Implementing a new Performance Management System at the Local Government Service Commission in line with the PRB Report,

2003.

G. Veeramah-Ramasawmy

This dissertation is submitted in partial fulfilment of the requirements for the degree of B.S.C (Hons.) Business Studies with specialization in Human Resource Management.

University of Mauritius

Faculty of Law and Management

Implementing a new PMS at the LGSC in line with PRB Report 2003

DECEMBER 2003

CONTENTS
List of Figures List of Tables List of Abbreviations Abstract Acknowledgement INTRODUCTION 1.1 Objectives of the project 1.2 Overview of the project PERFORMANCE MANAGEMENT 2.1 Definition of Performance Management 2.2 The aim of Performance Management 2.3 The philosophy of Performance Management 2.4 The Performance Management Process 2.5 Performance Management The practical side 2.6 Methods of appraising performance 2.7 Ethical considerations 2.8 Benefits and drawbacks of a Performance Management System ORGANISATIONAL BACKGROUND 3.1 The Local Government Service Commission 3.2 The existing method of appraising Performance at the LGSC iv v vi vii viii 1 1 1 3 5 7 7 8 9 11 11 12 13 13 14

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Implementing a new PMS at the LGSC in line with PRB Report 2003

RESEARCH METHODOLOGY 4.1 Defining the problem and research objectives 4.2 Determination of Research Design 4.3 Determination of data collection method 4.4 Designing data collection forms 4.5 Designing the sample and collection of data 4.6 Presenting and analysis of the findings 4.7 Limitations of the Research PRESENTATION AND ANALYSIS OF FINDINGS RECOMMENDATIONS CONCLUSION SELF-REFLECTION

16 16 17 17 18 18 18 19 20 31 33 34

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LIST OF FIGURES
Figure 1. The Performance Management Process Figure 2. Percentage of awareness of the Performance Management System Figure 3. Rating of the Confidential Reporting System Figure 4. Attitude to change to the new Performance Management System Figure 5. Percentage of labour force trained Figure 6. Interface between training and performance Figure 7. Percentage of awareness of the mission, vision statements Figure 8. Decision making process Figure 9. Motivational factors Figure 10. Interface between pay and performance Figure 11. Percentage of acceptability of the new Performance Management System Figure 12. Clarity and feasibility of the new Performance Management System Figure 13. Conditions for success 4 20 21 21 22 23 24 25 25 26 26

27 28

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LIST OF TABLES
Table 1. Background and Employment information 30

Implementing a new PMS at the LGSC in line with PRB Report 2003

ABSTRACT
In line with the recommendations of the PRB Report 2003 a new Performance Management System will be introduced in the public sector. Performance Management is an essential tool for managing performance of employees. This project shall focus on the implementation process of the new Performance Management System and a study has been carried out at the Local Government Service commission on how to implement the system effectively and ensuring that the necessary structure and culture are present for such a major reform.

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Implementing a new PMS at the LGSC in line with PRB Report 2003

G. Veeramah-Ramasawmy

LIST OF ABBREVIATIONS

CPE HRM HSC LGSC PMS PRB Report PRP PRR SC

Certificate of Primary Education Human Resource Management Higher School Certificate Local Government Service Commission Performance Management System Pay Research Bureau Report 2003 Performance Related Pay Performance Related Reward School Certificate

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Implementing a new PMS at the LGSC in line with PRB Report 2003

ACKNOWLEDGEMENTS

I am grateful to all those who directly or indirectly made it possible to collect and prepare the information required for this project. In particular, I owe much to my Project Supervisor, Miss G. Napal for her continuous support, guidance and encouragement throughout the project. I wish to thank Mr. Roy Jaunky, the Secretary of the Local Government Service Commission for having allowed me to conduct the study within the organisation. I am indebted to Mr Nikhil Chooramun, faculty at NIIT, for his invaluable contribution to my project. Finally, I wish to express my appreciation to my husband Swaraj and our son Yogesh for their comprehension, constant patience, support and help in the progress of my study.

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ix

Introduction
The Public Service exists to achieve a purpose which is to meet the increasing needs and expectations of its stakeholders: the people working there, customers, government agencies and bodies, suppliers, trade unionists and the public at large. The concept of performance management viewed holistically cannot be divorced nowadays from accountability, resultorientation and value for money operations, taking stock of the processes and features of a growing public service.

