“Performance management is a way for an organization to look into causal relationships and address the identified gaps.”
“A manager’s challenge is to balance the softer, yet powerful drivers of performance with the harder, tangible aspects of it.”
PERSPECTIVES
KEYWORD TRENDS
RESOURCES
AROUND THE ASEAN
EDUCATION
SOFTWARE
Performance related legislation in the ASEAN. Special country insights
Degrees. Subjects. Main events
Gartner’s Magic Quadrants. The G2 Crowd Scores
14 interviews. 6 countries. Practitioners. Academics. Consultants
Statistics for the most popular performance related keywords in Google search
CAREER Career trends by countries and functional areas
Best-selling books. Latest published books. Academic articles. Portals. Communities
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PERFORMANCE MANAGEMENT IN 2013
oduction. Global Perspectives. Practitioners’. Perspectives. Academics’ napshot. Country Profiles. Country Legislations. Trends in Search. 2013 ams. Main Events in the field. Job Trends. Salaries. Bestselling Books. s. Communities. Corporate Performance Management Software. Business Management Software. | Interviews. Argentina. Australia. Brazil. Bulgaria. 9 781478 18 101 9 Saudi Arabia. Thailand. Uganda. . Netherlands. Nigeria. Philippines. Qatar. d Scorecard. Business Intelligence. Business. Performance Management. d. Employee Performance. Employee Performance Management. Enterprise nce Plan. Individual Performance Management. Key Performance Indicators. ment. Performance Appraisal. Performance Criteria. Performance Evaluation. Management. Performance Management Plan. Performance Measures. e Review. Scorecard. Strategy Execution. Strategy Implementation Strategy ment. | Educational Degree Institutions. Aston University. University of University College Interviews Dublin. Erasmus University Rotterdam. ESCP Europe. ne eriot-Watt University Edinburgh Business School. University of Leicester. ce. MIP Politecnico di Milano. University. Organizations useMonash principles, tools New York University Stern University of and Liege HEC Management School. University of Pennsylvania techniques of Performance o. University of Sydney. European Management to ensureUniversity that the Cyprus. Maastricht School of alermo. University - Bradford University School of Management. purposeofofBradford their existence is fulfilled. iversity of Oxford. University of Ottawa - Telfer School of Management. roll School of Management. Davenport University. Georgetown University. ne. The Chinese University of Hong Kong. The Hong Kong University of hool. National University of Singapore. University of Cape Town Graduate . | Performance Management Events. 2013. Vancouver, British Columbia, Al Bustan Rotana - Dubai, United Arab Emirates. Sao Paulo, Brazil. SanKenya. Istanbul, Turkey. New Delhi, India. Barcelona, Spain. Lucca, Italy. eorgia. Loch Lomond, Scotland, UK. London, UK. Rydges Lakeland Resort, h, Saudi Arabia. San Francisco, California. Brussels, Belgium. | Job trends ager. Performance Management. | Industry salaries analyzed. Automobile rvices Charitable Organizations. Chemicals. Computer Services. Computer nsumer Services. Education. Food. Manufacturers. Electronics. Energy & ent. Health Care. Leisure. Media. | Book Categories. Business Performance ement. Employee Performance Management. Enterprise Performance ment. Operational Performance Management. Performance Management. er Reviewed Journals. Top 15. | Portals. Top 10 Most Visited. | Communities lligence. Corporate Performance Management. Employee Performance ftware. Corporate Performance Management. Overall Satisfaction versus omparisons. Business Intelligence Software. Magic Quadrant for BI 2013. adrant for Talent Management Suites. | 203 countries reviewed. 66 with Afghanistan. Albania. Algeria. American Samoa. Angola. Anguilla. Antarctica. a. Australia. Austria. Azerbaijan. Bahamas. Bahrain. Bangladesh. Barbados. n. Bolivia. Bosnia and Herzegovina. Botswana. Brazil. British Virgin Islands. Cambodia. Cameroon. Canada. Cape Verde. Cayman Islands. Central African olombia. Comoros. Congo. Cook Islands. Democratic Republic of the. Costa mark. Djibouti. Dominica. Dominican Republic. Ecuador. Egypt. El Salvador. Islands (Islas Malvinas). Fiji. Finland. France. Gabon. Gambia. Georgia. sey. Guyana. Honduras. Hong Kong. Hungary. Iceland. India. Indonesia. Iran. pan. Jersey. Jordan. Kazakhstan. Kenya. Kiribati. Korea, North. Korea, South. n. Lesotho. Liberia. Libya. Lithuania. Macau. Macedonia. Madagascar. Malawi. . Mauritania. Mauritius. Mexico. Micronesia, Federated States of Micronesia. Morocco. Mozambique. Mozambique. Namibia. Nauru. Nepal. Netherlands. orfolk Island. Norway. Oman. Pakistan. Palau. Panama. Papua New Guinea. RESOURCES land. Portugal. Qatar.. Romania. Russia. books Rwanda. Saint Helena. Saint Kitts Best selling books Latest published and articles . Portals Grenadines. Samoa. Sao. Communities Tome and Principe. . Seychelles. Sierra Leone. Singapore. Saint SOFTWARE South Africa. South Africa. Spain. Sri Lanka. Performance Management d. Corporate Taiwan. Tanzania. Thailand. Timor-Leste. . Business . Employee nisia. Turkey. Intelligence Turkmenistan. Tuvalu. Uganda. Management ed Performance Arab Emirates. United Kingdom. United Virgin Islands. West Bank. Zambia. Zimbabwe.
2
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INTRODUCTION
Executive summary Performance Management in 2014: ASEAN Special Edition
2014
2014 was a year of continuous advancements when it comes to Performance Management and it has brought forth what we now consider to be the next age in this domain, an age defined by maturity, mindful decisions, hard work and commitment. This new age in Performance Management is what we celebrate through Performance Management in 2014: ASEAN Special Edition. This year, the success of the previous reports developed by The KPI Institute has highlighted the need for a more introspective look into this specific field, on certain areas across the globe. Thus, the two special editions of Performance Management in 2014, namely the ASEAN and the GCC ones accompany the Global edition. The time has come for us to migrate, from viewing the whole picture of this discipline, to studying details found in different regions of the same picture. This special edition of the Performance Management report series is the material representation of the discipline across one region, comprised of ten countries: Brunei, Cambodia, Indonesia, Lao PDR, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam. 2014 can be considered a year of turmoil for performance management communities of practice across Asia and the Pacific. The multicultural environment, as well as the consequential differences in government structures and policies have made performance management practice in the area a barometer for progress. An increase in technology investment has been noticeable within the Asian and the Pacific market, together with a corresponding demand for improved reporting on performance. The expansion of liberalized, decentralized markets has elevated the need for results-oriented public sector management frameworks. Planning, budgeting, implementing, monitoring and evaluating have become crucial functions of the public sector performance management across Asia and the Pacific, while businesses in the private sector are starting to claim their sovereignty as engines of emerging economies. Also, with the liberalization of markets across Asia and the Pacific, the management of increasing volumes of data has become a high priority in 2014. Performance Management in 2014: ASEAN Special Edition is part of the annual series with the same name, and it was developed by The KPI Institute with the purpose of revealing the methodical, non-pertaining and truthful state of performance management, as it is implemented today by South-East Asian organizations and governments. The content which ensues aims to bring forth the specificity of Performance Management within the ASEAN, among others. The two paths followed are defined by what sets ASEAN practices apart, but also what aligns them with the rest of the world. The content of the Performance Management in 2014: ASEAN Special Edition has been developed in such a manner as to provide opinions and extensive analyses through interviews, as well as specific information through sections such as Education, Media exposure, Resources and Software. Work has begun on launching additional publications as part of this series. Feedback regarding this edition and inputs for future editions are highly appreciated by our team and should be directed at editor@kpiinstitute.org. Editorial coordination: Aurel Brudan
Š 2014 The KPI Institute Ltd. All Rights Reserved. ID Number: TKI0141002 ISBN: 978-1514204634 An appropriate citation for this report is: The KPI Institute, 2014, Performance Management in 2014: ASEAN Special Edition, Melbourne, Australia Indemnity statement The KPI Institute has taken due care in preparing the analysis contained in this publication. However, noting that some of the data used for the analysis has been provided by third parties, The KPI Institute gives no warranty to the accuracy, reliability, fitness for purpose, or otherwise of the information. The KPI Institute shall have no liability for errors, omissions or inadequacies in the information contained herein or for interpretations thereof. The opinions expressed herein are subject to change without notice. Published by: The KPI Institute Editorial coordination Aurel Brudan Editorial team Adelina Chelniciuc Marcela Presecan Diana Zarnescu Design Daniela Fajardo Garnica Javier Rocha Robles
SE Asia Division Kuala Lumpur Office WISMA UOA 2,Level 11, Unit 10 21 Jalan Pinang, Kuala lumpur 50450 Malaysia T: +60 327 421357 M: +601133032135
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
1
Introduction 1
Executive Summary
4
Visual Summary
5
About the Report
About the Report
5
Perspectives 6
Map Overview
8
Introduction
9
ASEAN Perspectives
11
Practitioners’ Perspectives
11
Academics’ Perspectives
11
Consultants’ Perspectives
12
Interviews
Perspectives
6
Around the ASEAN 34
Visual Summary
35
Country Profiles
36
Country Legislation
43
ASEAN Insights
Trends 56
Trends in Search
62
Media Exposure
64
2014 Statistics
Trends
56
Around the ASEAN
34
Education
Education
70
70
Educational Programs
86
Main Events
Career
Resources
98
Career
88
88
Introduction
88
Thailand
90
Malaysia
91
Singapore
92
Indonesia
93
Vietnam
94
Brunei Darussalam
95
Philippines
Resources 98
Software
116
Best-selling Books
103
Latest Published Books
108
Journal Articles
114
Communities
115
Portals
Software 116
Gartner’s Magic Quadrants
118
The G2 Crowd Scores
INTRODUCTION
Visual Summary
Number of performance-related events in 2014; Number of institutions offering performance-related degrees; Number of institutions offering Performance Management subjects.
4
INTRODUCTION
About the Report
The Performance Management in 2014: ASEAN Special Edition report is the result of a qualitative research study which reflects the annual changes or novelties related to performance management. The study was conducted by The KPI Institute over a period of 3 months (January, 2015 – March, 2015) and both primary and secondary sources were used in compiling the report.
Perspectives This section was built based on the insights shared by academics, practitioners and consultants in the Performance Management field, all activating in the ASEAN’s member countries. Their opinions have shed light on some performancerelated areas and have enriched the already existing knowledge and trends related to others. Their combined expertise represents a stepping stone for the future of Performance Management practices.
Legislation This section provides detailed analyses of the state of Performance Management within all 10 nations pertaining to the ASEAN region. The first section, Country Profiles and Legislations provides a detailed analysis of the Performance Management systems and their degree of implementation at governmental level in each of ASEAN’s 10 member countries. The second subsection gathers insights from individual organizations and institutions, with a special focus on how these have implemented a Performance Management system, their outcomes and other additional measures taken to improve overall performance.
Trends in Search Continuing the tradition of past years’ Performance Management reports, in 2014 the same tool, Google Trends, was employed
to obtain graphic data regarding key word search operations performed on Google’s search engine.
Media Exposure
This section is a graphic representation of the media exposure rate of selected Performance Management-related keywords over a period of time spanning from 2000 to 2014.
into a list of 88 items, all relevant to the field of performance management. The search was conducted using Google Scholar and sciencedirect.com. Key words used during the selection process included: performance management, organizational performance, performance measurement, operational performance, employee performance, as well as personal performance.
Portals
Education This section encompasses an extensive list of prestigious universities from all ASEAN countries. The selection was made based on either degrees or courses offered on performance management-related majors. The data collected was extracted only from the universities’ official websites.
The Portals section was born with the intention of providing necessary guidelines for online orientation in the Performance Management field. Thus, it comprises two tables which provide a ranking of the ten most accessed Performance Management related websites.
Communities
Events This section presents a comprehensive list of events which took place in the ASEAN countries and had performance management as a central theme. These events are either conferences, both international and national, trainings and seminars. The list has been split into two tables, one comprising events which took place in 2014, and the other one – 2015 events.
Books This section of the report is dedicated to books which have either Performance Management, or a closely-related subject, as the main theme. The chapter is split into two distinct sections: one centers on bestselling books while the other focuses on the latest published books.
Articles Articles relevant to performance management were selected and compiled
This section was compiled in order to offer examples of online communities that one can use to grasp the most valuable Performance Management insights.
Career The section provides an introspective view into the main management job trends and salary levels practiced within the member states of the Association of Southeast Nations. The salary data provided in this section is the result of an extensive, in depth research analysis adjusted to the specific content requirements of this report.
Software The results of two studies conducted by different entities are presented in this section, in order to offer a balanced view upon software solutions rakings and to assist organizations in making the best decisions regarding their providers.
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
5
PERSPECTIVES
Map Overview
Aiza Azreen Ahmad Bank Rakyat Malaysia Malaysia
6
Lauren Borja
BBV, Philippines Air Force Philippines
PERSPECTIVES
Men Chanbona
Serafin D. Talisayon
Yan Yohanes Abdullah
Noorliza Hj Zakuan
Linda Puth
Mehran Nejati Ajibisheh
Ma. Margaritha B. Romero
Sabar Cahyono
Chryzl Torres Sicat
Tran Tuan Anh
International Development Enterprise Cambodia
CNOOC SES LTD. Indonesia
Save the Children International Cambodia
MGS Corporation Philippines
Local Government Unit of the City of San Fernando Pampanga Philippines Philippines
Center for Conscious Living Foundation, Inc. Philippines
Education Performance and Delivery Unit, Ministry of Education Malaysia
Graduate School of Business, Universiti Sains Malaysia (USM) Malaysia
Bizniscontact Advisory Services Indonesia
Talentnet Corporation Vietnam
Ta Bao Luu
Jayan Warrier
FPT Information System Corporation Vietnam
Positive Performance Consulting Pte Singapore
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
7
PERSPECTIVES 14 interviewees, from 6 countries within the ASEAN answered the same 15 questions, plus a specific one, addressing a precise issue from their field of activity.
N
o discipline can visibly advance without the expertise of those who grasp not only the theoretical notions of a domain, but also their practical applicability. For Performance Management, a complex discipline which is still in full development, triangulating the opinions of practitioners, academics and consultants in the field is precious for attaining higher levels of proficiency. Following these editorial rules, 14 interviews, provided by ASEAN based practitioners, academics and consultants provide the insights needed into the field of Performance Management. The set of questions was compiled in a manner that encompasses areas with a high degree of interest within the discipline: an overview of the domain, as it is seen by the expert, the educational and practical perspectives, the challenges that appear within the discipline and performance management at the personal level. The final interview item encloses a specific question for each professional category.
1 2
What does the term Performance Management mean to you?
What drives interest in Performance Management?
3
What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level?
4
What are the 2014 key trends in Performance Management from your point of view?
5
What aspects of Performance Management should be explored more through research?
Which are the limits in order to achieve higher levels of proficiency in Performance Management among practitioners?
12
If you are to name, in a few words, the main aspects governing Performance Management today, what would they be?
13
What is your opinion on the emerging trend of measuring performance outside working hours?
14
Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life.
6
15
7
16a
Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results?
Which are the main challenges in today’s Performance Management practice?
8
What do you think should be improved in the use of Performance Management tools and processes?
9
What would you consider best practices in Performance Management?
10
Which aspects of Performance Management should be emphasized during educational programs?
8
11
Do you have any tips for successfully managing one’s work-life balance? What are your thoughts?
Academics: We are developing a database of Performance Management subjects and degrees. Which are the subjects/degrees you have come across and at which university? (i.e. subjects or degrees such as the Masters in Managing Organizational Performance)
16b
Practitioners: Which are the recent achievements in generating value as result of Performance Management put in practice in your organization?
16c
Consultants: As a consultant, what are the most common issues that your consumers have signaled, related to Performance Management?
ASEAN PERSPECTIVES
1
What does the term Performance Management mean to you?
Performance Management, in the interviewed experts’ opinion, is a framework which entails the entire organization, down to every single employee. It is an instrument which ensures harmony and alignment throughout the entire range of processes performed within the organization. It is a body of concepts, tools and instruments which, taken as a whole, materialize into a success-oriented behavior. Furthermore, performance management is also seen, by increasingly more experts, as a discipline which surpasses the organizational boundaries and enters our personal lives, providing people with the means to achieve balance and improve performance in any aspect they may consider suitable for their personal performance.
2
What drives interest in Performance Management?
The high interest for Performance Management is driven, in the experts’ opinions, by the results it promises, once it has been implemented. The performancerelated practices, regardless of their level of implementation, are undertaken with certain expected results in mind. However, beyond these primary results, interviewees all agree that the system offers clarity, balance, alignment and a much needed transparency. Additionally, Performance Management has the benefits of changing behaviors from reactive to proactive, as people know why they are assigned responsibilities, and how their work is reflected throughout the organization.
3
What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level? The most preeminent aspect of applying a Performance Management system across all levels of an organization is the alignment of goals, KPIs and targets. This translates into a clear framework where no task contradicts another and the whole organization strives to achieve common results. The interviewed experts agree that Performance Management is where top management goals meet employees’ expected results.
4
What are the 2014 key trends in Performance Management from your point of view? 2014 was a year which, on the one hand, led to the reinforcement of previously
implemented Performance Management systems or practices and, on the other hand, it was an year of innovation, when relatively new strategies, such as Risk Management and its afferent Key Risk Indicators (KRIs) have been incorporated within existent systems, so as to cope with demands and perils coming not only from today’s business environment, but also from the political, social and geographical contexts. Another shift that is beginning to make itself increasingly more present is the deviation from financial KPIs, as the indicators with the highest leverage, to more people-oriented KPIs, as interviewees explain. Examples here refer to KPIs that measure customer satisfaction, for example, or turnover rate.
5
What aspects of Performance Management should be explored more through research? Reoccurring aspects of Performance Management, which all ASEAN experts agree upon and which need improvement are related to the thorough implementation of such systems, from the top levels of organizations down to employees, the introduction of change management, risk management and behavior performance within the established framework, the refinement of KPIs to better fit current goals and strategies set by organizations and, last but not least, how to effectively incorporate a Performance Management framework within small businesses.
6
Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results? The interviewed professionals mentioned both companies with an international renown and organizations with a national or regional recognition. Alongside these, some public sector entities have also captured the experts’ attention due to their performance-related practices and results. International organizations: • General Electric Company; • Samsung Corp; • Santander Bank; • BNP Paribas; • Facebook; • Apple; • Alibaba; • DHL Express; • Forbes Company; • Lenovo Group. Regional ASEAN organizations: • Cargill Philippines;
• MIESCOR (MERALCO Industrial Engineering Services Corporation); • Lopez Group of Companies; • Mandiri Bank; • Abott Vietnam; • CSC Vietnam. Governmental entities: • Abu Dhabi Government/General Secretariat of the Executive Council; • City Council of Barcelona •Christchurch City Council, New Zealand; • South Korea’s Health Insurance Review and Assessment Service.
7
Which are the main challenges in today’s Performance Management practice? Among the challenges listed by the interviewed experts, there is a consistency in how a Performance Management system is implemented and used: more as a monitoring tool than as a performance enhancer. For the same reasons, the system is often implemented only halfway through, thus neglecting some aspects that may be important to the organization and its employees’ well-being. Another challenge reflects the difficulty of surpassing a status quo situation. This intervenes during change processes, when employees become reticent to adopting new behaviors, as well as after the implementation, when the current procedures need to be updated and improved in order to better suit current needs.
8
What do you think should be improved in the use of Performance Management tools and processes? Interviewees believe that, as far as Performance Management goes, the tools could benefit from greater simplification and standardization, while the processes need to become more transparent. Another aspect which needs to be improved is organizational communication. If this process in not performed properly, on a re-occurring basis, from management to employees and vice versa, the reactions that follow will damage the organization. Firstly, management is seen as keeping a hidden agenda while employees lack the necessary buy-in as they overlook the overall objectives. Secondly, the organization might not be working towards achieving common goals.
9
What would best practices Management?
you consider in Performance
When it comes to selecting best practices in Performance Management, all the interviewed ASEAN-based experts agree
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
9
PERSPECTIVES that only by applying and using tools such as the Balanced Scorecard, an organization can reach a higher state of performance and improve its processes to a considerable degree. The enlisted best practices, as suggested by interviewees, are: • Having a maximum number of 25 KPIs which reflect the organizational strategy; • Implementing the Balanced Scorecard so that it provides clarity, focus on objectives and alignment across the organization; • Transparent communication between top management and employees; • Developing strategic plans together with results-based performance management; • Using templates; • Providing and ensuring continuous feedback, not only during performance review meetings; • Implementing a results-oriented set of measures that satisfy the business, the customers and the employees; • Promoting innovative ideas and initiatives.
10
Which aspects of Performance Management should be emphasized during educational programs? Educational programs, in the experts’ opinion, should focus more on real performance issues within organizations and provide a wider range of solutions. Basically, educational programs need to improve their practical elements and focus less on theory. Additionally, students of performance management need to better envision the entire performance cycle and better grasp the specific KPIs and smart goals, together with the processes that sit behind them. Furthermore, emphasis should be put on the benefits of implementing a Performance Management system and not just on the processes that it is comprised of.
11
Which are the limits in order to achieve higher levels of proficiency in Performance Management among practitioners?
One clear limitation, expressed by several interviewees, points to an interrupted communication thread between top management and employees. The immediate effect is that employees fail to envision the benefits of managing performance, fail to pursuit common goals and to see their contribution to the organization. The worst case scenario is that the Performance Management system becomes just another tools to control employees and monitor their activities, with no clear benefits for the organization as a whole. Such situations intervene when there is a lack of skills, training and motivation, either at managerial level or at employee level. Other aspects which limit the achievement of higher proficiency levels are the incomplete or superficial implementation of a Performance 10
Management System, setting too many KPIs that do not reflect true performance and a constant resistance to change and improvement.
12
If you are to name, in a few words, the main aspects governing Performance Management today, what would they be?
Mainly, when talking about governing aspects, experts agree that Performance Management is driven by the tools and processes it encompasses: the Balanced Scorecard, Dashboards, KPIs and the entire performance review and compensation circle.
13
What is your opinion on the emerging trend of measuring performance outside working hours? Interviewed experts consider that, if you are a goal-oriented person and you seek to improve yourself, then this behavior extends even outside working hours. Furthermore, the technology available today, such as smartphone apps, widgets or even the traditional daily log, have made possible the measurement of performance 24/7. The biggest advantage to measuring performance outside working hours is that you can choose, for yourself, what areas to focus on. Therefore, one can measure either an entire range of items, or a couple of items, depending on his/ her commitment to this process.
14
Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life. When considering tools for measuring personal performance, most interviewees admitted they rely on the available technology, which certainly makes monitoring and measuring aspects such as steps taken per day, sleep cycles, emotional state but also goals accomplished, targets achieved etc. mush easier and accessible. The most widespread tool employed is the smartphone, followed by daily logs, and other additional tools. What ultimately matters, when measuring personal performance, is improvement. In this sense, whichever efficient tool is suitable, whether it is a smartphone app, a gadget or a simple diary.
15
Do you have any tips for successfully managing one’s work-life balance? What are your thoughts?
What the majority of experts recommend, regarding this matter, is to have a clear delimitation between work and personal life. This state can be easily achieved when each person has his/her priorities set. Another piece of advice is to focus during workinghours so that all tasks for the respective day are successfully completed. Consequently, by
leaving work on time, one has more leisure time available. However, a realistic approach to managing the work-life balance is, ultimately, the most efficient solution. For example, it might be difficult to avoid working over hours when one lacks money, is in a top management position or is working at a time-limited project. Although there is no standard strategy for effectively gaining a proper work-life balance, each person should be aware of their own goals and prioritize work and leisure accordingly.
16a
Academics: We are developing a database of Performance Management subjects and degrees. Which are the subjects/degrees you have come across and at which university? (i.e. subjects or degrees such as the Masters in Managing Organizational Performance). The university subjects and degrees that the interviewed academic has come across are: Strategy and Performance Management, pertaining to the University of Georgetown, the Master of Commerce (Performance Management), within the University of Adelaide, the Regis University’s MBA in Organizational Performance Management and, lastly, the Master in Performance Management and Workplace Learning, offered by the Leicester University.
16 b
Practitioners: Which are the recent achievements in generating value as result of Performance Management put in practice in your organization? Achievements enlisted by practitioners reflect the level of implementation of a Performance Management system within their respective companies. Basically, this translates into improving performance based on the Balanced Scorecard results, raising awareness regarding the importance of such a system and the processes it encompasses, reforming the system so that it reflects the needs and goals of the company and improving overall processes.
16c
Consultants: As a consultant, what are the most common issues that your consumers have signaled, related to Performance Management? Interviewed consultants enlisted several issues that they have frequently encountered, most of them linked to an incomplete or superficial implementation of the Performance Management System. Consequently, objectives and goals were not aligned across all organizational levels, KPIs did not reflect reality, performance appraisals or review meetings were not held, employees were reluctant to change and, lastly, motivation levels were very low throughout the entire company.
PERSPECTIVES
Practitioners’ Perspectives Interviewed practitioners focus more on individual aspects related to Performance Management, those items which are encompassed within their area of expertise, mainly. Although practitioners can envision the entire system and the gears that are put into motion, they can
truly assess those areas where they activate in, such as Human Resources, Knowledge Management, Risk Management etc. As practitioners, interviewees can truly reveal the benefits of a Performance Management System, as many have witnessed not only an increase in profits, but a mentality
improvement, as the system enables communication, transparency, it puts more focus on what really matters and it enhances continuous improvement both knowledge-wise and process-wise. After drawing the line, improvement is good no matter the context.
possible results are generated. The enlisted 2014 trends in Performance Management were: social Performance Management, ethical Performance Management and Performance Management across the value chain. Educational programs should draw more focus on these trends, and on the 360 degrees approach to the discipline. However, there are several drawbacks, such as the
lack of a universal compensation system and people’s resistance to change. When speaking about personal performance, the interviewed academic praised the personalized Balanced Scorecard which he has been successfully using for more than 6 years, with notable progress registered towards achieving his objectives.
consultants stress out the need to maintain such a system as simple as possible. This is the most suitable manner to remain realistic regarding goals, it is simpler to spot issues and to apply corrections where needed and it is easier to get the buy-in of employees and stakeholders and to increase overall performance. On the other
side of the spectrum, a sophisticated system might pull down performance objectives as employees and management lose the overview of what is truly important for the company and might encourage confusion and reticence towards performance-related processes, such as measurement and activity monitoring.
Academics’ Perspectives The interviewed academic’s view on Performance Management is qualitycentered, as he sees the entire process being driven by the need to improve processes and to empower employees. The implementation process needs to be thoroughly completed, as only a holistic integration – from organizational, to departmental, to individual – can ensure that the best
Consultants’ Perspectives Consultants interviewed for the Performance Management in 2014: ASEAN Special Edition report emphasized, overall, the need for a complete and thorough implementation of Performance Management, even if the beneficiary entity is a company, an institution or an entire state. However, at the same time,
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INTERVIEWS The following interviews are alphabetically arranged with regards to the interviewees’ last names within each of the three categories: Practitioners , Academics and Consultants.
Practitioners Interviewee name: Aiza Azreen Ahmad Title: Chief Strategy and Transformation Officer Organization: Bank Rakyat Malaysia Country: Malaysia
1. What does the term Performance Management mean to you? Performance Management has different definitions to different people, doesn’t it? However, I normally define Performance Management as a way to control behavior, and also a way to inspire your behavior, once you set goals, and the visions and the aspirations of what you want to be, as an organization. Performance management ensures that the behavior, the deliverable, is appropriately managed towards a set direction. That’s my definition of performance management. It actually transcends human resources aspects, and heads to personal skills sets and competencies. 2. What do you think drives interest in the area of performance management? Well, there are few things that drive interest in performance management. To be very honest with you, at individual level it is really about the rewards, about having clear expectations, job clarity, and what needs to be done in order to get to the point where the person wants to be rewarded. It could be a reward consisting of money, but it can also be a reward in terms of job extensions, schooling, or something that aligns to the person’s career. But, at the organizational level, what drives interest in performance management is to make sure that you have a balance between strategic achievements that is what will actually take the organization to the next level, or operational achievements that make sure that everything is in place to get you to the next level. I’m giving you information from two perspectives: what drives 12
interest for the individual, as well as for the organization. Another thing that drives interest into performance management is really about aligning the whole company, from the top level management, all the way down to the clerical stuff. Therefore, performance management kind of links all these things. 3. What are your thoughts on Performance Management at departmental level? The most critical part of making sure that performance management is implemented well, effectively, and efficiently is happening at departmental level. Sometimes, at departmental level, people struggle to have clear job scopes, job clarity, because times are changing. Rakyat Malaysia Bank is not the most profitable bank in Malaysia, so, to be a profitable bank in Malaysia, a lot of unplanned activities are required of you. Therefore sometimes, at departmental level, you have expectations to deliver certain work, of a certain quality, and quantity, but there also are other things that you have to do before you deliver that. 4. What do you think about KPI trends in 2014, from the point of Performance Management? We can intertwine financial and operational KPIs to offer a perspective about KPI trends in 2014. We suffered the economic downturn sometime in 2000. Therefore, what happened, and what is still happening, is that performance management is divided into scorecards and all the KPIs it place emphasize on financial aspects. Sometimes, the financial side has more than 5 to 20% usage. And, for an
organization to just focus on the financials, and not actually look at other KPIs. These are customers, people, operations, the three elements, or inputs that increase your financials. So, I see that, in 2014, the KPI trends that are still prevailing from the last couple of years are financial KPIs. They are still being given a special treatment and they are still being seen as the most important. This takes 20% from the scorecard and I don’t think that’s the way we should be doing things because we compromise other things. In a nutshell, in 2014, the financial KPIs are still the prevailing trend. And I think this has to do with the economic downturn from which we are still recovering. 5. Is there also a shift towards the nonfinancial KPIs within scorecards, or are the financial KPIs still predominant? I can see that financial KPIs are dominant but, what I have observed as well, is that there seems to be more appreciation for customer related KPIs. Organizations are starting to realize that the biggest input to their revenue is really related to customers: how much of the customer’s disposable income, by this I mean the gross salary, or the net salary after tax, can you actually get into your bank account, based on financial KPIs and such. I can see now that there is a revival in terms of customer KPIs. I still feel that the trends in 2014 are not really emphasizing the people sector that much, meaning that the people-related KPIs are Number of Training Days, for example, which I think is a little bit operational. I would certainly like to see from 2014 and on, KPIs like talent management, succession planning, how you move up the ladder, and others similar to these, expanded. In terms of operational KPIs, I still feel that these more inclined towards quantity rather than quality. They quantify a number of effects per week, so these operational KPIs are still quantity-dependent. What about KPIs like number of resolutions? There a discontinuity in the KPIs sorted for 2014. They still focus on quantity when they have to focus on quality.
PERSPECTIVES 6. What aspects of Performance Management should be explored more through research, in your opinion? I think, it’s a situation of how to eat an elephant bit by bit. If The KPI Institute would look into the people side of the KPIs, it would be very good. This can be done by researching, publishing and helping an organization to really manage the people, especially organizations in the commodities, industrial goods, banking and finances industries. What I mean is how do you extract the talent, the competency? So, I think, in terms of research, if we could have a little bit more focus on the people side then, at least, it would help someone like me to stop having KPIs such Number of Training Days. It is really about how we move people from where they are, up to the top. Another thing that I would like to see is if we can be radical, or even revolutionary. Can we look beyond the four perspectives of the Balanced Scorecards, can we see those as a loop? Meaning that the financial perspective goes to customers, then to operations and to people, but what would be the center point? Because everything is all in a square. Can we change that? Can we have more interconnectivity? That’s what I would probably like to see in the research. 7. Which companies would you recommend to be looked at due to their particular performance management results? If we’re talking about the banking industry, I would certainly recommend some of the banks in Europe, for example Santander Bank or BNP Paribas. As for companies, how about Yahoo! or Facebook, how do they manage their performance? Companies like Alibaba, Apple number 500 billion in terms of their net worth which is equivalent to Malaysia’s whole country value. Literally, companies like Facebook can buy a country. How did they manage that through performance management? I would, certainly like to look at that area. Other companies that I would like to look at are the top players in the Banking Industry, like Goldman Sachs. However, they are more centered on banking investments, I think. It would also be interesting to see if there is performance management in fashion, or in the film industry. I would like to see those non-traditional industries in terms of how performance management is handled. Even though the competency of companies like Facebook has a lot to do with social media, there still is something there that companies, in a banking industry, or a commodity industry, can lend from them. It will be good to know how they managed customers’ expectations, or their
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You cannot do the same thing over and over again, using the same formula. Times have changed. The world has changed. Adapt!
