Dinesh Divekar
Business Mentor, Consultant And Trainer
Director Of Company
+2 Others

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How do I conduct a staff evaluation for employees of a HMO? They already have their Job description and have been conducting performance appraisal for some time now; however, the board feels there is no alignment between employee performance and company goals.
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Dear Samuel,
To evaluate staff properly, you need to institute comprehensive "Performance Management System" (PMS) in your company. I have given my comments on this subject several times. You may click the following link to refer these replies:
Dinesh V Divekar

Samuel, to achieve alignment between the employee goals & organizational goals/ objectives, you require a Goal Setting process. Such a process follows Top -----> Down approach. Take for example, Financial Goals of the organization. These could be oriented to 'revenue generation' and 'expenditure control'. For 'revenue generation', the departments directly responsible may be Sales & Finance. Heads of these departments have to be allocated these goals. In Sales, for example, the goals could be direct; such as 'Total Sales Revenue' during the Financial Year (and also for each Quarter). This becomes the Goal of the VP/ Head Sales. He/ She can sub-assign this goal to his team members (based on the business potential in different geographies/ areas/ zones). Sales Revenue is the primary part of the revenue generation process. There could be other sources of revenue, for which your CFO/ VP-Finance & their team members are responsible. But the goals allocation process remains same as discussed for sales.

Your marketing department would generally have the goals based on some initiatives planned to increase the sales. These could be e-marketing initiatives, advertisement & brand - building initiatives etc... These all are expenditure oriented & the controls relate to budgets. VP-Mktg has to define which all initiatives are to be launched in what time frame & by whom and within what budgets. This leads to the goals of the Marketing team.

But the process is not all that simple. Goals have to be other than Financial also for the Heads of Functions/ Departments. For example, those related to training & development of employees. Equally important are the Goals connected with 'Customer Satisfaction'. Good organizations even lay down some corporate goals related to process improvements (which primarily focus on Quality of goods & services). For all this to feature clearly, you ought to have a session with your MD & Senior Management, who have to steer the entire process. If you are the HR Manager, you can definitely co-ordinate and facilitate the management of this process. But you need tools, preferably automated, which can help you exercise controls. What does control mean? Having prepared a Format for the 'Employee Goal Sheet', you have to track that the Functional/ Departmental Heads get their Goal Sheet (with clearly defined Goals & Targets) from the MD/ CEO. They, in turn, allocate the goals to their subordinates (direct reports) & enter the same on their Goal Sheets. This process ought to finish by some date as per your Time Plan for Goal Setting for employees at different levels. The Goal Sheets should flow down the chain & be signed off by each employee and you should be in position to track the bottle necks & escalate to the right level to clear the hold-ups.

Thereafter, starts the process of employees filling in their achievements, monthly/ quarterly (as per the laid down periodicity for each goal), on the Goal Sheet itself. And the Goal Sheet should move automatically to the reporting manager of the employee who, in turn, counsels the employee & maintains counseling notes on the Goal Sheet itself. The MD/ CEO can track the performance of his direct reports (and of any forther employee). His Dashboards gives him on line picture of the progress on each goal. Thus the MD/ CEO & all Heads of Functions/ Departments can have a real time story of how efficiently or otherwise their team members are performing. They can plan corrective action as & when they find some goals lagging in their achievement. No one has to wait till end of the year, merely to do a postmortem of failures.

'EmpXtrack' Goal Setting & Tracking software has helped many organizations to align employee goals with the organizational goals and create high performing teams, competing with each other in a healthy manner, resulting in business growth. If interested, you can visit their website & have a Free Trial, followed by interaction with the concerned staff to resolve your queries.
use balanced scorecard approach to cascade down the organizations mission, vision and strategy to actionables: in terms of objectives, timelines, targets and action plan to achieve each of these....this really works and you will be able to provide statistical data on improvements made by services of HR Dept, which is the most difficult thing to do.....to tell the stakeholders how is their value increased due to efforts put in by HRD
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