Performance ManagementPerformance ManagementA dA discussion of Owens Corning’s globaliscussion of Owens Corning’s globalperformance management process (ADP)performance management process (ADP)

Ray O’Lenice*Employee Leader8/22/2002

Business Drivers – HR Integration and Business Drivers – HR Integration and Human Capital PerformanceHuman Capital Performance

Selection

PerformanceManagement

Learning &Development

Compensation

CareerDevelopment

SuccessionPlanning

StrengthsGoals Performance

Enabling people to achieve superior business results

Business Drivers – Employee & Business Drivers – Employee & Leaders ExpectationsLeaders Expectations

• Employee Expectations - Employee Survey results identified employees expectation that promotion, compensation and development would be supported by an objective performance management process.

• Leader Expectations - Leaders needed information upon which to base selection/nomination for current and future openings and other staffing decisions.

•Sr. Leadership Expectations - Sr. Leadership directed that compensation be driven by performance.

Scope includes all salaried employees world-wide.

Elements of Performance Management Elements of Performance Management (ADP)(ADP)

Achievement and Achievement and Development Development

ProcessProcess

Goal Goal AlignmentAlignment

Continuous Continuous FeedbackFeedback

Summary Summary DiscussionDiscussion

Human Human Resource Resource

ReviewReview

•All Salaried employees•Global & Multi-lingual•e*Enabled•Integrated (systems & processes)

Jan-Feb 01 Jan – Dec Jan – Feb 02 Mar – Apr 03

Elements of Performance Management Elements of Performance Management (ADP)(ADP)

Achievement and Achievement and Development Development

ProcessProcess

Goal Goal AlignmentAlignment

Continuous Continuous FeedbackFeedback

Summary Summary DiscussionDiscussion

Human Human Resource Resource

ReviewReview

Goal alignment focuses employees on business goals

Goal Alignment – Balanced ScorecardGoal Alignment – Balanced Scorecard

Financial & Process

Human Capital

Customer

Goals are specific objectives for achieving business,results, improving customer satisfaction or maximizingperformance of our human capital.

Goal Setting/Alignment ProcessGoal Setting/Alignment Process

Goal Setting/

Alignment

Goal Setting/

Alignment

Develop Develop action action plans for plans for goals goals

Develop Develop action action plans for plans for goals goals

Review Review higher higher level level goalsgoals

Review Review higher higher level level goalsgoals

““How do we/How do we/should we should we

contribute?”contribute?”

““How do we/How do we/should we should we

contribute?”contribute?”

Determine Determine team and team and individual individual

workwork

Determine Determine team and team and individual individual

workwork

Develop Develop goalsgoals

Develop Develop goalsgoals

““Are Are goals goals

aligned?”aligned?”

““Are Are goals goals

aligned?”aligned?”

““Do goals Do goals meet meet

criteria and criteria and guidelines?”guidelines?”

““Do goals Do goals meet meet

criteria and criteria and guidelines?”guidelines?”

Identify Identify customers customers and FFU and FFU criteriacriteria

Identify Identify customers customers and FFU and FFU criteriacriteria

beginbegin

Goal Setting/Alignment ProcessGoal Setting/Alignment Process

Goal Setting/

Alignment

Goal Setting/

Alignment

Develop Develop action action plans for plans for goals goals

Develop Develop action action plans for plans for goals goals

Review Review higher higher level level goalsgoals

Review Review higher higher level level goalsgoals

““How do we/How do we/should we should we

contribute?”contribute?”

““How do we/How do we/should we should we

contribute?”contribute?”

Determine Determine team and team and individual individual

workwork

Determine Determine team and team and individual individual

workwork

Develop Develop goalsgoals

Develop Develop goalsgoals

““Are Are goals goals

aligned?”aligned?”

““Are Are goals goals

aligned?”aligned?”

““Do goals Do goals meet meet

criteria and criteria and guidelines?”guidelines?”

““Do goals Do goals meet meet

criteria and criteria and guidelines?”guidelines?”

Identify Identify customers customers and FFU and FFU criteriacriteria

Identify Identify customers customers and FFU and FFU criteriacriteria

beginbegin

MeaningfulRealistic/DoableAlignedBalancedMeasurable

Goals Should Be:

Create New ADP:Create New ADP:

Start New ADP

Start New ADP

Goals Panel:Goals Panel:

Goals

Goal Section: Identify a higher level goal that will be supported by an individual COT. You may indicate the same goal multiple times that will be supported through different COT’s.

Goals

Development Areas Panel:Development Areas Panel:

Development Areas

For each Development Area you should For each Development Area you should complete the following information.complete the following information.

Development Areas

Elements of Performance Management Elements of Performance Management (ADP)(ADP)

Achievement and Achievement and Development Development

ProcessProcess

Goal Goal AlignmentAlignment

Continuous Continuous FeedbackFeedback

Summary Summary DiscussionDiscussion

Human Human Resource Resource

ReviewReview

A continuous process to collect feedback from many sources onperformance against goals, customer satisfaction, development,etc. From internal and external sources – employee driven.

Continuous Feedback ProcessContinuous Feedback Process

Identify Identify feedback feedback sourcessources

Solicit Solicit feedbackfeedback

Document & Document & interpret interpret feedbackfeedback

Seek Seek additional additional feedbackfeedback

Decide on Decide on actions to actions to

taketake

Evaluate Evaluate progressprogress

Continuous Feedback ProcessContinuous Feedback Process

Identify Identify feedback feedback sourcessources

Solicit Solicit feedbackfeedback

Document & Document & interpret interpret feedbackfeedback

Seek Seek additional additional feedbackfeedback

Decide on Decide on actions to actions to

taketake

Evaluate Evaluate progressprogress

Self, leader,Peers, team,Customers,Suppliers, etc.

