan daripada masa lalu
Sebuah etos perbaikan bukannya hukuman
Umpan balik berdasarkan presisi bukan generalisasi
Komentar berdasarkan informasi bukan keyakinan
 KEY GOALS/OBJECTIVES
Key goal atau tujuan utama adalah suatu pernyataan yang jelas tentang apa yang
ingin dicapai oleh pemegang pekerjaan dalam kerangka waktu yang ditentukan.

Key Goal umumnya memiliki beberapa karakteristik yang antara lain adalah:
Harus disepakati bersama antara Bos dan Bawahan dan harus terkait dengan
tujuan perusahaan & departemen.
Merupakan tujuan yang sangat penting, yang mewakili perluasan dan
peningkatan berkelanjutan di luar tanggung jawab rutin.
Dapat bersifat jangka pendek tetapi harus mendukung tujuan jangka panjang.
Harus konsisten dengan tujuan jangka panjang perusahaan dan dengan misi &
nilai-nilainya.

Key goal memberikan beberapa manfaat yang antara lain adalah memberikan
fokus, prioritas dan pemanfaatan waktu yang efektif juga membantu
memperjelas apa yang perlu dilakukan untuk mewujudkan sesuatu.
 CRITERIA
Salah satu cara untuk mengetes kualitas dari key goal melalui smart test:

S: Specific, yaitu tujuan atau gol yang ingin dituju jelas pencapainnya seperti apa
dengan detail sejelas mungkin.

M: Measureable, tujuannya dihitung berdasarkan indikator kuantitatif atau kualitatif

A: Attainable, apakah realistis untuk dicapai di dalam rentang waktu yang ada serta
dengan resource yang dipunya

R: Relevant, target buat harus realistis atau relevan dengan kebutuhan masa depan
Anda

T: Trackable, apakah dapat didapatkan feedback terhadap progress yang sudah atau
sedang dijalankan

OBJECTIVES & APPROACHES, FOCUS

MANAGEMENT AND IMPROVEMENT
-> Apakah penggunaan internal dari performance
management untuk mendukung manajemen dan
perkembangan berlanjutan sebuah tujuan yang
penting

ACCOUNTABILITY & CONTROL

Savings
Approach Comprehensive
Legislative
Ad Hoc
Top Down
Bottom up
etc.
PERFORMANCE MEASUREMENTS
INDICATORS

-> Apakah indikator yang digunakan simpel dan

transparan

Measurement systems
Qualitative mesaures
Processes
Effciency
Effectiveness (Output)
Service (Delivery)
etc.
COMPETENCY BASED PERFORMANCE
RANKING: ESTABLISHING
STANDARDS AND BENCHMARKS
Tier 1: Outstanding
Cando boss job
Unique/Rare achievements
Task Driven
High level of internal/external credibility
Excellent business approach
Very Innovative
A Clear Leader
Overachieve goals
COMPETENCY BASED PERFORMANCE
RANKING: ESTABLISHING
STANDARDS AND BENCHMARKS
Tier 2: Strong
Achieved goals as planned
Depenadble performer
Disciplined habits
Can do more than one job
Team builder
Develops subordinates
Problem Solver
COMPETENCY BASED PERFORMANCE
RANKING: ESTABLISHING
STANDARDS AND BENCHMARKS
Tier 3: Capable
Achieved relatively easy goals
Hardworking maintains current job well
Boss dependant
Need guidance
Limited intiative
Not deadline driven
COMPETENCY BASED PERFORMANCE
RANKING: ESTABLISHING
STANDARDS AND BENCHMARKS
Tier 4: Weak
Goals not or underachieved
Considerable areas for development
Low initiative
Cynical
Limited business appreciation
 SELF APPRAISAL
bagian penting dalam performance appraisal karena mempunyai peran penting
dalam pengembangan karyawan

Tujuan dari self appraisal adalah:

Memberikan kesempatan bagi pegawai untuk mengevaluasi diri sendiri
Memahami pencapaian dan kegagalan atau kinerjanya
Mengidentifiikasi perkembangan dirinya sendiri untuk rencana ke depannya di
dalam sebuah organisasi dengan mengetahui apa yang dia butuhkan dari
internal dan eksternal
 THANKS
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