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employees. Or even what a plantation industry can learn from Microsoft. 8. Which are the challenges in today’s performance management practice? At my level, the challenges are about the stakeholders. When we run an organization we have stakeholders, and the challenge is related to the expectations of the stakeholders, and whether these match those of the company or of the bank. But we understand that stakeholders sometimes have their aspirations, their visions, they want to drive the business. So the challenge related to performance management, at least, in my area, although I have seen this tendency almost everywhere I had worked, is connecting the dots: connecting the expectations of the stakeholders to what we can actually do as the managers of a company. That’s the challenge. I think that, over the years, The KPI Institute has done a good job since people now know what KPIs are, and they actually talk about having KPIs to make sure that they get the rewards. Previously, everyone asked for rewards because they simply wanted them, or because they thought they deserved them. But now, rewards are given according to their KPIs. That’s the question they ask, and it’s great! Things have changed over the last 10 year, which is fantastic! 9. What improvements would you bring to the tools and processes of Performance Management? When it comes to setting a KPI, we use the smart, specific, measurable action, that is also realistic and time bound. We do this time and time again. But, what I think I need to see among practitioners, me included, is that when you set KPIs, you shouldn’t focus only on the statements, as Number of Customers Acquired per Month to represent the value of something. Let’s say you use this same KPI for three years. By the end of this period, the system beats you, because you, in turn, think that you can beat the system just by having the number of acquisitions translated into KPIs. However, I see proficiency in terms of quality. So, when you measure the Number of Customers per Month, which offer you a
value, you have to ask yourself, is this really the quality that you want? In the banking industry, at least, it is not the number of customers, but the number of customers who can actually be paid by you. So, the proficiency level I want to see in upcoming KPIs is actually based on thinking beyond numbers, beyond quantity. This is how you capture the qualitative part. I also have to struggle with that because, at the end of the day, you have to provide numbers. For example, in banks these days, they are all pretty much scrambling to go into the social media space because they realize that no one wants to come into the branch anymore. People want to complete transactions online, rather than over the counter. Therefore, which are the KPIs that you could implement? Although we are moving towards a non-traditional way of banking, the KPIs are still measuring traditional processes. Therefore, when someone does not have KPIs that push people in the banking business, or every other industry, into the realm of social media, such as Number of Acquisition of Customers Globally, then we, as a business, will fade. So, I would like to see proficiency in terms of coming up with and enforcing non-traditional KPIs. 10. What do you consider as best practices in Performance Management, especially within the ASEAN region? The Sean Darby Group has a quite sophisticated practice in terms of the performance management, their processes are good, their education level is high, meaning that they go and engage the people, and they educate them in terms of KPIs and Balanced Scorecards. One of the big banks here, Maybank, also has a very sophisticated way of managing performance and, when I say Maybank, I mean the group which owns the investment bank. Other places with good management systems are companies like Top Gloves. They started they’re business by producing rubber gloves, and now they are the biggest condoms manufacturers. I don’t know if you know this, but Malaysia is one of the largest condom producers in the world. 11. Which aspects of performance management should be emphasized during educational programs, both in universities, and in training courses? This, again, is related to smart KPIs. I think one of the things that have to be emphasized in educational programs is not just to come up with smart KPIs, which is about quantity, but how to focus on quality as well. Quality
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PERSPECTIVES KPIs refer to people, customers, changing, by a little bit, operational KPIs. Such things should be included into your educational programs. These days, companies are going cross-borders and, unfortunately, when you go cross-borders, you encounter different regulations. Now I would really like The KPI Institute to look into cross-borders KPIs. For example, how does someone in China track someone in America, when they do business? And it’s not about the quantity, but the quality, and the sustainability of the business. Talking about the sustainability, I would look at companies that have endorsed non-traditional KPIs that look into the green projects, such as sustainability, eco programs, or the eco footprint. 12. What do you think that educational programs, particularly within the ASEAN region, lack, in terms of Performance Management? I haven’t seen the syllabus of any performance management related educational program. I’m talking only from the perspective of the newly graduates that come to me, seeking to work. I think that, worldwide, we must emphasize the educational value of Performance Management in order to understand that every behavior has consequences in your work and in your life. Additionally, you should set goals for yourself and have a controlling mechanism to achieve them. Why I say this in a philosophically way is because whenever graduates come to me I don’t think they think in terms of KPIs although they learn them, they are not at the top of their minds. Even though they had learnt them, they don’t think about improving. I think that educational programs focused on KPIs need to address this issue. 13. Which do you think are the challenges that Malaysian companies battle with while trying to achieve higher proficiency levels in Performance Management? I think this, again, is related to the emphasis being placed on financial KPIs, and it occurs when you are focusing on those too much, but you focus too little on customers. We have to be more mature about how we perceive the importance of customers, the importance of branding, and the importance of perception. I think that we have to be a little more mature when regarding all these aspects. Because, right now, if you just consider the financial perspective, but you don’t really think about customers’ perception and you do your operational KPIs based on recurring actionable items, you will have, basically, a static performance, you’re not growing. 14
And even if you’re growing, the incremental growth is probably very small. There is very much confusion, or preconceived notions regarding the fact that financial KPIs are always the most important. I think that this has to be changed through vision. As you know, most of the Asian countries that are either emerging, or are third world countries. So, the first thing that we believe will actually take us to the level of European countries, would be to get more money. I think that is the biggest mistake anyone can do, thinking only about money, without looking at any other aspects. 14. If you are to name a few aspects governing Performance Management in the Asian area, those would be? Financials and financial operations. That’s it. The human element is either not there, or it is compromised. 15. What is your opinion on the emerging trend of measuring performance outside working hours? I think it’s wrong, it’s a fallacy if someone thinks now that they can actually grow within their own country. Now we need to move out. And because there are differences in the working hours, we really need consider the KPIs that measure that. What are the inputs, what is available, what are the outputs? Should we use the smart KPIs now that it’s a completely different contact? So, my personal opinion on the emerging trend of measuring performance outside working hours, is that, again, financials would not be the most important aspect, operations would not be the most important thing, but what are the other things that would replace these two quadrants? 16. Are there any kind of tools that you use to measure your Personal Performance? If yes, how have they influenced your life? The performance measurement tool that I use for myself is my job scope. What can I actually do to make sure that my work leads to strategic things? What actions transform, how much would they give to the company? Regarding what I perform, or what I transform, where do they take the company, in terms of positioning? So, whenever I do my job, I always measure myself in terms of the values that I’ve created for the company, the added value that I have given to the company, or the people I have inspired. Bottom line, I measure myself in that sense. If you look at my career progression trajectory, you’ll learn that it has expended quite fast. Right now, who would have thought that from a VP at Sime Darby Berhad, doing Performance Management, I would be given this job as a
Chief Strategy and Transformation Officer, which encapsulates everything that I have done in my entire professional life. So, these are the kind of performance measurement tools that I use: I always question myself if I have created value, or if I have added value and, if I had done that, how do I quantify it afterwards? These performance measurement tools are used in terms of: can I afford to buy a car, or a house, meaning that they are financialcentered. But how do you measure yourself in terms of success? I work a lot with corporate social responsibility so, the performance measurement tool that I use for myself, when doing charity work, for example, is probably about how many charities I’ve worked with in a year? Or if the charity is about teaching English at an orphanage, I ask myself how many of the children can speak English after I what I had taught them? I do use those kind of performance measurement tools, not only to measure the gains, but also what I like to do in my free time. 17. Do you have any tips for successfully managing your work-life balance? Well, if someone wants to manage their worklife balance, the first thing that they have to measure is discipline. They have to have selfdiscipline. If you come in the morning an you set up to do 10 things, at the end of the day, check back and see if you had done those 10 things. Because, if you have only done 8 out of 10, the 2 will spill over into the next day. And the next day there will be another 10 tasks out of 15. And, from my experience of working with so many nationalities, and across different countries as well, the one thing that the Asian part should learn from its western counterpart is not really about working hard, putting in the hours, and working late, but about self-discipline, and resourcefulness. And you cannot do the same thing over and over again, using the same formula. Times have changed. The world has changed. Adapt! I don’t really have a good formula for work-life balance, other than this: be focused, adapt, and adapt your capability and capacity. Also, be creative in terms of what you’re doing, because if you can do something in 5 steps, why don’t be creative, and cut it into 3 steps? That would free up your time for other things. Also, respond to the dynamics of the world. 18. Which are the recent achievements in terms of generating value as a result of Performance Management, put in practice in your organization? In one of the organizations that I’ve worked with, I was instructed to create another component for the CEO’s Balanced
PERSPECTIVES Scorecard. So, instead of having 4 quadrants, it actually had 5. The fifth one was about nation building. The fifth component of the scorecard were the KPIs that needed to be given to the CEO to help Malaysia build its capability. I think that the achievement that I’ve gained from that workplace was that, before my team and I came up with those specific KPIs, nobody really cared about nation building in that particular organization. They shied away from it. But, when we included those KPIs, we forced businesses to work with the Human Resource
department, we also mobilized an area that created jobs for the people in Malaysia and, also, we kind of mobilized an area that mad sure that affordable houses were being built. I think this is my recent achievement. So this is the key, coming up with certain KPIs, sort of mobilized the company to think about Malaysia, rather than just about their own departments and work. What I have done for Rakyat Bank, over the course of 2 months, is that I helped the CEO to look at a specific operating model. Previously to Rakyat Bank being profitable, there were so
many things that we were doing to make sure that everything is well structured. The value that was generated this operating model, is that people have clearer perspectives in terms of the bank’s strategic pillars and in terms of the responsibilities that had been assigned to them. And, in due time, I think we can come up with a performance management mechanism to make sure that everything is aligned to the vision, or to the implemented strategy. That is probably the biggest achievement that I have here, since the bank did not have a Performance Management system before.
Practitioners 6. Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results? - Cargill Philippines - MIESCOR (MERALCO Industrial Engineering Services Corporation) - Lopez Group of Companies
Interviewee name: Lauren Borja Title: Head of Corporate Strategic Planning Organization: BBV, Philippines Air Force Country: Philippines
1. What does the term Performance Management mean to you? Performance Management is an approach oriented towards achieving maximum results from engaging in any planned activities. It encompasses the utilization of both human, and material resources of the entire organization, under a particular system. This means that there is a kind of causal relationship that exists among the elements of business operations and processes that greatly affect the desired output; hence performance management is a way for an organization to constantly look into causal relationships and address the identified gaps.
that the elements and factors affecting this relationship are properly aligned, and linked together. This alignment provides a realistic picture of how organizations can best manage their capabilities to achieve the desired results across all levels. At the individual level, employees get to explore more of what they can do when they are able to relate their personal aspirations against those that are expected of them by the company. Performance Management at the organizational level, on the other hand, offers its people the pathways and architecture towards high performance.
2. What drives interest in Performance Management? Organizations are faced with challenges to sustain its operations, and this implies that they need to leverage their resources, such as human resources and other assets. Performance Management offers a balanced approach towards attaining this leverage.
4. What are the 2014 key trends in Performance Management from your point of view? - The application of Performance Management at the macro level, as it is implemented in the government; - Performance Management as a tool to measure progress in Organizational Development; - Performance Management applied beyond the HR perspective;
3. What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level? Again, there is a causal relationship that exists, over the course of operations, within the organization. It is important
5. What aspects of Performance Management should be explored more through research? - Performance Measures and its qualitative implications; - Performance Management architecture for enterprises under transition.
7. Which are the main challenges in today’s Performance Management practice? - Integration of Performance Management with other management systems and approaches; - Data relevance and subsequent interpretations; 8. What do you think should be improved in the use of Performance Management tools and processes? There is a predominance of Performance Management tools for HR, without proper linkage to other business processes that delimit the whole concept of Performance Management. 9. What would you consider best practices in Performance Management? Best practices in Performance Management in the Philippines have been anchored in the country’s Development Plan (2011-2016), with its three major undertakings: ResultsBased Performance Monitoring System (RBPMS), Organizational Performance Indicator Framework (OPIF), and Strategic Performance Management System (SPMS). These PM systems serve as models to various types of organizations to link employee performance and incentives against organizational targets. 10. Which aspects of Performance Management should be emphasized during educational programs? - Laying the PM architecture; - Competency in data analytics and PM measures.
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PERSPECTIVES
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Performance management is a way for an organization to constantly look into causal relationships and address the identified gaps.
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13. What is your opinion on the emerging trend of measuring performance outside working hours? I believe it makes sense to undertake measurement because, for every hour spent, whether for personal or for professional, at the end of the day, people engage in such activities, exerting efforts to reach an expected outcome.
11. Which are the limits in order to achieve higher levels of proficiency in Performance Management among practitioners? - There is a need to simplify the methodology of computing for results; - Shared meaning of PM across the organization, from a holistic viewpoint.
14. Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life. Yes, I have started applying the principles of Balanced Scored in my personal plans with identified KPIs. So far, I can say that both are very useful and can be applied simultaneously to give us a sense of direction in terms of classifying and prioritizing the things that generate more value.
12. If you are to name, in a few words, the main aspects governing Performance Management today, what would they be? - Integration of Strategic and Business Planning Systems and HRIS.
15. Do you have any tips for successfully managing one’s work-life balance? What are your thoughts? Firstly, I think that having a work-life balance is dependent on one’s goal, which
means that an individual has the power to plan and decide on how he/she wants to put the balance. Secondly, there are factors and circumstances that may hinder having work-life balance, like time and money; and lastly, it is the reality that it affects both the individual, and the organization’s productivity. In such case, there has to be a way for a work-life balance to take place. I would say that successful management of one’s work-life balance is simple economics that entails giving a careful thought of what can be done, given the limited resources, for optimum benefits. 16. Which are the recent achievements in generating value as a result of Performance Management implementations in your organization? Formalizing the practice of Performance Management amidst an ongoing organizational development proves to be a challenge; however, this generates consistency and coherence of acts among members of the organization towards realizing the corporate goals.
Practitioners Interviewee name: Men Chanbona Title: Monitoring and Evaluation Manager Organization: International Development Enterprise Country: Cambodia
1. What does the term Performance Management mean to you? Performance management involves the on-going practice of several independent processes related to planning, measurement, analysis, and data use with the intention to strengthen accountability, improve program effectiveness, and support policy- and program-related decision making. 2. What drives interest in Performance Management? Enthusiasts of performance management argue that it serves a key integrating role within an organization’s human resource processes. Firstly, it serves recruitment. Secondly it monitors employee performance and the relevance of their working behavior to business objectives. As such, it can be considered to be an important motivation tool. Thirdly, it provides a rationale for an 16
organization’s reward policy. In the fourth instance, it serves staff development. Taken at face value, these intentions seem entirely compatible with an integrated and strategic approach to human resource management. In reality, good performance management is a controversial matter, involving fundamental issues of motivation, assessment and reward. 3. What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level? Performance is referred to as being about doing the work, as well as being about the results achieved. It can be defined as the outcomes of work because they provide the strongest linkage to the strategic goals of an organization, customer satisfaction and economic contributions. The term “Performance Management and
Measurement” refers to any integrated, systematic approach to improving organizational performance, to achieve strategic aims and promote an organization’s mission and values. In that sense, Organizational Performance Management is quite different than individual Performance Management, which specifically targets the personal performance of an employee, although the latter comprises an essential part of the overall organizational performance framework. 4. What are the 2014 key trends in Performance Management from your point of view? Here are my key trends in Performance Management. Key trend 1: Linking performance management and risk management: The reason for why I see it as a key trend is that more and more organizations are actually linking the two areas more explicitly, and an increasing number of addressing problems now offer integrated risk and performance management. The way I have always proposed to link risk and performance is to look at risk for every strategic objective on your performance framework, and to develop key risk indicators (KRIs) that sit next to key performance indicators (KPIs) and allow
PERSPECTIVES you to assess and mitigate the risks of not achieving your strategic goals. Key trend 2: Creating a strategy and intelligence competency center: Strategy management and strategic business intelligence and analytics require a team that not only has the relevant skills, but is structured in the appropriate way. In order to sustain the management of strategy, I suggested creating (1) a strategy council, (2) strategic theme teams, and (3) an office of strategy management: •THE STRATEGY COUNCIL: A team made up of senior executives responsible for oversight of strategy development and execution. •THE THEME TEAM: A cross organization team empowered to execute the objectives of a strategic theme at an operational level. •THE OFFICE OF STRATEGY MANAGEMENT: A small team of performance management specialists who are responsible for designing and managing the Strategy Management Process objectives of a strategic theme at an operational level. Key trend 3: Linking strategic performance management with leadership and change management: PM is a system and process that impacts everyone in the organization. You can argue that performance management is the most important job of a manager. In fact, you could argue that the execution of the organizational mission is the only job of management. Leadership creates the vision and sense of urgency. Leaders communicate, inspire and motivate. Management provides the rigor, alignment, and discipline required to implement the strategy and achieve the vision. 5. What aspects of Performance Management should be explored more through research? There are various aspects of Performance Management that should be explored, in terms of research: • Identification and enhancement of desirable or effective work behavior; • Reinforcement of this behavior by linking rewards to measured performance; • Development of desired competencies and building human capital within organization. 6. Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results? There are two companies that I recommend you to look at: 1. Forbes Company 2. Lenovo Group
7. Which are the main challenges in today’s Performance Management practice? These are the main challenges which we have been facing so far: Incorrectly interpreted strategy of the performance approach: In practice, it is very often manifested by the staff as a strategy to reduce costs without a detailed explanation to all employees. In the extreme cases, we can get the opposite effect, i.e. reduced performance of individual employees, thus reducing the performance of their team and the whole enterprise. The incorrectly interpreted strategy of the performance approach can paradoxically lead to a reduction in corporate performance. Lack of necessary knowledge and skills: when managers are driven to improve their managerial skills in the concept of professional competence, the management sometimes does not realize the basic shortcomings of managers in this area. Unfortunately, it is not proven by practice that all managers are able to use various forms of training and courses to learn these skills, and although we argue that managers are not born but must be trained gradually, it is equally true that not every manager who learns managerial skills and techniques is able to acquire them well enough to be a good manager. Lack of top management support is a key milestone in the implementation of a strategy to increase business performance. If the senior leadership does not create the necessary background for these purposes, any efforts of individual managers are seriously weakened. Lack of confidence is a hidden variable in the formula defining the organization’s success. Although the company has an excellent strategy for increasing the performance, and has capable managers with the knowledge of methods and approaches of performance management and soft skills to meet the strategy, low confidence in the company can cause a decrease in the expected outcome. Conversely, high confidence can result in an even bigger increase of the expected result. 8. What do you think should be improved in the use of Performance Management tools and processes? Understanding the use of tools and processes can be improved by means of Performance Measurement approaches, which requires the knowledge of a simple kit of tools or techniques. The effective use of these tools and techniques requires their application by the people who actually work on the process, and their commitment to this will only be possible if they are assured that management
cares about improving quality. Managers must show they are committed by providing the training and necessary implementation support. 9. What would you consider best practices in Performance Management? These are the best practices in Performance Management that I have been learning from my practical experiences: Establish a Results-Oriented Set of Measures that balance business, customer, and employee: • Define what measures mean the most to customer, stakeholder, and employee by (1) having them work together, (2) creating an easily recognized body of measures, and (3) clearly identifying measures to address their concerns. • Commit to initial changes by (1) using expertise wherever you find it; (2) involving everyone in the process; (3) making the system non-punitive; (4) bringing in the unions; and (5) providing clear, concise guidance as to the establishment, monitoring, and reporting of measures. • Maintain flexibility by (1) recognizing that performance management is a living process, (2) limiting the number of performance measures, and (3) maintaining a balance between financial and nonfinancial measures. Establish accountability at all levels of the organization: • Lead by example. • Cascade accountability: share it with the employee by (1) creating a performancebased organization, (2) encouraging sponsorship of measures at all levels, and (3) involving the unions at all levels of performance management. • Keep the employee informed via intranet and/or Internet; don’t rule out alternative forms of communication. • Keep the customer informed via both the Internet and traditional paper reports. • Make accountability work: reward employees for success. Supplement or replace monetary rewards with nonmonetary means, reallocate discretionary funds, and base rewards in a team approach. Collect, use, and analyze data: • Collect feedback data, which can be obtained from customers by providing easy access to your organization; remember that “survey” is not a four-letter word. • Collect performance data by (1) investing both the time and the money to make it right, (2) making sure that your performance data mean something to those that use them, (3) recognizing that everything is not on-line or in one place, and (4) centralizing the data collection function at the highest possible level.
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PERSPECTIVES •Analyze data: (1) combine feedback and performance data for a more complete picture, (2) conduct root-cause analyses, and (3) make sure everyone sees the results of analyses. 10. Which aspects of Performance Management should be emphasized during educational programs? During the educational program, Performance Management should be emphasized on Performance Management systems which consists of: • Performance Indicators: - Identify relevant indicators - Select indicators • Performance Management - Use PMTs - Collect data/information regarding indicators • Quality Improvement Process - Verify and use existing data in policy and decision-making - Manage change - Create a learning organization • Reporting of Progress - Undertake regular monitoring of progress - Report to managers, staff, Policy makers and constituents - Actions for Improvement 11. Which are the limits in order to achieve higher levels of proficiency in Performance Management among practitioners? Here are the limitations: Absence of Integration: the performance management system has to be integrated with the strategic planning and human resource management systems, as well as with the organizational culture, structure and all other major organizational systems and processes. Lack of Leadership Commitment: leadership commitment and support is a must for smooth implementation of the system. Leaders must drive the process and make performance management an integral part of the management of the company. Ignoring Change Management in System Implementation: strategic management of change is a vital part of implementing the system. Driven by the top management, it involves careful management of resistance. Communication would be a major intervention and a key tool in managing the change. Implementation milestones and schedules must be followed. Proper documents must be in place. Incompetence: competence to use the performance management system is necessary to ensure smooth implementation of the system. 18
12. If you are to name, in a few words, the main aspects governing Performance Management today, what would they be? Domain: the domain is the focus of the performance management efforts, e.g., the entire organization, a process, subsystem or an employee. A subsystem could be, e.g. departments, programs (implementing new policies and procedures to ensure a safe workplace; or, for a nonprofit, ongoing delivery of services to a community), projects (automating the billing process, moving to a new building, etc.), Performance Plan: the plan usually includes at least the domain’s preferred results, how the results tie back to the organization’s preferred results, weighting of results, how results will be measured and what standards are used to evaluate results. Performance Gap: This represents the difference in actual performance shown, as compared to the desired standard of performance. In employee performance management efforts, this performance gap is often described in terms of needed knowledge and skills which become training and development goals for the employee. Performance Development Plan: Typically, this plan conveys how the conclusion was made that there was inadequate performance, what actions are to be taken and by whom and when, when performance will be reviewed again and how. Note that a development plan for employee performance management may be initiated for various reasons other than poor performance.
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Performance Management and Measurement refers to any integrated, systematic approach to improving organizational performance, to achieve strategic aims and promote an organization’s mission and values.
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13. What is your opinion on the emerging trend of measuring performance outside working hours? The trend of measuring performance outside working hours is crucial as it would contribute to achieve intended objectives that organizations want their employees to reach, alongside the desired target.
14. Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life. Yes, I am now using my personal performance measurement tool called “Performance Development Management”. Performance Development Management tool helps me to grow and develop, will help me to progress the individuals through the organization. I can be building on strengths that the organization needs - both in my division and in other areas. A solid, well-formed performance measurement gave me a powerful tool for addressing poor performance issues, should they arise. If I, and my employees have agreed upon what their duties and responsibilities are, then I have something to refer to when they are not holding up their end of the agreement. Performance measurement also helps me to develop my team members. I can use it to stretch their capabilities, to challenge them to step outside of their comfort zone. Doing so will provide opportunities for individual growth which, in turn, will help to fuel their enthusiasm for their job. 15. Do you have any tips for successfully managing one’s work-life balance? What are your thoughts? 1. Refocus Your Priorities Each of us has our own priorities. In the workplace, some people focus on getting a lot of benefits by doing a job well. Their main priority is to earn money, more money, and get a promotion. If this is the main reason why you are spending most of your time in the office, or in your business, then you are leading into a wrong path. No matter how hard you work, or how much time you invest in your job or career, if your intention or purpose is not good, it will eventually lead to failure and job burnout. 2. Make Your Career Your Friend You chose to venture into the business or field you’re in now because it’s where your skills fit and you love to do it, right? This may sound as an old cliché, but it’s one thing everyone should always remember: doing what you love will never feel like work. The reason many employees or workers hate their jobs is because they treat it as their enemy. They don’t enjoy doing it and they complain every time things aren’t going their way. If you don’t like this exhausting and stressful lifestyle, then you should treat your job as your friend. Seek out tasks and discover new things. Enjoy everything about it because if you do, you will never feel tired and stressed. 3. Don’t Let Work Dictate Your Level Of Commitment Some people depend their level of commitment to the amount of work that
PERSPECTIVES they’ve accomplished. This should not be the case. As a professional, you must learn to set some boundaries between work and social life. Your job is not forever, but your relationships with people and things will last a lifetime. Don’t give all of your time to your clients or customers. Your family and friends also deserve at least some of your precious time. 4. Respect Your “Me” Time Respect your private time in the same way you respect your clients or co-workers’ time. If
you set a time for yourself or for your family, try your best not to take work home. Give yourself enough time to rest and sleep. You need it in order to become more productive and focus in things that you do. 16. Which are the recent achievements in generating value as a result of Performance Management implementations in your organization? Here are the recent achievements in
generating value, as a result of Performance Management implementation in my organization, highlighted below: 1. Achieved the target of increased annual profit for vegetable farmers. Target: $280 Achieved: $565 2. Achieved the target of target clients set during implementation. Target: 1000 farmers Achieved: 1351 farmers
Practitioners 9. What would you consider best practices in Performance Management? A fewer number of KPIs which offer a wider coverage of the organizational strategy. The number of KPIs at corporate level unit of organization shall be of a maximum of 25. The lower organizational level, the smaller number of KPIs it should have.
Interviewee name: Yan Yohanes Abdullah Title: Business Process Manager, Performance & Risk Management (BPPRM) Organization: CNOOC SES LTD. Country: Indonesia
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No activities without clear purposes and without successful measurement!
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1. What does the term Performance Management mean to you? Management tools used to formulate strategy execution, monitor its achievements through dashboards, and make corrective actions if there are any deviations from those achievements. 2. What drives interest in Performance Management? The Transparent Reward System which is linked to performance score. 3. What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level? Strategic objectives and KPIs shall be aligned from company level down to divisional, departmental, and individual level. KPIs at any particular level must be supported by KPIs from the respective downline unit. 4. What are the 2014 key trends in Performance Management from your point of view? Integration between performance management and risk management, between
KPIs and KRIs, between Strategic Initiatives and mitigation plan, between Critical Success Factors and Critical Risk Factors. 5. What aspects of Performance Management should be explored more through research? KPIs for non-core department need to be standardized and more effective in supporting core departments. This is a common mistake, experienced by many organizations. 6. Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results? General Electric Company and Samsung Corp. 7. Which are the main challenges in today’s Performance Management practice? To encourage Top Management to use Performance Management not only as measurement tools but, more than that, to frame, formulate, and execute the company’s strategies. To encourage top management to be more focused on strategic KPIs. 8. What do you think should be improved in the use of Performance Management tools and processes? The quality of KPIs needs to ensure a direct impact on achieving strategic objectives. Additionally, Performance management applications have to be linked to business process applications.
10. Which aspects of Performance Management should be emphasized during educational programs? Quality of KPIs, for instance, how close are the results of the KPIs to the results of the Strategic Objectives. 11. Which are the limits in order to achieve higher levels of proficiency in Performance Management among practitioners? Knowledge about streamlined business processes, adequate internal control. 12. If you are to name, in a few words, the main aspects governing Performance Management today, what would they be? Alignment, monitoring through dashboards, corrective actions which ensure achievements at the end of the year, special units that manage performance management, commitment of top management representatives. 13. What is your opinion on the emerging trend of measuring performance outside working hours? It is great! It is already appreciated in our company. For instance, employees are encouraged to get involved, or to participate in professional activities outside the office, such as activities in professional associations, hold speeches in seminars or conferences, facilitate workshops or trainings, etc. 14. Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life. KPIs have been adopted in our family together with the slogan: “No activities without clear
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PERSPECTIVES purposes and without successful measurement (KPIs).” My daughter used KPIs during college, and she managed her KPIs successfully. Overall Academic Score is the first KPI, with a set target of 3.1. She exceeded the score of 3.47 out of a 4 range. Second KPI, Length of time in college with a target of 4.5 years. She graduated in 4 years. Thirdly, Nr. of non-academic activities, which had a target of 3, and she exceeded it with 5 activities. Finally, Length of time non job after graduation with a target of 6 months. She got zero as she was hired one day after graduation. How have KPIs influenced my daughter? She put those KPIs in her room, she look at them every day, she updated them
every semester, and she created strategic initiatives to achieve all the targets. 15. Do you have any tips for successfully managing one’s work-life balance? What are your thoughts? First, we have to have passion, this is the prime mover or energy source. Secondly, we have to have skills to channel our passion. Thirdly, we have to have a clear, and meaningful purpose, i.e. Value Creation. The more value created, the happier we get in our life. The only one mission of human kind to exist on this planet is for the sake of value creation, nothing else. If we believe, and follow this way of life, it will
make our life balanced. 16. Which are the recent achievements in generating value as a result of Performance Management implementations in your organization? 1) Integrating performance anud risk management in one dashboard application (QPR). The implementation is very helpful for Top Management, in order to monitor the progress of strategy execution, and decide corrective actions as early as possible. 2) We got the Ventana Research Award 2010, which is given to leaders in process, people and technology management.
Academics Interviewee name: Linda Puth
that individuals produce against the objectives, for instance.
Title: HR Management Officer Organization: Save the Children International Country: Cambodia
1. What does the term Performance Management mean to you? Performance Management is one of the HR strategies used to manage employee and organizational performance with effective and user friendly tools, systems, approaches and disciplines. Performance Management is becoming well-known and awakens the interest of both profit, and non-profit organizations. There are three main parts underlying in performance management tools – competencies against typical behavior, development plan identified for career aspiration/future goal, and SMART objectives set for the year, with key success measures. 2. What drives interest in Performance Management? The three key factors that help drive interest in Performance Management are: merit increase based on performance (rewarding), improvement areas (development needs) of individuals, department and organization, and the real ability, supported by tangible evidences, to operate effectively and efficiently with SMART goals and objectives. 3. What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level?
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From my personal perspective on the relationship between Performance Management at the three levels, I think that they are interconnected with one another. One cannot be done alone; all levels need to be done together. The process should be a top down approach, in which the top management should strongly drive the process and make it happen throughout the organization, from organizational down to departmental, and individual level. 4. What are the 2014 key trends in Performance Management from your point of view? It’s linked to strategic leadership and change management in the organization. Another key trend is to help people understand that Performance Management is a tool to improve an organization’s performance and to maintain the continuous success within the organization and for our target recipients. 5. What aspects of Performance Management should be explored more through research? I think that Performance Management monitoring and evaluation should be explored more through research study. Monitoring and evaluation should focus on how to measure the key success measures
6. Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results? The companies I would like to recommend are multinational companies whose business is focused on trading and selling products, and international organizations that are using standardized systems and tools. These institutions also have high potential and lots of opportunities to grow. 7. Which are the main challenges in today’s Performance Management practice? In business sectors, doing Performance Management might be easier than in the development sectors, as the general concepts of performance management are associated with judgment, and counting the numbers of achievements and results with little flexibility. In the development sectors, there is an entire range of the same questions asked, such as “What’s in it for me?” and “How to set SMART objectives and measure the success?” 8. What do you think should be improved in the use of Performance Management tools and processes? The communication before the planning, mid-year and end year review period should be improved. This means that employees should be aware and well prepared in advance for their review and planning. The competency framework used to measure and improve the standard behaviors should also be improved in terms of defining positive and negative indicators.
PERSPECTIVES 9. What would you consider best practices in Performance Management? The Performance Management best practice that I would consider is the continuous improvement and development of individuals, departments and organizations. The volunteer involvement of top management and all levels of managers to engage and be role models is vital in promoting an effective performance management shared culture. 10. Which aspects of Performance Management should be emphasized during educational programs? I think it would be interesting if people can be trained on how to set goals and objectives which are specific, measurable, attainable, relevant and timely (SMART). Introducing some standard tools for performance management, understanding and being able to set and measure the key performance indicators (KPIs) is also useful and should be emphasized in educational programs. 11. Which are the limits in order to achieve higher levels of proficiency in Performance Management among practitioners? The common understanding and language among management teams and all of the staff limits the achievement of higher levels of proficiency in Performance Management, among practitioners. However, this can be solved by having great coordination from human resources experts.
12. If you are to name, in a few words, the main aspects governing Performance Management today, what would they be? Performance Management today is about management by objectives, building organizational performance, strong team work and individual talent. 13. What is your opinion on the emerging trend of measuring performance outside working hours? I think that it is good way to measure the performance outside working hours as we also want to see more improvement within our personal life, keeping us aware that in everything we do, we want quality. 14. Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life. Definitely, I’m using a tool for my personal performance measurement. The simple way is to plan on every task ahead every day. I spend at least five minutes during early mornings to think of what needs to be done at the end of the day. I keep reminding myself that every single thing I do today is for the best of my abilities, and I will always be happy about the end result that I achieve. 15. Do you have any tips for successfully managing one’s work-life balance? What are your thoughts? It’s not that difficult to manage my work-life
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The Performance Management best practice that I would consider is the continuous improvement and development of individuals, departments and organizations.
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balance. It might not be true for those whose positions are top leaders and managers. However, I don’t think there are many obstacles. First of all, it should start from each individual who has to bear in mind that “Life is short.” Then, why not live life positively with thinking, speaking and doing. Life is not that easy, but we do have some choices if we want to find it out and open up. 16. Which are the recent achievements in generating value as a result of Performance Management implementations in your organization? Performance Management has been transformed from an old practice, to a modern practice by using strategic approaches, principles as well as systems to improve employee engagement and performance in each department.
Practitioners Performance Management is holistic and a cycle that begins with planning (work & expected deliverables/output), monitoring the behavior and performance results, developing employee capabilities, coaching and giving rewards and recognition.
Interviewee name: Ma. Margaritha B. Romero Title: Head of Human Resources Organization: MGS Corporation Country: Philippines
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Performance Management starts with clarifying the relationship between the organization’s measurable goals & objectives, and the employee’s job & expected work results.
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1. What does the term Performance Management mean to you? Performance Management is a process which reviews employees’ work efforts that contribute to achieving the organization’s mission. It entails a continuing communication process, undertaken in partnership between the employee and his or her immediate superior, which involves establishing clear expectations and understanding these in order to achieve the organization’s mission, vision and goal.
