Core principles of performance management

There are five core principles for good performance management. They are:

1. Clear objectives
2. Good quality data
3. Meaningful insight
4. Accountability
5. Action

Good performance management requires an effective performance management system and a strong performance management culture.

Our approach to performance management The Performance Management Cycle

Effective performance management is based on a continual process:

• Plan
• Act
• Track
• Review

Good performance management is not achieving objectives, but understanding why objectives are, or are not, achieved and acting appropriately to optimise success.

Plan

Everyone needs to manage their performance to a clear set of objectives.

The strategic planning process cascades down Council Plan objectives from the organisational level to directorate to team to individual.

That means even at the individual level, everyone should be working towards clear objectives with understanding of how they support the Council Plan.

Act

Carrying out the actions in the plan to achieve the objectives.

This phase includes the gathering and collecting of robust data to allow effective review of progress towards the plan's objectives.

Track

Data is compared to expected outcomes, often using Key Performance Indicators (KPIs), and reported via scorecards and dashboards.

This needs to be done at regular intervals. However, data, information and insights should be at the fingertips of everyone to ensure on-going awareness.

Reviewing, and understanding how to improve the plan, also needs to include the wider context - for example, national policy, internal audit recommendations, public priorities, resident, and community feedback, learning from complaints, and feedback from staff.

Review

Adjusting the plan to better support achievement of objectives.

Positive progress must be acted on to build success, whereas problematic progress must be acted upon to correct it.

Each insight will require a decision on what action to take. Actions can include changes to systems, process, resources, policies, and procedures.

Making changes can improve the chances of successfully meeting the plan's objectives.

Effective performance management cascades up understanding through the organisation identifying what has and has not worked well - and what we can learn from this to revise the plan.

Our performance management process

The Council Plan sets out the overall strategic direction and context. This is aligned to the medium-term financial strategy which provides an overarching framework extending beyond the current budget period and draws together all known factors affecting the financial health of the Council over the medium term.

Underlying the Council Plan is the Delivery Plan which sets out activity in support of the Council Plan, usually significant activity or programmes that impact across the whole (or a large part) of the organisation, place, or population.

A range of other plans from individual Directorates and specific services plan activity and resources for delivery, together with higher level objectives that are either of significant importance or cut across more than one team or service.

These include annual service plans produced at Assistant Director level. Service and team plans help define the objectives and individual’s contribution to the Council Plan for individual employee appraisals.

Other plans may be produced as a result of self-assessments, peer reviews, audits, or other inspections. Project plans are produced for major projects so that timescales, milestones, governance arrangements and resources are mapped out.

Identifying and assessing risks are part of effective delivery and the Council will proactively mitigate any risks that might stop it achieving its aims. Risks to good quality data are also assessed and, where possible, steps taken to address them.

Individuals have a responsibility to ensure that they are clear about their role and what is expected of them in achieving team objectives and promoting organisational values.

The individual appraisal process ensures personal objectives link to team objectives and the Council’s priorities.

Specific targets are set for staff annually at appraisals. In many cases, targets align to directorate plan objectives and, in some cases, to actions set out in the Delivery Plan.