1.1 Objectives of the project To audit the attitude, skills and competence of the staff of the Local Government Service Commission to the new way of managing performance To examine the conditions prevailing at the LGSC To analyse how the PMS can be implemented for the benefit of the whole organization and to be in line with the recommendations of the PRB Report 2003.

1.2 Overview of the Project This chapter provides with a general introduction and an overview of what the ensuing chapters. A review of the concept of Performance Management is presented in Chapter Two. This chapter defines the concept of performance management and the process of managing performance.

Implementing a new PMS at the LGSC in line with PRB Report 2003

Chapter Three relates to the historical background of the LGSC, the aims and objectives of the organization and the existing system of appraising performance at the LGSC In Chapter Four, the methodology adopted for the research is laid down. Chapter Five shows the findings of the survey and the last part of the project includes recommendations of how to successfully implement the new Performance Management System at the LGSC. Chapter Eight shows the self- reflection that is the personal development opportunities encountered in the course of the mini-project.

Implementing a new PMS at the LGSC in line with PRB Report 2003

Performance Management
PM is characterized as a system (Storey and Sission, 1993), a systematic model (Mabey and Salaman, 1995), or a cycle (Torrington and Hall, 1995). The elements in each of these frameworks are broadly similar, in that each of them link together planning, doing and supporting, reviewing progress, rewarding and preparing performance development plans. Michael Armstrong put forward a conceptual framework for managing performance as illustrated in figure 1. The Performance Management Framework should not be viewed as an off-the-shelf model but should rather be customized to the needs, context and complexity/specificity of the organisation.

Implementing a new PMS at the LGSC in line with PRB Report 2003

Mission and Value

Objectives

Performance Agreement

Feedback

Continuous Performance Management

Preparation or Review

Performance Review Feedback

Performance Rating

Development & Training

Performance Related Pay

Implementing a new PMS at the LGSC in line with PRB Report 2003

Figure 1: The Performance Management Process

During the past decade, the world has witnessed the emergence of an important and positive development in the sphere of management the concept of Performance Management. Performance Management is gradually gaining momentum as more and more organizations are feeling the need for a continuous and integrated approach to the management of Human Resources.

It has become more important as an area of HRM because of increased competition, changes in the organizational structure and culture, and a need for a strategic focus.

2.1 Definition of Performance Management

Performance Management is a process or set of processes for establishing shared understanding about what is to be achieved and on managing and developing people in a way, which increases the probability that it will be achieved in the short and long term (Armstrong and Murlis, 1994).

The real concept of Performance Management is associated with an approach to creating a shared vision of the purpose and aims of the organization, helping each employee understand and recognise their part in contributing to them, and in so doing, manage and enhance the performance of both individuals and the organisation (Fletcher, 1993)

Performance Management is a strategic and integrated approach to delivering sustained success to organizations by improving the performance

Implementing a new PMS at the LGSC in line with PRB Report 2003

of the people who work in them and by developing the capabilities of teams and individual contributors. (Armstrong and Baron, 1998) Performance Management is:

Strategic in the sense that it is concerned with the broader issues facing the business if it is to function effectively in its environment and with the general direction in which it intends to go to achieve longer-terms goals.

Integrated in four ways: (1) Vertical integration linking or aligning business, team and individual objectives. (2) Functional integration linking functional strategies in different parts of the business. (3) Human Resource integration linking different aspects of human resource management (HRM), especially organizational development and human resource development and reward, to achieve a coherent approach to the management and development of people. (4) The integration of individual needs with those of the organization, as far as this is possible.

Implementing a new PMS at the LGSC in line with PRB Report 2003

2.2 The Aim of Performance Management The overall aim of an effective performance management system is its ability to be seen as a method of continuously securing improvements in the performance of teams and individuals against predefined business strategies and objectives. The term performance appraisal is outdated, implying as it often does a top down process associated with what has all too often become a dishonest annual ritual designed to deliver a performance rating to fulfil the demands of a PRP scheme. Performance Management is a continuous process shared between managers and the people for whom they are responsible. It is about improving both results and the quality of working relationships. Effective Performance Management means that people are clearer about what their priorities are, what they should be doing currently, what they should be aiming for and how well this contributes to both team and organizational performance. It grows from open, positive and constructive discussions between managers, individuals and teams to produce agreement on how to focus on doing the job better.