2. What drives interest in Performance Management? It is a social process, a continuous communication and feedback between the employee and his/her immediate superior. 3. What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level? Performance Management is inter-related with the organizational, departmental and individual levels since it is a continuous cycle. PM will start with Performance Planning, wherein the whole organization sets its targets based from its mission, vision and
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PERSPECTIVES
goal. This will then be cascaded down to each departmental goals/objectives and target. The heads of each department, together with their subordinate(s), formulate their department & individual key performance indicators based on the department’s Key result Areas (KRAS). Performance Management starts with clarifying the relationship between the organization’s measurable goals & objectives and the employee’s job & expected work results. 4. What are the 2014 key trends in Performance Management from your point of view? Trends in Performance Management are now focused on simplification and less use of paper and pencil evaluation. Managers and staff are now focused on giving regular feedback and, at the same time, coaching for development. I might say that the 2014 trends in PM made, in a way, an impact on the way organizations manage the evolving workforce that has become very individualized in approach; the management expectations of HR are playing a more strategic goal and the increasing need to play a more integrated role in the business. In summary, PM must have a business value. 5. What aspects of Performance Management should be explored more through research? We should continuously look for new tools that will make Performance Monitoring and Feedback realistic and measurable. Formulate KPIs that are attainable. Data gathering and monitoring tools should be appreciated by both parties - the evaluator and evaluated. 6. Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results? Business Process Outsourcing, Telecommunication companies and nonprofit organizations, and governmental organizations. 7. Which are the main challenges in today’s Performance Management practice? Main challenge in today’s PM practice is to be 22
always updated in terms of Monitoring tools and continually research on what will fit in to a certain industry or field. 8. What do you think should be improved in the use of Performance Management tools and processes? Companies should review annually if their performance management processes are still empowering employees and improving organizations, as well as employee performance. They should try to simplify the process and eliminate ranking and ratings. Be more focused on giving continuous feedback. 9. What would you consider best practices in Performance Management? The best practices in Performance Management is giving continuous feedback, don’t wait for the annual review & discussion. Have a Performance Improvement Plan (PIP) to help the employees catch up and fill any performance gaps. 10. Which aspects of Performance Management should be emphasized during educational programs? During educational programs, there should be more focus on establishing and creating stretchable goals and realistic KPIs. There should be more interest and emphasis on Performance Monitoring, Feedback and Performance Rewards. 11. Which are the limits in order to achieve higher levels of proficiency in Performance Management among practitioners? Limitations may either come from Management or from the employees. It could be a result of lack of commitment and dedication, lack of knowledge and skills, and lack of expertise and experience. Other limitations are lack of motivation, knowledge and proper training. 12. If you are to name, in a few words, the main aspects governing Performance Management today, what would they be? Performance Management is a cycle and a continuous communication process. It has 5 components - Planning, Monitoring,
Developing, Rewarding.
Rating/Evaluating,
and
13. What is your opinion on the emerging trend of measuring performance outside working hours? Due to flexible working hours and the trend of outsourcing jobs or work performance, evaluation and monitoring tools have to be aligned. When a person is already at the management level, he/she works beyond the regular working hours, plus, the trend of being on call and online 24/7 will always be part of the package. Online monitoring will now be part of our everyday lives. 14. Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life. Yes, I have a log sheet of my activities for the day with remarks & status. This has helped me monitor my tasks (personal & professional). It reminds me if I am on target or on time with my plans. 15. Do you have any tips for successfully managing one’s work-life balance? What are your thoughts? When setting your goals, whether at work, or your personal goals, these should always be realistic, measurable and time bound. 16. Which are the recent achievements in generating value as a result of Performance Management implementations in your organization? As an HR practitioner, I was able to generate value by making the department heads realize that setting measurable goals and expectations at the start of the year, having the commitment to monitor employee performance and giving continuous feedback when needed are all important in the organization, department, and, most especially, in the individual level. Department Heads should always involve their staff in the process. And lastly, HR has continuously worked with management on introducing different ways of rewarding employees. As I have mentioned previously, PM should have a business value.
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Practitioners Interviewee name: Chryzl Torres Sicat Title: Project Development Officer II, Alignment Officer-Strategy Management Division Organization: Local Government Unit of the City of San Fernando Pampanga Philippines Country: Philippines
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It is a system that makes people proactively identify their respective responsibilities, and not just be reactive on what tasks are assigned to them, from time to time.
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1. What does the term Performance Management mean to you? It means aligning the individual and departmental effort and performance to the overall strategy, to achieve a common goal. It is the POSDCORB of performance— Planning, Organizing, Structuring, Directing, Coordinating, Reporting and Budgeting — to be able to unify all the efforts of the organization to the overall vision. 2. What drives interest in Performance Management? Based on my personal experience regarding performance management, I can say that the need of people to be relevant, and to be able to contribute to the significant change and accomplishments of the organization is what drives interest in performance management, at the individual level. It is a system that makes people proactively identify their respective responsibilities, and not just be reactive on what tasks are assigned to them, from time to time. 3. What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level? Performance management at the organizational, down to departmental, and individual levels, should be aligned. The organization shall be responsible in setting the overall target performance level and must also indicate the impact of organizational performance to major stakeholders. Department level performance must identify itself on the strategy set by the organization.
Individual performance must be aligned to that of the department, to ensure the overall participation in pursuit of the overall organizational strategy. In our organization, this top to bottom approach in strategy execution is apt, paving for the identification of breakthrough results in the management of performance. 4. What are the 2014 key trends in Performance Management from your point of view? In our organization, 2014 was a significant year in the establishment of performance management at the individual level. Being in a government organization in the Philippines, we are confined to a stereotype of service attributed to underperformance. The key to change that stereotype and mindset is to cascade performance management to the individual level. This way, strategy will be understood across all levels of the organization, not by the word itself, but by what it represents in the organization in terms of performance. 5. What aspects of Performance Management should be explored more through research? Organizational behavior management should be researched more, to aid in the implementation of performance management systems within organizations. In our experience, opposition to performance management stemmed and, continues to this day, because not much change management is undertaken, or it is, basically, applicable to be effective in managing the organizational behavior change, alongside the installation of various performance management mechanisms. Behavior management interventions in performance management would help in the rapid cascading of organizational strategies. 6. Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results? Government agencies known to adopt
the balanced scorecard way of executing strategy—like Abu Dhabi Government/ General Secretariat of the Executive Council, City Council of Barcelona and ChristChurch in New Zealand, South Korea’s Health Insurance Review and Assessment Service, and Mexico’s Sociedad Hipotecaria Federal. They are interesting models in performance management because of the nature of business in government service. 7. Which are the main challenges in today’s Performance Management practice? Change Management that would help in accommodating the strategic shift imposed by performance management. 8. What do you think should be improved in the use of Performance Management tools and processes? Documentation of processes should make work easier and not be a tedious task for implementers. The current problem in the performance management of our organization is the amount of paper work and documentation needed to track performance, making it a dreary task for both mentor and individual. 9. What would you consider best practices in Performance Management? In our case, the use of the balanced scorecard, as a tool for monitoring performance, helped a lot in setting our priorities in terms of implementation. 10. Which aspects of Performance Management should be emphasized during educational programs? The benefits of employing a system of performance should be more emphasized, instead of the process of having it. This way, a mindset emphasized on the goal is instilled, giving a more grounded foundation in the use of performance management. As Dan Pink put it, motivation to high performance does not rest on rewards and punishment, but rather on the unseen intrinsic drive of people to do things for their own sake. In the case of performance management, people need to know what is in it for them if they participate, on why they need to manage performance. This way, the holistic approach of performance management in personnel involvement will be strengthened. 11. Which are the limits in order to achieve higher levels of proficiency in Performance Management among practitioners? N/A.
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PERSPECTIVES 12. If you are to name, in a few words, the main aspects governing Performance Management today, what would they be? Performance management is a collaboration between the concept of a strategy focused organization, and managing organizational, departmental, and individual performance towards targeted outcomes or results in measurable terms. 13. What is your opinion on the emerging trend of measuring performance outside working hours? It is inevitable, especially in today’s emerging work dynamics that goes beyond the usual 8-hour wok shift. However, restrictions should be set on what types of activities are considered to be contributory to the actual work. Acknowledge only those activities that are aligned with performance goals. It would be a challenge for performance managers to identify those activities, but it has to be done to establish fairness and, consequently, aid in the crafting of a proper reward system for those who perform beyond what is expected of them.
14. Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life. I have a simple life dashboard, or vision board, which always reminds me what I have to attain within a specific timeframe. It has influenced me in a way that serves as my anchor to my personal dreams and aspirations. I decide based on how the repercussion of my decisions will affect the goals set on my vision board. I ensure that even the minutest life decision I make, contribute to the attainment of my personal goals in life. 15. Do you have any tips for successfully managing one’s work-life balance? What are your thoughts? For a performance driven person, I would say that there is no specific system in managing a balance between work and life (in this case, social to personal life). I would not be giving a range in the amount of work done, for me to say that “Hey, that’s enough for now, do something for yourself since you have worked an x amount already”. As long as the targeted impact is not met, a performance driven
person will not stop working towards it—be it a targeted improvement in the quality of life of major customers of a service oriented organization, like in our LGU, or a personal goal of being an entrepreneur at the age of 27, like me. Doing what you are most passionate about helps in attaining the work-life balance that most burned-out people are looking for. In the end, the key is in this saying, “Make your passion your profession”. 16. Which are the recent achievements in generating value as a result of Performance Management implementations in your organization? Breakthrough results in terms of the organizational level targets have been achieved. The quality of education in our City has improved as shown in the mean percentage score of the National Achievement Test. The management of wastes in the City has greatly improved, as evidenced by the amount of waste collected and diverted. These are, among many others, identified indicators of how governance in our City has improved, since the implementation of a Performance Management System.
Practitioners Interviewee name: Ta Bao Luu Title: Head of Internal Audit Organization: FPT Information System Corporation Country: Vietnam
1. What does the term Performance Management mean to you? It is a way of management used to measure activity results of a company, a department, a certain person. Without PM, we can’t assess whether these are good or bad. 2. What drives interest in Performance Management? Performance Management is used for the benefits of our shareholders and for the faith of all employees. 3. What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level? They have a close relationship in two opposite ways.
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7. Which are the main challenges in today’s Performance Management practice? The reality and trust of data used for PM practice. 8. What do you think should be improved in the use of Performance Management tools and processes? Should be simpler but efficient.
Don’t work when you rest, don’t rest when you work.
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4. What are the 2014 key trends in Performance Management from your point of view? Toward profit maximizing. 5. What aspects of Performance Management should be explored more through research? Dynamics of employees correlated with the company and its leadership. 6. Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results? N/A
9. What would you consider best practices in Performance Management? Let people measure their own performance with a simple guide/template. 10. Which aspects of Performance Management should be emphasized during educational programs? Practice and case study, especially failure cases. 11. Which are the limits in order to achieve higher levels of proficiency in Performance Management among practitioners? The conflicts of too many KPIs used in PM. 12. If you are to name, in a few words, the main aspects governing Performance Management today, what would they be? The 3Es.
PERSPECTIVES 13. What is your opinion on the emerging trend of measuring performance outside working hours? It’s very important for the balance of anyone’s daily life.
Yes, I am. It helps me to know what to do next, maybe I have to adjust the frequency of working, and maybe I have to cut off some items of spending, whatever. I feel confident.
14. Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life.
15. Do you have any tips for successfully managing one’s work-life balance? What are your thoughts? Don’t work when you rest, don’t rest when
you work. 16. Which are the recent achievements in generating value as a result of Performance Management implementations in your organization? To call it an achievement is not right, in fact it’s a reparation, but my company’s ability to deliver to customers has changed for the better.
Practitioners Interviewee name: Serafin D. Talisayon Title: R&D Director Organization: Center for Conscious Living Foundation, Inc. Country: Philippines
1. What does the term Performance Management mean to you? As a Knowledge Management practitioner, my concern is helping individuals, teams and organizations act more efficiently and effectively. 2. What drives interest in Performance Management? Efficient and effective performance results in creating value. The latter is what drives interest in Performance Management. 3. What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level? Business processes which may cut across organizational units – and not organizational units as such – create value. Departments are organized according to professional and even academic disciplines (R&D, marketing, HRD, IT department, etc.) yet production is through business processes that are often cross-departmental and multi-disciplinal. One of the consequences of professional-academic boundaries is work dependencies – necessary inputs to a work process that comes from another department or team which reports to a different boss. Work teams and project teams are organizational structures that are more aligned with work processes and are better units of Performance Management. 4. What are the 2014 key trends in Performance Management from your point of view? In my field of Knowledge Management,
innovation is becoming more important. What is the use of doing the same things better (productivity), if doing new and better things (innovation) will create more revenues and future growth? Performance metrics are often hinged on an assumption: that the current work process is the best one. If this assumption happens to be wrong in any specific case, then increasing performance is a matter of doing better the same inferior work process. 5. What aspects of Performance Management should be explored more through research? In the social development sector, organizational goals are often not quantifiable in dollar terms, and there are many different customers (or stakeholders) with varying interests and power relations. Performance management in the social development sector is more complex and needs more research. A concrete dilemma facing development organizations is this: do they retain the use of the project logical framework to track project performance and accountabilities, or do they give it up in the face of unknowns, unpredictable and complex political and other situations? 6. Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results? In view of the dilemma I mentioned in Item 5, I suggest multilateral development financing institutions. They lend money to projects and so they must adopt accountability mechanisms. Yet they do not have much
control over project outcomes, which are in the hands of national governments, local communities and other stakeholders who can more likely alter outcomes (such as rebel groups and political factions). 7. Which are the main challenges in today’s Performance Management practice? Performance is affected by cognitive factors (skills, support systems, information inputs, etc.). It is also affected by affective factors (attitudes, personal ambition and motivation, ego, teamwork, etc.). Management tools abound in the first, but seem to be inadequate or lacking in the second. Many researchers found that workplace performance is correlated more with EQ than with IQ, yet we do not seem to have all the handles on EQ. I suspect that in some cases managers have a blind spot on emotional factors affecting performance. 8. What do you think should be improved in the use of Performance Management tools and processes? In relation to my answers to Items 6 and 7, we need improvements in performance management in the social development sector and in the area of emotional factors as they affect performance, respectively. 9. What would you consider best practices in Performance Management? The annual winners of the Most Admired Knowledge Enterprise or MAKE Award are often those organizations that are excellent in innovation, such as Apple and Toyota. Innovation routines and processes in these corporations are truly world class practices. The organizational policies and procedures of Google intended to spur employee innovation are innovations in themselves that often present eye openers to other corporate managers. 10. Which aspects of Performance Management should be emphasized during educational programs? Definitely, what should be emphasized
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PERSPECTIVES are not just concepts or theories but their workplace applications. Learning processes must be designed based on workplace issues and performance gaps that must be bridged with the right skills and competencies. 11. Which are the limits in order to achieve higher levels of proficiency in Performance Management among practitioners? The limits to productivity had been shown by Chris Argyris as psychological and cultural in nature. Hence, higher levels of proficiency in Performance Management requires skills in managing what Argyris calls double-loop learning. It requires deep levels of empathetic listening, sensing of personal issues in other people and in yourself, appealing to personal motives, selfawareness and self-management, providing personal example, etc. 12. If you are to name, in a few words, the main aspects governing Performance Management today, what would they be? In my opinion Performance Management is basically about understanding and working with people. The Performance Manager must have both hard and soft skills, e.g. “people skills.”
13. What is your opinion on the emerging trend of measuring performance outside working hours? If it reduces time and effort, why not? An example is the daily steps automatic counter in one’s smart phone which logs the number of steps, kilometers and calories spent in one’s walking and running and stepping up actions throughout the day. 14. Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life. I use Walking Mate in my smart phone. It automatically measures the number of steps, kilometers and kilocalories I logged every 24-hour day. I am after getting enough daily exercise and this gadget works. 15. Do you have any tips for successfully managing one’s work-life balance? What are your thoughts? I keep and regularly update a simple Excel worksheet where I list my major work and life activities, opportunities or choices. I score each choice in terms of various criteria (e.g. expected income, degree of influence over outcomes, spiritual importance, etc.)
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What is the use of doing the same things better (productivity), if doing new and better things (innovation) will create more revenues and future growth?
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and rank the choices using a weighted sum. This is just my way of reminding myself of my priorities and accordingly allocate my time and energies. 16. Which are the recent achievements in generating value as a result of Performance Management implementations in your organization? We developed an online course on Knowledge Management Practitioner Certification. It is based on workplace practice of KM skills and tools. It measures the impact of KM using performance metrics. It entails learning that does not subtract from work hours but instead supports actual work performance. As a result of this course, we are able to generate a new income stream for our organization.
Practitioners Interviewee name: Noorliza Hj Zakuan Title: Executive Director Organization: Education Performance and Delivery Unit, Ministry of Education Country: Malaysia
1. What does the term Performance Management mean to you? Firstly, I would like to express my gratitude to The KPI Institute for inviting me to participate in this interview. From my experience, Performance Management is a process which ensure that our vision, goals, or aspirations are met by aligning resources, systems, and employees to strategic objectives. Performance Management includes activities which focus on ensuring goals are met in an effective and efficient manner, at every level of an organization, from the people, to departments and to the organization. 2. What drives interest in Performance Management? To see the achievement in delivering the deliverables and achieve the goals as planned, 26
or to gain the desired results. In Education, the desired results can only be seen in the long-term. However, achieving the intended milestones is the pathway to success. 3. What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level? At every level of any organization, performance management is crucial. All individuals need to perform in order to achieve their desired goals, and the same goes for a department, and for an organization, because every department is interdependent from each other. By having clear goals, and performance appraisal strategies, individual goals or aims will be align to achieve the desired organizational outcomes.
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At every level of any organization, performance management is crucial. All individuals need to perform in order to achieve their desired goals, and the same goes for a department, and for an organization.
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4. What are the 2014 key trends in Performance Management from your point of view? From my personal point of view, the trend now is all about achieving KPIs and their target. We set performance goals and targets for individuals in a department at the beginning of the year, monitor the progress to make sure everything is on track to meet the goals, and offer intervention where ever necessary, or whenever it is needed. Performance Management is a continuous process to improve performance. Lately, more performance tools have been also emerging.
PERSPECTIVES 5. What aspects of Performance Management should be explored more through research? The critical aspects of Performance Management that need further research are how to relate, or understand, the actions and behaviors that employees should have in order to perform their jobs effectively. Analysis should be done on all employees, to know the suitability between the job description, and the behavior of the employees. 6. Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results? I cannot name any particular company because, currently, almost all are practicing performance management. I would recommend looking for a banking company, or a company that deals with sales and production, because, for them, performance is important for sustainability. 7. Which are the main challenges in today’s Performance Management practice? The main challenges are to ensure you’re doing the right things to achieve the targets set, and not just gather the data. KPIs can be toxic if people only focus on achieving the numbers, and forget about the right process to achieve them. 8. What do you think should be improved in the use of Performance Management tools and processes? Performance Management tools and process should focus on performance dimensions, and action plans that need to be undertaken by anyone who wants to get the job done. Every step, from plan, do, check, and act must
carefully adhere, and be reinforced, by results and rewards. 9. What would you consider best practices in Performance Management? The whole cycle of Performance Management and continuous improvement to achieve the set outcomes. 10. Which aspects of Performance Management should be emphasized during educational programs? All aspects of Performance Management should be emphasized, but a special focus can be placed on the monitoring process, and on achieving results through Dashboard and Scorecard. 11. Which are the limits in order to achieve higher levels of proficiency in Performance Management among practitioners? From my experience, 5 main factors need to be considered in order to achieve high levels of proficiency in Performance Management: i) Knowledge at every level of the organization, ii) Experience in managing performance management iii) Employees’ attitudes - the acceptance and understanding of Performance Management, iv) The tools used for assessment and v) The intervention which ensues. 12. If you are to name, in a few words, the main aspects governing Performance Management today, what would they be? Monitoring, Values, Balanced Scorecard, and Discipline. 13. What is your opinion on the emerging trend of measuring performance outside
working hours? Life is all about achieving goals, or fulfilling our dreams. Some people need to have a plan to achieve their goals. It may not be a systematic process, as it is in the office, but then again, we will always track ourselves to ensure we are moving in the right direction. 14. Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life. No, I don’t use any tool, but I do have a plan, and goals, that I target to achieve. Perseverance and stick to your plan if you want to succeed and perform well, both in your working life, and in your personal life. 15. Do you have any tips for successfully managing one’s work-life balance? What are your thoughts? I value both my time in the office, working with colleagues, and spending time with my family, after work. If I’m in the office, I will put 100% of my energy to effectively achieve the task that was given to me, and at high standards. At home, my attention is pointed at my family, in the same manner. 16. Which are the recent achievements in generating value as a result of Performance Management implementations in your organization? People are more cautious and diligent to achieve their KPIs, and accept the importance of Performance Management. The directions and goals are set, action plans are there, so they only need to execute and implement the actions. They do appreciate, nonetheless, the immediate intervention that is given if they are lagging behind.
Academics 2. What drives interest in Performance Management? We know that we cannot manage what we cannot measure. In the same vein, to ensure achieving an improved performance, we require to assess and manage performance. In my opinion, the key drivers for the interest in performance management include improving the quality of work and empowering employees.
Interviewee name: Mehran Nejati Ajibisheh Title: Senior Lecturer / Six Sigma Green Belt Consultant Organization: Graduate School of Business, Universiti Sains Malaysia (USM) Country: Malaysia
1. What does the term Performance Management mean to you? Performance management refers to the process through which we can plan goals and objectives for different layers of the organization, both individually and collectively, monitor the progress
towards achieving the goals, and review them leading to identifying areas for improvement. Simply put, it is a closeloop for monitoring the process of planning goals and taking actions to implement them with the objective of performance improvement.
3. What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level? In my opinion performance management should be observed comprehensively from the organizational, departmental and
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PERSPECTIVES individual level. None of these levels can be seen in isolation and separated from the others. Similar to a chain of events, the performance at individual, departmental and organizational levels are inter-connected and correlated. To achieve an optimal and sustainable performance improvement, an organization needs to excel at performance management in all these three levels. The problem with some organizations is a narrowed focus on departmental and individual performance improvement, without taking into account the big picture and how these improvement efforts should be aligned with the organizational performance management. 4. What are the 2014 key trends in Performance Management from your point of view? Some of the growing trends in Performance Management research, in my opinion, include Performance Management across value chain, social Performance Management, and ethical Performance Management approaches. 5. What aspects of Performance Management should be explored more through research? Future research studies may put more emphasis on social Performance Management and develop frameworks and approaches regarding ethical Performance Management. Moreover, in keeping up with recent technological advancements, future Performance Management systems should also utilize social media, which allows a realtime and a year-round feedback system. 6. Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results? • Google; • Jelly Belly; • Porsche. 7. Which are the main challenges in today’s Performance Management practice? In my opinion, one of the key challenges in Performance Management practice is determining the appropriate reward, and linking it with performance objectives. People have different needs, expectations and desires. Therefore, determining a universal performance reward for different people within a department or organization can be challenging. Another issue relates to the resistance by the employees to the new Performance Management approach. To overcome this challenge, organizations can
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start with a small initiative and build on the success obtained from the initiative in bringing more people along, and minimizing their resistance. 8. What do you think should be improved in the use of Performance Management tools and processes? People’s understanding and awareness on how these tools and processes can benefit organization and employees should be improved. Without a vivid understanding of the benefits of Performance Management tools, they will simply be treated by employees as just another tool. 9. What would you consider best practices in Performance Management? Best practices in Performance Management consists of those practices which have allowed both an organization and its employees to excel at organizational and individual levels, respectively, and facilitated the achievement of organizational goals and mission. 10. Which aspects of Performance Management should be emphasized during educational programs? Since an organization does not operate in vacuum and its performance is evaluated with regards to its impacts on the community and its stakeholders, I believe a 360 degree Performance Management approach should be emphasized in educational programs, to examine the expectations of key stakeholder groups. Stakeholder expectations should be considered in designing and planning a successful Performance Management system. 11. What are the challenges practitioners usually encounter when trying to achieve higher levels of proficiency in Performance Management? Lack of connection and integration among performance management approaches at individual, departmental and organizational level can cause some challenges. Moreover, practitioners usually face difficulty in getting all managers on board. Additionally, if the Performance Management fails, it might cause tension in the organization and create greater resistance among pessimists. Therefore, a full support by leaders and top management in the organization is essential. 12. If you are to name, in a few words, the main aspects governing Performance Management today, what would they be? Stakeholder expectations and demands (which are conflicting at times!)
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I personally use a customized Balanced Scorecard for measuring my personal performance. I have been using it for the past 6 years and have seen considerable impact on my personal and professional life.
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Ethical leadership (trade-off between selfinterest and organizational interest) 13. What is your opinion on the emerging trend of measuring performance outside working hours? I am in favor of measuring performance outside working hours, as long as it does not burden people and cause more workrelated pressure for them. We should ensure maintaining a balance in whatever effort we are making. 14. Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life. Yes. I personally use a customized Balanced Scorecard for measuring my personal performance. I have been using it for the past 6 years and have seen considerable impact on my personal and professional life. It has helped me to have clear objectives that I am targeting for in various aspects of my life, and has provided me with a sense of achievement and satisfaction when I see my progress towards achieving my objectives. 15. Do you have any tips for successfully managing one’s work-life balance? What are your thoughts? Work-life balance is one of those important issues that we often neglect in our busy daily life. Stop falling into the trap of only focusing on your work and ignoring your family and friends. Alongside our professional life, we all have a personal life that we should live happily and successfully. Without peace of mind and satisfaction in your personal life, you cannot perform at the peak in your professional life either. When I feel overwhelmed with work, I always remind myself with this quote by Steve Blank, who said, “When you’re gone would you rather have your gravestone say, ‘He never missed a meeting,’ or one that said, ‘He was a great father.’”
PERSPECTIVES 16. We are developing a database of Performance Management subjects and degrees. Which are the subjects/degrees you have come across and at which university? (i.e. subjects or degrees such as the Masters in Managing Organizational Performance) Some examples include: Strategy and Performance Management Georgetown University
School of Continuing Studies Master of Commerce (Performance Management) The University of Adelaide MBA in Organizational Performance Management Regis University MSc in Performance Management and Workplace Learning University of Leicester School of Management
Consultants and stability since applying a performance management system.
Interviewee name: Sabar Cahyono Title: Principal
7. Which are the main challenges in today’s Performance Management practice? It is very difficult to obtain a buy-in from top management when we introduce a new method of performance management. So many methods to choose from.
Organization: Bizniscontact Advisory Services Country: Indonesia
1. What does the term Performance Management mean to you? Performance Management is applying a systematic process of identifying human performance gaps, analyzing causes, planning for future improvements, designing and choosing justifiable solutions, implementing the solutions, and evaluating the results. In other words, it could also be defined as applying a set of methods, procedures and strategies for solving problems or for realizing opportunities related to the performance of people in the workplace.
8. What do you think should be improved in the use of Performance Management tools and processes? There are so many sophisticated tools for performance management with emphasis on product, process or people. However, it is important to simplify all those tools so they will be suitable and applicable to any of organization.
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The best practice in performance management is the one that is easily understood, can be implemented by people at all levels of the organization, and is proven to produce satisfactory results.
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9. What would you consider best practices in Performance Management? The best practice in performance management is the one that is easily understood, can be implemented by people at all levels of the organization, and is proven to produce satisfactory results.
2. What drives interest in Performance Management? Performance management becomes an issue when problems or opportunities arise in an organization trying to achieve its target or KPI.
performance management systems to optimize their efforts to achieve their goals. Some emerging and growing organizations start to consider the importance of performance management systems.
3. What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level? The optimal level of performance should be achieved when performance at individual, departmental and organizational level are all aligned effectively. In the end, it is the aggregate of performance at individual level in the organization that determines the achievement of the organization’s goals.
5. What aspects of Performance Management should be explored more through research? Research should be focused on best practices implemented by organizations which successfully applied specific methods of performance management.
10. Which aspects of Performance Management should be emphasized during educational programs? Analyzing performance problems and selecting solutions are two difficult tasks to perform when applying performance management programs. It is important to develop systematic and easy-to-understand educational programs to address those issues.
6. Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results? In my environment, some well established companies were already applying a systematic approach to performance management. Those companies, e.g Bank Mandiri, have shown tremendous growth
11. What are the challenges practitioners usually encounter when trying to achieve higher levels of proficiency in Performance Management? Communication skills on how to convince prospective sponsors of performance management initiatives is the most challenging task for practitioners of performance management.
4. What are the 2014 key trends in Performance Management from your point of view? Well established organizations already realized the importance of applying
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PERSPECTIVES 12. If you are to name, in a few words, the main aspects governing Performance Management today, what would they be? Business analysis, performance analysis, cause analysis, solutions selection, solutions implementation and solutions evaluation. 13. What is your opinion on the emerging trend of measuring performance outside working hours? Performance measurement could also be applied to any activities, not only limited to workplace activities. All human activities can be measured using performance analysis tools.
14. Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life. The rapid development of handheld devices and gadgets, and also the growth of various applications related to personal productivity could lead to easier ways to measure personal performance, and eventually make life easier. 15. Do you have any tips for successfully managing one’s work-life balance? What are your thoughts? The ability to measure individual productivity
is a very important skill. It will help to detect overwork at the workplace. Without measurement we will never be able to identify whether a performer work-life balance is well achieved. 16. As a consultant, what are the most common issues that your customers have signaled, related to Performance Management? When introducing a new initiative of performance management, customers, especially at user level, always feel a burden to do additional tasks and working-hours to apply the program.
Consultants successfully cascaded from top down – from organizational level to departmental and then individual level. This is the ultimate way to help employees to focus on the key goals in order to achieve success together, as an organization, not on the non-essential things or unimportant goals that lead to no-where.
Interviewee name: Tran Tuan Anh Title: Senior Consultant – Mercer Surveys & HR Consulting Organization: Talentnet Corporation Country: Vietnam
1. What does the term Performance Management mean to you? To me, Performance Management simply means a systematic and professional tool and process that helps to manage employees’ performance effectively, so that employees within an organization know and understand thoroughly their company / department’s objectives as well as their linkage with their individual KPIs, and from there feel motivated to contribute much more to the organization. 2. What drives interest in Performance Management? Nowadays, there is such a strong need for a professional performance management systems (PMS), especially from local organizations in Vietnam, with the following interest drivers: - To align organizational objectives with departmental objectives and individual KPIs: the key mechanics is to set objectives from top down and thus achieve those objectives from bottom up. Employees shall clearly understand how their good individual results can lead to the success of their organization as a whole; - To have a good general competency framework: it is not just about what are the objectives and goals that need to be achieved but also about how you can achieve those. The general competency framework is built up based on organizations’ core values and culture, and is a defined set of behaviors, 30
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The biggest challenge in today’s Performance Management practice is that businesses are not fully aware of the great benefits a good performance management system could bring to them.
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attitudes, skills and knowledge expected from the company. This framework will help employees to be aware of the organization’s expectations towards their behaviors and how to self-develop and grown with the organization; - To link performance to reward: here is a fact – bonus, salary increase and promotion will be based on Performance Appraisals results. A good PMS will encourage better individual performance by differentiating pay/bonus between high and low performers, which greatly ensures internal equity. 3. What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level? One of the key factors which defines a good performance management system is that all objectives and KPIs should be
4. What are the 2014 key trends in Performance Management from your point of view? Some of the following key trends could be highlighted, as the world is constantly changing, so is our business environment which requires continuous improvement in performance management: - Companies are more aware of the importance of strategic planning and mapping on the long run, as it helps them to define the area of focus on the short run; - The integration between performance management with a high-tech system shall make things easier and more visualized. 5. What aspects of Performance Management should be explored more through research? The key aspect that should be explored in the future is how to build up a lean – simple but effective – performance management tool for small businesses, especially family businesses, as usually this tool only applies for wellestablished organizations. Small businesses take a big contribution in our developing economies like Vietnam. Thus by creating a tool that allows them to manage performances better, it will bring them, as well as the whole economy, up to the next level. 6. Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results? For Vietnam, we would particularly
PERSPECTIVES recommend big companies in the Consumer Goods sector and winners of our 2014 Vietnam HR Awards in “Companies with best Performance Management System:” Abbott Vietnam, CSC Vietnam and DHL Express.
management cycle, the in-depth definition of Key Performance Indicators (KPIs) and its linkage with rewards and, last but not least, some of the key HR / C&B frameworks such as Mercer’s Pay for 3-P.
7. Which are the main challenges in today’s Performance Management practice? The biggest challenge in today’s Performance Management practice is that businesses are not fully aware of the great benefits a good performance management system could bring to them. Also, people have a tendency to stick to their “status quo” – they don’t want to change anything nor step out of their comfort zone. Until the time they realize the need of change, they are probably already way far behind the competition.
11. What are the challenges practitioners usually encounter when trying to achieve higher levels of proficiency in Performance Management? In order to achieve high levels of proficiency in PM, it is crucial to have unanimous agreement between all members in the top / senior management level and, most of the time, due to several reasons (e.g. lack of commitment, fear to change) it is difficult to have that amongst the organization.
8. What do you think should be improved in the use of Performance Management tools and processes? Employees should be communicated on their company’s objectives every year; two-way feedback should be done between managers and staff to monitor performance; and a good and detailed performance appraisal session is a must to ensure that employees are motivated with both current and future performances, as well as opportunities. In conclusion: COMMUNICATION is key here. 9. What would you consider best practices in Performance Management? Best practices come from these core things: great objectives alignment from top down by using the Balanced Scorecard; employees not only know what to deliver but how to deliver with good behaviors and competencies; and once again effective two-way communication between the employer and the employees. 10. Which aspects of Performance Management should be emphasized during educational programs? Educational programs, especially undergraduate ones for future HR practitioners should emphasize on a full and detailed picture of the human resources
12. If you are to name, in a few words, the main aspects governing Performance Management today, what would they be? - Communication - Pay for Performance - Performance Appraisals 13. What is your opinion on the emerging trend of measuring performance outside working hours? If there is such an emerging trend, I would surely like to know more which aspects (outside working hours) of performances are usually measured. In my opinion, depending upon areas/aspects, the measurement methods and frameworks shall greatly vary, and sometimes it is not necessary to evaluate our performances by using any of the specific tools. Still, this is interesting to explore further on, before we could draw any final conclusions. 14. Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life. The only performance measurement ‘technique’ I have been applying in my personal life is to set some big goals at the beginning of the year and break them down into smaller ones so that I could be on track
by hitting smaller goals and thus hit the big ones by the end of the year. So far, this seems very effective to achieve great things in my life. Just one small tip: always try to reward yourself after you achieve your goals (either small of big) so that you will be much more motivated to go further. 15. Do you have any tips for successfully managing one’s work-life balance? What are your thoughts? My tips are very simple: to FULLY concentrate in your working hours to get the best out of them; and to be fully aware of your core values in life (is work your only value? Or do you have something else i.e. family, friends). It is good to be committed to your work and strive for more, but it is also important to have your own relaxation and reflection moment, then you will feel happy and want to contribute and achieve even more. 16. As a consultant, what are the most common issues that your customers have signaled, related to Performance Management? Some of the most common issues in our context are: - Departmental & individual objectives are not aligned with the company’s objectives; - Individual’s KPIs do not cover important/ key KPIs but contain non-essential things; - No general competency framework or the current framework has not been used effectively; - No consistency in KPI setting or PA rating across different departments; - Line managers don’t know how to set KPIs, how to do performance appraisals (PA) sessions effectively; - Employees do not agree and feel unhappy with the year-end PA results; - There are difficulties in bonus allocation at the year-end; and bonus payment is not comparable to the market norms; - As the PMS is not set up and run professionally and systematically, employees are not motivated to contribute much more to the organization.