Continuous Feedback ProcessContinuous Feedback Process

Identify Identify feedback feedback sourcessources

Solicit Solicit feedbackfeedback

Document & Document & interpret interpret feedbackfeedback

Seek Seek additional additional feedbackfeedback

Decide on Decide on actions to actions to

taketake

Evaluate Evaluate progressprogress

Progress on goals,Expectations,InterpersonalSkill, quality, etc.

Elements of ADPElements of ADP

Achievement and Achievement and Development Development

ProcessProcess

Goal Goal AlignmentAlignment

Continuous Continuous FeedbackFeedback

Summary Summary DiscussionDiscussion

Human Human Resource Resource

ReviewReview

Annually, each employee has a formal discussion to review performance vs goals, feedback, completion ofdevelopment/growth and goals for the upcoming year.

Summary Discussion ProcessSummary Discussion Process

Mutually set Mutually set the time for the time for the meetingthe meeting

MeetMeet&&

discussdiscuss

Set initial Set initial goals for goals for new yearnew year

Document Document the the

discussiondiscussion

Prepare for Prepare for the the

discussiondiscussion

CharacteristicsCharacteristicsLeader

•Initiates•Leads as required•Listens•Coaches•Challenges •Supports•Provides feedback

•Leads discussion•Discusses achievements•Shares feedback•Discusses Career & Development needs•Discuss next year’s goals

Employee

A frank and open discussion about achievement of goals, development and next year’s goals.

Goals Panel:Goals Panel:

Goals

Goal Section: Identify a higher level goal that will be supported by an individual COT. You may indicate the same goal multiple times that will be supported through different COT’s.

Goals

Strengths Panel:Strengths Panel:

Strengths

Select your Strength by clicking

on the drop down box and selecting the desired

competency.

Provide brief examplesof the competency to support your selection.

Strengths

Development Areas Panel:Development Areas Panel:

Development Areas

For each Development Area you should For each Development Area you should complete the following information.complete the following information.

Development Areas

Career Objectives Panel:Career Objectives Panel:

Career Objectives

Short-Term Objectives:

Outline up to 3 Career Objectives for the next 12 months. Also indicate your Target Date for reaching your stated objective.

Career Objectives

Comments & Signoff Panel:Comments & Signoff Panel:

Comments & Signoff

Employee Comments:

This section allows you to summarize your performance for the Review Period. These comments should not be a repeat of those in previous sections. Utilize this section for additional comments and opinions

regarding your Annual Summary Discussion. (i.e., personal opinions on evaluation given by your leader)

All comments documented in this area will remain in your own words.

Comments & SignOff

Comments & Signoff Panel:Comments & Signoff Panel:

Comments & Signoff

Leader Comments:

Your leader will then enter comments on your performancefor the Review Period. You will then be able to review the

comments one additional time before the document is finalized.

Once you have reviewed the comments, to finalize the document you will need to enter the final review date.

Your leader will also enter the date they complete their final review of the document.

Comments & SignOff

Elements of ADPElements of ADP

Achievement and Achievement and Development Development

ProcessProcess

Goal Goal AlignmentAlignment

Continuous Continuous FeedbackFeedback

Summary Summary DiscussionDiscussion

Human Human Resource Resource

ReviewReview

Elements of ADPElements of ADP

Achievement and Achievement and Development Development

ProcessProcess

Goal Goal AlignmentAlignment

Continuous Continuous FeedbackFeedback

Summary Summary DiscussionDiscussion

Human Human Resource Resource

ReviewReview

A leadership process, facilitated by HR, to discuss HR implication ofbusiness strategies. It follows completion of the ADP process. org changes, individual EE needs, job moves, training, successions,diversity opportunities and recruiting needs are discussed – company wide.

HRR OutputsHRR Outputs Plans for job movements, succession planning, Plans for job movements, succession planning,

recruitingrecruiting

Development plans for employeesDevelopment plans for employees

Feedback to Training and Development Feedback to Training and Development organizationsorganizations

Shortfalls in structure, skills, training, and manpowerShortfalls in structure, skills, training, and manpower

Preparation for Strategic Human Resources ReviewPreparation for Strategic Human Resources Review

ADP (Performance Management) Critical Success ADP (Performance Management) Critical Success FactorsFactors

Strong linkage to achievement of business goals

Sr. Leadership Support

Employee commitment and involvement

Employee driven process

Global technology infrastructure & e*APP

Training – leaders, employees

TechnologyTechnology

GlobalTechnologyInfrastructure• Networks• Desktop•PeopleSoft 8.3•Broadvision (future)

HR Portal “HR OnLine”

E*EmployeeADP App

E*learningMaterials

Other HRE*Apps

Technology Enables – People create success

MeasurementMeasurement Integrated global data supports metricsIntegrated global data supports metrics

– Company-wideCompany-wide

– Top to bottomTop to bottom

Metrics on completion and status for every employee, Metrics on completion and status for every employee, manager, business, etc.manager, business, etc.

Used to support HR leaders & Managers in managing Used to support HR leaders & Managers in managing their EE groups.their EE groups.

Business Drivers – HR Integration and Business Drivers – HR Integration and Human Capital PerformanceHuman Capital Performance

Selection

PerformanceManagement

Learning &Development

Compensation

CareerDevelopment

SuccessionPlanning

StrengthsGoals Performance

Maximizing human capital performance is the key driver

Q&AQ&A

Q&A