2.3 The Philosophy of Performance Management The philosophy underpinning Performance Management is as follows: The need for a process of management which supports the achievement of the organization's strategy by integrating corporate, functional, departmental, team and individual objectives. The importance of communicating the organizations mission, vision and objectives to all employees;

Implementing a new PMS at the LGSC in line with PRB Report 2003

The need to develop and maintain a process which enables the organization to fulfil. Its responsibility for its members; The need to empower employees and to enable them to manage their own performance and development; The importance of managing expectations clarifying goals and responsibilities; The significance of input, process, output, outcomes sequence in managing performance; The importance of creating a partnership between managers and their staff in managing performance - managing by agreement rather than by command. Setting Specific, Measurable, Achievable, Realistic and Timely (SMART) objectives is crucial; measurement, feedback, reinforcement and contingency management are important issues. Performance Management is a natural process of management in developing a learning organization and empowering people. The following are the prerequisites: The importance of creating a partnership between managers and their staff in managing performance; The importance of measurement, feedback, reinforcement and contingency management' in managing performance;

2.4 The Performance Management Process Performance can be described as a continuous self-renewing cycle. The main activities are:

Implementing a new PMS at the LGSC in line with PRB Report 2003

Role definition in which the key result areas and competence requirements are agreed The performance agreement or contract which defines expectations that is what the individual has to achieve in the form of objectives, how performance will be measured and the competences needed to deliver the required results.

The personal development plan which sets out the actions people intend to take to develop themselves in order to extend their knowledge and skills, increase their levels of competence and to improve their performance in specific areas.

Managing performance throughout the year which is the stage in which action is taken to implement the performance agreement and personal development plan as individuals carry on their day to day work and their planned learning activities. It includes a continuous process of providing feedback on performance.

Performance review which is the formal evaluation stage when a review of performance over a period takes place, covering achievements, progress and problems as the basis for a revised performance agreement and personal development plan. It can also lead to performance ratings (Armstrong, 2000)

The performance management cycle, as elaborated above, is illustrated at Appendix I

2.5 Performance Management The Practical Side

2.5.1 Commitment Management commitment is a sine-quanon condition for success. Staff should be involved all along the line and it is important that the SMART

Implementing a new PMS at the LGSC in line with PRB Report 2003

objectives be set. In these times of change, objectives need to be constantly reviewed and modified in line with new business requirements and new priorities need to be set.

2.5.2 Motivation and performance related pay Good performance over time will come only from well-motivated staff and managers should understand peoples needs and how work helps to meet those needs. It also means that staff feels that their work is rewarding in some way, probably that it meets some client needs, and contributes to company objectives and success. Reward, that is satisfaction of the needs or expectations follows successful behaviour. The content theories encourage managers to think about how far they can satisfy peoples innate needs through work. The process theories relate more to employees as conscious individuals gauging how to maximise benefits through their jobs. Differential pay is still an important element in many Performance Management Schemes. Paying for competence is regarded by many organisations as desirable for three reasons: It motivates people to perform better or to develop their skills and competences; It delivers the message that competence and performance are important; and It is fair and equitable to reward people differently according to their performance, competence or contribution. The disadvantages of Performance Related Pay are that: (i) It is not a guaranteed motivator;

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(ii) (iii) (iv) (v)

It may be unfair, subjective and inconsistent; Undue emphasis on individual performance may affect teamwork; It can produce poor quality performance because people are concentrating on achieving targets. It may impair the corporate culture, leading to a win-lose situation However, the advantages of PRP are perceived as far exceeding its

perceived disadvantages. The most compelling reason for taking this view is that it is equitable to reward people who perform well more than those who perform badly.