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Consultants Interviewee name: Jayan Warrier Title: Director, Performance Solutions Organization: Positive Performance Consulting Pte Country: Singapore
1. What does the term Performance Management mean to you? Performance Management means setting clear performance goals and working towards achieving them consistently, with a focus on learning and adapting as we move forward. The focus on performance management is two fold – business alignment at the strategic level and operational goals alignment on a daily basis. The performance management philosophy accepts the fact that human systems are organic and performance is natural outcome of various factors. 2. What drives interest in Performance Management? Performance management is multifaceted and it is critical to business success – it influences the results, talent retention, public image, branding, costs and the culture. There is very little that happens in organizations that is not related to performance management and hence it is at the center of attention. 3. What are your thoughts on the relationship between Performance Management at organizational, departmental and individual level? Performance management at the organizational level is visible in the leadership philosophy and in the culture of the organization. This drives the “how” of performance management. Remember, most of the time the leadership mindset and culture are hidden in the practices of the organization, and not in the public image of the brand. At a department level, the performance management is systems and process driven. A lot depends on the managers and the supervisors. At the individual level, performance management could be equated to one’s relationship with the manager(s) and one’s performance rating. 4. What are the 2014 key trends in Performance Management from your point of view? There is more focus on performance 32
management and better alignment with the individual needs, including intrinsic motivation. Development goals and discussions that lead to defining them are being given more emphasis. There are more development initiatives for managers, including coaching skills. Heated debates on flexibility at work and how it impacts performance are underway. Some organizations have taken U-turns in policies like “work from home”. There is a lot of work done in the field of appreciative inquiry, positive psychology and strengths movement, which have influenced thinking in the area of performance management. Questions on valuation versus evaluation of performance, appreciative performance reviews, redefining the performance review processes and offering more choices to employees in fixing performance targets, all step from the above fields of research. The role of “heart” in performance management is being acknowledged more at workplaces. 5. What aspects of Performance Management should be explored more through research? The fields of personal meaning, positive emotions, the relevance of corporate vision and the intrinsic motivation affecting performance are candidates for further research. A manager’s dilemma and challenge would be to balance the softer yet powerful drivers of performance with the harder, tangible aspects of it. 6. Which companies would you recommend to be looked at, due to their particular approach to Performance Management and subsequent results? N/A 7. Which are the main challenges in today’s Performance Management practice? The main challenge is the lack of understanding about the drivers of performance and the “why” of it. The inflated notion of external rewards, managing
feedback as part of the performance review milestones, overwhelming processes, tight timelines and the urge to fill out boxes prior to hitting submit before the deadline – all these makes it just another corporate ritual. 8. What do you think should be improved in the use of Performance Management tools and processes? The performance management philosophy should be the base on which tools should be built and the processes designed. We should move away from an IT centered approach to performance management to a human centered approach. An organization could use a whole system engagement process to identify what is the most optimal method to manage performance, thus involving all the employees in identifying the best solution that fits the culture and the dreams of the organization. Processes and systems may be designed based on this outcome, with enough flexibility to adapt it based on the changing view of the horizon. 9. What would you consider best practices in Performance Management? Conversations, when interwoven with the processes, make performance management a collaborative process, rather than a top down one. The systems capture the essence of the conversations, conclusions, agreements, actions and feedback. The conversations determine the next steps and not the automated processes. The systems communicate clear outcomes, offering enough choices for the employees and managers to create space for performance, growth and learning. Managers who truly believe in growing their staff to become great leaders of their own destiny, will see performance as a natural outcome, with the processes and systems offering support as needed. 10. Which aspects of Performance Management should be emphasized during educational programs? The Philosophy of performance, the theory of how human systems get organized, the concept of motivation and a culture of support are topics that should be included in a performance management curriculum. Managers should be educated to be coaches, facilitators, teachers and task masters, based on the situation. Staff should be offered skills to manage conflicting demands, initiating difficult conversations, managing oneself and focusing on the holistic well-being. All these in addition to the skills needed to operate the IT systems and following the processes in place.
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A manager’s dilemma and challenge would be to balance the softer yet powerful drivers of performance with the harder, tangible aspects of it.
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11. What are the challenges practitioners usually encounter when trying to achieve higher levels of proficiency in Performance Management? There does not seem to be a holistic yet generic performance management curriculum or pedagogy in the field. There does not seem to be enough information available about the most effective performance management practices, collected over a period of time. There is also confusion about what performance should include – profits or people or both? Does it include the planet too? A practitioner often depends on his/her own knowledge and experience in addition to the information provided by the vendors. 12. If you are to name, in a few words, the main aspects governing Performance Management today, what would they be? It is important that performance management should be contribution and growth focused – it should stay away from exploitative practices by creating consultation opportunities with the managers and staff, to review the philosophy and the processes.
There should be more resources available to educate the stakeholders about performance management, its philosophy and the current processes in place. Action Learning sessions to review the past and learn from, would help evolve the systems to better suit the organizational goals and future growth plans. 13. What is your opinion on the emerging trend of measuring performance outside working hours? This is an encouraging trend that integrates work into ones life. These trends will help us break the compartments in our being and mindset. A little caution would be to be aware of too much focus on “doing” rather than being. Dependence on too much external measurements and data might diminish the power of the inner compass. 14. Are you using any kind of personal performance measurement tools? If yes, please describe how this has influenced your life. No 15. Do you have any tips for successfully managing one’s work-life balance? What are your thoughts? Work-life balance is one’s responsibility, not the manager’s, not the organization’s, nor HR’s. The term is misleading and that is the first level to work with. It is critical that each one of us clearly understands what this balance means to us, without getting stuck to the literal meaning of it. Developing the courage and openness to express one’s satisfaction or lack there of, is the next
step. This could be achieved only through introspection, observation and openness to observe others. Practices like mindfulness helps one to be more observant and nonjudgmental. At the third level is exploration – this is where one makes minor tweaks in the daily routine, thinking and behaving. This might involve saying more Yes or No, asking for help, clarifying expectations and scheduling the most needed renewal activities in one’s calendar. A long-term view of this balance and frequent self evaluation would help one to make it a habit. 16. As a consultant, what are the most common issues that your customers have signaled, related to Performance Management? The staff have expressed their indifference to the process, making it very challenging for the Human Resources team and the managers. The performance management conversations that happen once or twice a year are of no value to some, create stress in others and a few are totally switched off. Some managers do not understand the philosophy and some do not have the skills to manage it well. Personal development plans are hardly followed through in some cases. Some business units have started looking outside the performance management systems to engage their employees, develop them and drive performance. Fitting the pieces together, deploying the processes consistently across the organization and ensuring the spirit of performance management permeates throughout the organization are challenges faced by many.
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AROUND THE ASEAN Visual Summary
Legislated
34
Plan
AROUND THE ASEAN
Country Profiles
When describing a nation as a change leader or a model of excellence, we actually describe the most visible outcomes resulted from governmental decisions. What we see as general well-being, expending economy, or cultural growth actually represent the government’s vision applied to the country it presides over. The section which ensues tells the story of performance management, the way it has been implemented by the governments of the ASEAN member nations. The first part of the section offers an overview of performance management at governmental level in Brunei Darussalam, Cambodia, Indonesia, Lao PDR, Malaysia, Myanmar, Philippines, Singapore Thailand and Vietnam, while the second one offers more details on the implementation in each of the above mentioned countries. The report was compiled only by using Government official websites or webpages belonging to other public institutions. The information was correct and the links were functional when the research was conducted (January – February 2015).
Brunei Darussalam
Starting with 2003, performance management practices have begun to be adopted by the Brunei government, as part of its Wawasan Brunei 2035 strategic development plan. Ever since, the Performance Management system has been repeatedly updated and improved so that it entirely represents Brunei’s specificity.
Cambodia Cambodia’s Development Research Institute is in charge with monitoring and evaluating performance within the country’s borders, followed by the identification of emerging priorities for the next period. 2013 marked the birth of Development Research Institute’s first report, which analyzes Cambodia’s dynamics and development within the past two decades. Part two of the report consists of the new agenda for the 2014-2018 period, which details future challenges, the country’s long-
term vision, strategic options and the policy priorities which need to be incorporated in the future development agenda.
Indonesia
Starting with the year 2011, all of Indonesia’s 76 Ministries and Agencies have been benefitting from a performance monitoring and evaluation system with indicators and targets measuring the level of success for all ongoing projects.
Lao PDR
The country’s Civil Service has been undergoing reforms since 2000, as part of a long-term strategic plan which aims to develop the country to such extent as to leave, by 2020, the ranks of least developed countries. Within the Civil Service, reforms have focused on strengthening the capabilities of local and central public employees by introducing public policies, performance management strategies, office management leadership and training programs. A first report regarding the reform noted that all objectives have been, so far, successfully implemented.
Framework applied within the financial sector. The system, developed in cooperation with the World Bank, provides a much needed assessment of the Government’s Public Expenditure and Financial Accountability agenda.
Philippines President Aquino III issued Administrative Order (AO) No. 25 before end-2011, which mandates the development of Results-Based Performance Management System (RBPMS), by integrating the various performance monitoring tools used by oversight agencies, in six months.
Singapore The implementation of a Performance Management Framework, regulated through the Public Service for the 21st Century Project, has helped transform Singapore’s public institutions into leaders of change and development. Governmental entities have highlighted that, among other benefits, the system, especially by the use of Balanced Scorecard and KPIs, has improved both internal and external communication.
Thailand
Malaysia The Performance Management & Delivery Unit monitors and evaluates two national programs: the Economic Transformation Program and the Government Transformation Program. Also, among its responsibilities, there is the delivery of national key performance indicators, particularly the National Key Result Areas, National Key Economic Areas and the Ministerial Key Result Areas.
Myanmar The most extensive training of civil service personnel was organized under the Initiative for ASEAN Integrations (IAI) program, with the overall purpose was to enhance capacity building for Myanmar Civil Servants. However, the most comprehensive performance management system in Myanmar is the Performance Measurement
In 2004, the Performance Agreement and Incentives for Promoting the Good Governance Scheme strengthened performance management (PM), under the supervision of the ministries or departments. All seventy-five provinces, excluding Bangkok, have participated in this scheme with their performance being judged under four perspectives, namely: effectiveness in meeting citizen needs, quality of services, efficiency of administration and progress on organization development.
Vietnam The Law on Public Officials and Civil Servants, approved since 2008, states that all civil servants regularly undergo performance assessments: self-assessments, peer reviews and evaluation performed by the immediate superior.
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AROUND THE ASEAN
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Notes
Brunei
Legislated
In Brunei, performance management has been adopted as a measure within two strategic development plans: the National Alignment Program (NAP) and the Strategic Plan (SP). The Government’s goal was to introduce the “management for results” strategy within its public administration sector. This, in turn, would have led to increased accountability, enhanced performance and an overall improved communication across ministries and agencies. However, there have been many concerns regarding whether the same performance management system that western countries introduced for their own use would comply with Brunei’s needs and necessities, as the country’s public sector differs considerably from that of other nations. This is due, partly, to the fact the Public Sector has a dual characteristic: it is based, partly, on a Western style bureaucracy and, partly, on the concepts implemented by the traditional monarchy. The country is currently seeking, through its “Wawasan Brunei 2035” development plan, to increase its economic diversity, among others. For these objectives to take place, an effective government machinery was vital. Thus, the result-oriented performance management system came to life in 2003, together with the introduction of the National Strategic Alignment Program. If up until 2003, Brunei assessed performance of public employees and institutions through annual reports and performance appraisal forms, ever since 2003 they have been conducting strategic planning and have been implementing the Balanced Scorecards methodology, along with key performance indicators. On July 15th, 2003, the Sultan of Brunei held a titah (a speech that becomes a decree) in which he specified that: “Among the efforts that have been introduced recently, there is an alignment program, the National Strategic Alignment, in which every Ministry and Government Departments should provide strategic planning for each organization so that the efforts undertaken by the organizations will be coordinated with the passion, vision and aspirations previously outlined. We hope that all Government agencies will give serious attention to this program (editor’s translation).” The Ministry of Defense (MINDEF) was the first public institution to adopt some performance management practices following the Sultan’s titah, as well as the launch of the National Strategic Alignment program. Some of the most visible outcomes which followed the introduction of a nationwide Performance management System were the creation of the Office of Strategic Management, in 2004, the introduction of the Balanced Scorecard as an evaluation and reporting tool and the formation of the Strategic Management Group, which consisted of department directors who regularly meet to discuss strategic issues. Following the first official introduction of performance management measures in 2003, other strategic development plan ensued in 2005, 2008 and 2012, respectively, each of them carrying specific performance-related clauses. However, a series of implementation issues have since risen, most of them stemming from the lack of an appraisal and compensation procedures included in the performance management cycle. This, in turn, altered the way in which employees viewed the system and its procedures: it was regarded not as a tool for progress but rather as a reporting and monitoring system, whose benefits are disregarded. However, once the problems have been outlined, the system was improved by the incorporation of an appropriate compensation procedure. Proof of continuous improvements brought by this system could be seen with the introduction of several initiatives, such as the Quality Control Circles (in Brunei, they are known as QCC or KKC), the Civil Service Excellence Awards, the Staff Suggestions Schemes (SSS) and the Civil Service Counseling scheme, among others.
Darussalam
Sources: http://www.wbiworldconpro.com/uploads/italy-conference-2013/management/1378203217_451Thuraya.pdf http://www.bruneiresources.com/pdf/accsm14_brunei_paper.pdf https://www.escholar.manchester.ac.uk/uk-ac-man-scw:233944 http://www.religious-affairs.gov.bn/index.php?ch=bm_titahhm&pg=bm_about_titahhm&ac=65
Cambodia
36
Legislated
After recognizing the need to enhance performance within its Public Administration sectors, the Cambodian Government established that the process of strengthening and improving management within its public institutions was a key strategic step. The main focus fell upon the
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Notes
Cambodia
Legislated
management and development of human resources in order to increase work performance, the quality and reliability of the services provided and the delivery time. The logic solution was the implementation of performance management, monitoring and assessment of public servants. Thus, the following 5 objectives were included in the Policy on Human Resource in Public Administration program, together with a set of operational strategies developed for each objective: 1. Improve management and work performance by clearly identifying the tasks and roles, as well as the demands of human resource both in terms of quantity and quality, based on the size of work; 2. Strengthen management skills and number of civil servants in accordance with the requirements; 3. Enhance performance management and responsibility of civil servants; 4. Develop capacity building of civil servants; 5. Strengthen moral and discipline of civil servants. The operational strategies which have been linked to each objective were defined as follows: 1. Improve work performance system and civil servant management within ministries/institutions; 2. Strengthen the efficiency of the Human Resources Management (HRM) implementation process; 3. Implement the performance management system; 4. Better use the existing work ability to develop the new one; 5. Provide training and enhance quality training. Specific strategic actions have been defined for each strategy in part. These outline the necessary activities that are to be performed in order to achieve the above-mentioned strategies. Thus, in order to improve work performance and management of civil servants, the ministries and institutions need to align their operational structure with their mission and scope, duties and responsibilities need to be clearly assigned, annual work plans, containing specific indicators and expected results should be developed for each ministry/institution and, lastly, develop short, medium and long term human resource planning. The second strategy, strengthen the efficiency of the HRM implementation process, is related to everything that has to do with human resource planning, performance management, recruitment, compensation and so on. This strategy is accomplished through regular reviews and improvement of the HRM process in accordance with the available policies, the reinforcement or introduction of new legal norms which are considered necessary to enhance work performance and, finally, general improvement of more theoretical aspects such as ethics, rights awareness, equity and discipline. The implementation of a performance management system was needed to strengthen “the effectiveness of recruitment, nomination, appointment, advancement of grade and step, training, motivation, regular conduct performance management appraisal, as well as recognition and granting of awards for incentive.” Thus, based on these requirements, a performance management system was developed and implemented. It was set up to revise incentives schemes and establish a mechanism in which best practices from previous activities are shared. Another strategy, which refers to improving the manner in which the present work capacity is used to developing a new one, is highly dependent on the available information and its systematization. The development of a new work capacity means enhancing employee talent training. This strategy could only be realized once all employee databases have been updated. The assessment of the work capacity is followed by trainings. These must be produced in a manner which meets the government’s current demands and they should be aligned with the ministry/institution’s vision. The training programs must also be personalized for Cambodia or else they might fail to attain the desired efficiency and effectiveness. The Council of Administrative Reform, together with the State Secretariat for Civil Service are the two coordinating public institutions, in charge with overseeing the implementation process within Ministries and institutions, while national and sub-national level organizations are responsible for policy implementation under their own jurisdiction. Sources: http://www.ocsc.go.th/ocsc/th/files/000/Cambodia.pdf http://www.mop.gov.kh/Home/NSDP/NSDP20142018/tabid/216/Default.aspx
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AROUND THE ASEAN
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Notes
Indonesia
Legislated
Despite the fact that Indonesia has not benefited, so far, from a fully implemented performance management system, it is, nonetheless, in the midst of the implementation process, with many governmental institutions already employing a self-designed system since as early as 2004. Performance management, as a system, has been included in Indonesia’s long-term National Development Plan, set to be implemented between the 2005-2025 timeframe. This extensive program has been split into 4 sections, or 4 medium-term development plans, each with its allocated timeframe, objectives and strategies. Currently, Indonesia has entered, as of 2015, its third National Medium-Term Development Plan. The model used by the Indonesian Government to improve its public sector was developed by Sir Michael Barber and it encompasses three paradigms related to public service management: the C&C (Command & Control), related to urgent decisions and their high priority, the D&T (Devolution & Transparency), referring to the level of authority and accountability attributed to managers and, lastly, the quasi-markets, which links the services provided by agencies to the Government. Each of these paradigms is, in turn, supported by the following core functions: the first is capability, capacity and culture, the seconds comprises performance management and the third is defined by strategic directions. Since 2001, Indonesia went through three consecutive public sector reforms, the last of which was in 2011. These reforms, which, at first, were focused on the Command & Control paradigm, have now switched to Devolution & Transparency as Indonesia underwent development programs to integrate in the rapidly changing economic world. This recent wave brought a change in mentality and created much needed connections between the public sector performance and the National Strategic Direction. Also, an additional civil service law has been legislated, together with a framework for monitoring agency reform. More precisely, as of 2011, Indonesia employs a monitoring and evaluation system for all 76 Ministries and Agencies across its Government. The performance management system has also encompassed performance indicators and targets both for the Government, as a whole, and for each individual agency. Performance assessment is supported by an online self-assessment system and it is also followed by an adequate appraisal and compensation process. Since the President declared 2012 as “The Performance Year,” considerable improvements have been registered within the public service. The current focus is on technology, which can accelerate the move towards more transparent, efficient and effective public services. Sources: http://siteresources.worldbank.org/EXTGOVANTICORR/Resources/3035863-1289428746337/ Transforming_Public_Sector_Indonesia.pdf http://www.indonesia-investments.com/projects/government-development-plans/national-medium-termdevelopment-plan-rpjmn-2010-2014/item307 http://www.oecdkorea.org/Download/Governance/Manager/General/File/201007/Sri%20Hadiati%20 WK.pdf
Lao People’s Democratic Republic
38
Legislated
Starting with the early 1990s, the public administration reform has represented a key focus area for Lao’s Government within the ongoing National Poverty Eradication Plan. The country’s long-term goal is to leave the ranks of the less developed nations by 2020. For this to happen, Lao must have a Public Service that sets the path for rapid economic and social development. Thus, the desired results, expressed in the “Reforming Performance management Procedures in the Civil Service in Lao PDR” report are: “To build an effective, efficient, well-trained, honest and ethical public service that is capable of meeting the needs of the multi-ethnic Lao people within a peaceful, predictable and stable society, and that can promote sustainable economic development as a basis for eradicating poverty and gradually creating a modern, industrial state.” However idealistic the desired result may seem, Lao is aware of the difficulties this development process poses, as Khammoune Viphongxay, Director-General of the Public Administration and Civil Service Department outlines: “[…] to implement a system that tries to do everything at once will almost inevitably fail.” Therefore, the implementation decision followed a gradual approach path. Thus, during the 11th ASEAN Conference on Civil Service Matters in 2001, Lao PDR proposed the establishment of an office for performance management within the public service. As a result, since 2002, the ASEAN Resource Centre for Civil Service Performance management has been implemented under the Civil Service Appraisal and Development Department’s authority and managed by the Ministry of Home Affairs.
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Lao People’s
Legislated
The Performance management Centre has been established in order to: - Develop legal documents such as instructions, guidelines, job-related forms, and performance or appraisal related documents; - Conduct trainings, workshops, seminars; - Provide the ministries and agencies with advice and consultation.
Democratic Republic
Thirteen years after its establishment, the Centre has become a key entity, quintessential to providing all government agencies with technical assistance. Its range of accomplished activities number: - The production of the Result-Oriented Performance management Manual, which assists ministries and agencies in their annual staff performance evaluation process; - Regular records and reports regarding the progress of implementation across high-ranking positions; - Monitoring the implementation of performance appraisals across all ministries, provinces and districts; - Conducting workshops on the above-mentioned matters, in order to provide a deeper understanding on the process, procedure and methodology of implementation; - Formulating instructions for the Job Descriptions and Performance Appraisal System. Currently, the Centre for Performance management is in the process of reviewing its own functions and activities, in order to strengthen both its work capacity and its personnel. In addition, it is also revising the Result-Oriented Performance management Manual. Sources: http://www.moha.gov.la/index.php?option=com_ content&view=article&id=269%3Aarc&catid=260%3Aarc&Itemid=128&lang=en http://unpan1.un.org/intradoc/groups/public/documents/eropa/unpan014371.pdf Malaysia
Legislated
Malaysia has introduced many policies and frameworks to improve its public service, some of which have been implemented since as early as the 1970s. However, the most significant changes have been brought starting with 2012, when the Public Service New Scheme was introduced. The first steps towards a performance management system were taken when the Matrix Salary Schedule, a New Performance Appraisal System, introduced an entirely new remuneration structure across all sectors of the public service. The system was complemented by the introduction of the Malaysian Remuneration Scheme, in 2002, an improved version of the existent appraisal system. Then, in 2009, the Performance Management & Delivery Unit (PEMANDU) was established in order to assist the Government in implementing its National Transformation Programme, a development project through which Malaysia will become a high-income economy. PEMANDU, which also means “drive� in Malaysian, intends to be the driver of transformation. The methodology on which its actions are based is entitled Big Fast Results and it stems from the belief that what is successfully applied in the private sector can also be implemented within the public sector. The Big Fast Methodology is based on the following eight-step strategy: 1. Strategic direction: goals are defined in accordance with key areas of focus which are determined through surveys, consultation and quantitative analyses of media; 2. Labs: bring together civil service from every department in order to establish desired results and the means for achieving them; 3. Open days: results of the Lab activities are tested during open-days, when the public has the possibility to offer feedback; 4. Roadmap: publish roadmaps for which PEMANDU and the ministries are accountable; 5. KPI targets: KPIs developed for each project help to monitor the progress of the implementation process; 6. Implementation: each ministry is assigned the implementation of previously agreed-upon reforms, while PEMANDU monitors progress and performs weekly reviews; 7. International panel review and audit: progress results reported by ministries are verified by an external panel of consultants who, in turn, convene with an international expert panel, from both private and public sectors, to review the results and comment upon possible future decisions; 8. An annual report, containing all the results of the ongoing development programs (the Economic Transformation Programme and the Government Transformation Programme) is published.
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AROUND THE ASEAN
Country Legislation
Country
Category
Notes
Malaysia
Legislated
So far, among PEMANDU’s greatest achievements, besides the two development programs, there is the support offered to law enforcement, which materialized into a 35% drop in reported street crime during one year and access to drinking water, electrical services, roads and housing to approximately 2 million people living in rural area. Sources: http://theiteams.org/case-studies/performance-management-and-delivery-unit-pemandu http://theiteams.org/system/files_force/i-teams_June%202014.pdf#page=74 http://msed.vse.cz/files/2012/Beh_2012.pdf
Myanmar
Plan
Despite the fact the Myanmar is a nation continuously fighting different restraining condition, its efforts to improve and develop are, nonetheless, a reality that is taking shape. Thus, ever since 2002, the Burma Government has been organizing a workshop on “Capacity Enhancement of Myanmar Public Service”. The event was held in three consecutive years and 120 representatives from various ministries and organizations took part in the workshops. In 2010 and 2011, the ICT Capacity Building Workshop was organized under the authority of the Asian and Pacific Training Centre for Information and Communication Technology for Development Institute. Lastly, the most extensive training of civil service personnel was organized under the Initiative for ASEAN Integrations (IAI) program. In total, there were 56 training courses held from 2004 until 2011. These included 1,469 participants from 41 ministries and organizations. The overall purpose was to enhance capacity building for Myanmar Civil Servants. However, the most comprehensive system in Myanmar is the Performance Measurement Framework, applied within the financial sector. The system, developed in cooperation with the World Bank, provides a much needed assessment of the Government’s Public Expenditure and Financial Accountability agenda. The financial sector has been undertaking a thorough reform since 2011, and several performance management initiatives have beenw implemented. The establishment of the Public Accounts Committee and the Planning and Finance Committee considerably increased transparency, accountability and external scrutiny as budget debates and budget laws started to be published. Another decision was to shift the budget authority from the President’s Office to the Ministry of National Planning and Economic Development. Sources: http://www.ucsb.gov.mm/History/Profile/Details.asp?submenuID=11&id=187 http://goo.gl/lFoKjE
Philippines
Legislated
2003 marked the beginning of the Performance Management System’s development process, starting from the former Performance Evaluation System. The primary need for such a system was to ensure the alignment of employee performance with Organizational Vision, Mission and Goals, and to establish a culture of performance and accountability within the bureaucratic departments. During the same period of time, the Office Performance Evaluation System was also a tool under development, aimed at measuring performance for the entire personnel of an office. Both performance systems were created to use points system in order to assess progress. By 2005, both systems were functional, with the Office Performance Evaluation System being regarded as a user-friendly approach to Performance management Systems and the “missing link” in the development of an objective, as mentioned in the Civil Service Commission’s report regarding Performance management. The objectives intended to be achieved through the system are the following: - To align individual performance goals with the organization’s strategic goals/vision; - To ensure organizational effectiveness by cascading institutional accountabilities to the various levels of the organization’s hierarchy; - To have performance management linked to other HR systems; - To link the agency’s overall performance to the Organizational Performance Indicator Framework, to the Agency Strategic Plan and to the Medium-Term Philippine Development Plan;
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AROUND THE ASEAN
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Notes
Philippines
Legislated
The Performance Management System includes three major components: the Career Executive Service Performance Evaluation System (used to measure performance of Directors and other highranking personnel), the Performance Evaluation System (applies to first and second level government employees) and the Office Performance Evaluation System (it measures performance within an office collectively). The yearly Performance management cycle begins with the process of Performance Planning and Commitment, continues with Performance Monitoring and Coaching, Performance Review and Evaluation and, finally, Performance Rewarding and Development Planning. Employees’ performance is rated according to a five-point rating scale, where 1 is poor and 5 is outstanding. Sources: http://excell.csc.gov.ph/PMSOPES/PMS_Guidelines_2007.pdf http://web.csc.gov.ph/cscsite2/2014-02-21-08-16-56/2014-02-21-08-17-24/2014-02-28-06-36-47
Singapore
Legislated
Through the implementation of the Public Service for the 21st Century framework, Singapore has upgraded its status from that of a country in the course of development to a developed nation. Singapore’s Government employs a comprehensive performance management framework, together with multiple specific tools such as Balanced Scorecards, the 4/3 Approach and the SQA Excellence Model. The Civil Service reform wanted to implement a Whole-of-Government (WOG) Balanced Scorecard as a means of achieving its Strategic Results. As it is stated on the PS21 program, “the WOG Balanced Scorecard is the focal point for the ministries in the development of the ministry level scorecards. In so doing, the delivery of public service through each ministry or agency will be aligned to the relevant strategic outcomes defined in the WOG Balanced Scorecard.” Some of the already accomplished results, achieved through the benefit of the above-mentioned strategy are: a better management of Singapore’s resources (namely, people and finances), an enhanced community and nation identity sense, a more secure homeland which offers a greater range of opportunities to its citizens. The lessons attributed to the Public Service for the 21st Century program are as follows: - To make the Scorecard central to an organization; - To ensure senior management’s involvement and ownership; - To ensure good communication, with the use of Strategy Maps and clear Key Performance Indicators; - To automate and computerize the Scorecard so as to facilitate implementation and monitoring within and across agencies; - To place importance on strategic initiatives. A Performance management framework was necessary to be implemented in Singapore’s Civil Service sector so as to provide a self-evaluation tool for all Ministries to measure their performance against targets, to assign accountability and to ensure budget allocation, in accordance with performance, at government-wide level. Because monitoring and evaluating performance across all government levels relies, to a considerable extent, on KPIs, Singapore provided several principles to setting these Key Performance Indicators. The first principle states that KPIs must undergo an annual review in order to ensure their relevancy. The second principle focuses on the need to preserve KPIs in limited numbers in order to ensure clarity and focus. The last two principles focus on establishing long-term targets in order to help ministries think ahead and to analyze KPIs every 3 or 5 years so that broader trends can be isolated (such as trends in unemployment). Sources: http://www.mfdr.org/Marketplace/Posters-pdf/Singapore_MfDR_Marketplace_Poster_Final_07.pdf http://mddb.apec.org/documents/2008/EC/WKSP2/08_ec_wksp2_011.pdf
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Thailand
Legislated
After pursuing, for over a decade, to implement a Performance management within its public sector, Thailand introduced, in 2003, a Results-Based Management System in order to assess and improve performance in all of the country’s Ministries, departments and 75 provincial administrations. There have been three major steps that led to the current system’s implementation: the 2003 Royal Decree on Good Governance, the Thai Public Sector Development Strategic Plan 2008-2012 and the new Civil Service Act of 2008. These directives have been established in order to ensure standardization across public agencies and ministries which are to follow the same management guidelines, thus providing citizens with good governance, transparency and accountability, among others. The above-mentioned Strategic Plan for country development aimed to provide a public sector reform implementation framework, objectives, strategies and measurement in order to achieve excellent service quality, rightsizing of the public sector, high performance and open bureaucracy. The latest Government report on its performance during a 3-month timeframe, from 12 September, 2014, to 12 December, 2014, focused on the decentralization process of financial management power to local administrative organizations. In addition, 237 local administrative organizations have been recognized and appraised for their good governance techniques. The Office of the Public Sector Development Commission, which handles the reform implementation process, introduced the Balanced Scorecard and set specific KPIs so that they can measure: - The effectiveness of the strategic plan implementation; - The efficiency of public sector work; - The quality of service delivery; - Organization development. The same commission also reviews annual reports and operational documents, observes training programs, organizes focus groups and workshops, visits ministries, departments, provinces and holds meetings with selective executives and staff. Following the implementation of the Results-Based Management System, a World Bank report on performance improvement and country development state concluded that Thailand’s public sector reform is a success and that “virtually all public agencies show some specific effort and some results in terms of better quality of service delivery and reduction in administrative cost, and the government has begun to collect data on cross-cutting issues, such as efficiency and service delivery, and to lead the effort to increase coordination through clustering to achieve integrated results.” Sources: http://siteresources.worldbank.org/INTTHAILAND/Resources/CDP-G/CDPG_Final_Report_012307.pdf http://thailand.prd.go.th/view_news.php?id=7609&a=2 http://www.opdc.go.th/uploads/files/GET_Results_Based_Management_Report.pdf
Vietnam
42
Legislated
After 35 years of continuous reform implementation, Vietnam has been welcomed a nation on the right course towards development. Ambitious country projects, such as the Doi Moi economic reform, have transformed a nation that was once called a desert into a thriving, multi-sector, emerging market. The next logical step, after the improvement of the economic, political and social sectors, was to focus on the administrative issues. Therefore, in 2007, when Nguyen Tan Dung became Prime Minister, he pledged to bring Vietnam into the modern era by improving physical infrastructure, enhancing human resources and simplifying administrative procedures. Thus, in 2007, Project 30 was born. Its aim was to reduce administrative procedures by 30% and, consequently, to enhance service quality, stimulate competitiveness and equitable growth. During the first phase of Project 30, from 2008 to 2009, the first comprehensive database of administrative procedures was compiled into a digital inventory (approximately 6,000 procedures), and included in the Government’s website. From 2009 to 2010, during the second phase of the project, the Special Task Force commission, composed of government officials, embarked on a benchmarking mission to identify all problematic administrative procedures. Thus, everyone from civilians, to business associations, to enterprises, were involved in isolating issues regarding these procedures and suggest possible solutions. As a
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Vietnam
Legislated
result, in 2010, the Prime Minister approved a package consisting of 258 administrative reforms. In addition, a monitoring and measuring instrument has been created, starting from a method first designed to assess the implementation of Project 30. The instrument was then further developed to assess the performance of national programs, of reforms at ministry and at province levels. A 2011 OECD report noted that, among other factors of success, Project 30 managed to: - Gain political support, as the Prime Minister himself took lead of the project, thus eliminating any possible reluctant attitudes towards it; - Impose a comprehensive approach to simplify all administrative procedures - Provide an instrument to monitor, measure and assess ongoing reform efforts; - Form a strong coordinating unit at the center of the Government, namely the Special Task Force, which deals directly with ministries, agencies and provinces in matters concerning project implementation, training programs and other guidelines; - Provide high accountability and transparency, as any citizen can offer feedback on the reform implementation process and the Government has taken responsibility over it. Additionally, the establishment of the Advisory Committee for Administrative Procedure Reform actively involves all stakeholders in an effort to establish a regular dialogue between the Government and business. Through Project 30, Vietnam created the necessary conditions for it to benefit from a modern regulatory system and has proved its progress-oriented attitude. Sources: http://www.brookings.edu/research/papers/2010/09/vietnam-schwarz http://browse.oecdbookshop.org/oecd/pdfs/product/4210301e.pdf
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actual evidence indicates that member countries of the Association of South-East Asian Nations are emerging from a juncture of economic downturn with a strong covet for output growth. It is easily perceived that much effort has been invested in the reformation of outdated structures, as well as in the progressive advancement of forward thinking management systems. National initiatives for performance improvement have led to the development of performance management foundations that will eventually become the backbone of fully functioning performance management systems. This section is intended to shed light on the state of performance management systems in the Sultanate of Brunei Darussalam, the
Kingdom of Cambodia, the Republic of Indonesia, the Federation of Malaysia and the Socialist Republic of Vietnam, as well as provide additional insights to the best performance related practices within the Republic of Singapore, the Republic of the Union of Myanmar, the Laos People’s Democratic Republic, The Kingdom of Thailand, and the Philippines. A detailed analysis of the ASEAN territories surfaced valuable information regarding the enactment of incipient performance management frameworks and youthful strategies for performance improvement. Crucial transformations and vital reforms unraveled the cardinal significance of performance measurement and performance management systems put at work.
