When we hear that a member of the team or organization has been put on a performance improvement plan, the first thoughts in our heads may be associated with a negative connotation of the concept. Many employees think this is the first step an organization would take to fire someone. In reality, however, this powerful HR tool is used to provide useful training and feedback. When implemented correctly, quickly, and effectively, a PIP can lead to very significant changes in employee performance, which would benefit employee and organizational growth. This gives you the freedom to respond to concerns in a more constructive way, rather than jumping on the employee’s dismissal.

 

What is a Performance Enhancement Plan ?

 

Simply put, a performance improvement plan is a documented process for identifying and resolving employee performance issues and delays. It involves steps to communicate the action or solution to correct an employee’s poor performance within a specific time frame.

A performance improvement plan is a process where managers and HR strive to create a training framework for employees who struggle to keep up with their peers in terms of results. This helps employees improve their work, which will ultimately result in the achievement of organizational goals.

 

Why is a Performance Enhancement Plan important ?

 

A performance improvement plan creates a culture of constant feedback and learning that communicates your organization’s values. Creating an improvement plan, rather than firing an employee when their performance is poor, benefits both the employee and the organization. Tips and feedback help employees feel valued and stay engaged, which helps maintain employee morale. Employees are assured that you are investing in them and ready to help them grow. This results in lower staff turnover, which increases productivity and lowers your costs. A good plan helps you understand how to address productivity issues and aims to address skills and knowledge gaps. If you are not seeing expected results even after applying a performance improvement plan, this could be an indicator that the training gap is larger than expected, where you may need to try a different approach or extend your timeframes. It can also help you identify issues that might not be fixed with a simple performance improvement plan, in which case you may need to take action such as terminating or changing domains.

 

How to Create a Performance Enhancement Plan ?

 

Creating a performance improvement plan may not always be the same, as the factors may vary from team to team and from department to department, as the nature of the work can be different and the way performance is measured may not be the same. However, you may want to keep the following steps in mind, which help you determine the approach to take when you need to implement a performance improvement plan for an employee and help you put a plan in place. process that allows you to resolve productivity issues quickly.

 

Steps to create performance improvement plan

 

  1. Define the Goals of the performance improvement plan
  2. Setting Timelines
  3. Make the Plan
  4. Communicate the Plan with the employee
  5. Implement the plan and Track Progress
  6. Evaluate progress for further steps

 

Conclusion

Performance improvement plans are the key factor in unlocking the potential of employees to achieve organizational goals. To obtain this benefit, you can determine how to implement the Plan. You can also create performance improvement plan templates to get started and make the job easier. The powerful HR tool, when used correctly, should not pose a threat to the employee, but should show the organization’s willingness to invest in its growth and future in the business.

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