2.5.3 Human Resource Development In an effective organization, employee developmental needs are evaluated and addressed. Developing in this instance means increasing the capacity to perform through training, giving assignments that introduce new skills or higher levels of responsibility, improving work processes, or other methods. Providing employees with training and developmental opportunities encourage good performance, strengthens job related skills and competencies and helps employees keep up with changes in the workplace, such as the introduction of new technology. According to Mullins, the benefits of training are as follows: greater confidence, commitment and motivation of staff; recognition and greater responsibility paralleled by improvements in pay; feelings of personal satisfaction and achievement with enhanced career prospects and; improved availability and quality of staff (Naylor, 1999)

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Implementing a new PMS at the LGSC in line with PRB Report 2003

2.6 Methods of Appraising Performance Rating Scales usually include Graphic, Weighted and Behavioral Anchored criteria. The graphic scale is the simplest and most commonly used. A list of performance variables is determined for a particular job and for each performance variable there is a scaling of levels of performance ranging from exceptional to below normal. Ranking is another method used. Individuals are evaluated from the outstanding to poor on some single performance criterion. Paired comparison requires the rater to compare pairs of ratees on performance. Forced Choice technique is a rating method that requires the rater to make choices among descriptive sentences. Forced Distribution presents the rater with a limited number of categories and requires a designated portion of ratees for each category. Managerial: this method appears to be most appropriate for managerial and top-level white collar jobs and includes scenarios, critical incidents, case studies and Management by Objectives (Harvey & Bowin)

2.7 Ethical Considerations

Performance Management processes should operate in accordance with agreed ethical principles. These have been defined by Winstanley and Stuart-Smith (1996) as follows:

Respect for the individual people should be treated as ends in themselves and not merely as means to other ends

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Implementing a new PMS at the LGSC in line with PRB Report 2003

Mutual respect the parties involved in Performance-Management processes should respect each others needs and preoccupations. Procedures fairness - the procedures incorporated in Performance Management should be operated fairly to limit the adverse impact on individuals.

Transparency people affected by decisions emerging from

Performance-Management processes should have the opportunity to scrutinise the basis on which decisions were made. 2.8 Benefits and Drawbacks of a Performance Management System (i) (ii) The performance improvement plan covers training and any immediate development task or experience needed; Career development plan which defines the most suitable job progression for the employee takes fully into account the wishes of the individual and the needs of the business; (iii) (iv) Performance rating is followed where carried by a Performance Related Reward; The review of the performance management process is based on line managers feedback and experiences. There are a number of reasons why performance management systems fail: (i) (ii) The system is not used, modelled and supported at the top of the organisation; Line managers view the system as little more than an administrative burden. They do not see the benefit of energy invested in making the system work; (iii) Performance objectives that were established at the beginning of the year seem less important by year end;

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(iv)

Performance objectives are written so subjectively that performance measurement at the end of the period is not possible;

(v)

Managers are unable to give feedback and to deal effectively and constructively with the conflict or disagreement surrounding the assessment of employees performance.

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Implementing a new PMS at the LGSC in line with PRB Report 2003

Organisational Background
3.1 The Local Government Service Commission The Local Government Service Commission Act was approved by Parliament on 12th December 1975 but it was almost eight years later that LGSC Act of 1975 was promulgated on 18th august 1983. The LGSC, which is centrally and independently responsible for almost all matters in respect of Local Government personnel, consists of a Chairman and four other members. The Chairman of the Commission is appointed by the Prime Minister and the other four members are appointed by the Minister of Local Government. The Secretary of the Commission and his staff are public officers. The LGSC is a statutory independent body. The powers of the LGSC as laid down in Section 4 of the main Act are as follows: 4(i) Subject to the other provisions of this section and to the Local Government Ordinance 1962, the power (a) (b) (c) (d) of appointment to exercise disciplinary control over Local Government officers to remove from office or approve the retirement of Local Government officers to select candidates from among Local Government officers for the award of Scholarship or other similar privileges shall vest exclusively in the Commission. In the exercise of its functions, the Commission shall not be subject to the direction or control of any other person or authority. The Commission

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Implementing a new PMS at the LGSC in line with PRB Report 2003

may, subject to such conditions as it thinks fit, delegate any of its powers to the Secretary. There is also a Secretary and Officers who are subject to administration control and direction of the Commission. The LGSC was set up to promote a sound staffing policy. 3.1.1 Structure The structure of the Local Government Service Commission is illustrated at Appendix II. For the purpose of this study, only the administrative section of the office will be diagnosed.

