Struggling to Build an Innovative PMS Model for My Project – Need Your Expert Advice!

I am undergoing a project in a manufacturing company this summer. The mentor has asked me to build a PMS structure. They previously used vendors like Mafoi and others, but now they want to restructure it and build a new PMS model. Now, he has asked me to build a PMS model, which is transparent and self-assessing in character. I have gone through many PMS structures and models which I found here on Cite HR. But the thing is, my mentor said, "You have to build a PMS structure that is new, innovative, and non-conventional, a bit path-breaking." I have structured it in this way, just the outline, but I need all respected seniors' support who are in the industry now.

Pre-requisites

Vision/mission/ethos/annual objectives

Performance Planning

Organizational objectives/Team objectives/individual objectives—here KRAs are assigned and also the KPIs.

Performance Execution

Observation/documentation/feedback/updates/resources like training classes, special assignments/reinforcements

Performance Assessments

Assessing the recorded performances—this is the place I have to deliver my ideas, with new ways of assessing with self-assessment ideology, not conventionals like assessment centers, 360-degree feedback is a big no-no, grading, ranking, forced distribution is already used.

Performance Review

Review board/review panel/interaction appraiser-appraise, make it much transparent and a value-addition session, making it more robust. But here I need more ideas, this I found in TV Rao's books, so something new which is not in books but in the industry.

Performance Renewal & Re-contracting/Rewards

This is the rewarding, counseling, empowerment, acknowledgment, etc. session, as I have seen in books. Should I add the career development part here?

The Critical Points

1. Now, what is in my mind is, when I am restructuring any process, I am bringing change, and so there would be resistance to the change. How would I analyze the risk analysis of HR climate? This is all I knew from my course study, but how to do this in a practical scenario?

2. How can I rate people without actually creating any intergroup or interpersonal conflicts, like they will be ranked but not in points or numericals but something else, something new?

3. Now this process or model needs to be implemented in an ERP system. Now I actually don't know how to do this; here I need some guidance. Is there any software or something that can help me?

4. I thought of adding one phase—Performance Improvement phase. But where should I actually fit it? And what tools should I use that are in the industry presently?

Please don't attach any projects that are copied or already present. Please help me learn. I want inputs, ideas, advice, where I went wrong, what should the model be like. I don't mind if I have to alter all the steps; I want to learn because I have to make it, I need to know all the implications which I couldn't find in the book. Please help me, please.

Do not be surprised if you do not receive responses. You will find that there are some threads where the response rate is as low as 1/80. Let me first thank you for posting enough details about the project and making a clear statement that you are not seeking completed projects. One piece of advice: please do not use SMS language as it puts people like me off.

I am not an HR expert. Please correct me if I am wrong, but I think you are a student pursuing a Master's degree. Is this part of your internship or your final project? What is the duration of your project? How large is the organization, and who all will be covered under the PMS? Kindly take a look at the Performance Management Framework and Systems found at here and the http://Performance Management System... and Flowchart found through Google.

I am sure that by providing more background information, you will receive more positive responses.

Have a nice weekend.

Regards,
Simhan
Learning and Teaching Fellow (Retd)
The University of Bolton, UK
Chief Advisor, Promentor-consulting

Thank you very much, sir. I apologize for using SMS language; it won't happen again. Yes, sir, I am currently pursuing my Master's in Human Resources. This internship is part of my academic program, scheduled from December 15 to February 15. I am placed in a Private Sector Organization that operates in the Engineering sector, with an annual turnover ranging from 250 to 500 crores and employing 501 to 1000 individuals.

New Performance Management Structure

My mentor mentioned that this new structure will replace the old Performance Management System (PMS) and will encompass mid-level managers, senior officers, and lower-level employees such as sales officers, executives, marketing executives, business development executives, and engineers working in the plants.

Regards

Hi, I want to ask if my outline is clear enough. Do you think the process of PMS that I have outlined is credible? Thank you.

You seem to be on the right lines; please read the material suggested by me. I wonder what you will be able to achieve in the timescale given! I am sure some experienced HR professionals will be able to shed light on it.

Regards,
Simhan

Today, I showed him one outline that I made while going through the material posted by you, sir. It's a simple KRA-based PMS structure with constant feedback, monitoring, and ample scope for reward and career development.

However, my mentor said he does not want the traditional KRAs/KPIs to demonstrate one key role. His point is that it would be difficult for us to implement individual KRAs at the lower clerical level. Moreover, being a public sector unit, it's hard to implement KPIs that can create inter-group conflicts at the mid-managerial level, where the grade pay and role play are much contrasting. For example, an assistant engineer in the corporate office is in the pay scale of 20900-1250-39000, like the plant supervisor of an ongoing project, who is also in the same scale. It's hard to assign KRAs and KPIs according to the competencies required. He says if he differentiates them based on their technical and managerial competencies, there would be interpersonal conflict as they both possess the same pay scale, a scenario common in many public sectors.

So basically, he's suggesting assigning key roles for the whole entity without getting into level divisions. That is, make roles for 5 levels: senior level, mid-level, lower level, etc. He mentioned there would be 5 levels. My question is how to assign roles and competencies solely based on the hierarchical nature without considering individual job-required K.S.A. I raised this concern to him, and he said, "This is the issue you have to solve," but I couldn't figure out how to create the PMS solely based on the hierarchy and not considering all individual posts.

He also stressed that I, or rather my organization, follow the Behavioral Anchored Rating Scale (BARS) because here, the initiated action or behavior in the job assesses the performance, and it's easy for us to implement as it's transparent. If you need to work out, then consider BARS and develop any appraisal method you like, but it should have 70% of BARS's specialties.

Now, sir, please help me. How should I proceed? How should I look at this issue? Any suggestions, please help.

After going through the different sources of information you cited in your earlier post, I have tried to format a PMS structure. The attached document is actually the PMS model I made, but it's in the form of screenshots, showing how the model would appear if programmed into an ERP environment. Kindly review the model and let me know if it's feasible or if I need to restructure it.

I have assigned 50% weightage to planning goals (KRA/KPA) and another 50% to the performance matrix chart, which evaluates candidates on specific parameters.

Login Options

Now, there are two login options:
1. For the employee, who logs in to fill out a self-appraisal format.
2. The manager/appraiser logs in as an admin to re-evaluate.

I would like to understand how I can justify the 50-50 weightage I have assigned. Can it be justified? For instance, why is a certain parameter given 12% and another 10%? Are there any ways to represent this to enhance the rationality of the process, such as for the purpose of competency mapping?

Thank you.

Regards,
Soumik Mukherjee

Dear Soumik, I have taken a quick look at the attachment. You have given equal weights to all the five factors in the appraisal. I did not understand how you can give 50% weight to the appraisal and 50% to New Goals. I would suggest that you conduct a brainstorming session with some inside the company to determine what weights should be given to the 5 sub-factors, instead of giving equal weights. Depending upon how complicated you want to make the form, think about splitting the factors.

As it stands at present, I will have some problem in assessing a person (For example, a person has functional competency and possesses knowledge but is not cost/quality/time conscious). Whatever you do should be meaningful and acceptable to the stakeholders; hence, I suggest that you PILOT the scheme with a few to sort out any problems.

Have a nice day.

Regards, Simhan