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The Sultanate of Brunei Darussalam Leading Performance Management in Southeast Asia Marcela Presecan Business Research Specialist, The KPI Institute “An effective organization requires quality workforce to move forward, and a management system as a facilitator. Both of these are needed to achieve success in service delivery […]. An effective management organization requires systematic and a thorough performance audit. This audit is not only to know the Key Performance Indicators (KPIs) but also to evaluate efficiency in government agencies,” explained BruneiDarussalam’s Minister of Finance, Dato Paduka Hj Abdul Wahab bin Juned. Due to its wealthy and stable economy, the Sultanate of Brunei Darussalam is part of the first wave of ASEAN states which implemented the ASEAN Economic Community Strategy (AEC) of 2015. This means that together with Malaysia, Singapore, Indonesia, the Philippines and Thailand, Brunei is one of the countries situated in the lead for achieving the broad economic goals of the AEC development scorecard. Progressing at a steady pace, the Sultanate of Brunei Darussalam has already fully implemented 8 out of the 19 categories of economic development, while the remaining categories are more than halfway completed. Benefiting from the world’s highest $GDP per capita ($48000), the people of Brunei enjoy a Government that further pursues its accomplishments through national reforms and harmonious development. The Wawasan, or Brunei Darussalam’s National Vision 2035, is aimed at developing and implementing an integrated national strategy, based on several key elements: • Environmental Strategy – for conservation of natural resources, health and safety in line with the highest international standards; • Infrastructure Development Strategy – for sustainable investment in world-class infrastructure, through optimal public-private partnerships; • Local Business Development Strategy – to enable Brunei to achieve leadership in both business and industry, by enhancing small and medium-sized business development; • Institutional Development Strategy – for exceptional good governance and high quality public service, as well as modern regulatory frameworks and efficient public sector procedures; • Economic Strategy – to create new employment opportunities and enhance economic diversification beyond the oil and gas industries; 44
• Education Strategy – to create a competitive, knowledge-based foundation that will prepare the Sultanate’s youth to tackle new employment opportunities; • Social Security Strategy – to ensure a prosperous nation; • Security Strategy – for political stability and defense against disease and natural catastrophes. Manifesting a high propensity for performance management and measurement altogether, the Government of Brunei Darussalam monitors its Key Performance Indicators (KPIs) yearly, in order to assess the degree of country vision and mission achievement. These last goals are defined as: the accomplishments realized by its welleducated and highly skilled people, the high quality of life Brunei’s people enjoy, and its sustainable and dynamic economy. The accomplishments of Brunei’s well-educated and highly skilled people are measured against KPIs such as: #Population density and # Annual rate of increase, #Population median age (years), #Employed and #Unemployed, %Labor Force Participation Rate and % Unemployment Rate. The allocated data reveals the fact that the Sultanate of Brunei fosters a young population, with only 3.5% of the people being 65 of age, or more. The majority of Bruneians, 70,9% more precisely, is aged 15 to 65, while 25.5% are under 14 years of age. With a five year strategic plan (20122017) for improving early childhood care and education, as well as the quality of educational facilities, The Sultanate of Brunei aims at reaping the full advantages of a well-educated, highly skilled and motivated young population. As a result, the % Labor force participation rate of Brunei Darussalam revolves around the 80% figure, while the % Unemployment rate is less than 3%. Success against targets set for the 2035 Vision in the field of education and labor force is characterized by encouragement of life-long learning, provision of educational opportunities and notable achievements in sports and arts. The Sultanate’s preoccupation with healthcare and social services is monitored closely in relation to vital performance indicators such as: # Death rate, # Infant mortality rate per 1000 live births, # Under5 mortality rate per 1000 births, # Marriages and # Divorces, as well as the # Median age at first marriage (years). Both # Infant mortality rate and # Under 5 mortality rate
have decreased to approximately 6-7 deaths per 1000 persons, while the death rate of the entire population is oscillating around 3%. Success against targets set for the 2035 Vision regarding the quality of life is measured according to the highest standards of living and political stability. By referencing to the United Nations Human Development Index, Brunei Darussalam aims to become among the top 10 countries across the globe. The sultanate’s sustainable and dynamic economy relies on Brunei’s Government success in the areas of free healthcare, advanced education principles, heavily subsidized housing, and exquisite domestic infrastructure. However, there have been raising concern levels regarding over-reliance on the country’s oil and gas resources. In view of future depletion of these main resources, economic development in Brunei is currently based on providing value add by means of economic diversification outside the oil, gas, and energy sectors. According to the Sultanate’s Quarterly economic scorecard, the Non-oil and Gas Sector has contributed with 2.26 percentage points to the growth of GDP in the second economic quarter of 2013. The Oil and Gas Sector, on the other hand, has seen a decrease in its contribution to national GDP, after falling 0.27 percentage points. Other important segments of the Sultanate’s economy are: the Government Sector, which accounts for 11.7% of the GDP, construction, with 2.7% of the GDP, wholesale and retail trade, which account for 3.2% of the GDP, finance with 2.8%, and business services with 3.1% of the GDP. The international merchandise trade is measured against performance indicators such as: $ Imports, $Exports and $ Trade Balance. Exports of goods and services are eclipsed by crude oil and natural gas, while imports seem to be dominated by manufactured goods, machinery and transport equipment, and food products. Given the high prices of crude oil, it is of little surprise that the country experienced substantial fiscal surpluses over recent years, while also managing to remain unaffected by the economic breakdowns experienced by many of the world’s countries. The mentioned surpluses created a safe net for the Sultanate which enjoys a significant reduction in economic risk. However, Brunei Darussalam’s short to medium term strategies are still built on strong financial performances due to contribution of oil and gas revenues to budget. On the long term,
AROUND THE ASEAN to the process of national development in its entirety. That is why the Sultanate of Brunei Darussalam is continuously moving forward in building the solid foundation for performance management in Asia, while also providing an example of best practice in this specific area. References:
though, the Government is acknowledging the fact that this is neither an efficient, nor an effective strategy. On the long run, other economic sectors will need to emerge and flourish in order to achieve further growth and development. A diversified economy is one of the Sultanate of Brunei Darussalam’s main goals to a sustainable economy. That is why stimulating growth of the private sector is a means for diversifying budget revenue streamlines and supporting a broader extension of the Sultanate’s labor market. Brunei Darussalam ranks 85 out of 185 economies in the World Bank’s 2013 “Doing Business” Report. Its aim at ranking higher in the report is supported by Government initiatives such as: expediting bureaucratic procedures, new business facilitation centers, a new centralized licensing system,
improvement of licensing procedures by reduction of licensing time and cost, total cost reduction of business establishment, new governmental bodies to ensure ease of doing business continuous support, and private sector employment for an equitable privategovernment work force distribution. The country’s experience with performance management systems, their implementation, and their outcomes provides the ASEAN economic area with a model for successful Public Sector achievements. It is more than obvious that a lot of effort has been put in the development and efficient functioning of the Sultanate’s competitive market edge and private sector. The supportive role of the Government through regulatory reform and new regulation enforcement has been designed as a function that can add value
Department of Economic Planning and Development, Prime Minister’s Office, Brunei Darussalam (2013), Brunei Economic Bulletin Quarter 2, 2013, Available at: <http://www. bedb.com.bn/why_wawasan2035.html> The Association of Southeast Asian Nations (2012), ASEAN Economic Community Scorecard, Available at: <http://www10.iadb. org/intal/intalcdi/PE/2012/10132.pdf> The Brunei Economic Development Board, Prime Minister’s Office (2015), Brunei’s National Vision, Available at: <http://www. bedb.com.bn/why_wawasan2035.html> Thien, M. (2012). Efforts to improve Public Service delivery. The Brunei Times, Available at: <http://www.bt.com.bn/newsnational/2012/07/19/efforts-improvepublic-service-delivery> Public Service delivery. The Brunei Times, Available at: <http://www.bt.com.bn/newsnational/2012/07/19/efforts-improvepublic-service-delivery>
The Kingdom of Cambodia Public sector management for progress and development Marcela Presecan, Business Research Specialist, The KPI Institute National efforts towards development in the Kingdom of Cambodia have incentivized the Government to build a functional framework for public sector management. Therefore, the National Strategic Development Program of Cambodia for the 2014-2018 timeframe has been formulated to meet the requirements of a much more results-oriented development strategy. In its effort to address major country governance challenges, Cambodia has initiated a results-focused strategy, based on a comprehensive national plan with cascaded national performance indicators and targets set at each governmental level. The National Strategic Development Program 2014-2018 seeks to improve public service delivery by strengthening the national budget, while also making it a reliable tool for performance based government policies, reforming public financial management practices and refining the weaker components of monitoring
and evaluation as catalysts for strategy implementation. Transformation of the Cambodian public sector is based on the governmental reformation of its core problematic functional areas: poverty, corruption, judicial execution, public administration and economic development. Progress towards a better execution plan for the national development program of Cambodia is encouraged by an objective assessment of current results: • An increase in the values of GDP rates has been acknowledged for the 5-year period 2009-2014, as 85% of the 7% GDP target has been achieved for these respective years. For the Kingdom of Cambodia, this may mean a future rise in country classification, to a “Middle lower income country,” if all other conditions are met. • Increase value add of non-farm sectors such as tourism, construction, and manufacturing has leveled the contribution of farm and nonfarm sectors to the national GDP. According to a governmental estimation, agriculture contributed approximately 26% in the
GDP in 2012, compared to 28% in 2009. As progress is favored by increased productivity contributions of non-farm sectors in the GDP, the 2012 figures seem in line with country national objectives for development; • Although the global depression of 2009 affected Cambodia by widening the revenueexpenditure gap to 8-9% of the GDP, the National Strategic Plan for 2014-2018 acknowledges the need for strengthening budget execution through public financial management and a financial management information platform that will be expected to improve efficiency and control. All ministries and agency budgets are expected to be balanced for a full integration into the ASEAN economy, in 2015; • After reaching an all-time high in 2009, trends in the inflation of Cambodia have significantly decreased to 3.5% in 2012, considering that the government target is to maintain the figures within a 5% limit; • The poverty rate target of Cambodia for the year 2015 is set at 19.5% although, during 2009, poverty decreased to 14.6 % and, thereon, maintained a favorable line of
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AROUND THE ASEAN evolution. Higher poverty rates have been acknowledged in the south and southeast of Cambodia, mainly in rural provinces; • Regarding the structure of Cambodian labor force, a decrease in the number of agricultural engaged workers is seen as progressive. Data has shown a positive review of this workforce trend, as the labor force engaged in agricultural activities has decreased from 66% of the total labor force in 2009, to 62% in 2011; Today, the Cambodian Government faces the challenge of progressing from a Least Developed Country, to a Middle Lower Income Country, as well as an overall integration into the ASEAN economy. A results-based framework seems to be compulsory in order for the National Strategic Development program to find an optimal implementation. In order to highlight the structure of the public management framework, as a results oriented guideline to strategy implementation, the Cambodian government formulated an input-outputoutcome logic model. Within its Strategic Plan for reducing poverty, the Government of Cambodia has defined economic growth, economic diversification, reduced poverty, better governance and competitive human capital as its goals. Monetary/fiscal strategies, macroeconomic/sectorial strategies and administrative reform policies have been categorized as inputs in the implantation of the Cambodian development plan. The policies for raising budget revenues, strengthening laws and regulations, encouraging industrial development, promoting public service decentralization and raising accountability at national/subnational levels are seen as outputs of the governmental development initiative. The outcomes are believed to be both micro and macroeconomic: foreign investments, increased exports, booming tourism, diversified industries, poverty reduction,
infrastructure development, functional governance systems, more responsive administration units, skilled human capital, decentralized transparent public services, functions, budget and staff. Projections of key economic indicators make for a performance based approach to achieving national targets and governing budget capacity. A sound fiscal mechanism supported by limited resources also acknowledges the importance of a resultsoriented framework for Cambodian Public Sector Management. The selected key economic indicators are selected against objectives such as: • Boosting international investors’ confidence with Cambodia; • Nurturing the relationship with China, as a country with sustainable growth performance, and encouraging its spillover effect on the Cambodian economy; • Progressing to the next level of country development; • Balancing revenues and expenditures; • Achieving the ASEAN economic integration. A need for monitoring key performance indicators and their targets prevails within the educational sector, while a vision for higher Cambodian education and linkage to the ASEAN quality standards on priority educational programs are seen as the main objectives within an integrated policy for development. The % Gross enrollment rate in Upper Secondary Education, # Students in technical high schools and % Literacy rate, are some key indicators selected by the Cambodian government to regularly be monitored and reported on. Interventions in health service delivery, according to the National Strategic Development Plan for 2014-2018, is insured by the Ministry of Health (MoH). The performance scorecard for the Cambodian national healthcare system assesses previous results and sets targets for the Reproductive,
infant and child health, the Nutrition status of women and children, Communicable diseases, Non-communicable diseases, and Health System strengthening by use of indicators such as: % Infant mortality rate, % HIV prevalence among general population, % Malaria mortality rate, % Tuberculosis cure rate, %Health Center with stock out of essential drugs, %Functioning Health Center Management, # Client satisfaction index, and # Data quality index. A summary of the shift initiated by the Government of Cambodia towards a result-oriented management framework reveals the predisposition for crucial transformations and structural reforms. Although in an incipient phase, planning in Cambodia has progressed. The National Strategic Development Plan 2014-2018 is a testimony of this advancement. As regards the budgeting function of the Cambodian Government, performance in this respect has to focus on overcoming the shortfalls of an optimal budget allocation. Implementation of public sector strategy has improved. Reporting on performance indicators is attempting to become the usual practice for measuring public sector performance. Some forms of monitoring have been established, although this particular aspect needs further improvement. References: Ministry of Planning, Cambodia (2014), The National Strategic Development Plan, Available at: <http://www.mop.gov.kh/ Home/NSDP/NSDP20142018/tabid/216/ Default.aspx> The Asia Pacific Community of Practice on Managing for Development Results (2011), Framework for Result-Based Public Sector Management and Country Cases, Available at: <http://www.delog.org/cms/ nl/pdf12/Framework_for_Result_Based_ PublicSector_27oct2011.pdf>
The Republic of Indonesia Overcoming the challenge of cascading national strategy at subnational level Marcela Presecan, Business Research Specialist, The KPI Institute The 1997 Asian financial crisis that brought about the financial collapse of Indonesia, South Korea, and Thailand activated the demand for governmental actions that would improve public service delivery within all of the countries affected by the financial meltdown. The financial losses 46
suffered by the Republic of Indonesia within times of utmost crisis triggered an ambitious initiative of total administrative reform and decentralization. In 2001, the year of peak reformation among government institutions, the Board of Finance and Development Supervision Indonesia (BPKP) held a memorandum of understanding with local governments and partner agencies, which was meant to help them improve their performance, as well
as aid them to achieve good governance. A prevention management system was deployed, as the need for preventive governance against frauds and moral hazard had been previously acknowledged. The newly formulated Indonesian public sector framework optimized the budgeting function, by accurately defining its processes, efficiently distributing the responsibilities of the Treasury and all other related entities. The new public sector framework also rendered
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the need for a national development planning process and a shift towards results-oriented public sector management. Indonesia’s progress towards a resultoriented public sector management began with performance based budgeting. The budgeting function became the most important tool of progression towards a sound development of Indonesian public sector management. The national budget changed from being mainly based on inputs, to one in which outputs brought considerable value in the process of its implementation. During the years 2002-2004, an output orientation was advanced among public sector entities in Indonesia. The Indonesian Finance Law, restructured the outputoriented budget function by associating performance indicators with its execution, while adequately aligning it with national priorities. Indonesia’s structural reform priorities were, thereafter, defined within three main development plans: • The National Mid-Term Development Plan (2010-2014); • The National Long-Term Development Plan (2005-2025); • The Masterplan of Acceleration and Expansion of Indonesia Economic Development (2011-2025). The National Mid-Term Development Plan 2010-2014, is formulated as a reference point in the Ministry and Government Agencies’ process of defining their individual Strategic Plans, each with its own vision, mission, goals, activities, programs and policies. The Masterplan of Acceleration and Expansion (2011-2025) is complementary to the national mid-term and long-term development plans, while also providing the fundamental elements for structural reform. The linkage between the result-oriented Indonesian budgeting function, and the
republic’s national priorities is achieved through the establishment of key performance indicators that measure outputs, inputs and related activities, in order to facilitate operational efficiency. However, the process of integrating this approach at subnational level, has revealed concerns regarding the effectiveness of cascading national strategy at other governmental levels. The main challenges identified in the process linking national strategy to subnational implementation of the same strategy have been defined as: • Understaffing of subnational governments; • Lack of data collection and evaluation methodologies; • Weak result-based monitoring; • Poor quantification of performance indicators and targets at subnational level; • Lack of legislation that enforces resultsfocused performances; • Subnational documentation which mostly includes qualitative performance indicators; • The absence of a single scheme for subnational monitoring and, thus, accountability of the agencies frequently overlaps; • Lack of data availability; • Lack of subnational capacity to conduct reporting based on both qualitative and quantitative indicators, as well as inputoutput and process level information. Although cascading national strategy at subnational level has proved to be a challenge for the Indonesian Government, performance according to National Development Programs is respected and evaluated strictly. Signed performance contracts between the President of Indonesia and National Ministers constitute the basis for formal sanctions, when performance targets have not been met. Governmental heads are required to publish annual reports of accountability, stating achievements and
the level of results. The objective of achieving professional government bureaucracy based on integrity, high performance and no corruption, while also improving public service, and raising the capacity and accountability of public institutions, is formulated against performance indicators such as: # Corruption perception index, % Integrity of public service and # Government effectiveness index. Although an efficient vertical integration of national strategy is still an objective to be achieved, Indonesia has managed to sufficiently instill a performance based approach Public Sector Management. With common national goals inspiring reform, a performance based culture has emerged among the governmental institutions of Indonesia. Overcoming inequitable public service delivery across different country regions remains a matter of balancing resources, and supporting the alignment of national objectives with subnational ones. References: Asia Pacific Economic Cooperation (2011), Indonesia’s Structural Reform Priorities, Available at: <http://mddb.apec.org/ Documents/2011/SOM/WKSP/11_som_ wksp_009.pdf> Asia Pacific Community of Practice on Managing for Development Results (2011), Framework for Result-Based Public Sector Management and Country Cases, Available at: <http://www.delog.org/cms/nl/ pdf12/Framework_for_Result_Based_ PublicSector_27oct2011.pdf> Portal Nasional Republik Indonesia (2009), Board of Finance and Development Supervision, Available at: <http://indonesia.go.id/en/ lpnk/badan-pengawasan-keuangan-danpembangunan/2457-profile/372-badanpengawasan-keuangan-dan-pembangunan>
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Lao People’s Democratic Republic The educational system in Lao PDR – a history of evolution Manuel Hila, Senior Data Visualization Specialist, The KPI Institute Lao PDR (Laos), a country that has China, Myanmar, Thailand, Cambodia and Vietnam surrounding its borders, is situated well in the center of the Southeast Asian peninsula. Its position between more powerful neighbors has made it a buffer, as well as a crossroad, for communication and trade. Laos is a single-party state, one of the few remaining communist states that has experienced rapid economic growth, as market reforms have begun to be installed since the late 1980s. As mentioned in the International Monetary Fund Country Report Number 13/369, from an economic context, the state’s growth was strong in 2012, as expansionary macroeconomic policies have been previously carried out. Furthermore, the current account deficit has declined, as a result of the national currency appreciation, growing fiscal deficit, and strong demand for domestic products. The education system in Laos did not begin to take shape until the French colonization from 1893, to 1945. Until that time, during the period in which Laos was a kingdom, education was perceived, as Saignaleuth stated in “Educational evolution development of Laos, 1893-2020”, as an ancient education. Saignaleuth divides Laos’ ancient education situations intro three categories: • The education of people or of family, which was an informal educational practice taking place in some social communities, villages or within individual families. Buddhist religions, social behaviors, country geography and history were the related contexts and concepts of learning. • The royal education, offered to the royal family members, was an education system designed for the higher class. It was not made available to common people, as it was provided by the monarchy administration and from other services situated in the higher ranking authorities. • Religious education was conducted in Buddhist temples by monks and other people from rural areas. The context of learning focused on two dimensions, namely the Buddhist religion and general concepts belonging to villagers from the local communities. This form of education was available to all people, and it was regarded as a personal choice. As detailed by Kanstrup-Jensen in “Educational constraints and resources among ethnic minority groups 48
in the Lao PDR”, Buddhist monks carried out the education of children and youth inside pagodas. Near every village there was a temple serving both religious, and educational purposes. In 1975 the Laos People’s Democratic Republic was founded and was included by The United Nations as one of the least developed countries, due to its low income, limited human resources and economic weakness. In order to develop primary and higher education in Laos, and to increase performance management in the higher education sector, the National Educational Reform Strategy enacted between the 20002015 timeframe, focuses on five educational dimensions which need to be developed. The strategy, as Lachanthaboune, Somsanith and Lee describe it in “The development of education, national report: Lao people’s democratic republic”, is related to the moral, intellectual, vocational, physical and aesthetic aspects. However, the educational system was met by several obstacles during its transmutation process from a traditional-oriented system, towards a modern one. The actual education system of Laos is organized and administered by the Ministry of Education and Sports (MOES) at a national level, and by the Provincial Education Service offices and District Education Bureaus at county level. The Ministry of Education and Sports represents the government’s central management organization. It is responsible for the national educational system planning, developing educational policies and supervising all educational activities. Its main responsibilities are: • The curriculum development; • Textbooks development; • Didactical education; • Vocational education; • Higher education; • Planning and cooperation • Budget development. • The overall personnel management in the system. The Ministry of Education and Sports is also responsible for the national examinations and school-supervision. As presented by the Laos PDR Ministry of Education in “Education for all (EFA) national plan of action 2003-2015”, the government of Laos has committed to make serious efforts in order to increase the proportion of public resources allocation for the educational
field, even if there is no guarantee that these additional resources will be employed in an effective manner. At institutional level, the educational sector consists of several departments, institutes and centers. The provincial, districts and school educational levels are vertically coordinated by The Ministry of Education and Sports. In order to increase ownership and responsibility of each administrative level, the decentralization of educational policies has been enforced by the government, starting with 2002. Educational managers at all levels have been trained in order to ensure that activities are implemented responsibly. The structure of The Ministry of Education and Sports is periodically improved and revised in order to increase the performance management and productivity, and to ensure transparency. As a result of the last years’ efforts, the education in Laos experienced detrimental changes, all of which were highly needed for improvement to be instilled. In order to attain a worldwide educational standard, Laos’ educational system needs time, as its development process, although inscribed in a slow-paced rhythm, has, nevertheless, proved its efficiency. References: Kanstrup-Jensen, A. (2001), Educational constraints and resources among ethnic minority groups in the Lao PDR., Adult education and development, Available at: <http://vbn.aau.dk/en/publications/ educational-constraints-and-resourcesamong-ethnic-minority-groups-in-tehlao-pdr(c33357c0-8111-11da-ad8a000ea68e967b).html> Lachanthaboune, S., Somsanith, P. and Lee, Y. (2008), Ministry of Education, Lao PDR. The development of education national report: Lao people’s democratic republic, Available at: <http://www.ibe.unesco.org/National_ Reports/ICE_2008/laoPDR_NR08.pdf > Lao PDR. Ministry of Education (2005), Education for all (EFA) national plan of action 2003-2015, Available at: <http://unesdoc. unesco.org/images/0014/001410/141063e. pdf> United Nations Development Programme (2007), Lao PDR. Assessment of development results. Evaluation of UNPD’s Contribution, Available at: <http://web.undp.org/ evaluation/documents/ADR/ADR_Reports/ ADR_Laos.pdf>
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Malaysia Performance Management in Malaysia. A governmental approach Andreea Vecerdea, Head of Strategy & Performance, The KPI Institute In 2009, the Government of Malaysia has understood the importance of implementing a solid Performance Management Framework, which can support the achievement of the country’s ultimate goal – to become a developed country, in all aspects, by 2020. To make sure that this vision is transformed into a reality, a dedicated entity was formed. The Performance Management & Delivery Unit (PEMANDU) was established on the 16th of September, 2009, as a unit under the Prime Minister’s Department coordination. The way the Malaysian Government envisioned the path towards its goal was by implementing two extensive programs: the Government Transformation Programme (GTP) and the Economic Transformation Programme (ETP), and by involving both the public and the private sectors into this effort. The public sector was responsible for the successful deployment of the GTP, while for the ETP – the responsibility was laid into the hands of the private sector. The first program, the GTP, was aimed at reforming the public sector. In order to report the progress made towards reaching this goal, the GTP was structured into National Key Results Areas (NKRAs) and Ministerial Key Results Areas (MKRAs). The NKRAs identified were: Reducing crime, Fighting corruption, Improving students’ outcomes, Raising the living standards of low income households, Improving rural development, Improving urban public transport and Addressing costs of living. Each NKRA had KPIs assigned to them, alongside the initiatives implemented, to make sure they were properly addressed. To make this Performance Management framework more efficient, a recommendation would be to standardize terminology, as it provides an easier understanding of the concepts. For instance, for reducing crime, 5 KPIs were set, one starting with a verb: “Increase investigation papers opened brought to trial”, and another one with a noun “Public satisfaction with police front-line performance”. The recommendation would be to use verbs for objectives – “Increase investigation papers opened brought to trial”, and symbols for KPIs – in this case, “% Investigation papers brought to trial”. Moreover, for each KPI, there are certain initiatives in place, or initiatives are usually assigned to objectives, not to KPIs.
However, leaving besides this lack of standardization, the efforts put into implementing such an ambitious program has to be notable. In regards to the second program, the ETP, on one hand, it was aimed at increasing the Gross National Income (GNI) per capita. And the way to achieve this target, was by implementing 12 National Key Economic Areas (NKEAs), which are those sectors considered relevant to contribute to GNI: Oil, gas and energy, Palm oil and rubber, Financial services, Tourism, Business services, Electronics and electrical, Wholesale and retail, Education, Healthcare, Communications content and infrastructure, Agriculture and Greater Kuala Lumpur / Klang Valley. For each of the NKEAs mentioned above, Entry Point Projects (EPPs) were identified, and for each EPP, a series of KPIs was listed. For example, for Oil, gas and energy, there were 13 EPPs in place. The first of them “Rejuvenating Existing Fields through Enhanced Oil Recovery (EOR)” had 1 KPI assigned: “Addition Resources – Million Stock Tank Barrel (MMstb).” What is interesting in terms of KPIs computing, is the fact that three calculation methods were used, and results were made available for each of them. On the other hand, the program was aimed at increasing the country’s competitiveness. And the way of making this real, was by implementing six Strategic Reform Initiatives (SRIs): Competition, standards and liberalization, Public finance reform, Public service delivery, Narrowing disparities, Government’s role in business and Human capital development. For each of the above mentioned initiatives, KPIs were identified, again with three methods of calculation. For example, in the case of
“Competition, Standards and liberalization”, 24 KPIs were identified. Another aspect that deserves mentioning is the transparency in making available these results to the public. Besides the annual reports, which comprise hundreds of pages reporting the actions taken, and the results obtained, short factsheets, tables, graphs and infographics are also made available, thus ensuring that the public understands the efforts made and the progress towards achieving the desired goals. To conclude, Performance Management in Malaysia follows a structured approach, a rigorous system being in place, with objectives, KPIs, programs and initiatives. By continuing in this manner, Malaysia will most certainly gain the developed-nation status by 2020. References: The Performance Management & Delivery Unit (2013), Overview of ETP, Available at: <http://etp.pemandu.gov.my/About_ETP@-Overview_of_ETP.aspx> The Performance Management & Delivery Unit (2013), GTP overview, Available at: <http:// www.pemandu.gov.my/gtp/About_GTP-@GTP_Overview.aspx> The Performance Management & Delivery Unit (2013), Economic Transformation Programme: Annual report, Available at: <http://etp.pemandu.gov.my/ annualreport2013/upload/ENG/ETP2013_ ENG_full_version.pdf> The Performance Management & Delivery Unit (2013), Government Transformation Programme: Annual report, Available at: <http://www.pemandu.gov.my/gtp/ annualreport2013/upload/file/Pemandu_ GTP_AnnualReport_2013_Spread_0804_ LOWRES_Combine.pdf>
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Myanmar The Myanmar Central Bank – an Input-Output-Outcome approach to technological improvement Marcela Presecan, Business Research Specialist, The KPI Institute The basic financial sector of Myanmar has raised the Government’s interest in strengthening its capacity towards sustainable levels of performance. The financial sector of Myanmar is currently dominated by 4 state-owned banks and 19 private banks, while the overall country’s economy suffers from poorly controlled inflation levels, an uncanny interest rate regime, and unhealthy exchange rates. The demand for microfinance is high, as less than 20% of Myanmar’s population has access to financial services and foreign banks haven’t been allowed yet to operate in the country’s financial environment. The Central Bank of Myanmar (CBM) has been granted the task of reforming the country’s financial sector and, primarily, restructuring its own organization. Through sustainable partnerships with the Asian Development Bank and the Central Bank of the Philippines, the Central Bank of Myanmar agreed upon targeting technological knowhow and technical exchanges as the drivers for its improvement. The Asian Development’s Bank Technical Assistance report, Republic Union of Myanmar: Financial Sector Reforms of 2013 stands as proof of that agreement.