3.2 The existing method of appraising performance at the Local Government Service Commission and the recommendation of the PRB Report, 2003 In the context of reforms, the PRB Report 2003 has recommended the introduction of a Performance Management System in the public sector. It is evident from the foregoing that confidential reporting in the manner it is done today, falls short of current organisations expectations and requirements. A copy of the Confidential Report Form is at Appendix III. However, the confidential reporting system is still being used to assess an employees performance and to evaluate his suitability or otherwise for promotion at the LGSC. The system which dates back to the colonial days has undergone only a few changes and contains weaknesses which have to be revisited. The Present system should be replaced mainly because:

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The list of criteria proposed is the same for all workers irrespective of
the work being performed. For instance, the same criteria are being used to assess a manual worker, an administrative staff, a scientist or a professional worker. The present system does not reflect the true individual contribution of officers to the overall objectives of the organisation. The process is not a continuous and flexible one in that positive reinforcement is not provided as the performance is recognised. The new performance management framework makes it compulsory for the LGSC to adopt corporate strategic planning in line with the vision, mission and value statement. Organisational objectives and divisional work targets must be defined. Performance measures and indicators must be used to assess the effectiveness of the organisation and the latter should evaluate and review periodically their performance in relation to established targets. The new performance management framework rests also on the assumption that a performance culture coupled with a conducive learning environment are present at the LGSC.

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Implementing a new PMS at the LGSC in line with PRB Report 2003

Research Methodology
A research has been carried out for the purpose of this project. P. Kotler (1999) defines research as the systematic design, collection, analysis and reporting of data relevant to a specific situation. G. Churchill (1996) provides a sequence of steps that needs to be followed when designing the research process: 1. Defining the problem and research objectives

2. Determining the research design

3. Determining the data collection method

4. Designing data collection form

5. Designing sample and collecting data

6. Analysing and interpreting the data

7. Preparing the report and presenting the findings.

4.1 Defining the problem and research objectives

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As an old adage says, A problem well defined is half solved. The problem is how to implement a performance management system at the Local Government Service Commission (LGSC) in line with the recommendations of the PRB Report 2003. The main objectives of the research are: To audit the attitude, skills and competence of the staff of the Local Government Service Commission to the new way of managing performance To examine the conditions prevailing at the LGSC To analyse how the PMS can be implemented for the benefit of the whole organization and to be in line with the recommendations of the PRB Report 2003.

4.2 Determination of Research Design A research design is the framework or plan for a study used as a guide in collecting and analysing data. The main types of research design are: Exploratory research Descriptive research Casual research.

For the purpose of this study, descriptive research has been found to be more appropriate.

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Implementing a new PMS at the LGSC in line with PRB Report 2003

4.3 Determination of data collection method For the purpose of this study, both primary and secondary data have been used. Primary data have been collected for a specific purpose and are being used accordingly. Secondary data in this research has been used mainly in the compilation of the literature review. The secondary data used came from publications of various authors, magazines, journals, internet, PRB Report 2003.

4.4 Designing data collection forms Primary data can be collected through surveys, observations, personal interviews, telephone interviews and self-administered questionnaire. For this study, a questionnaire has been designed, pre-tested, revised and administered to 38 employees of the LGSC. A personal interview has been carried out to note the reactions and feelings of the respondents. With the personal interview, it was possible to clarify points which were not clear to the respondents and also to respect the sequence of the questions. 4.5 Designing the sample and collection of data The sample has been designed taking into account of the following: Sample frame that is who to be surveyed Sample size that is the population to be surveyed

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Sampling unit Sampling method For this study, since the number of staff at the LGSC is only 45, the

sample frame consisted of the whole population. However, only 38 respondents responded to the questionnaire. A probability method was used so that all the elements of the population have equal chances of being selected.

4.6 Presenting and analysing of findings In this research, the questionnaires have been edited to ensure accuracy and completeness of each form. Microsoft Excel 2000 has been used for the purpose of analysis. The findings and analysis are presented in the next chapter.

4.7 Limitations of the Research

There is the likely presence of response bias. Findings might be confounded by common method variance.

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Presentation and Analysis of Findings

This chapter consists of the analysis of data collected from the 38 respondents to the questionnaire administered by a personal interview. A copy of the questionnaire is at Appendix IV Analysis of data collected among 38 employees of the LGSC. Section A Performance Management. 1. Do you know what performance Management is about?

