1、Effective Performance Management- A Case StudyRobert H. Xiao, Ph DHR Director, People & Organization DevelopmentPhilips China Corp HRAgendaWhy performance management?What is the process?How to make it work?Value alignment / top down driveLinking rewards and developmentAspects of infrastructureCommun

2、ication/educationPart of the cultureWhere to start?Why performance management?Basic management cyclePlanning, organizing, staffing, leading, and controllingFundamental corporate infrastructureConsistency in measuring/rewardingSustainability in business and peopleWhat is the process?Annual processPas

3、t review and next goal settingAppraisal process: rewardsIndividual development planningOn-going review and documentationGlobal alignedPhilips Way:People Performance Management (PPM) is a process which helps to align personal and business objectivesdriven by the Philips way: one culture, one brand, o

4、ne companyone global approach for People Performance Management supporting the improvement of business results for PhilipsPPM: a cyclical processHow to make it work?- value alignment & top down driveA performance oriented value systemCompany value as the core throughout organizationValue derived cri

5、teria in the organization structure and supporting system (HR)Determination shown from the topLeaders being driven by the same processOur ValuesDelight customersWe delight our customers by anticipating and exceeding expectations thereby creating sustainable market leadershipDeliver on commitmentsWe

6、pursue business excellence, being rigorous in delivering on our commitmentsDevelop peopleWe inspire and enable each other to use our creativity and entrepreneurial flair, and to maximize our potentialDepend on each otherWe work as “one Philips in an environment of transparency and trust to mobilize

7、our collective competence and that of our business partnersValuesHow to make it work?- linking rewards and developmentTight linkage between performance outcome and rewardsEmbedded individual development processPhilips Way:Links between PPM and other HR areasSalary & Annual incentiveIndividualDevelop

8、mentHow to make it work?- aspects of infrastructuresFull range of documentationOn-line review systemPerformance distributionCalibration processPhilips Way:DocumentationJob description (JD)Business balanced score card (BBS)Personal contribution agreement (PCA)Individual development plan (IDP)On-line

9、PPMPPM is an on-line systemGuided distribution10%, 20%, 50%, 15%, 5%Calibration processManagement team discussionHow to make it work?- communication/educationDefined roles and responsibilities in PPMFull coverage of communicationOn going updatesDeadlines and consequencesPhilips Way:Roles and respons

10、ibilitiesImplementation LeadersExperts/facilitators of PPM trainingTutors (Operational HR Managers)Regional AdministratorsPPM Project Team Corporate HRMHow to make it work?- part of the cultureBusiness achievement needs systematic drive in managing performancePerformance comes from employeeManagemen

11、t job is to enhance employee performancePhilips Way:An effective PPM process is about the dialogue between manager and employeeEmployeesManagersUnderstand how they contribute to business resultsUnderstand what is expected from them Understand to what extent they meet these expectationsDevelop themselvesDeploy and realize business goals Set clear objectives and evaluate performanceDevelop people so they can add more valueWhere to start?A performance minded