Objective
Improved CBM operations by institutional capacity enhancement
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The report focuses on the impact, output and outcome measures of technological exchange and system implementations. These measures have been formulated around two main objectives: 1. Improve CBM’s operations by enhancing institutional capacity; 2. Increase effectiveness of the human capital engaged in the financial sector. The first objective of optimizing financial sector capacity by technologically improving the operations of the Central Bank of Myanmar is supported by the following inputs: • A responsible financial strategy; • A Microfinance Regulator; • Microfinance Providers; • A dependable Microfinance Association that will provide the link between the microfinance regulator and the microfinance providers; • A task force for implementing financial literacy support programs (international consultants); • A Smart Campaign for consumer protection awareness; • A 100.000 $ financing grant provided by the Asian Development Bank. The output will be that of a support framework that will aid an enhanced financial inclusion. This framework is targeted at enabling the key microfinance
stakeholders of Myanmar to contribute to the development of the country’s financial sector. The second objective, namely that of increasing the effectiveness of institutional staff, is made achievable by means of the following inputs: • Human Resource Management Consultants; • Immersion trainings; • Public workshops; • Expertise providers in the field of payments and settlement systems; • Support courses for staff development; • Career path options and specialized support. The output is a strengthened institutional staff capacity, knowledgeable personnel in the field of finance, and well defined action plans for human resource skill development, alongside adequate compensation systems. Assuming that the political environment of Myanmar remains stable and foreign investment will continue to be encouraged, the outcome provided by the objectives set to improve CBM is a strengthened institutional and policy framework that supports Myanmar’s financial sector development. The performance assessment framework*, built by the Asian Development Bank, monitors the progress and risks of technological system implementations in the case of CBM. Its construction follows:
Input Performance Indicators
Input Performance Indicators
Data collection sources and reporting tools
Risk assesment
Outcome
# Microfinance plans developed # Microfinance action plans # Stakeholders # Financial literacy action plans developed $ Grant financing
# Microfinance plans adopted # Microfinance programs implemented # Stakeholders participating in financial inclusion exchanges # Financial literacy action plans implemented % Consumer protection awareness
Asian Development Bank Mission Review
- Low capacity of microfinance regulator -Insufficient efforts to increase institutional capacity -Small pool of afor CBM strategy delivery -Ineffective selfregulation -Lack of CBM focus on key priorities -Government maintains restrictions to microfinance providers, interest rate ceilings for credit and minimum rate for deposits
Strengthened institutional and policy framework for financial inclusion and financial sector development
Central Bank of Myanmar progress reports Consultant progress reports CBM Performance Index
AROUND THE ASEAN Objective Increase effectiveness of the human capital engaged in the financial sector
Input Performance Indicators
Input Performance Indicators
Data collection sources and reporting tools
Risk assesment
Outcome
# Staff # Exposure visits # Workshops # Human resources plans approved # Training programs
# Staff participating in training programs % Staff participation rate # Human resources plans implemented # Employees with competencies at desired level
Participant curriculums
-CBM does not meet the requirements of internalized training -Lessons do not translate into concrete results -Low staff participation rate in development programs -Progress is not accurately monitored -Staff does not meet level of competencies criteria
Strengthened institutional and policy framework for financial inclusion and financial sector development
Training curriculums CBM reports Consultant progress reports Staff mean scores of development programs
*The performance framework is adapted from the Asian Development’s Bank Technical Assistance Report (2013), Republic Union of Myanmar: Financial Sector Reforms Included within Asian Development Bank’s report there are activities with milestones established for each objective are defined for the technical assistance implementation program: 1. Support framework for enhanced financial inclusion 1.1. Establish and deploy visit of Myanmar stakeholders to the Philippines, as well as other parties involved in the financial inclusion process (February 2014) 1.2. Assess regulatory and institutional progress, as well as consumer protection measures (February-March 2014) 1.3. Develop strategy for microfinance sector (January-June 2014) 1.4. Build action plan for strengthening microfinance associations (July 2014) 1.5. Develop financial literacy strategy (October 2014)
2. CBM institutional and staff capacity strengthened 2.1 Recruit consultants and establish project implementation office within executing agency (January 2014) 2.2 Assess the CBM human development and long-term training program (January-April 2014) 2.3 Finalize human resource action plan for approval (September 2014) 2.4 Establish priority issues as identified by senior management ( January 2014-December 2015) 2.5 Conduct trainings and exchanges (January 2014 – December 2015) In Myanmar, a critical need for financial sector reform and technological know-how has been acknowledged. By achieving the objectives set out in the technical assistance report of the Asian development Bank, the
Central Bank of Myanmar will manage to improve its overall capacity by development of functional competencies, human resource management, and bank operation system optimization, thus strengthening the overall provision of financial services to the people of Myanmar. References: Asian Development Bank Technical Assistance Report (2013), Republic Union of Myanmar: Financial Sector Reforms, Available at: <http:// www.adb.org/sites/default/files/projectdocument/79547/47159-001-tar.pdf> Duflos, E., Luchtenburg, P., Ren, L., Yan Chen, L. (2013), IFC Advisory Services East Asia and the Pacific Microfinance in Myanmar, Sector Assessment, Available at: <http://www.cgap. org/sites/default/files/Microfinance%20in%20 Myanmar%20Sector%20Assessment.pdf>
The Philippines The Philippines Government – a results-oriented institutional culture through performance incentives Cristina Tărâtă, Head of Research Programs, The KPI Institute Before 2012, the Philippines Government rewarded employees from the board uniformly, regardless of their performance. In time, this approach proved to be limited in terms of motivating employees and stimulating progress. Therefore, an initiative to promote a performance and result oriented culture was implemented – The Performance Based Incentives System (PBIS). Based on it, employees can receive two
incentives: the Productivity Enhancement Incentive (PEI) – the financial bonus mentioned above, and the Performance Based Bonus (PBB) given on individual performance and contribution to the achievement of the employee’s department targets. However, this new bonus doesn’t affect other existing benefits, such as the mid-year and year-end bonuses, the Cash Gift, or the Collective Negotiation Agreement (CNA) bonus. How does it work? For a Government Agency to receive access to the PBB, it must first meet several
criteria. The bureaus, or delivery units will be ranked according to their performance and categorized under the following clusters: Best Bureaus, Better Bureaus, Good Bureaus and Poor Bureaus (bureaus that failed to accomplish 90% of their targets). Employees are eligible for the bonus only if their department is among the first three categories, and if their individual performance was not ranked as Below Satisfactory. The value of the bonus each employee receives is calculated by also taking into consideration the bureau’s performance, as it can be seen in the matrix below:
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Employee performance appraisal Bureau / Unit ranking
Best - Top 10%
Better - Next 23%
Good - Up to 65%
Best - Top 10%
P35,000
P20,000
P10,000
Better - Next 23%
P25,000
P13,500
P7,000
Good - Up to 65%
P15,000
P10,000
P5,000
Poor Employees rated poor in the annual Performance Appraisal System
Poor How is performance measured? Performance is assessed through performance indicators (PI) defined by the Government as “a characteristic of performance i.e. quantity, quality, timeliness or cost that is to be measured and will illustrate the standard by which a Department is expected to deliver its services.” For an Agency to be eligible for PBB, it must meet 90% of the performance indicators targets set for: • The Major Final Outputs (MFOs); • Support Operations Services (SOS) and General Administration Support Services (GASS); • Priority Program targets under the five Key Result Areas (KRAs). Three performance indicators must be selected for each MFOs to reflect quality, quantity, and timeliness. For SOS and GASS, performance indicators should only reflect quality and timeliness.
Who evaluates performance? In the case of bureaus and delivery units, the Secretary, or the Head of the Agency will make the evaluation with the help of a Performance Management Group (PMG), consisting of senior officials that directly oversee and observe performance. In the case of individual performance, the heads of the bureaus, or delivery units are responsible for ranking employees within these units. Governance The implementation of this performance pay based system is governed by the Department of Budget and Management, together with the Office of the Executive Secretary. At Agency and Department level, the responsibility is assigned to the Department Secretaries, or Heads of Agencies. Performance Management Groups are established for each Department, or Agency in order offer their support in the successful realization of this project. To make it easier for government employees
to understand the new performance pay system, all the details of the program are incorporated in an infographic available on the government’s website, together with a long list of frequently asked question. Best practices suggest that individual performance should not be stimulated only through financial incentives, but also through non-financial rewards. The effect of money on employee’s motivation is limited. It is recommended to have a holistic approach in rewarding employees, by including nonfinancial incentives like movie tickets, performance awards (diplomas, trophies), and recognition during an official ceremony, or even smaller attentions like the simple, but effective, “Thank you”. References: Philippines Government. Official Gazette (2012), Performance-Based Incentive System: Frequently asked questions, Available at: <http://www.gov.ph/pbb/faqs/>
Singapore Singapore airlines – managing human resources to achieve performance Marcela Presecan, Business Research Specialist, The KPI Institute A brief statistical analysis from flightstats. com, a website dedicated to analyzing the monthly performance of global airlines, resulted in awarding Singapore Airlines the lead # On-time ranks in 2015. This translates into a percentage of over 80% of Singapore Airlines flights which were ontime, experiencing no delays. Out of a total number of almost 7000 flights per month, less than 20 % underwent delays. In terms of operational performance, Singapore Airlines has obviously managed to achieve impressive results. It is also rather remarkable that Singapore Airlines has not only achieved operational performance throughout the last years, but it has also managed to outperform other airlines in areas such as cost effectiveness, customer service, service delivery quality and staff retention. 52
Singapore Airlines has been one of the most rewarded airline companies over the past four decades, and this is the result of the airline having managed to balance two major objectives: cost effectiveness and customer service excellence. Singapore Airlines’ success in implementing organizational strategies has proved to highly depend on the company’s ability to achieve alignment of departmental strategies (such as human resources, operations and marketing) with the leading business-level strategy: delivering service excellence in cost effective way. As mentioned, one of the core elements of the Singapore Airlines business strategy is the delivery of service excellence. This element proved to be highly dependent on the Human Resources department’s ability to empower and motivate staff into delivering services of high quality to the airline’s customers. The airline’s HR Strategy was, therefore, the product of senior management having worked together to design an effective
recruitment and compensation model that motivated the staff to achieve the company’s objective. The Singapore Airlines HR strategy is built on five pillars: 1. Rigorous selection and recruitment for talent: Singapore Airlines has a reputation for having a cabin crew that is always extremely attentive to their passengers’ needs. This is the result of a strict candidate screening before hiring, as well as subsequent stages of the overall recruitment process which include: progressive interviews with management, senior vice president, and senior cabin crew staff, a psychometric test, a water confidence test to assess the candidates’ ability to aid passengers in case of an emergency evacuation, as well as an informal tea party. The probation period of Singapore Airlines’ new hires is of 6 months. Throughout this period, the new crew is closely monitored through monthly reports. 2. Sizeable investment in employees’ training: Singapore Airlines is one of the
AROUND THE ASEAN airline companies that places high emphasis on human capital and, therefore, its continuous learning and growth. Singapore Airlines cabin crew trainings are founded on functional, safety and operational issues, but also include collection of knowledge on beauty care, wine savoring and gourmet cooking. Singapore Airlines is known to have seven independent training schools specialized in the functional areas of: cabin crew, commercial skill, flight operations, IT, security, airport services and engineering. Moreover, the airline provides management with its own training center, which bases its curriculum on a comprehensive agenda of leadership programs. 3. Building high performance teams for service delivery: Post-training, Singapore Airlines’ crew members are organized in teams of 13 individuals, supervised by a team leader, who also acts as a counselor when help or advice is rendered. The cabin crew team members are scheduled to fly together as often as possible, in order for them to better understand their capabilities, and perform as a group. Team leaders monitor the performance of the team as a whole, as well as the performance of individual members within the team. Thereafter, team and individual evaluations take place, and feedback is provided by the team leader. Furthermore, suggestion for staff development, or improvement are offered. 4. Frontline staff empowerment: At Singapore Airlines, frontline staff is encouraged to empathize with customers in a way that is comfortable to them, especially when special needs require the crew’s attention. Moreover, Singapore Airline frontline staff is empowered to raise the 20 kg allowance to 25 kg, or to 50 kg if they consider the decision justifiable. This gives them control over service processes, and ultimately contributes to process optimization.
5. Staff motivation through rewards and recognition: In order to achieve the objective of cost effectiveness, Singapore Airlines keeps base compensation packages low, but complements them with special rewards and bonuses that can lead up to 50% of the annual base salary. The management of cabin crew performance is an inherent part of the Singapore Airlines’ performance management system, which ultimately bases its structure on empowering its workforce to support and act accordingly with the company strategy. Through its cabin crew performance monitoring system, Singapore Airlines has managed to deliver results in line with the company’s strategy, which focuses on achieving customer service excellence. The cabin crew performance measurement system is based on: a viable performance monitoring system made out of ward leaders who monitor performance and report it to Cabin Crew Executives (CCE), vital performance management tools, as well as continuous assessment and reviews on which improvement measures are further based upon. The Performance Management Tools used to monitor cabin crew performance are: 1. The OBA or the “Onboard Assessment;” 2. The “Closed Assessment;” 3. The “Annual Appraisal.” The “OBA” is conducted six times during the six-month probation period, and it assesses the following elements: • Image; • Service orientation; • Product knowledge and job skill; • Safety and security; • Work relationship; • People management skills; • Preflight session. The “Closed Assessment” is conducted minimum two times per financial year and
it focuses on: • Crew attitude; • Interest towards the job; • Biases towards passengers. The “Annual Appraisal” has a particular structure to it, as it attributes weights to its composite cabin crew appraisal elements: • OBA – weighted 60%; • Discipline – weighted 15%; • Attendance record – weighted 10%; • Passenger feedback – weighted 10%; • Ward leader assessment – weighted 5%. Throughout the past four decades, Singapore Airlines has managed to deliver sustained performance through cost effective customer service excellence. And this has been achieved mainly through the alignment of the airline’s HR strategy to the overall business strategy. The company’s strategic objectives are part of the performance management and monitoring tools, the cabin crew assessments and annual appraisals. The commitment to service excellence, safety and teamwork success are embedded in the OBA, together with the closed assessment and the annual appraisal. It is safe to say that, by focusing on strategy and alignment, the Singapore Airlines has managed to out-perform many of its peers, as well as many other companies worldwide.
to its competitors. The Association of Thai Tourism Marketing (ATTM) is a non-profit organization which was founded and registered by the Government of Thailand in January, 2012. The association deals with ensuring proper competitiveness, and fulfills the needs for tourism development from the marketing point of view. Moreover, it facilitates forums of exchange among professionals in order to bring performance improvement in Thailand’s tourism market, and it seeks to promote all kind of tourism businesses in order to increase the state’s economic
growth and societal prosperity. The ATTM’s executive board of directors is elected for a two-year period, as the purpose is to initiate and increase creativity in marketing tourism. The main purposes of the Association of Thai Tourism Marketing are: • To promote the best practices of marketing in the Thailand travel industry; • To represent a community that collects and shares ideas on marketing & productivity related topics; • To assist innovative product ideas and related research on business performance; • To boost organizations’ ethical practice
References: Wirtz, J., Heracleous, L. (2012), Singapore Airlines: Managing Human Resources for Cost-effective Service Excellence, Available at: <http://bschool.nus.edu.sg/Marketing/ Jochen%20papers/ESM2_Case%2014_ Singapore%20Airlines.pdf> Flight Stats (2015), Major Airlines Arrival Performance - March 2015, Available at: <http://www.f lightstats.com/go/Stats/ airlinePerformanceReports.do>
Thailand Tourism performance in Thailand Andrada-Iulia Ghete, Senior Benchmarking Specialist The KPI Institute As business forecasts predicted, Thailand’s economic growth mainly relied on tourism, in 2014. The year before was not different at all, as it was another record-breaker for the country’s tourism industry. In regards to international visitor arrivals in 2013, Thailand reached the 10th place worldwide, and increased its number with 4%, as compared to the previous year. However, Thailand still has some performance gaps to close with regards
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AROUND THE ASEAN among agents from tourism industry for preserving touristic honesty and principles. • To advertise the added value brought by marketing professionals in the tourism industry, by involving organizations from the educational sector and ensuring professional quality and sustainability training for the workforce. In regards to the Vision statement of the Association of Thai Tourism Marketing, the President of ATTM, Mingkwan Metmowlee, recognized the big challenges existing in the tourism industry nowadays, and encouraged organizations to form strong partnerships among the same industry, in order to be able to compete with other, stronger players on the market. The Association of Thai Tourism Marketing proposed four main strategies for increasing performance and improving tourism businesses: • Product Marketing: products and services shaped by innovative ideas and excellent quality; • Media & Magazine Marketing – ATTM supports tourism agents by offering promotions, advertisements and insights through magazines and other various media tools, like news; • Trade Marketing – ATTM included marketing trade into all of its strategies, so that ATTM members have the opportunity to
follow the most updated tourism trade shows and plan their participation and products and services promotion in advance. • Online Marketing: it is considered to be the most powerful marketing tool, as digital contact is highly used nowadays through various online channels. Social media presence is highly recommended hence, ATTM seeks to expand its members’ opportunities in regards to this. According to the Ministry of Tourism and Sports, Thailand reached a number of 22.3 million visitors in 2012, breaking the 22-million barrier for the first time. More precisely, the visitor number went up by 15.98% during the previous year, and raised to 24.5 million in 2013. Tourists that visited Thailand in the previous year came from various countries, thus showing the efforts made by Thailand’s side to strive in the competitive Asian market. Among these visitors, more than 2 million came both from Malaysia and China, while tourists from Korea, Japan, India and Russia reached, or exceeded, for each country, the 1 million mark. Around 6 million of Thailand’s tourists came from other states belonging to the Association of South-east Asian Nations (ASEAN). It is expected that the direct contribution of Thailand’s tourism to its GDP to grow by
an average of 6.8% per year between 2012 and 2022, this way placing the country on the 13th position globally, in terms of long-term growth prospects. However, as mentioned by the World Economic Forum (WEF), Thailand could still improve its competitiveness, even if it has one of the world’s strongest tourism industries. Possible issues that might have impacted its tourism performance could be related to political aspects and natural disasters, as well as policy issues, such as environmental protection policies. Even if the tourism sector has increased a lot and reached a top place on the global rankings, occupying one of the first 20 positions worldwide, Thailand still needs to make significant improvements in other key areas and strengthen its services by improving the infrastructure and reduce red tape (rigid conformity to regulations). Thailand outscored in the past year various top touristic destinations, like Turkey and Mexico, and it was ranked as the ninth top destinations in the Asia-Pacific region, one place after Malaysia, and the 43rd top destinations worldwide. References Association of Thai Tourism Marketing (2015), About us. Available at: <http://www. attm.biz/>
The Socialist Republic of Vietnam An inspiration for public sector performance systems worldwide Marcela Presecan, Business Research Specialist, The KPI Institute “Administrative procedures remain troublesome and complicated, causing missed investment opportunities and hindering production capacity. […] If administrative procedures remain complex, incomprehensible and difficult to implement, they will become barriers to economic and social development,” explained Nguyen Tan Dung, Prime Minister of Vietnam. Although politically, it still remains a one party state, Vietnam currently leads the way for efficiency in terms of Public Sector Management. Ever since the governmental renovation process, called the Doi Moi, Vietnam has experienced a significant period of growth and state consolidation. With an increase of 5-8% in the Gross National Product (GDP) during the last years, the socialist republic of Vietnam is one of the fastest developing countries in the world. As the Vietnamese economy evolved from a centralized planned economy to a 54
decentralized market oriented one, the role of the government gradually changed. The control-oriented mantle of the Vietnamese government was replaced by more permissive functions, such as delegation and direction. By playing a supporting role and being an enabler for effectiveness and accountability, the Vietnamese Government has revolutionized the way it manages the state’s public service delivery. In the attempt to balance the interests and demands of its stakeholders, the Government of Vietnam came to acknowledge the fact that the quality of its policy is highly depended on raising the competency of its civil servants. Ensuring a growth in the levels of trust, accountability and transparency within the public service was a fundamental concern with the Public Administration Reform Master Programme of 2001-2010. Although never practiced before, Human Resource Management within Public Sector Performance Management in Vietnam was deemed necessary. Attracting and retaining a capable workforce who could execute
the challenging tasks of the Vietnamese Government became a key component of the Public Administration Reform in Vietnam. In 2007, the Government of Vietnam launched the ambitious Project 30, in which it set a target of cutting administrative procedures by 30%. Through this project, the socialist republic of Vietnam sought to simplify its regulatory framework, by willingly experimenting with effective policy development. Inspired from best practices of institutional architecture and change implementations, Project 30 focused on three development phases: 1. Inventory: in this first phase of Project 30 the Vietnamese Government created an administrative directory, which was then converted into an electronic database that provided the technological structure for procedures and administrative documents; 2. Assessment: this second phase of Project 30 engaged the whole Vietnamese civil, governmental, and business community into a reviewing process of the newly compiled administrative
AROUND THE ASEAN procedures, so as to optimize administrative infrastructure 3. Implementation: the final phase of Project 30 began in 2010 and consisted in 258 administrative reforms which Vietnamese state agencies had to implement, in order to achieve radical simplification of the public sector. While undergoing significant progress in its transition towards a performance based framework for its institutions, the Government of Vietnam still faces major challenges in government policy making, government spending, and governmental reporting. According to The Global Competitiveness Report of 2013-2014 owned by the World Economic Forum in Geneva, Vietnam ranked last in quality of institutions among the Asian countries of Malaysia, China, Indonesia, Korea and Thailand. Governmental inefficiencies caused by lack of corruption control and regulatory quality still hinder a harmonious public sector development. Further considerations refer to issues of governance. The World Bank assessment of Vietnam’s scores in worldwide governance indicators rated Vietnam a percentile rank of: • 39.51 out of 100 in control of corruption; • 34.63 out of 100 in government effectiveness; • 58.65 out of 100 in political stability; • 28.43 out of 100 in regulatory quality; • 37.32 out of 100 in rule of law; • 16.35 out of 100 in voice and accountability.
In the race for global competitiveness, political instability is the second most problematic factor for flourishing business in Vietnam, according to the Global Competiveness Index of 2012-2013, the factor being surpassed only by access to financing. Inadequately educated workforce, tax regulation and inadequate supply of infrastructure seem to be weighing heavily on potential investors, when it comes to doing business in Vietnam. The Government of Vietnam’s initiative on strengthening the country’s business environment was to deploy the Administrative Procedure Control Agency. This permanent unit manages new regulations and procedures, while also monitoring the Provincial Competitiveness Index for better performance within the business regulatory environment. The Socialist Republic of Vietnam has not yet succeeded to deliver an efficient Public Sector Management System. Drawing on a rigid past, the country’s remarkable road to performance is still at its roots. Implementation of performance-based public sector strategies are at a crucial stage, with results only just starting to materialize. Devising governmental strategies, planning efficient development programs, effectively monitoring the budgeting function during program implementation, and establishing a sound system of results evaluation are all performance management functions that require the participation of both the Vietnamese Government, and the
community, for proper optimization of the country’s pathway to achieving Public Sector performance. On the other hand, the rapid progress Vietnam has achieved by ambitious reformation and willingness to further policy development makes it an inspiration for emerging public sector management systems around the world. References: OECD/The World Bank (2014), Science, technology and innovation in Vietnam, Available at: <http://www.oecd.org/sti/ science-technology-and-innovation-in-vietnam-9789264213500-en.htm> Rowley, C., Truong, Q. (2009), The changing face of Vietnamese management (Working in Asia), Available at: <http://www.amazon. com/Changing-Vietnamese-ManagementWorking-English/dp/0415595649/ref=sr_1 _1?s=books&ie=UTF8&qid=1423213519& sr=1-1&keywords=The+Changing+Face+of +Vietnamese+Management> Schwarz, M.G. (2010), Project 30: A revolution in Vietnamese Government, Available at: <http://www.brookings.edu/research/ papers/2010/09/vietnam-schwarz> The United Nations Development Programme Vietnam (2009), The reform of the civil service system as Vietnam moves into the middle-income country category, Available at: <http://www.undp.org/content/dam/ vietnam/docs/Publications/25525_ 3_ CivilServiceReform.pdf>
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TRENDS IN SEARCH
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ontinuing the tradition of past years’ Performance Management reports, in 2014 the same tool, Google Trends, was employed to obtain graphic representation of the keyword search operations performed on Google’s search engine. The data exposed below represents the level of interest for certain selected key words within the 2004 – 2014 timeframe. At Organizational level, the search for Strategy Execution has known the highest rate of interest based on number of searches. If, up until 2007, interest levels were almost inexistent, after 2007 searches for this concept boomed and levels remained high even after 2013. The opposite side of the spectrum, with the most downward trend, is experienced by searches for “Performance Management”, which reached its lowest levels after 2013. This is acceptable since the domain has expanded considerably and interests shifted from general terms, such as this, to more specific aspects of Performance Management.
At operational levels, several trends have been experiencing a continual ascension. Interests for “BI”, “Analytics” and “KPI” have been rising steadily while the trend for “Operational Performance Management”, which was close to zero until 2011, has risen to its highest point after 2013. Downward trends have been registered for “Business Intelligence”, “Metrics” and “Performance Measures”. Mention must be made that, for “BI” (or “bi”), which also has other everyday meanings across several languages, the direction of the trend can be influenced by unrelated searches. However, this influence is limited, as unrelated searches are more likely to be stable over time. At individual level, upward trends have been registered for “Individual Performance Management” and “Performance Management Plan”. While the latter has been on a continual rise since 2007, the former has been rising mostly since 2011. Trends that are losing interest in searches are “Employee Evaluation,” “Performance Appraisal,” “Performance Criteria,” and, lastly, “Performance Evaluation.”
Trends in Organizational Performance Management
Figure 1: Google Search trends for “Performance Management” for the period 2004-2014
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Figure 2: Google Search trends for “Business Performance Management” for the period 2004-2014
Figure 3: Google Search trends for “Corporate Performance Management” for the period 2004-2014
Figure 4: Google Search trends for “Enterprise Performance Management” for the period 2004-2014
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Figure 5: Google Search trends for “Performance Management System” for the period 2004-2014
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Figure 6: Google Search trends for “Strategy Management” for the period 2004-2014
Figure 7: Google Search trends for “Strategy Implementation” for the period 2004-2014
Figure 8: Google Search trends for “Strategy Execution” for the period 2004-2014
Figure 9: Google Search trends for “Strategic Performance Management” for the period 2004-2014
Figure 10: Google Search trends for “Balanced Scorecard” for the period 2004-2014
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Trends in Operational Performance Management
Figure 11: Google Search trends for “Analytics” for the period 2004-2014
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Figure 12: Google Search trends for “Business Intelligence” for the period 2004-2014
Figure 13: Google Search trends for “BI” for the period 2004-2014
Figure 14: Google Search trends for “Key Performance Indicators” for the period 20042014
Figure 15: Google Search trends for “KPI” for the period 2004-2014
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Figure 16: Google Search trends for “Metrics” for the period 2004-2014
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Figure 17: Google Search trends for “Performance Measures” for the period 2004-2014
Figure 18: Google Search trends for “Operational Performance Management” for the period 2004-2014
Figure 19: Google Search trends for “Scorecard” for the period 2004-2014
Figure 20: Google Search trends for “Dashboard” for the period 2004-2014
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TRENDS
Trends in Individual Performance Management
Figure 21: Google Search trends for “Individual Performance Management” for the period 2004-2014 2005
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Figure 22: Google Search trends for “Individual Performance Plan” for the period 2004-2014
Figure 23: Google Search trends for “Employee Performance Management” for the period 2004-2014
Figure 24: Google Search trends for “Employee Performance” for the period 2004-2014
Figure 25:Google Search trends for “Employee Evaluation” for the period 2004-2014
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Figure 26: Google Search trends for “Performance Appraisal” for the period 2004-2014
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Figure 27: Google Search trends for “Performance Criteria” for the period 2004-2014
Figure 28: Google Search trends for “Performance Evaluation” for the period 2004-2014
Figure 29: Google Search trends for “Performance Review” for the period 2004-2014
Figure 30: Google Search trends for “Performance Management Plan” for the period 2004-2014
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MEDIA EXPOSURE T
he following section presents the media exposure rate of selected Performance Management-related keywords over a period of time spanning from 2000 to 2014. The data was extracted from the archives of Google News in January, 2015. Prior to 2000, the number of news items related to this field of research was of little significance. For a clearer visualization of each keyword’s presence evolution within the media, its trend-line, represented here by the dotted line, was compared with their average yearly exposure, represented below by the continuous line. Since the year 2000, performance related keywords have known, roughly, five noticeable periods of evolution with the mass media. The beginning of media recognition is established somewhere between 2000 and 2002 with a relatively stable period that continued until 2004. The second period, also characterized by stability and steady growth, lasted until 2006. The third period, which began with the year 2007, marked a critical point of turn for performance management as searches and media exposure
related to this field boomed and, mainly, remained ever since on an upward trajectory. The only downfalls were relatively isolated and occurred mainly between 2010 and 2012. However, in 2013 and onwards in 2014, all keywords received considerably more attention from the media, with numbers of exposure growing from 5,000, in 2013, to a staggering 30,000, in 2014, for the term “Performance Management” alone. The term “Strategic Management” also grew from roughly 4,500 media items in 2013 to 25,000 by the end of 2014. Approximately the same upward trajectory has been followed by the remaining of the selected Performance Management keywords. Some triggering factors can be isolated in order to explain the nature of these trends. Firstly, as Performance Management systems either have been or are planned on being implemented all throughout the world, both within private organizations and in the public sector, attention is drawn towards the results of such systems, strategies and methodologies employed, along with other representative aspects.
Figure 31: Trendline behavior vs. average media exposure for “Performance Management”
Figure 33: Trendline behavior vs. average media exposure for “Enterprise Performance Management”.
Figure 32: Trendline behavior vs. average media exposure for “Strategic Management”.
Figure 34: Trendline behavior vs. average media exposure for “Corporate Performance Management”.
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TRENDS
Figure 35: Trendline behavior vs. average media exposure for “Employee Performance Management”.
Figure 38: Trendline behavior vs. average media exposure for “Strategy Management”.
Figure 36: Trendline behavior vs. average media exposure for “Business Performance Management”.
Figure 39: Trendline behavior vs. average media exposure for “Strategy Execution”.
Figure 37: Trendline behavior vs. average media exposure for “Enterprise Management”.
Figure 40: Trends for Performance Management headlines Figure 40 shows the number of times “Performance Management” appeared in the headline of mass-media items. Since its appearance within headlines in 2005, when it was mentioned 29 times, the term “Performance Management” grew until 2013, when it peaked with 294 references. In the 2014-2015 period, the term’s popularity in headlines fell from 294 to 224. PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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2014 STATISTICS T
he popularity of Performance Management and its components in 2014 was also assessed by analyzing the Average Monthly Searches of performance related keywords, throughout the 2014-2015 period. This section was created by using Google AdWords and it shows the months certain selected keywords in the field registered the highest number of searches. Because the statistics were compiled in January, 2015, the results provided are highly accurate. Graphics were generated for all levels, from organizational, to operational and individual. The overall trend for searches, at all levels, revealed that the periods with the highest number of searches were the first and last months of 2014, while the
summer months, namely July and August, registered the lowest level of searches. Within each category, some of the keywords were more popular in searches than other. Thus, at organizational level, “Enterprise Performance Management” was the highest searched term, with a monthly average of over 1,500 searches. At operational level, “BI” and “Dashboard” both registered over high number, the former close to 550,000 monthly searches while the latter 240,000 searches. In the Individual performance category, “Employee Evaluation,” “Performance Appraisal” and “Performance Evaluation” were the most searched for items, with an average of monthly searches between 40,000 and 8,000.
Average monthly searches for Organizational Performance Management Table 1: Search volumes for Performance Management – Organizational level keywords
Keyword
Average Monthly Searches
Balanced Scorecard Performance Management
8,100
Strategy Implementation
2,900
Strategy Management
2,400
Enterprise Performance Management
1,600
Corporate Performance Management
1,300
Business Performance Management
1,300
Strategy Execution
880
Strategic Performance Management
320
Figure 41: Monthly searches in 2014 for “Balanced Scorecard”
120K 80K 40K
50K
Figure 42: Monthly searches in 2014 for “Performance Management”
37.5K 25K 12.5K
16K
64
40,500
Performance Management System
160K
Figure 43: Monthly searches in 2014 for “Performance Management System”
110,000
12K 8K 4K
TRENDS 4K
Figure 44: Monthly searches in 2014 for “Strategy Implementation”
3K 2K 1K
3K 2.25K
Figure 45: Monthly searches in 2014 for “Strategy Management”
1.5K 750
2K
Figure 46: Monthly searches in 2014 for “Enterprise Performance Management”
1.5K 1K 500
400
Figure 47: Monthly searches in 2014 for “Corporate Performance Management”
300 200 100
1.6K
Figure 48: Monthly searches in 2014 for “Business Performance Management”
1.2K 800 400
1K
Figure 49: Monthly searches in 2014 for “Strategy Execution”
750 500 250
3K
Figure 50: Monthly searches in 2014 for “Strategic Performance Management”
2.25K 1.5K 750
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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TRENDS
Average monthly searches for Operational Performance Management Table 2: Search volumes for Performance Management – Operational level keywords
Keyword
Average Monthly Searches 2,740,000
Analytics BI
550,000
KPI
301,000
Dashboard
246,000
Business Intelligence
110,000
Scorecard
40,500
Metrics
33,100
Key Performance Indicators
22,200
Performance Measures Operational Performance Management
50K
Figure 51: Monthly searches in 2014 for “Analytics”
37.5K 25K 12.5K
600K
Figure 52: Monthly searches in 2014 for “BI”
450K 300K 150K
400K
Figure 53: Monthly searches in 2014 for “KPI”
300K 280K 100K
320K
Figure 54: Monthly searches in 2014 for “Dashboard”
240K 160K 80K
66
1,900 90
TRENDS
120K
Figure 55: Monthly searches in 2014 for “Business Intelligence”
90K 60K 30K
80K 60K
Figure 56: Monthly searches in 2014 for “Scorecard”
40K 20K
50K
Figure 57: Monthly searches in 2014 for “Metrics”
37.5K 25K 12.5K
30K 22.5K
Figure 58: Monthly searches in 2014 for “Key Performance Indicators”
15K 7.5K
2.4K 1.8K
Figure 59: Monthly searches in 2014 for “Performance Measures”
1.2K 600
160
Figure 60: Monthly searches in 2014 for “Operational Performance Management”
120 80 40
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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TRENDS
Average monthly searches for Individual Performance Management Table 3: Search volumes for Performance Management – Individual level keywords
Keyword
Average Monthly Searches
Performance Appraisal Performance Review
9,900
Performance Evaluation
8,100
Employee Evaluation
2,900
Employee Performance
1,600
Performance Management Plan
1,000
Performance Criteria
880
Employee Performance Management
590
Individual Performance Plan
210
Individual Performance Management
50K
Figure 61: Monthly searches in 2014 for “Performance Appraisal”
37.5K 25K 12.5K
16K
Figure 62: Monthly searches in 2014 for “Performance Review”
12K 8K 4K
10K
Figure 63: Monthly searches in 2014 for “Performance Evaluation”
7.5K 5K 2.5K
4K
Figure 64: Monthly searches in 2014 for “Employee Evaluation”
3K 2K 1K
68
40,500
90
TRENDS
2.4K
Figure 65: Monthly searches in 2014 for “Employee Performance”
1.8K 1.2K 600
1.6K 1.2K
Figure 66: Monthly searches in 2014 for “Performance Management Plan”
800 400
1K
Figure 67: Monthly searches in 2014 for “Performance Criteria”
750 500 250
1K 750
Figure 68: Monthly searches in 2014 for “Employee Performance Management”
500 250
300 225
Figure 69: Monthly searches in 2014 for “Individual Performance Plan”
150 75
160
Figure 70: Monthly searches in 2014 for “Individual Performance Management”
120 80 40
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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EDUCATIONAL PROGRAMS T
he following section is dedicated to university degrees and specific courses on performance management and several other related subjects. The selection encloses prestigious universities from all the nations pertaining to the ASEAN pool, together with the degrees they offer for specialized management courses and educational tuition fees. ASEAN universities contain an impressive number of performance management related degrees and subjects. In addition, approximately 70 universities across the ASEAN nations have at least one degree with specialization in organizational management. The first table present a list of higher education institutions, clustered by pertaining country, together with the degrees they offer, the duration of the studies, subjects offered per degree and, lastly, tuition fees. If the first table focuses on the variety of subjects offered by each degree level, the second table contains a selection of only those universities in ASEAN that have integrated Performance
Management, Strategic Management, or Risk Management courses in their curriculum. Universities within the ASEAN pool offer all levels of degrees in strategic and organizational management: Bachelor, Bachelor of Science, Master, Master of Science, MBA, Executive MBA and PhD. The most frequent subjects included in their curriculum are: Organizational Management, Strategic Management, Human Resources Management, Organizational Change & Development, Behavioral Management and Performance Management & Compensation. The extended range of education institutions that provide a degree with a performance related specialization show the fact that performance management has extended to a point where it became a study subject in itself, crucial to all managerial practices. The level of interest in gaining expertise in this domain, even from the early stages of superior studies, is also following a growth trajectory.
