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Guidelines on Goal Setting

Last post September 23, 2009 11:27 AM by meera. 1 repiles.

September 17, 2009 10:19 AM 1
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Join Date: August 14, 2006
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Post Date: September 23, 2009
Posts: 55
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Guidelines on Goal Setting

Hi All,

I am working in a company which comprises of 100 employees. There is a process for appraisal followed which needs fine tuning. I have been asked to get the guidelines for goalsetting in place. Can anyone please help me in putting the guidelines in place.

Please Help!!

Regards,

Pooja Sharma

September 17, 2009 10:212
hr@work
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Join Date: August 14, 2006
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Post Date: September 17, 2009
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Re: Guidelines on Goal Setting

Hi Pooja,

I appreciate your need. Goal Setting has always fascinated me. My own experience suggests that very few organizations actually help employees plan their performance. Inappropriate performance planning invariably leads to poor measurement of performance at the end of the Performance Appraisal year.

A few years back I had read an outstanding book on the subject - extremely well written and convincing - made a great impact on me. Stumbled across it in the British Council Library - think the title was "Goal Setting that Works" - but I am not too sure. I also don't remember who the authors were. I have prepared a small note on the basis of some of the key concepts from the book that appealed to me. I am enclosing the note for you. I hope it helps you and the rest who may be interested in the subject.

You would also benefit from reading the process area "Performance Management" - Level II - from the PCMM document. All the best to you in your assignment...

Warm Regards,

hr@work


September 23, 2009 11:273
meera
Total Posts: 35
Join Date: August 14, 2006
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Post Date: September 23, 2009
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Re: Guidelines on Goal Setting

Hi Pooja,

Goal setting is the easier part of an Appraisal system. Therefore it has to be seen in the broader context to be able to do justice to this important subject.

Appraisals are meant for measuring both performance and potential. The first is the easier part where operational expectations can be laid down and even phased out with several milestones during the appraisal period. An example would be Sales Targets for the year with quarterly milestones.

Going a step further, you could have improvement targets as well. An example would be cost savings targets over the year again with monthly breakups. Similarly you could have productivity, delivery, quality or attrition improvement targets.

Now let's come to the measurement of potential. This is far more difficult and often subjective. It is also perhaps more important for the long term health of the organization.

Measurement of potential is based on competency analysis. There are some caveats though:

First thing is that there is nothing called absolute competency, as all competencies are relative to the position to which mapping is being done. For example a CEO may score average rating on Oral communication and a technician may score very good on the same but the CEO may actually be a hundred times better than the technician in Oral communication.

Absolute parameters are there but they are of a lower order than competencies and are used by certifying agencies much like exam marks.

The second point is regarding weights that these competencies must carry. For a given role or position, all competencies are not equally important. Once you have listed the competencies for a role, the sum of their weights must be hundred. Therefore if someone is weak in a heavily weighted competency for a specific role, then it is serious and training inputs may be called for.

Therefore the exercise of competency mapping starts at the recruitment stage itself where job profiles are built for each role. These profiles if detailed enough can help write down competencies for the job and then one can proceed with weights as well.

Historical competency tracking is also important. If people are developing the right way, it must reflect in improved competency rating over the years. Working backwards, you can set competency expectations which continuously rise over a time span of a few years.

Once you are done with individual competencies, the next stage is Team competencies which sets the requirements for the team as a whole. Individuals may be bright but the team may not have the right skills to work in a coordinated manner. Therefore those tasks which require close working in teams have to be separately studied in addition to individuals constituting those teams.

Now coming to target setting for competencies, it is possible but a very difficult exercise. I have not so far come across any company practicing this science successfully. It is far more discrete to stick to Performance based target setting which can then be integrated with a business score card system rolling up to company
objectives.

Competencies target setting should ideally roll up to transparent succession planning.