Yes 39% Yes No

No 61%

Figure 2: % of awareness of PMS

Only 39% of the employees interviewed know what performance management is about. However, only 6 out of the 38 employees were able to briefly define performance management. This indicates that the concept of performance management is rather a new and unfamiliar zone. Before implementing the PMS at the LGSC, it is important that the

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employees know what Performance Management is about and what it will bring to the organisation to avoid resistance to change.

2. How would you characterise the present Confidential Report System?

Excellent 3%

Good 25%

Obsolete 72%

Excellent Good Obsolete

Figure 3: Rating of the CRS

72% of the employees consider that the present confidential report system as obsolete. It is a general feeling that the present system needs to be revisited in the light of the emerging issues and challenges. The system which dates back to the colonial days has undergone only a few changes and contains weaknesses. Further the same criteria are being used to assess a manual worker, an administrative worker, a scientist or a professional worker.

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3. What would be your reaction if the LGSC decides to implement a Performance Management System for its staff?

Indifferent 24%

Fear 3% Appreciate 73% Appreciate Fear Indifferent

Figure 4: Attitude to change to the new PMS

73% of the respondents are in favour of introducing a new performance management system at the LGSC. This gives an indication that most of the employees will not resist the introduction of a new way of managing performance. It is also to be noted that 24% of the respondents are indifferent about whether a new system is being introduced or not. Only 3% of the population fear the new system. This can be due to the fact that they are not aware of what the new system is and how it will improve the efficiency of both the employees and the organisation. Through a proper communication system, the commitment of the majority of employees will be gained.

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4. Have you been provided any kind of training since you join the LGSC?

No 1 9%

Yes 81 %

No Yes

Figure 5: % of labour force trained

81% of the respondents have been provided training since they joined the LGSC. Manual workers are included in the percentage. However, a systematic approach to training is not followed with regards to training issues.

5. Has the training helped you to improve your performance?

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Yes 39% No 61%

Yes No

Figure 6: Interface between training and performance 61% of the employees have stated that the training they received have not helped them to improve their performance. Supervisors should be made aware of their role to continuously monitor performance, identify training gaps and assess training needs. According to the survey, the supervisors have received training on technical issues rather than on managerial principles. The LGSC should undertake a systematic approach to training as it is only through training that the knowledge, skills and attitudes of the employees are updated and improved. Training will help to develop a learning culture.

6. What do you think that the LGSC could undertake to develop training and learning culture? This was the question where there was a lot of reticence on the part of the employees to respond. The employees were unwilling to express their

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feelings openly. To develop training and learning culture, the survey indicated that the LGSC could: i. ii. iii. iv. v. motivate the staff to enroll for courses; sponsor employees for short training courses; motivate the staff through conducive communication and recognition of effort; develop refresher courses and provide updated books and magazines; and set up a library to identify areas of priority in each section and to provide training facilities and encourage staff to adopt learning culture. As Alvin Toffler stated, learning is an on-going and neverending process and people must be prepared to learn, unlearn and re-learn.

7. Do you know the mission, vision and objective of the LGSC?

Yes 21%

0%

No 79%

Yes No

Figure 7: % of awareness of the mission, vision statement

The results are rather striking here. Only 21% of the employees are aware of the mission, vision and objectives of the LGSC. This is, therefore,

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not in line with effective performance management which provides that the mission, vision and objectives of the organisation be communicated to the employees. The employees are operated in a vacuum without any sense of direction. The mission should not be implied but rather expressed.

8. How are decisions taken at the LGSC?

Individually 33% Collectively 67%

Individually Collectively

Figure 8 : Decision making process

67% of the employees agree that decisions are taken collectively at the LGSC. This is a good indication to implement a performance management system as the employees are involved in the decision making process which is one of the requirements to the success of managing performance.

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9. What would motivate you to perform better?

Non- Both 16% Monetary Reward 11%

Monetary Reward Non-Monetary Reward Both

Monetary Reward 73%

Figure 9 : Motivational factors 73% of the employees are motivated by monetary reward. An increase in salary will motivate employees to perform better. It is also to be pointed out that 16% of the population surveyed would like both monetary and nonmonetary reward. They believe that recognition or having sponsored courses would increase their motivational level. 10. Should the yearly increment be linked to performance?

No 16% Yes No Yes 84%

Figure 10: Interface between Pay and Performance

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The results here show that 84% of the employees are in favour of linking the yearly increment to performance, meaning that the employees will be rewarded only if their performance matches the required standards set by the organisation.