Table 4
EDUCATIONAL INSTITUTIONS WHICH OFFER DEGREEES IN PERFORMANCE MANAGEMENT University
City
Degree/Diploma
Duration
Related Topics/Subjects
Cost (fees, per year)
BRUNEI DARUSSALAM University of Brunei Darussalam,
Gadong
Master’s Degree in Business Administration
2 years
-Strategic Management; -Human Resources Management; -Knowledge Management.
N/A
Gadong
Bachelor’s Degree in Business Management
4 years
-Entrepreneurship; -International Business; -Information Systems Management;
$ 3,000/year
Gadong
Bachelor of Business (Hons) in Technology Management
4 years
-Business Strategy; -Change Management; -Business Ethics & CSR; -e-Business; -Production and Operation Management; -Managerial Decision Making; -Information Systems & Strategic Management.
N/A
Faculty of Business and Economics
Sultan Sharif Ali Islamic University, Faculty of Business and Management Sciences
Institut Teknologi Brunei, ITB School of Business
CAMBODIA Royal University of Phnom Penh
70
Phnom Penh
Master’s Degree in Tourism Resource Management
2 years
-Development and Resource Economics; $ 2,200/degree -Resource and Asset Management; -Consumer Behavior and Marketing Strategy; -Business Development and Sustainable Enterprises; -Risk and Crisis Management.
EDUCATION
University
City
Degree/Diploma
Duration
Related Topics/Subjects
Cost (fees, per year)
CAMBODIA Build Bright University,
Phnom Penh
Faculty of Business Management
Bachelor of Business Administration in General Management
4 years
-Human Resource Management; N/A -Organizational Behavior; -Entrepreneurship Management; -Financial Management; -Operation and Production Management; -Office Management; -Risk Management and Insurance; -Investment Management; -Strategic Management; -Total Quality Management; -Business Planning and Development.
4 years
-Principles of Management; -Financial Management; -Financial Reporting; -Principles of Auditing; -Sustainable Economic Development; -Corporate Social Responsibility; -Building Business Plans; -Management Evaluation.
Bachelor of Business Administration in Auditing Bachelor of Business Administration in Enterprise Management MBA in Management MBA in Entrepreneurship and Small Enterprise Management
Royal University of Law and Economics,
Phnom Penh
Master’s Degree in Entrpreneurship and Project Management
Faculty of Economics and Management
University of Cambodia,
Bachelor’s Degree in Economics and Management
Phnom Penh
Bachelor’s Degree in Business Management Bachelor’s Degree in Human Resource Management
College of Business
N/A
2 - 4 years -Leadership Skills; -Organizational Behavior; -Strategic Management; -Risk Management and Insurance; -Human Resource Management;
$ 2565/BA $ 2,700/MBA
MBA in Business Management
University of Puthisastra,
Phnom Penh
Bachelor’s Degree in Management
4 years
-Business Ethic; -Social Entrepreneurship; -Strategic Management; -Human Resource Management; -Leadership; -International Business Management; -Operational Management.
$ 460/year
Phnom Penh
Bachelor’s Degree in Business Administration
4 years
-Introduction to Ethics and Good Governance; -Personal Growth and Development; -Introduction to Economics and Entrepreneurship; -Management and Organization Behavior Theory; -Business Planning and Policy Development; -Global Business Management; -Operation Management; -Management and Leadership Development Skills; -Administrative Procurement and Negotiation Skills.
Local students: $ 72/course International students: $ 162/ course
Faculty of Economics and Business
Paññasastra University of Cambodia, Faculty of Business and Economics
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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EDUCATION
University
City
Degree/Diploma
Duration
Related Topics/Subjects
Cost (fees, per year)
CAMBODIA National University of Management
Phnom Penh
Bachelor’s Degree in Business Administration MBA
University of Southeast Asia,
BA: $ 360/year MBA $ 750/year
$ 360/year
Siem Reap
Bachelor of Business Administration MBA
4 years
Phnom Penh
Bachelor of Business Administration in General Management
2 -4 years -Organization Theory; $ 750/year -Strategic Human Resource Management; -Productivity and Quality Management; -Leadership; -Strategic Management; -Organizational Management; -Project Risk Management; -Organizational Behavior; -Change Management.
Faculty of Economics, Business and Tourism
Cambodian Mekong University,
2 -4 years -Small Business Management; -Social Entrepreneurship; -Human Resource Management; -Office Management; -Entrepreneurial Leadership; -Business Plan Development; -Strategic Management.
Bachelor of Business Administration in Strategic Human Resource Mgt.
Mekong School of Management
Bachelor of Business Administration in International Business Management
-Marketing Management; -Financial Management; -Entrepreneurship; -Human Resource Management; -Organizational Behavior; -Strategic Management; -Total Quality Management; -Management of Change /Negotiation.
MBA Master of Leadership
Western University
Phnom Penh
Bachelor’s Degree of Business Administration Master of Public Administration MBA
University of Battambang,
Battambang
MBA
Faculty of Business Administration & Tourism
University of Management and Economics, Faculty of Management and Tourism
72
Bachelor’s Degree in Management
Battambang
Bachelor’s Degree in Management and Tourism Master’s Degree in Management and Tourism
2 -4 years -Financial Management; -Entrepreneurship; -Strategic Management; -Organizational Behavior; -Operation Management; -Leadership and Business Ethics; -Organization Development; -Total Quality Management.
BA: $450/year MBA: $750/year
2 -4 years -Financial Management; -Human Resources Management; -Total Quality Management; -Pattern for Entrepreneurship; -Strategic Management; -Consumer Relation Management.
N/A
2 -4 years -Global Leadership; N/A -Strategic Management; -Management of Change; -Effective Management Decision Making; -Human Resource Management; -Organization Behavior; -Entrepreneurship Management; -Budgeting and Decision Making.
EDUCATION
University
City
Degree/Diploma
Duration
Related Topics/Subjects
Cost (fees, per year)
-Organizational Behavior; -Leading and Managing People; -Human Resources Management; -Knowledge Management; -Consumer Behavior; -Operations Management; -Business Strategy; -Entrepreneurship.
N/A
CAMBODIA Zaman University,
Phnom Penh
Bachelor’s Degree in Business Administration
4 years
Sihanoukville
Bachelor’s Degree in Business Administration
2 -4 years -Marketing Program Design; -Strategic Sale Management; -Human Resource Management; -Corporate Valuation; -Office Management; -Organizational Behavior; -Strategic Management; -Auditing and Internal Control; -Risk Management; -Financial Control and Planning.
Faculty of Economics and Administrative Sciences
Life University, Faculty of Business Management
Meanchey University,
MBA
Sisophon
Master’s Degree in Business Management
Faculty of Business Management
Chea Sim University of Kamchaymear
Bachelor’s Degree in Business Management
Kamchay Mear
Bachelor’s Degree in Business Administration MBA
$900/$1,000/ degree
2 -4 years -Organization Behavior; N/A -Company & Contract Law; -Benchmarking; -Office Management; -Inventory & Operation Management; -Leadership; -Human Resource Management; -Entrepreneurship; -Risk Management; -Cross Culture Management; -Investment Management; -Strategic Management; -Business Ethics; -Total Quality Management.
2 -4 years -Marketing Management & Strategy; -Human Resource Management; -Operation Management; -Change Management; -Entrepreneurship; -Government and Business; -Leadership; -Management & Organization Behavior; -Strategic Management.
N/A
INDONESIA Airlangga University, Faculty of Economics
Surabaya
Master of Science in Management
2 years
-Organizational Behavior and Theory; -Data and Decision Making; -Business Research Methodology; -Business Ethics and CSR; -Operations and Process Management; -Human Resource Management; -Performance Measurement and Management of Organizations; -Change Management; -Competition and Corporate Strategy.
IDR 8,500.000/ semester ($658.345/ semester)
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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EDUCATION
University
City
Degree/Diploma
Duration
Related Topics/Subjects
Cost (fees, per year)
INDONESIA Gadjah Mada University,
Yogyakarta
Bachelor’s Degree in Management
N/A
Bachelor’s Degree in Economics and Development Studies
Faculty of Economics and Business
-Economic Development; -Strategic Management; -Human Resource Management; -Management Information System.
IDR 25.000.000/ semester ($1,935.545/ semester)
Master’s Degree in Management Ph.D. in Management Padjadjaran University,
Bandung
Bachelor of Economics Master’s Degree in Management Doctor of Business Management
2 -4 years -Strategic Management; -Organizational Behavior; -Management Information Systems.
N/A
Surakarta
Bachelor’s Degree in Management
3-4 years
-Strategic Management; -Operations Management; -Human Resource Management; -Financial Information Analysis & Valuation; -Organizational Culture; -Global Marketing Strategy; -Business Ethics; -Quality Management; -Risk Management; -Change Management; -Compensation Management; -Consumer Behavior; -Industry Analysis; -Entrepreneurship.
N/A
N/A
-Strategic Management; -Entrepreneurship; -Management Information Systems; -Total Quality Management; -Business Methodology.
N/A
4 years
-Financial Management; -Organizational Behavior; -Operational Management; -Consumer Behavior; -Decision Making Theory; -Business Ethics; -Strategic Management; -Performance Management; -Risk Management; -Entrepreneurship.
N/A
Faculty of Economics and Business Sebelas Maret University,
Master’s Degree in Management
Faculty of Economics and Business
Brawijaya University,
Malang
Bachelor’s Degree in Management Master’s Degree in Strategic Management
Faculty of Business and Economics
Master’s Degree in Development Planning Master’s Degree in Human Resource Management Ph.D. in Management Science
Gunadarma University, Faculty of Economics
74
Depok
Bachelor’s Degree in Management
EDUCATION
University
City
Degree/Diploma
Duration
Related Topics/Subjects
Cost (fees, per year)
-Human Resources Management; -Management and Organization; -e-Business System; -Entrepreneurship; -Organization Culture and Power; -Business Plan; -Operational Management; -Strategic Alliance Management; -Idea Generation and Opportunity Discovery; -Creative & Innovative Thinking; -Design Thinking in Business.
Undergraduate: 114,680,000 ($)
INDONESIA Bina Nusantara University,
Jakarta
Management Program
2-4 years
International Business Management Program
School of Business Management
Business Creation Program
Udayana University,
Badung
Bachelor’s Degree and Master’s Degree in Operations Management and Human Resources Management
2 -4 years -Risk Management; -Change Management; -Human Resource Management; -Entrepreneurship; -Organizational Behavior; -Strategic Management; -Strategic Marketing Management; -Organizational Development; -Strategic Human Resource Management; -Leadership in Business; -Management of Innovation and Creativity.
N/A
Malang
Bachelor’s Degree in Economic Development and Management
4.5 years
-Economic Development; -Organizational Behavior; -Operational Management; -Management Information Systems; -Change Management; -Strategic Management; -Consumer Behavior; -Human Resources Development; -Performance Evaluation and Compensation; -Entrepreneurship; -Business and Professional Ethics; -Decision Making Theory; -Risk Management.
N/A
Malang
Bachelor’s Degree in Management
4 years
-Human Resource Management; -Economic Development; -Entrepreneurship; -Organizational Behavior; -Corporate Budgeting; -Information System Management; -Strategic Management; -Consumer Behavior; -Management of Risk and Insurance.
IDR: 2.750.000/ semester ($)
Faculty of Economy and Business
Negeri Malang University, Faculty of Economics
Muhammadiyah Malang University, Faculty of Economics and Business
Graduate: 13.750.000/ semester ($)
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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EDUCATION
University
City
Degree/Diploma
Duration
Related Topics/Subjects
Cost (fees, per year)
LAOS National University of Laos,
Viangchan
Faculty of Economics and Business Administration
Bachelor of Economics in Development and Planning Economics Bachelor of Business Administration in General Business Management
4 years -Business Ethnics and Governance; N/A (Bachelor -Office Management; program) -Organizational Behavior; -Production and Operation Management; -Quantitative Analysis.
Master of Economics in Development and Planning Economics Master of Business Administration in Management Master’s Degree in Business Administration Ph.D. in Management Science Ph.D. of Business Administration in Management
MALAYSIA
Sains Malaysia University
Penang
Bachelor of Management
2 years
-Human Development; -Personality Development For Institution Managers; -Human Development For Asset Managers.
N/A
2-4 years
-Business Ethics and Corporate Governance; -Strategic Management; -Management Information Systems; -Operations Management; -Economics for Management Decision Making; -Accounting and Financial Decision Making; -Managing Organizations; -Organizational Behavior for Managers; -Strategic Management and Planning; -Entrepreneurship; -Performance Management & Rewards Systems; -Total Quality Management.
Bachelor: RM 7,053.00 RM24,846.00 ($)
Master of Islamic Development Management Ph.D. in Islamic Development Management
Malaya University, Faculty of Business and Accountancy
Kuala Lumpur
Bachelor’s Degree in Business Administration Master’s Degree in Business Administration Master’s Degree in Management
76
Master: RM 21,000 RM 30,000
EDUCATION
University
City
Degree/Diploma
Related Topics/Subjects
Cost (fees, per year)
-Business and Financial Environment; -Financial Resource Management; -Leadership and Professional Development; -Managing People and Organisations; -Operations Management; -Strategic Management; -Business Forecasting and Modelling; -Corporate Finance; -Entrepreneurial Ventures; -Management of Change; -Managing Corporate Social Responsibility; -Public Service Management; -Strategic Management of E-Business; -Strategic Operations Management; -Strategic Project Management.
Bachelor: 10,00012,500 US$
2-4 years
-Financial Service and Risk Management; -Marketing and Consumerism; -Comparative Management; -Human Resource Management; -International Business; -Development Theory and Policy; -Human Resource Development Planning; -Dynamic Optimisation and Decision Theory.
RM 43,600/ program
2-4 years
-Organizational Behavior and Development; -Strategic Management; -Operation and Technology Management; -Law, Ethics and Corporate Social Responsibility; -Entrepreneurship Development; -Human Resource Management; -Compensation and Benefits Management; -Workforce Diversity Management; -Managing Change and Communication; -Legal and Ethical Issues in Human Resource Management; -Performance Management.
1,000-2,500 US$/ program
2-4 years
-Organizational Behavior; -Decision Sciences; -Human Resource Management; -Strategic Management; -Management Information System; -Futures, Options & Risk Management; -Compensation Management; -Training Management; -Organizational Theory; -Entrepreneurship; -Small Business Management; -Quality Management; -Economic Development.
RM 2,460/semester
Duration MALAYSIA
Putra Malaysia University,
Serdang
Faculty of Economics and Management
Bachelorâ&#x20AC;&#x2122;s Degree in Business Administration
2-4 years
Master of Science in Development Economics Executive Bachelorâ&#x20AC;&#x2122;s Degree
Kebangsaan Malaysia University,
Bangi
Bachelor of Entrepreneurship and Innovation
Faculty of Economics and Management
Utara Malaysia University,
Bachelor of Business Administration
Master of Economics
Sintok
Bachelor of Business Administration (Hons) Bachelor of Entrepreneurship (Hons)
School of Business Management
Bachelor of Human Resources Management (Hons) Master of Science in Management Master of Human Resources Management Doctor of Philosophy Islam Antarabsangsa Malaysia University, Faculty of Economics and Management
Kuala Lumpur
Bachelor of Business Administration Master of Economics Doctor of Philosophy in Business Administration
Master: 2,5005,000 US$
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
77
EDUCATION
University
City
Degree/Diploma
Duration
Related Topics/Subjects
Cost (fees, per year)
MALAYSIA Tunku Abdul Rahman University,
Kajang
2-4 years
Master of Business Administration (MBA) Master of Business Administration (Corporate Governance)
Faculty of Accountancy and Management
Pendidikan Sultan Idris University,
Bachelor of International Business (Hons)
Perak
Faculty of Management and Economics
Bachelor of Education 2-4 years (Business Management) with Honours Bachelor of Education (Entrepreneurship & Commerce) with Honours Master of Education (Business Management) Master of Management (Entrepreneurship) Master of Management (Strategic Management)
- Operations Management; RM 22,882/ -Organizational Behavior and Analysis; program -Strategic Management for Corporations; -Business and Professional Ethics; -Entrepreneurship; -Information Technology for Corporations.
- Entrepreneurship; -Strategic Management; -Human Resource Management; -Human Resource Development; -Social, Emotional and Moral Development; -Organisational Behaviour and Development; -Strategic Management in Business; -Decision Making Techniques; -Entrepreneurial Development; -Marketing Management; -Strategic Management in Business.
RM 5,240.00/ program
Master of Management (Human Resource Management) Doctor of Philosophy (Education Management)
Malaysia Sabah University,
Kota Kinabalu
Faculty of Business, Economics and Accounting
Bachelor of Business with Honour (Entrepreneurship)
2-4 years
Bachelor of Business with Honour (International Business) Bachelor of Economics with Honour (Planning & Development Economics) Master of Business Administration Master of Human Capital Management
Tenaga Nasional University, College of Business Management & Accounting
Kajang
Bachelor of Business 3 years Administration (Honours) in Marketing Bachelor of Business Administration (Honours) in Human Resource Management Bachelor of International Business (Honours)
78
-Creativity, Innovation & N/A Entrepreneurship; -Corporate Entrepreneurship; -Entrepreneurial Strategy; -International Human Resources Management; -Management and Organisational Behaviour; -Corporate Strategy; -Organisational Leadership and Ethics; -Compensation Strategy; -Performance Management; -Human Capital Planning and Development; -Strategic Human Capital Management; -Conflict Management; -Managing Quality and Productivity. Organisation Theory; -Organisational Behaviour; -Organisational Development and Change; -Human Resource Management; -Business Ethics; -Strategic Management; -Consumer and Buyer Behaviour; -Strategic Marketing.
RM 43,000/ program
EDUCATION
University
City
Degree/Diploma
Related Topics/Subjects
Cost (fees, per year)
-Entrepreneurship; -Organisational Behaviour; -Innovation Management; -Leadership; -Strategic Management; -Business Ethics and Corporate Governance; -Human Resource Management; -Strategic Business Management; -Enterprise Resource Planning; -Strategic Management; -Organizational Behaviour; -Organizational Development; -Sustainable Development Management; -Entrepreneurial Decision Making.
RM 15,600.00 16,900.00/year
-International Trade; -Economic Development.
N/A
2-4 years
-Business Organization; -Human Behavior in Organizations; -Strategic Management; -Leadership; -Sustainable Organizations; -Business Leadership, Ethics and CSR; -Quantitative Methods for DecisionMaking; -Human Resource Management with Organizational Behavior -Strategic Management.
2,363.00 2,872.00/unit
3 years
-Organizational Behavior; -Operations Management; -Management of Innovation; -Investment Management; -Financial Risk Management; -Growth, Poverty, and Institutions.
PhP 9,995/ semester
Duration MALAYSIA
Kuala Lumpur University,
Kuala Lumpur
Accountancy, Entrepreneurship & Islamic Finance
Bachelor of Business Administration (Hons.) in Management and Entrepreneurship
2-4 years
Bachelor Business Administration in International Business Master of Business Administration (Entrepreneurship) Master of Management Doctor of Philosophy in Management MYANMAR
Yadanabon University,
Arampura
Undergraduate Degree in Economics
3 years
Department of Economics
PHILIPPINES
De La Salle University,
Manila
Faculty of Economics
Bachelor of Science in Applied Corporate Management Bachelor of Science in Business Management Bachelor of Science in Entrepreneurship Master of Science in Economics Master of Business Administration (MBA) Doctor of Business Administration (DBA)
University of the Philippines Diliman, Faculty of Economics
Quezon City
Bachelor in Business Economics MBA Master in Economics Master in Development Economics
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
79
EDUCATION
University
City
Degree/Diploma
Duration
Related Topics/Subjects
Cost (fees, per year)
PHILIPPINES Ateneo de Manilla University,
Quezon City
Master of Business Administration
2 years
MBA for Middle Managers
Graduate School of Business
Master in Entrepreneurship
University of the Philippines Los Ba単os,
Los Ba単os
Undergraduate Degree in Management and Economics
Legazpi City
Bachelor of Science in 2-4 years Business Administration
Faculty of Economics and Management
Aquinas University of Legazpi,
2 -4 years -Investment Management; N/A -Quantitative Business Analysis; -Human Relations and Behavior in Organization; Graduate Degree -Personnel Management; in Economics and -Production Management; Management -Entrepreneurial Spirit; -Management Dimensions of Graduate Degree in Public Development Organizations; Affairs and Development -Planned Change in Development; -Managerial Leadership; -Strategic Planning: Theory and Methods.
Bachelor of Science in Entrepreneurship
College of Business Management and Accountancy
-Business Ethics; N/A -Leadership Effectiveness; -Operations Management; -Principles & Dynamics of Management; -Human Resource Management; -Business Intelligence; -Controllership; -Economic Development; -Entrepreneurship; -Financial Analysis for Decision-Making; -Investment Analysis and Portfolio Management; -Strategic Management.
-Human Resource Development Management; -Financial Management; -Operations Management; -Personnel and Industrial Management.
N/A
Master in Business Administration (MBA) Doctor of Business Administration (DBA)
University of Southeastern Philippines, College of Governance and Business
Davao City
Bachelor of Science in 2 -4 years Business Administration major in Business Economics Bachelor of Science in Entrepreneurship Master of Business Administration Master of Science in Development Administration
80
-Business Research and Statistics; Php 2,000.00 -Environmental Analysis for Philippine; (upon -Businesses; enrollment) -Operations Management; -Human Behavior & Resource Management; -Information Management; -Corporate Finance and Controllership; -Business Policy & Strategic Management; -Development of Business Enterprise; -Business Plan Implementation; -Total Quality Management; -Economic Development; -Entrepreneurial Management.
EDUCATION
University
City
Degree/Diploma
Related Topics/Subjects
Cost (fees, per year)
4 years
-Entrepreneurship Management; -Business Opportunities; -Human Resource Management; -Entrepreneurial Behavior; -Human Behavior in Organizations; -Business Plan Implementation; -Strategic Management; -Total Quality Management; -Compensation Administration; -Organizational Development; -Training and Development.
N/A
4 years
-Human Behavior in Organizations; -Good Governance and Social Responsibility; -Human Resources Management; -Production and Operations Management; -Strategic Management; -Total Quality Management; -Training and Development; -Entrepreneurial Management; -Compensation Administration; -Organizational Development.
PhP 41,811/ program
2-4 years
-Development of Enterprise for Financial Investments; -Entrepreneurship Principles and Practices; -Business Ethics; -Strategic Management; -Research and Statistics for Management; -Organizational Behavior; -Organizational Planning, Design and Administration; -Compensation and Benefits Planning and Administration; -Design and Administration of Training; -Performance Management; -Organization Assessment and Development; -Developmental Psychology.
N/A
2-4 years
-Business Philosophy and Management Leadership; -Human Resource Development; -Development of Enterprise and Entrepreneurship; -Production and Operation Management; -Human Behavior in Organizations; -Entrepreneurship; -Enterprise Planning and Development; -Business Ethics and Responsibility; -Leadership Development.
PhP 29,661.41 37,970.81/course
Duration PHILIPPINES
University of San Jose-Recoletos,
Cebu City
College of Commerce
Bachelor of Science in Business Administration Human Resource Development Management Bachelor of Science in Entrepreneurship
Adamson University,
Manila
Bachelor’s Degree in Office Management Bachelor’s Degree in Management
College of Business Administration
Bachelor’s Degree in Entrepreneurship Bachelor’s Degree Human Resource Development Management
Miriam College,
Quezon City
College of Business, Entrepreneurship and Accountacy
Bachelor’s Degree in Business Administration Bachelor’s Degree in Entrepreneurship Master of Arts in Strategic Human Resource Management
Silliman University, Dumaguete City College of Business Administration
Bachelor of Business Administration in Management Bachelor of Science in Entrepreneurship MBA
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
81
EDUCATION
University
City
Degree/Diploma
Duration
Related Topics/Subjects
Cost (fees, per year)
SINGAPORE National University of Singapore,
Singapore
BBA
2-4 years
-Management and Organisation; -Operations Management; -Strategic Management; -Leadership and Ethics; -Corporate Governance and Risk Management; -Leadership in Organisation.
S$ 8,950 17,900/year
1-4 years
-Organizational Behavior and Human Resources; -Strategic Management; -Strategic Decision Making; -Competitive Advantage; -Implementing Strategy Through People; -Risk Management and Assurance; -Strategy and Organization for the MultiBusiness Firm; -Asset Management; -Negotiations and Conflict Resolution; -Creative and Critical Thinking; -Integrity, Responsibility and Good Governance in Business; -Innovation and Entrepreneurship.
Undergraduate: S$10,900/year
-Business Skills and Management; -Managing People; -Training and Development; -Total Rewards Design and Management; -Performance Management; -Leadership Development; -Strategic HRM and Change Leadership; -Total Quality Management; -Sustainability Management; -Business Strategy; -Managing and Leading to Achieve; Organizational Excellence.
Undergraduate: S$14,334.26 S$14,531.67/ year
-Organization Behavior and Human Resource Management; -Strategic Marketing Management; -Business Creativity; -Strategic Management; -Strategic Leadership; -Corporate Strategy and Performance Measurement; -Quality Management; -Knowledge Management; -Value Based Management; -Organization Development and Management for Changes; -Human Resource Planning and Development; -Reward and Performance Management; -Organization Structure and Design.
Baht: 429,000/ program
MBA
Business School
Singapore Management University
Singapore
Bachelor of Business Management Executive Master of Business Administration MBA Master of Science in Innovation Master of Science in Management Master of Science in Communication Management
SIM University
Singapore
Bachelorâ&#x20AC;&#x2122;s Degree in Human Resource Management
2-4 years
MBA
Graduate: S$58,140 S$62,209.80
Graduate: $32,956/year
THAILAND
Mahidol University, College of Business
Bangkok
Master of Entrepreneurship Management Master of General Management Master of Innovation Management Master of Leadership an Human Resource Management
82
2 years
EDUCATION
University
City
Degree/Diploma
Related Topics/Subjects
Cost (fees, per year)
1 year
-Human Resource Planning and Management; -Human Resource Development; -Learning Behavior in Organizations; -Industrial and Organizational Psychology; -Compensation and Benefits for Human Resources; -Game Theory & Managerial Application; -Economics of Risk Management; -Strategic & Entrepreneurial Management.
Baht: 275,800 290,800 /program
2 year
-Organization and Management; -Advanced Strategic Management; -Advanced Operations Management; -Performance Measurement; -Advanced Organization Communication; -Human Behavior in Organization; -Strategic Compensation System Management.
Baht: 12,900/year
Duration THAILAND
Chulalongkorn University,
Bangkok
Faculty of Economics
Kasetsart University,
Master of Arts in Business and Managerial Economics
Bangkok
Khon Kaen
Faculty of Management and Tourism
Bachelor of Business Administration Master of Business Administration
Faculty of Management Sciences
Burapha University,
Master of Business Administration Young-Executive MBA
Faculty of Business Administration
Khon Kaen University,
Master of Arts in Labour Economics and Human Resource Management
Chon Buri
Bachelor of Business Administration Program in Human Resource Management Bachelor of Business Administration Program in Management Bachelor of Business Administration Program in International Business Master of Management Program in Human Resource Management Master of Management Program in Small and Medium Enterprises Management
2 -4 years -Entrepreneurship; -Forecasting Techniques for Management; -Organizational Design; -Quality Management; -Organizational Design; -Organizational Development; -Employee Engagement; -Leadership and Management; -Business Ethics and Sustainable Enterprise. 2 year
Undergraduate: $1,200 â&#x20AC;&#x201C; $6,300 USD Graduate: $900 â&#x20AC;&#x201C; $3,000 USD
-Management and Organization; N/A -Quantitative Analysis for Management; -Organizational Behavior; -Management Planning and Control; -Organizational Structure & Design; -Entrepreneurship and Small Business Management; -Strategic Management; -Organizational Development and Change Management; -Office Management; -Enterprise Resource Planning Systems; -Leadership and Team Development; -Conflict Management and Negotiation; -Knowledge Management and Learning Organization; -Business Monitoring and Evaluation; -Innovation and Technology Management.
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
83
EDUCATION
University
City
Degree/Diploma
Duration
Related Topics/Subjects
Cost (fees, per year)
VIETNAM Ho Chi Minh
Vietnam National University, Faculty of Economics and Law
2-4 years
-Quality Management; -Psychology and Art of Leadership; -Executive Office Administration; -Competitive Law; -Strategic Management; -Risk Management.
2-4 years
-Strategic Management; N/A -Negotiation and Problem Solving Skills; -Decision Support Models; -Managing People; -Developing Leadership Skills; -Business Analysis and Valuation; -Corporate Governance; -Consumer Behavior; -Business Game.
MBA
Ho Chi Minh
Ho Chi Minh City International University,
Undergraduate Degree in Business Administration MBA
School of Business
Hanoi University,
Undergraduate Degree in Business Administration
Ha Noi
Faculty of Management & Tourism
Lac Hong University, Biên Hòa School of Management
N/A
Bachelor’s Degree in 4 years Business Administration
-Strategic Management; N/A -Entrepreneurship; -Human Resource Management; -Management Information System; -Developing People and High Performance Organisation; -Business Analysis and Modeling; -Corporate Strategy; -Business Ethics; -Personal Finance; -Leadership.
Master’s Degree in 2 years Business Administration
-Human Resources Management; -Quality Management; -Strategic Management.
N/A
Table 5
PERFORMANCE-RELATED UNIVERSITY SUBJECTS Country
University/School
Subject
Related Degree ASEAN
Indonesia
Airlangga University, Faculty of Economics Gunadarma University, Faculty of Economics Negeri Malang University, Faculty of Economics
Malaysia
Malaya University, Faculty of Business and Accountacy
84
-Performance Measurement and Management of Organizations.
Master of Science in Management
-Performance Management; -Strategic Management; -Risk Management.
Bachelor’s Degree in Management
-Performance Evaluation and Compensation; -Strategic Management; -Risk Management.
Bachelor’s Degree and Master’s Degree in Operations Management and Human Resources Management
Competition and Corporate Strategy
-Performance Management & Rewards Bachelor’s Degree and Master’s Systems; Degree in Business Administration -Strategic Management; Master’s Degree in Management -Strategic Management and Planning; -Total Quality Management; -Business Ethics and Corporate Governance.
EDUCATION
Country
University/School
Subject
Related Degree
Malaysia
Utara Malaysia University,
-Performance Management; -Organizational Behaviour and Development; -Entrepreneurship Development; -Strategic Management.
Bachelor of Business Administration (Hons)
School of Business Management
Bachelor of Entrepreneurship (Hons) Bachelor of Human Resources Management (Hons) Master of Science in Management Master of Human Resources Management Doctor of Philosophy
Malaysia Sabah University, Faculty of Business, Economics and Accounting
-Performance Management; -Entrepreneurial Strategy; -Corporate Strategy; -Compensation Strategy; -Strategic Human Capital Management; -Managing Quality and Productivity.
Bachelor of Business with Honour (Entrepreneurship) Bachelor of Business with Honour (International Business) Bachelor of Economics with Honour (Planning & Development Economics) Master of Business Administration Master of Human Capital Management
Philippines
Miriam College, College of Business, Entrepreneurship and Accountacy
Singapore
Thailand
SIM University
Mahidol University, College of Business
Kasetsart University, Faculty of Business Administration
Vietnam
Hanoi University, Faculty of Management & Tourism
-Performance Management; -Strategic Management; -Organizational Planning, Design and Administration; -Compensation and Benefits Planning and Administration; -Organization Assessment and Development.
Bachelor’s Degree in Business Administration
-Performance Management; -Leadership Development; -Total Quality Management; -Managing and Leading to Achieve Organizational Excellence; -Training and Development.
Bachelor’s Degree in Human Resource Management
-Reward and Performance Management; -Corporate Strategy and Performance Measurement; -Strategic Management; -Strategic Leadership; -Quality Management; -Organization Development and Management for Changes.
Master of Entrepreneurship Management
-Performance Measurement; -Strategic Compensation System Management; -Advanced Strategic Management.
Master of Business Administration
-Developing People and High Performance; -Corporate Strategy; -Strategic Management.
Bachelor’s Degree in Business Administration
Bachelor’s Degree in Entrepreneurship Master of Arts in Strategic Human Resource Management
MBA
Master of General Management Master of Innovation Management Master of Leadership and Human Resource Management
Young-Executive MBA
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
85
MAIN EVENTS T
he following subsection presents an overview of the main conferences, trainings and seminars that took place in the ASEAN countries during 2014, together with scheduled events for 2015. All the events presented have, as a central topic, performance management. Once again, the issue of excellence in management practices was central to management-related conferences. From Singapore to Malaysia and Thailand, performance management conferences and other events have been providing both practitioners and and academics with new knowledge and techniques in this specific field. As an overall perspective for events in the ASEAN region, the
tendency observed is the desire to cooperate across nations, to focus not only on the development and the benefit of one single nation, but also on a strategic plan for cooperation that would benefit both the more developed countries and the currently developing nations. In this sense, the Asian Risk Management Conference from Singapore, or the ASEAN Wealth Management Summit both focus on how all countries from the ASEAN can contribute and cooperate towards a better future, in a safer environment. The information has been gathered using the official websites of the events or the organizers and the data was correct at the time of the research (February, 2015).
