11 Enterprise Performance Management Best Practices – Planning Phase
December 1, 2020
This article continues where we left off discussing the eight performance management best practices in the defining phase of the Lifecycle Performance Management Model. The Lifecycle Performance Management Model is an enterprise framework that is centered on 35 best practices. These best practices span across the five phases of the performance life-cycle: defining, planning, executing, monitoring and reporting. This article is the second of a series of five discussing the performance management best practices within Lifecycle Performance Management, and will focus on the planning phase strategic asset management.
The focus of the planning phase is to start the buzz and get your organization prepared for the cultural changes that will take place during your successful performance initiative. Best practices in the planning phase enable you to gain employee acceptance into the performance initiative and put employees into a high performance mindset. They also include base-lining current performance and setting future goals, breaking down functional barriers, identifying key processes that drive business success, and ensuring a successful performance management implementation through training.
1. Employee Acceptance Management
Employee Acceptance Management is the process of gaining employee buy-in by emphasizing performance expectations from the top level down. Employee Acceptance Management involves transforming employees into a high performance mindset, communicating employee expectations and enabling them to understand the impact that their specific role has on the success of the organization.
2. Performance Management Planning
Performance Management Planning is the practice of defining the performance strategy and
prioritizing activities according to that strategy-to ensure operational alignment with organizational goals. Performance Management Planning involves planning, budgeting, forecasting and allocating resources to support strategy and achieve optimal execution. The Performance Management Plan includes consolidating, monitoring, and reporting on performance outcomes for management, regulatory, and statutory purposes. The ultimate goal of Performance Management Planning is the ability to plan and budget in real-time with dynamic plans that provide real-time feedback to everyone who is part of the process.
3. Time Management (Planning versus Implementing)
Planning is an essential item on the critical path of every project. Our studies have shown that cutting corners on planning can triple the cost and time to implement enterprise level projects. Planning requires adequate information about the current and target states and accurate estimates of the time and financial investments required to perform all the steps necessary for change.
Planning also involves putting together a team of committed and motivated individuals with defined team roles, outlining all tasks, assigning responsibilities, and proactively managing and mitigating risks. The planning process should include the development of a vision/scope
document so that each team member understands the project vision, goals, objectives, schedule, and risks. The planning team should allow adequate time for team members to understand, investigate, document, and communicate prior to design and implementation.
4. Leadership Development
Leadership Development is the strategic investment in, and utilization of the human capital within the organization. The practice of Leadership Development focuses on the development of leadership as a process. With the rapid rate of change in our global economy, leadership has taken on the critical role of adaptation and innovation in the workplace. As companies restructure their business processes and employees, they need solid leadership training to communicate effectively, influence others, maximize creativity, and analyze your business. How leadership is demonstrated within an organization will determine how successful that organization will be and how successful those who follow will become.