Performance Management - Edinburgh Business School

Performance Management

Dr. Herman Aguinis

PE-A1-engb 1/2013 (1033

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Performance Management

Dr. Herman Aguinis () Dr. Aguinis is the Mehalchin Term Professor of Management in the Business School at the University of Colorado at Denver, USA. He has been a visiting scholar at universities in the People's Republic of China (Beijing and Hong Kong), Malaysia, Singapore, Argentina, France, and Spain. His teaching, research and consulting activities are in the areas of human resources management, organisational behaviour and research methodology. Dr. Aguinis is the author of Applied Psychology in Human Resource Management (with Wayne F. Cascio, 6th ed., 2005, Prentice Hall), the author of Regression Analysis for Categorical Moderators (2004, Guilford), and the editor of Test-Score Banding in Human Resource Selection (2004, Praeger). In addition, he has written over 50 refereed journal articles in Academy of Management Journal, Academy of Management Review, Journal of Applied Psychology, Personnel Psychology, Organisational Behaviour and Human Decision Processes, and elsewhere. Dr. Aguinis served as Division Chair for the Research Methods Division of the Academy of Management (2003?2004), and currently serves as Editor-in-Chief for the journal Organisational Research Methods (2005?2007). He has delivered over 100 presentations at professional conferences, and has consulted with organisations in the USA, Europe and South America.

First Published in Great Britain in 2005.

? H. Aguinis 2005

The rights of Dr. Herman Aguinis to be identified as Author of this Work has been asserted in accordance with the Copyright, Designs and Patents Act 1988.

All rights reserved; no part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise without the prior written permission of the Publishers. This book may not be lent, resold, hired out or otherwise disposed of by way of trade in any form of binding or cover other than that in which it is published, without the prior consent of the Publishers.

To my wife, Heidi, The best coach I've ever had

Contents

Preface

xiii

Acknowledgements

xv

PART 1

STRATEGIC AND GENERAL CONSIDERATIONS

Module 1

Performance Management and Reward Systems in Context

1/1

1.1 Definition of Performance Management (PM)

1/2

1.2 The Performance Management Contribution

1/4

1.3 Disadvantages/Dangers of Poorly Implemented PM Systems

1/7

1.4 Definition of Reward Systems

1/9

1.5 Aims and Role of PM Systems

1/13

1.6 Characteristics of an Ideal PM System

1/15

1.7 Integration with Other Personnel and Development Activities

1/19

Learning Summary

1/19

Review Questions

1/21

Case Study 1.1: Reality Check: Ideal versus Actual Performance

Management System

1/24

Case Study 1.2: Performance Management at Network Solutions, Inc.

1/27

Module 2

Performance Management Process

2/1

2.1 Prerequisites

2/3

2.2 Performance Planning

2/8

2.3 Performance Execution

2/10

2.4 Performance Assessment

2/12

2.5 Performance Review

2/12

2.6 Performance Renewal and Recontracting

2/14

Learning Summary

2/15

Review Questions

2/16

Case Study 2.1: Job Analysis Exercise

2/19

Case Study 2.2: Disrupted Links in the Performance Management

Process at `Omega, Inc.'

2/19

Case Study 2.3: Performance Management at the University of Ghana

2/20

Performance Management Edinburgh Business School

vii

Contents

Module 3

PART 2 Module 4

Module 5

Performance Management and Strategic Planning

3/1

3.1 Definition and Purposes of Strategic Planning

3/2

3.2 Process of Linking Performance Management to the Strategic Plan

3/3

3.3 Building Support

3/20

Learning Summary

3/22

Review Questions

3/23

Case Study 3.1: Evaluating Vision and Mission Statements at Harley-Davidson 3/26

Case Study 3.2: Dilbert's Mission Statement Generator

3/27

Case Study 3.3: Linking Individual with Unit and Organisational Priorities

3/28

SYSTEM IMPLEMENTATION

Defining Performance and Choosing a Measurement Approach

4/1

4.1 Defining Performance

4/2

4.2 Determinants of Performance

4/3

4.3 Performance Dimensions

4/5

4.4 Measuring Performance

4/7

Learning Summary

4/11

Review Questions

4/13

Case Study 4.1: Diagnosing the Causes of Poor Performance

4/15

Case Study 4.2: Differentiating Task from Contextual Performance

4/16

Case Study 4.3: Choosing a Performance Measurement Approach

at Paychex, Inc.

4/16

Measuring Results and Behaviours

5/1

5.1 Measuring Results

5/2

5.2 Measuring Behaviours

5/8

Learning Summary

5/18

Review Questions

5/20

Case Study 5.1: Accountabilities, Objectives, and Standards

5/22

Case Study 5.2: Evaluating Objectives and Standards

5/23

Case Study 5.3: Measuring Competencies at the Department of Transportation 5/24

Case Study 5.4: Creating BARS-based Graphic Rating Scales for

the Evaluating Business Student Performance in Team Projects

5/25

viii

Edinburgh Business School Performance Management

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