11. Would you accept a Performance Management System if it is related to pay?

No 24% Yes No Yes 76%

Figure 11: % of acceptability of the PRR System 76% of the employees will accept a performance management system if it is related to pay. This gives an indication that more than 75% of the population is aware that if they are not performing to the required standards

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set by the organisation they will not be rewarded. If this issue is clear in the mind of the employees, this gives an indication that they will accept the new system favourably. 12. Are the objectives of implementing a Performance Management System clear and achievable?

Yes 39% No 61%

Yes No

Figure 12: Clarity and feasibility of the new PMS

Here the results are quite striking. Although the PRB Report has come up with the idea of introducing a new Performance Management System, the objectives of introducing the system has not been communicated to the employees. In fact, only 39% of the employees of the LGSC are aware of the objectives of the new system. 61% of the employees are not aware of the objectives and this is a drawback to the implementation of the system.

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13. Do the following important conditions to implement a Performance Management System exist at the LGSC?

Adequate Financial Resource Competent and Skilled Human Resources Top Management Commitment A performance culture Team Work Good flow of communication

% Yes 53 50 61 47 61 50

% No 47 50 39 53 39 50

No
50 50 53 47

Yes
50

39

61

50

47 53

61 39

Adequate Financial Resource Competent and Skilled Human Resources Top Management Commitment A performance culture Team Work Good flow of communication

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Figure 13: Conditions for success From the above figures, we notice that the views are the employees of the LGSC are in most cases, evenly distributed. Resources are available at the Commission including competent skilled human resources to implement the system. According to the employees, there is top management commitment to implement the new system. This is a critical factor to the success of every project. However only 47% of the employees believe that there is a performance culture at the LGSC. This culture should be nurtured in the minds of the employees. Team work which is of utmost importance to the implementation of the new PMS exist at the LGSC and 50% of the respondents believe that there is a good flow of communication at the LGSC. From the above, we can assume that implementing the new performance management system will bring positive rewards to the LGSC.

Section B: Background And Employment Information

Age Group 20-30 31-40 41-50 Over 50 No. of Emp. 8 8 12 10 % 21 21 32 26

Gender

Male Female

20 18

53 47

Yrs of Ser.

Less than 5 yrs 5-15 yrs 16-30 yrs Above 30

3 13 14 8

8 34 37 21

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Qualifications

CPE SC HSC DEGREE

9 14 11 4

24 37 29 11

Table 1: Background and employment information

Recommendations
1. The need for a paradigm shift For the Performance Management System to be implemented and to work at the LCSC, there should be a radical change in the system, processes, organizational culture and mindset of the employees. The system cannot operate in isolation and it is very important for favourable conditions to exist to achieve results in implementing a new Performance Management System 2. Communication The survey has shown that the reasons and rationale behind the implementation of a PMS should be clearly communicated to the staff of the LGSC. There should be open communication and genuine consultation among all the staff to develop the sense of ownership thus, overcoming the cynicism, scepticism and apprehensions related to the new PMS.

3. Periodic Plan The LGSC should come up with a periodic plan containing at least: the mission and value statement of the organization; the main services that the organization offers;

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Implementing a new PMS at the LGSC in line with PRB Report 2003

the organisations and divisions target for the year and; performance measures and indicators to assess the effectiveness of the organization.

Quantifiable objectives should be established in line with a clear mission , vision and direction statement. 4. Top Management Support For a PMS to be implemented top management support and commitment must prevail throughout the transition period. Top management has also to set the right climate for the success of the new system. An authoritarian, top down approach may be threatening to achieve the best results. A participative approach will produce better results. 5. Design of the PMS The PMS should compose of three components : evaluation, training and reward. These elements should be encapsulated in the system mainly because shortcomings in performance will be addressed through training and there should be a mechanism to reward employees with high performance level. 6. Introducing an appeal system The LGSC should introduce an inbuilt system of appeal system to address any complaint from the members of the staff regarding the way they are being appraised. 7. Sustaining the system

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However, the changeover could not be effected within a fortnight. It should take the required time and its benefits will be unveiled as the system gathers momentum. It is, therefore, important to provide support so as to sustain the system.

