Transcript Document
CHAPTER 8
Leadership Development,
Succession Planning, and
Mentoring
Seminar 5
Leadership
Essential for strategic management
Planning and coordination
Direct employees
Represent mission, vision,values
Health Care Leadership
Influence patient outcomes
Complex environment
Behind other industries in leadership development,
succession planning, etc.
Constant pressure to reduce costs
Shortage of health care executives
Leadership Development
Manager
Controls organizational processes
Leader
Set strategic direction
Galvanize resources
Motivate employees
Leadership Development
Activity that improves ability to lead
Informal
Everyday lessons
Formal
Leadership development class
Focus on individual leader
Focus on organizational goals
Leadership Development
Classroom instruction
External or internal
Degree seeking
Professional association
Skill-based training
Strategy formulation, negotiation, interpersonal, finance,
HR, marketing, IT
Leadership Development
Challenging job assignment
Responsibility and rigor
Team training
Action learning
Groups solve a specific problem
Develop leaders while solving a real problem
Leadership Development
360-degree feedback
Performance survey
Supervisors, peers, and subordinates
Comprehensive
Costly
Less used in health care
Developmental relationships
Mentor
Coach
Leadership Development
Lagging in health care
IT receiving attention, money
Slim operating margins
Complex organizational structures
Physicians not on staff
Can be a competitive advantage
Succession Planning
Heir apparent
Pros and cons
“Executive cloning”
Development internal talent pool
Identify key positions
Leadership development activities
Succession Planning
Better financial performers
Health care less likely to plan for succession
More benefits in turbulent environments
Groups of employees ready to lead
Mentoring
Traditional perspective
Modern perspective
Developmental relationship mutually maintained by two
people
Episodic to lifelong
Network of mentoring relationships
End
CHAPTER 13
Performance Appraisal
Seminar 5
Performance Management
• Encompasses performance appraisal
• Integration of performance-appraisal systems
with broader HR systems
• Aligning employees’ work behaviors with the
organizational goals
• Performance definition, appraisal process,
performance measurement, and feedback and
coaching
Performance Appraisal
• Employee’s contribution is assessed
• Usually includes appraisal and feedback
• Performance feedback
– Comparison with the standards
• Affects employees attitudes
• Costly
• “Necessary evil”
Purpose of Performance Appraisal
Purpose of Performance Appraisal
• Employee development tool
– Set goals to reinforce and improve performance
– Determine career paths of employees
– Identify training needs of the workforce
• Administrative tool
– Linking rewards to performance
– Evaluating HRM policies and programs
Strategic Importance
• Organizations strive to:
1. Design jobs and work systems to accomplish
organizational goals
2. Hire individuals with the abilities and desire to
perform effectively
3. Train, motivate, and reward employees for achieving
high performance and productivity
Strategy and Performance Appraisal
• Link HR strategy with organization strategy
• HR practices more effective as a bundle
• Performance appraisal and management has
critical interdependencies
– Recruitment and selection
– Training and development
– Compensation and rewards
Strategy and Performance Appraisal
Legal and Regulatory Issues
• Joint commission
• Malpractice and wrongful discharge
• Physicians and organization liable
• Discipline and termination
• Appraisals should support decisions
• “Organizationally sensible approach”
Performance-Appraisal Methods
Comparative methods
– Straight ranking
– Alternative ranking
– Paired comparison
– Forced distribution
Performance-Appraisal Methods
• Absolute standards
– Weighted-checklists method
– Forced-choice method
– Graphic-rating method
– Critical-incidents technique
– Behaviorally anchored rating scale (BARS)
– Behavioral observation scale (BOS)
Management By Objectives
• MBO
• Result-based evaluative program
• Goals are mutually determined by supervisors
and subordinates
• Employees are rated on the degree to which
these goals are accomplished
• Goal-setting objectives
Management By Objectives
• Promotes communication and interaction
between the superior and subordinate
• Development forces the organization and
individual units to recognize and coordinate goals
• Employees gain an understanding of work
objectives and learn what is expected of them
Health Care Performance Appraisal
• Continuous quality improvement (CQI)
• Trend to flatter organizations
• 360-degree feedback
• Team appraisals
• Total quality management (TQM)
• “Workforce focus”
Performance-Appraisal Problems
• Less than 20% are effective
• Viewed as irrelevant
• Detailed and complex
• Negative attitude towards it
• Shortcomings of older approaches
Performance-Appraisal Problems
• Comparison-based appraisal methods
– Useful in making decisions within a work unit
– Time consuming
– Small group of employees
– Based on other employee’s work
– Not based on desired outcome
– Ranking assumes equal distance
Performance-Appraisal Problems
Absolute standards-based appraisal methods
– Only yes or no
– Does not reveal degree of behavior
– BARS very time consuming
– Fragmented appraisal methods
– Broad diversity of occupations
– Non-employee medical staff
Performance Appraisal
• Health care performance-appraisal changes
– Implement more recent management practices
– Employee empowerment
– Cross-functional teams
– Flat organizational structures
– Employees that take initiative and are team players get
rewarded