8. Follow-up An effective feedback mechanism must be established to follow up the change in order to ensure a smooth implementation of the new PMS.

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CONCLUSION
In the Mauritian Public Sector, Performance appraisal is not new. It was in existence since the colonial era. While it was effective and appropriate in the colonial administration, it has become obsolete today. This study has attempted to assess the conditions, procedures and practices prevailing at the LGSC. Many areas where there is still need for improvement before implementing a successful PMS have been identified and suggestions have been made accordingly. Introducing a PMS is an organization-wide effort. Both management and employee commitment and involvement are important to implement and sustain the system.

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Implementing a new PMS at the LGSC in line with PRB Report 2003

Self-Reflection
Personal Development Opportunities Encountered On the Course of the Mini-Project. Although I embarked on the project which was supposed to be mini in nature, I immediately took cognizance of the vastness and diversity of the emerging concept of Performance Management. I felt like setting for a personal safari, meeting with various challenges and shortcomings while remembering the most memorable moments as highlighted hereunder.

Hands-on-Involvement The extensive research and field work involved enabled me to meet many people, face-to-face, talking and sharing views and news with them; something which I supposed I could not have done before. The topic of Performance Management being the buzzword nowadays and the food for thought in the public sector allowed me to meet Dr. Eric Charoux, the Director of the De Chazal Du Me Business School who, before, I only knew by reading his Wednesdays Management articles appearing in LExpress newspaper.

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Furthermore, making most of a Management Development seminar organized by the Mauritian Management Association (MMA) to which my husband is an active member, I met with an eminent and prolific speaker namely Dr. Pritam Singh, whose feedback based on the Indian culture was very enriching. It would be impossible for me to name all those with whom I dealt on the matter without underestimating the invaluable support and guidance offered by Miss Napal, my Project Supervisor. Unfortunately, some of my appointments were unsuccessful. For instance, meeting with Mr. B.C. Appana, the Director of the Pay Research Bureau has not been crystallized yet due, to his heavy professional commitments. However, through the interviews, I met with conflicting views on the successful implementation of the Performance Management System at the Local Government Service Commission. At times, personal feelings clashed with organizational realities and bureaucracies. The level of discussion was so high at certain moments that I felt like a dwarf attempting to reach a giant. I felt myself faced with a hectic life, making last minute appointments, getting lost, having to wait endlessly and remaining for long hours in front of my PC. I also had to make new arrangements such as enrolling as a member of the Public Service Management Library which I found very modern and highly documented. As it is often said, necessity is the mother of invention.

Resistance and Reluctance

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I had the feeling that although it is claimed high and loud that we are living in the information age coupled with the knowledge hub, some people I interviewed seemed to stick to information is power. They were very reluctant to pronounce on such issue of performance management for fear that information shared is tantamount to knowledge lost to the benefit of others. There is still such resistance to change attitude of fear, feeling at ease with their comfort zones in their management islands and through their traditional empire building.

Personal SWOT Analysis

Through this mini-project, I have been able to take stock of my personal strength, weaknesses, opportunities and threats, hinging on my priority needs and action planning and impacting on my personal development plan. This has helped me to know myself, the professionalism and rigor required for a degree, positive thinking to believe in myself and to be aware that I have not stopped growing and greying. However, I recognize that the project should not be translated into a nightmare if it is started as early as possible, crafted as effective planning, communication and above all, proper time management. This has helped me to sharpen my skills such as IT skills, interpersonal behaviour, listening abilities, project management and last but not least, the soft skills that is interpersonal skills, regarded as the oil of all human relationships and one of the secrets of success in life. I shall capitalize on such skills in order to convert them into my core competencies in the demonstration of selfawareness, self-management and development , increasing social awareness, handling effecting networking relationships, strengthening self-

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control and above all self motivation. It was James P. Corner, the famous US Psychiatrist and author who once observed: While most of todays jobs do not require greater intelligence, they do require greater frustration, tolerance, personal discipline, organization, management and interpersonal skills that were required two decades and more ago.

Closing Note Through the mini-project, I took stock of the amount of ground work accomplished so far. Although it is not a mammoth task, I should recognize that it is a journey rather than a destination. My project and analysis on the implementation of a new PMS in the LGSC and ultimately in the public service will be a means to an end rather than to be perceived as an end in itself!

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