Table 6
PERFORMANCE MANAGEMENT EVENTS IN 2014 Date
Title
Type
Location
Duration
Organizer
20-23 Jan
International Conference on Innovation and Management
Practitioners/ Academics
Thailand
4 days
Society for Innovation in Management (SIiM)
5 June
Corporate Governance
Practitioners
Vietnam
1 day
Parima
1 â&#x20AC;&#x201C; 2 Oct
The12th Asian Crisis Management Conference
Practitioners
Malaysia
2 days
Asian Network of Major Cities 21 (ANMC21)
9-10 Oct
Academics The 7th International Conference on Innovation and Knowledge Management in Asia Pacific
Thailand
2 days
Institute for Knowledgeand Innovation Southeast Asia (IKISEA)
23 â&#x20AC;&#x201C; 24 Oct
Practitioners First Global Agribusiness Management & Entrepreneurship Conference
Philippines
2 days
CHED
26-29 Oct
Management Accounting For Sustainable Development
Practitioners
Indonesia
4 days
APMAA
18 Nov
ASEAN Wealth Management Summit
Practitioners
Singapore
1 day
FTLIBFC
27-29 Nov
2nd International Conference on Strategic Business Management
Practitioners/ Academics
Malaysia
3 days
EySource, World Academy of Research and Publication (WARP)
8-9 Dec
The Asian Risk Management Conference
Practitioners
Singapore
2 days
Parima
20-21 Dec
86
2nd International Conference Academics on Economics, Finance and Management Outlooks
Malaysia
2 days
PAK Research and Development Wing
EDUCATION Table 7
PERFORMANCE MANAGEMENT EVENTS IN 2015 Title
Type
Location
Duration
Organizer
25 April
17th International Conference on Advances in Business Management and Information Technology
Practitioners
Singapore
1 day
THEIIER
21-22 May
International Growth and Development of the Global Economy Conference
Academics
Thailand
2 days
Faculty of Social Sciences, Bangkok
2-3 June
10th International Research Conference on Business, Economics and Social Sciences
Practitioners/ Singapore Academics
2 days
IRC
5-6 June
International Conference on Strategy Management
Academics
Malaysia
2 days
International Postgraduate Network
9-10 June
2nd International Conference Practitioners on Innovations in Business and Management
Malaysia
2 days
IEDRC
26-27 June
2nd Asian Business Conference: Readiness of Businesses to 2015 Integration
Academics
Philippines
2 days
The Asian Institute of Management
3-4 July
5th International Conference on Financial Management and Economics
Practitioners
Thailand
2 days
IEDRC
27- 28 July
3rd International Conference on Economics, Finance and Management Outlooks
Practitioners
Thailand
2 days
PAK Research and Development Wing
17-18 Aug
3rd Global Conference on Business Management
Academics
Singapore
2 days
Aventis School of Management
26-27 Sep
3rd International Conference on Business Strategy and Social Sciences
Practitioners
Malaysia
2 days
PAK Research and Development Wing
Date
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
87
CAREER
T
he Career section of Performance Management in 2014 – ASEAN Special Edition is aimed at delivering information about the management job trends and salaries in 2014, within the ASEAN member nations. Management and top management are considered the most representative categories for the development and implementation of performance management and measurement systems and, hence, the need to assess the state of these two job categories. Job descriptions for the main management positions provide insights on the necessary skill sets managers must own in order to deliver performance. Job descriptions are a reflection of the qualifications, certifications, professional expertise and proven track records that managers nowadays must acquire in order to deliver expected results. The relevance of management and top management job positions to this report is that they validate the relationship between top management and performance management in the way they identify performance related responsibilities. Strategy development, accurate measurement of results, reporting on performance and alignment of all organizational levels to the corporate strategy are just some of the responsibilities each top manager has. The section provides an overview of job trends and salaries within member states of the Association of Southeast Asian Nations, followed by independent job market analyses for seven of its constituent countries: Thailand, Malaysia, Singapore, Indonesia, Vietnam, Brunei Darussalam and the Philippines*. The main job trends and performance criteria are presented distinctly for each state. Additionally, tables and charts enhance the visualization of management compensation according to each functional area. Management and top management salaries for each section of the report are the result of aggregated data from the 2015 Robert Walters Global Salary Survey, the Adecco Vietnam Salary Guide
2014, The Kelly Services 2014/2015 Salary Guide Indonesia, the Kelly Services 2014/2015 Salary Guide Malaysia, The 2015 Hays Asia Salary Guide, the Adecco Thailand Salary Guide 2014/2015, salary.sg, averagesalarysurvey.com and salaryexplorer.com. The specific positions considered for this section were those of Chief Executive Officer, Chief Financial Officer, Finance Manager, Head of Audit, Head of Management Reporting, Regulatory Reporting Manager, Head of Compliance, Head of Human Resources, Human Resources Manager, Head of Recruitment, Payroll Manager, Compensation and Benefits Manager, IT Director, Programme Manager, IT Security Manager, Test Manager, Chief Actuary, Claims Manager, Head of Risk, Senior Risk Manager, Legal Manager, Contracts Manager, Business Development Manager, Marketing Manager, Digital Marketing Manager, PR Manager, Head of Operations, PMO Manager, Sales Director, Key Account Manager, Regional Sales Manager, Senior National Account Manager, Chief Procurement Officer, Procurement Lead, Purchasing Manager, Supply Chain Director, Head of Supply Chain, Logistics Director, Supply Chain Manager, Head of Tax, International tax Manager, Head of Treasury, Retail Branch Manager, Credit and Risk Manager, Customer Service Manager. The salary information was aggregated for the most representative functional areas from the examined countries, with emphasis on the minimum and maximum values for management salaries under each functional area. The accompanying charts within each division show the average management salaries in each of the assessed countries. Each salary analysis concludes with a top of the highest performing management positions in that country, as reflected by the gross average values of monthly management earnings, as well as the key 2014 performance trends for each ASEAN member nation. *Due to lack of data, the ASEAN states of Cambodia, Laos and Myanmar were not included in this section of the report.
Thailand Thailand’s economy has experienced a substantial growth over the last ten years. Moreover, the implementation of the ASEAN Economic Community has had a positive impact on Thailand’s national market. Throughout the year 2014, an increasing demand for performing managers has encountered a skill shortage in this area. The continuous request for experienced managers with high performing capabilities has been acknowledged within Thailand’s labor market, especially in the functional areas of sales, digital marketing, human resources and IT project management. Managerial skills building on business acumen and financial expertise have been identified as main requirements in the functional areas of finance and accountancy. Candidates with strategic mindsets and international qualifications were in high demand as regards Thailand’s workforce and employment criteria. Retaining managers in all business areas proved to need a stable working environment and a strong organizational culture, as well as adequate compensation packages to support a strong sense of commitment. 88
The finance and accounting sectors have experienced a strong demand for qualified managers with significant experience in strategic business development, financial planning and reporting. Management skills in this functional area have proved to be scarce in Thailand, throughout 2014. Managerial performance achievement has been highly dependent on strong technical and communication skills. In the areas of banking and financial services, a necessity for filling senior-management positions was observed. Throughout the year 2014, scarcity in this area created skill gaps that middlemanagement had insufficient experience to fill. The most difficult managerial positions to fill in the banking sector seem to have been those of compliance managers. Relationship managers have also proved to be in high demand, as companies in 2014 found themselves in a constant competition to acquire new market share. Human resource managers in compensation and benefits were the most difficult to source in Thailand’s 2014 labor market. Managerial performance in this particular area has
CAREER been measured against the HR managers’ capacity to act as consultants to leadership teams, as well as the skill set provided for talent development and retention. The Information technology industry has known increased competition for Enterprise Resource Planning (ERP) managers, as well as highly skilled professionals in the areas of cloud computing, data center and gaming. The shift towards freelance and independent contract positions has significantly reduced the number of available IT managers in the Thailand job market of 2014. Many highly skilled specialists in the IT industry started their own businesses in order to improve the stability, pay and flexibility of their professional lives. The retail, marketing, consumer and B2B areas of Thailand have lacked the necessary professional supply of regional managers. Candidates with verifiable performance records and demonstrated skills in this area were hard to find. Measured against commercial expertise, strong analytical skills and strategic line of thought, managerial performance in these domains has encountered more than one pitfalls. In Thailand, management positions with significant compensation packages have been identified in the marketing, sales, human resources, IT, accounting and finance management positions. These are the management areas that seem to have either achieved higher levels of performance, or faced an uneven distribution of demand and supply, thus the higher salary levels in these particular sections of the market. The table and charts below illustrate the salary levels of management and top management professionals in the main functional areas across Thailand. The data has been compiled and aggregated based on the 2015 Robert Walters Global Salary Survey, as well as individual country data provided by salaryexplorer.com.
Table 9: Management professionals salary levels in Thailand
Gross Salary/Year THB
Figure 71: Compensation by functional areas in Thailand Best paid management jobs in Thailand A top 10 countdown of Thailand’s best paid management jobs stands reference to the highest performing jobs in the country, in this particular field. The titles of the positions that follow are sourced from salaryexplorer.com, and the salaries embed gross average values of monthly management earnings. Table 10: Top 10 best paid management jobs in Thailand
Top Paid Management Jobs in Thailand Title
Average Gross Salary/Month
Planning Director
300,000 THB
Corporate Director of Human Resources
300,000 THB
Labor Relations Director
300,000 THB
Managing Director
287,000 THB
Purchasing and Sales Executive
255,000 THB
Management Consultant
250,000 THB
Chief Executive Officer
230,000 THB
Functional Areas
Min
Max
Accounting and finance
600,000
4,500,000
Banking and financial services
2,000,000
3,600,000
Human Resources
610,000
3,200,000
Market Segmentation Director
216,000 THB
Information technology
850,000
4,500,000
IT Service Management Architect
200,000 THB
Sales and marketing
600,000
4,800,000
Regional Director
200,000 THB
The performance of major management positions within the main functional areas in Thailand is illustrated in the following chart. Higher values of gross salaries in related functional areas such as IT, Banking, Financial services, Accounting, Sales, and Marketing reveal increased levels of profitability made possible by higher performance achievements in the mentioned areas. The most prominent levels of managerial compensation packages, according to the data displayed in the chart, have been encountered in the fields of sales and marketing, information technology and finance. Compensation here reached higher peaks due to the rising demand of managerial expertise in these fields.
2014 key performance trends in Thailand • Managers have been required to be business partners rather than simple executives; • Demand for managers has encountered competition for top talent; • Hiring managers met an increasing demand for staff retention programs; • Compensation and benefits managers have proved to be the most challenging to source; • Niche areas such as cloud computing and gaming lacked necessary skill sets to fill managerial positions; • IT Managers have migrated towards independent contracts and freelance establishments, destabilizing the supply of expertise in the area of information technology. PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
89
CAREER
Malaysia The World Bank’s “Doing Business” 2014 report ranked Malaysia as the sixth best business accommodating market out of 185 economies worldwide. The “Human Capital” 2013 report, produced by the World Economic Forum, ranked Malaysia the 22nd out of 122 countries analyzed in terms of best performance in the areas of workforce and employment. The 2014 overview of the local labor market in Malaysia revealed an increasing demand for talent. Skills and specific expertise to meet job requirements have outweighed input requirements throughout the year. Employment strategies have focused more on knowledgeable hiring, rather than on workforce supply. An increasing search for talented people needed to fill key positions has transformed the process of employing Malaysian managers into a real headhunt for the best leaders. A gap in managerial skills has been apparent in industries such as risk and compliance. A high demand for human resource managers, as well as marketing specialists has been recorded in the Malaysian market. An uneven distribution of demand and supply within these functional areas has, therefore, triggered heavy competition. The accounting and finance sector have encountered an overspill of young professionals seeking managerial recognition. The decision of hiring managers in these areas has been based on balancing the delicate concepts of cost-consciousness and salary expectations of junior prospects for management positions. Recruitment for Malaysian Human Resources managers has known a rather constant evolution throughout 2014. The main job requirements for this position focused on talent development skills, as well as talent acquisition capabilities. Strategic inclinations for raising employee engagement and optimizing employee satisfaction indexes have also been sought for in the Malaysian labor market. The Information Technology industry has encountered challenges in providing managers with a complete set of both technical, and behavioral aptitudes. A shortage in Oracle professionals and developers has been assessed particularly as multinational companies based their businesses on Oracle e-business suites. Managers in the Legal and Compliance industry have reported deficiencies in the incentives and compensations departments. Senior level managers have found room for more attractive compensation and incentive packages, related directly to their contribution to the organization’s goals and objectives. The retail and marketing industries of Malaysia have experienced a gap in providing managerial positions with the right leadership skills from candidates in 2014. Business managers with revenue generating capabilities have been requested throughout the year in the retail and marketing industries, although supply of such professionals was scarce. In the areas of supply chain, procurement, logistics and engineering, established managers faced new hiring opportunities. Intensive career movements have been recorded, throughout the year, in the functional areas of supply chain, logistics and procurement, as habitual professionals have been lured into considering specialized functions with acute talent shortages, for better payment. The table and charts below illustrate the salary levels of management and top management professionals from the main functional areas across Malaysia. The data has been compiled and aggregated based on the 2015 Robert Walters Global Salary Survey, as well as individual country data provided by salaryexplorer.com.
90
Table 11: Management professionals salary levels in Malaysia
Gross Salary/Year (RM) Functional Areas
Min
Max
Accounting and finance
100,000
500,000
Banking and financial services
138,000
240,000
Human Resources
96,000
480,000
Information technology
120,000
650,000
Legal and compliance
48,000
186,000
Sales and marketing
60,000
550,000
Supply chain and procurement
90,000
480,000
Performance of the most important management positions within the main functional areas in Malaysia is illustrated in the following chart. Higher values of gross salaries in related functional areas such as IT, accounting, finance, sales and marketing reveal increased levels of profitability, due to higher performance achievements in the mentioned areas. The minimum and maximum top management salary thresholds reveal the fact that there are noticeable discrepancies between the leading functional areas mentioned and other areas such as legal, banking and financial services. This may mean that these particular sectors are not developing at the same rate as other fast galloping areas such as IT.
Figure 72: Compensation by functional areas in Malaysia Best paid management jobs in Malaysia A top 10 countdown of Malaysia’s best paid management jobs stands reference to the highest performing management jobs in the country. The titles of the positions that follow are sourced from salaryexplorer.com, and the salaries embed gross average values of monthly management earnings.
CAREER Table 12: Top 10 best paid management jobs in Malaysia
Top Paid Management Jobs in Malaysia
2014 key performance trends in Malaysia • Training and employee development were the key human resources tools;
Title
Average Gross Salary/Month
Chief Financial Officer (CFO)
41,000 MYR
Director
34,444 MYR
• Balancing salary expectation and cost effectiveness in the Malaysian labor market;
Chief Operating Officer
26,388 MYR
• Demand for talented managers outweighed supply;
Regional Director
24,733 MYR
Managing Director
24,002 MYR
Vice President
21,461 MYR
Deputy Director
19,894 MYR
Chief Executive Officer
19,883 MYR
Director Of Client Services
19,000 MYR
General Manager
16,209 MYR
• Outsourcing managers to counteract under-supply in the Malaysian market was an often encountered practice of the Malaysian employment market, in 2014; • IT project managers have been in demand as big data projects increased competition in this area; • Shortage of highly experienced sales and marketing managers has been experienced in the Malaysian market.
Singapore As far as employment in Singapore is concerned, the Government’s Fair Consideration Framework (FCF) encouraged companies to consider domestic talent first for vacant positions. Therefore, throughout 2014, managerial positions proved difficult to fill, as competition for Singaporean skill was predominantly high. In the accounting and finance areas, the oil, gas, shipping and manufacturing sectors have met a strong demand for managerial skill. Experienced managers with proven track records in treasury, tax, pricing and audit were highly sought after. As it comes to show further on, management salaries had to stay at competitive levels, in order to ensure talent availability. Human resources management practitioners proving expertise in compensation packages, rewards systems, and organizational development were the main focus of companies in Singapore during 2014. As mid-level management positions were easier to fill, senior and top management skill was rather hard to supply. As far as the IT market in Singapore goes, 2014 was a year that intensified recruitment of technology managers, especially in the financial services area. Managerial performance records in banking and related financial disciplines were skimmed for demonstrated results in the implementation of back-end platforms, mobile channels and IT infrastructure. IT managerial roles with industrial and commercial companies focused mainly on IT security and resource planning applications. Experienced managers in digital marketing and marketing strategy communication were in high demand in Singapore, throughout the year 2014. Managerial results and performance track records with emerging markets was considered highly valuable. Demand for business development managers was especially high, as companies started to highlight the importance of gaining market share. The gradual growth of the Singaporean companies triggered an increasing necessity for logistics managers. As supply chain and procurement functions expanded and operations diversified, Singaporean managers with experience in delivering business
efficiency were constantly in demand. Managerial performance was measured against these managers’ capability to drive operational and strategic changes. Table 13: Management professionals salary levels in Singapore
Gross Salary/Year (SGD) Functional Areas
Min
Max
Accounting and finance
100,000
500,000
Compliance
70,000
400,000
Financial services
70,000
350,000
Human Resources
120,000
350,000
Information technology
84,000
450,000
Legal
100,000
400,000
Sales and marketing
70,000
250,000
Procurement and supply chain
60,000
300,000
Performance of the major management positions within the main functional areas in Singapore is illustrated in the following chart. Higher values of gross salaries in related functional areas such as accounting, finance, IT, legal, procurement and supply chain reveal increased levels of profitability, due to higher performance achievements in the mentioned areas. The minimum and maximum top management salary thresholds seem to have been particularly leveled across all functional areas in Singapore, throughout 2014. No major discrepancies are noticeable between the leading functional areas mentioned and the slightly less performing areas such as: sales and marketing, human resources, banking and financial services.
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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CAREER Table 14: Top 10 best paid management jobs in Singapore
Top Paid Management Jobs in Singapore
Figure 73: Compensation by functional areas in Singapore Best paid management jobs in Singapore A top 10 countdown of Singapore’s best paid management jobs stands reference to the highest performing management jobs in the country. The titles of the positions in the table herewith are sourced from salaryexplorer.com, and the salaries embed gross average values of monthly management earnings. 2014 key performance trends in Singapore • The Fair Consideration Framework (FCF) in Singapore influenced salary levels and increased competition for local talent; • Managerial compensation packages in the banking industry were mainly based on performance incentives;
Title
Average Gross Salary/Month
Chief Executive Officer
43,225 SGD
Chief Operating Officer
23,226 SGD
Software and applications manager
17,559 SGD
Chief Information Officer
14,473 SGD
Business development manager
13,593 SGD
Budgeting and financial accounting 12,913 SGD manager Network and communications manage
12,573 SGD
Human Resource Manager
12,138 SGD
Customer Service Manager
11,961 SGD
Sales and Marketing Manager
11,685 SGD
• Managers with digital and mobile experience have been in high demand, especially in the banking and IT areas; • Organizational expansion triggered an increasing demand for supply chain, procurement and logistic, strategic and operational managers.
Indonesia During 2014, the market conditions in Indonesia called for an increasing demand for banking and finance managers, IT, engineering and logistics experts. The same goes for marketing and sales managers with proven track records in brand recognition and high volumes of sales. As finance functions exploded throughout the year 2014, the overall banking and financial markets provided great opportunities for risk and compliance managers, asset managers, leading investment bankers and insurance directors. Financial managerial skills were measured against strong retail banking experience, proven expertise in financial control, as well as high qualifications in the finance and accounting areas. Management salaries in these fields of practice secured premium values, especially for managers probing international experience. With the human resources function gaining recognition on the market, HR Managers were in high demand in Indonesia, throughout 2014. As companies started to realize the value of strategically minded senior level HR Managers, they began focusing on these type of skills, when hiring. HR Managers who could demonstrate performance in plan execution became very popular in searches. Therefore, Human Resources is one of the functional areas with the highest maximum management salary values in Indonesia. In sales and marketing, managers who could deliver results were highly sought after in Indonesia, in 2014. Managerial performance was predominantly measured against the achievement of sales and quota targets. A substantial need for managerial talent has grown in the 92
marketing and sales departments of the following areas: IT, electronics, pharmaceuticals, professional services and manufacturing. Table 15: Management professionals salary levels in Indonesia
Gross Salary/Year (Mil IDR RP) Functional Areas
Min
Max
700
2400
Banking and Financial Services 500
2100
Accounting and Finance
Human Resources
1620
2400
Sales and Marketing
500
1500
Call Center
170
330
Office Support
120
300
Procurement/Supply Chain/ Logistics
300
1200
Telecommunications
200
960
Engineering
600
1500
Oil and Gas
600
2400
Information technology
1500
2400
CAREER Performance of the major management positions within the main functional areas in Indonesia is illustrated in the following chart. Higher values of gross salaries in related functional areas such as accounting, finance, IT, human resources, oil and gas, sales, marketing and engineering reveal increased levels of profitability, due to higher performance achievements in the mentioned areas. However, some major differences stand to be observed across the functional areas presented. Call centers are significantly lagging behind in management compensation, as opposed to the high performing areas of IT, oil and gas. Furthermore, a closer look at the telecommunications section reveals a noteworthy gap between maximum and minimum management salary values. Taking into consideration the fact that telecommunications generally encompass call center activities, call center management salaries may negatively impact telecommunications figures.
Best paid management jobs in Indonesia A top 10 countdown of Indonesia’s best paid management jobs stands reference to the highest performing management jobs in the country. The titles of the positions that follow are sourced from salaryexplorer. com, and the salaries embed gross average values of monthly management earnings. Table 16: Top 10 best paid management jobs in Indonesia
Top Paid Management Jobs in Indonesia Title
Average Gross Salary/Month
Marketing Director (Marketing)
66,000,000 IDR
Chief Executive Officer
53,333,333 IDR
Operations Manager
51,333,333 IDR
Chief Information Technology Officer
50,000,000 IDR
Legal Services Manager
43,750,000 IDR
Planning Director
40,000,000 IDR
Market Research Manager
38,367,500 IDR
Corporate Sales Manager
35,000,000 IDR
Tax Manager
34,750,000 IDR
General Manager
33,876,923 IDR
Figure 74: Compensation by functional areas in Indonesia Management workload statistics in Indonesia Performance achievement often depends on the managers’ ability to gain a personal-professional life balance, gender access to management levels of an organization, and the practitioners’ levels of qualification. The management workload statistics that follow are meant to illustrate work related criteria to be considered when performance is evaluated at top organizational levels. The data has been adapted to management and top management categories from salaryexplorer.com.
2014 key performance trends in Indonesia • As finance functions exploded, the demand for financial managers increased; • Strategically minded senior level HR managers were highly sought after; • In sales and marketing, managerial performance was measured against sales and quota targets.
Vietnam Throughout 2014, Vietnam experienced a need for expansion, especially in the industrial, pharmaceutical, as well as Fast Moving Consumer Goods (FMCG). This attracted a high demand for sales and marketing managers, in these particular market sectors. The industrial areas and platforms in Vietnam experienced the need for sales and marketing managers, particularly in the oil and gas, raw materials and automation divisions. In the world of fast moving consumer goods, as long as the FMCG sector saw a strong decline in sales in 2014, an acute demand for strategically oriented sales and marketing managers was heartfelt. After the Government introduced new regulations, the pharmaceutical sector experienced a demand for sales and marketing managers with compliance expertise. In the accounting and finance functional areas, managers with proven track records in cost effectiveness and financial control were highly sought after. The IT sector in Vietnam has met a high demand for business
leadership potential. Managerial performance in Information Technology in 2014 was measured against concrete results in the fields of information security, business intelligence, big data, technical engineering and cloud computing. Strong technical expertise and leadership skills were the ideal combination of abilities and talent to fill in managerial vacancies. An interesting expansion of factory operations within companies in Vietnam triggered an emerging demand for supply chain, logistics and procurement managers. Proven track records in quality control and sourcing were the main criteria to consider when hiring for managerial performance. The table and charts below illustrate the salary levels of management and top management professionals in the main functional areas across Vietnam. The data has been compiled and aggregated based on the 2015 Robert Walters Global Salary Survey, as well as individual country data provided by salaryexplorer.com.
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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CAREER Table 17: Management professionals salary levels in Vietnam
Gross Salary/Year (mil VDN) Functional Areas
Min
Max
Accounting and finance
562
2,635
Banking and financial services
389
3,888
Human Resources
410
2,592
Information technology
540
1,404
Sales and marketing
324
4,860
Supply chain and procurement 432
2,009
The performance of the major management positions within the main functional areas in Indonesia is illustrated in the following chart. Higher values of gross salaries in related functional areas such as banking, sales and marketing reveal increased levels of profitability, due to higher performance achievements in the mentioned areas. As opposed to other functional areas such as accounting, finance, human resources and logistics, the IT sector is significantly lagging behind in minimum and maximum management salary values. This may be due to the fact that information technology related fields, such as BI and cloud computing are still experiencing under-development in Vietnam.
Best paid management jobs in Vietnam A top 10 countdown stands reference to Vietnam’s highest performing management jobs in the country. The titles of the positions that follow are sourced from salaryexplorer.com, and the salaries embed gross average values of monthly management earnings.
Table 18: Top 10 best paid management jobs in Vietnam
Top Paid Management Jobs in Vietnam Title
Average Gross Salary/Month
Planning Director
63,500,000 VND
Marketing Manager
55,000,000 VND
Managing Director
55,000,000 VND
Manufacturing Manager
48,000,000 VND
Chief Executive Officer
47,500,000 VND
Sales Manager
42,000,000 VND
Quality Control Manager
42,000,000 VND
Operations Manager
41,653,500 VND
IT Manager
40,306,667 VND
Production Manager
40,000,000 VND
2014 key performance trends in Vietnam • The need for sales and marketing managers was felt in industrial areas and platforms; • The IT sector in Vietnam saw a high demand for business leadership potential;
Figure 75: Compensation by functional areas in Vietnam
• Expansion of factory operations caused demand for supply chain, logistics and procurement managers.
Brunei Darussalam Throughout 2014, the Sultanate of Brunei Darussalam experienced a significant period of population growth. Therefore, functional areas such as real estate and engineering were influenced into rapid development. Site managers and contract managers were highly sought after, taking into consideration the expansion of the housing market. The overall development of real estate markets in Brunei attracted an increasing demand for banking services that could support this enlargement. Therefore, managerial skill in banking and financial services was highly sought for. Human resources management practitioners proving expertise in compensation packages, rewards systems and talent development were the main focus of companies in Brunei, during 2014. Human 94
resources management positions had to fill the requirements of supplying an increasing demand for relevant skill, as well as proven track records of performance achievement. Strong technical expertise and leadership skills were the ideal combination of skill and talent needed to fill managerial vacancies in the information technology areas of Brunei. Although not as prominent, the IT sector expansion triggered an increasing demand for managerial talent. The table and charts below illustrate the salary levels of management and top management professionals in the main functional areas across Vietnam. The data was compiled and aggregated based on the 2015 Robert Walters Global Salary Survey, as well as individual country data provided by salaryexplorer.com.
CAREER Table 19: Management professionals salary levels in Brunei
Gross Salary/Year (BND) Functional Areas
Min
Max
Banking
150,000
210,000
Information Technology
40,000
59,900
Human resources
70,000
110,000
Marketing and Sales
20,000
80,000
Real Estate
90,000
180,000
Education
30,000
70,000
Healthcare
50,000
70,000
Legal
50,000
80,000
Engineering
100,000
140,000
Performance of the major management positions within the main functional areas in Brunei is illustrated in the chart herewith. Higher values of gross salaries in related functional areas such as banking, real estate, engineering and human resources reveal increased levels of profitability due to higher performance achievements in the mentioned areas. The highest difference in minimum and maximum values of management salary levels stands to be perceived in the functional area of marketing and sales. This may be determined by the large pallet of management positions in these functional areas, as well as the prominent variations in sales salaries. The fact that real estate and engineering are two of the highest performing functional areas in Brunei underlines the fact that the country experienced rapid development throughout 2014, as far as population growth and housing are concerned. 2014 key performance trends in Brunei Darussalam • Population growth attracted demand for real estate managers; • A subsequent boom in the housing market caused necessity for engineering experts; • Expansion of sectors triggered high demand for business development managers.
Figure 76: Compensation by functional areas in Brunei Best paid management jobs in Brunei Darussalam A top 5 countdown stands reference to Brunei Darussalam’s highest performing management jobs in the country. The titles of the positions that follow are sourced from salaryexplorer.com, and the salaries embed gross average values of monthly management earnings. Table 20: Top 5 best paid management jobs in Brunei
Top Paid Management Jobs in Brunei Title
Average Gross Salary/Month
Site Manager
10,200 BND
Business Development Manager
8,350 BND
General Manager
7,500 BND
Network Engineering Manager
6,000 BND
Contract Manager
5000 BND
Philippines Throughout 2014, investment and manufacturing have boosted the economic growth of the Philippines. Due to low interest rates, private construction also experienced rapid expansion. Engineering and technical managers proved to be valuable assets in the general process of managing the strong demand for office and residential spaces. Managerial experience and skill related to resilient infrastructure and risk-informed land use planning have both been considered valuable resources in the headhunt for genuine talent. Information Technology experts were highly sought after in the Philippines throughout 2014. An IT managerial skill gap has been identified, especially within financial markets that balanced stock market volatilities. Banking and financial managers with proven track records, monetary policy and efficient portfolio administration were in high demand. Due to the expansion of construction and real estate markets,
logistics manager positions showed increased availability. The requirements of filling these positions were centered especially upon the fulfillment of domestic standards and governmental regulations. Performance and strategy oriented managers were also in high demand, as far as the legal, healthcare, marketing, sales and human resources areas of expertise go. Human capital indicators reflect on the hardship of supplying demand for local talent. Management training programs were essential in ensuring that professional requirement standards are met. The table and charts below illustrate the salary levels of management and top management professionals in the main functional areas across the Philippines. The data has been compiled and aggregated based on the 2015 Robert Walters Global Salary Survey, as well as individual country data provided by salaryexplorer.com. PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
95
CAREER
Con
Table 21: Management professionals salary levels in the Philippines
Gross Salary/Year (PHP) Functional Areas
Min
Max
Accounting and Administration
400,000
1,300,000
Banking and Finance
500,000
1,000,000
Information technology
600,000
2,000,000
Human resources
400,000
1,800,000
Marketing and Sales
400,000
1,400,000
Customer Service
200,000
800,000
Properties and Real Estate
100,000
400,000
Education and University
400,000
80,000
Healthcare
600,000
1,200,000
The performance of the major management positions within the main functional areas in the Philippines is illustrated in the following chart. Higher values of gross salaries in related functional areas such as IT, legal services, human resources and accounting reveal increased levels of profitability, due to higher performance achievements in the mentioned areas.
Figure 77: Compensation by functional areas in the Philippines
“
Best paid management jobs in the Philippines A top 10 countdown stands reference to the highest performing management jobs in the country. The titles of the positions that follow are sourced from salaryexplorer.com, and the salaries embed gross average values of monthly management earnings. Table 22: Top 10 best paid management jobs in the Philippines
Top Paid Management Jobs in Philippines Title
Average Gross Salary/Month
CEO
201,722 PHP
Business Development Manager
179,464 PHP
Customer Service Manager
136,712 PHP
IT Manager
114,543 PHP
HR manager
89,675 PHP
Operations Manager
93,118 PHP
Quality Manager
84,993 PHP
Product Development Manager
75,000 PHP
Marketing Manager
59,669 PHP
Audit Manager
57,444 PHP
Your career is like a garden. It can hold an assortment of life’s energy that yields a bounty for you. You do not need to grow just one thing in your garden. You do not need to do just one thing in your career. Jennifer Ritchie Payette, coauthor of the first version of Modular Career Design
96
”
nsultants
CAREER
TOP 25 KPI REPORTS • Extensive collections of the most visited KPIs on smartkpis.com, across functional areas and industries; • Thorough analysis of each KPI according to smartKPIs.com documentation form and standards; • Proof-of-concept of relevant KPIs, documented at best practice standards. Explore the extensive Top KPIs series dedicated to analyzing the most popular KPIs by visiting: http://store.kpiinstitute.org/publications.html
Best-selling Top KPIs Reports Reports by Functional Area
Reports by Industry
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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BEST-SELLING BOOKS T
he following section of the report is dedicated to best-selling books which have either Performance Management, or a closely-related subject, as the main theme. The selection was compiled according to the top ten books on Amazon.com, the world’s biggest online retailer.
The large number of results shown for each keyword highlights an increase in the number of experts offering their expertise in this domain, as well as a higher maturity when it comes to performance related research and publishing.The rankings below were generated in December, 2014 and, since then, change might have occurred.
Table 23: Top 10 books on “Performance Management” (December 2014)
Performance Management No. Title
Author
Published
1
StrengthsFinder 2.0
Tom Rath
2007
2
The Power of Habit: Why We Do What We Do in Life and Business
Charles Duhigg
2014
3
How Google Works
Eric Schmidt, Jonathan Rosenberg
2014
4
Good to Great: Why Some Companies Make the Leap... And Others Don’t
Jim Collins
2001
5
The Five Dysfunctions of a Team: A Leadership Fable
Patrick Lencioni
2002
6
The Hard Thing About Hard Things: Building a Business When There Are No Easy Answers
Ben Horowitz
2014
7
Getting Things Done: The Art of Stress-Free Productivity
David Allen
2002
8
A Year with Peter Drucker: 52 Weeks of Coaching for Leadership Effectiveness
Joseph A. Maciariello
2014
9
Strengths Based Leadership: Great Leaders, Teams, and Why People Follow
Tom Rath, Barry Conchie
2009
10
The First 90 Days: Proven Strategies for Getting Up to Speed Faster and Smarter, Updated and Expanded
Michael D. Watkins
2013
Table 24: Top 10 books on “Business Performance Management” (December 2014)
Business Performance Management No. Title
Author
1
Analytics at Work: Smarter Decisions, Better Results
Thomas H. Davenport, Jeanne G. Harris 2010
2
Strategic Supply Chain Management: The Five Core Disciplines for Top Performance, Second Editon
Shoshanah Cohen, Joseph Roussel
2013
3
Information Dashboard Design: The Effective Visual Communication of Data
Stephen Few
2006
4
Performance Dashboards: Measuring, Monitoring, and Managing Your Business
Wayne W. Eckerson
2010
5
Applied Insurance Analytics: A Framework for Driving More Value from Data Assets, Technologies, and Tools
Patricia L Saporito
2014
6
Future Ready: How to Master Business Forecasting
Steve Morlidge, Steve Player
2010
7
The Art of Servant Leadership: Designing Your Organization for the Sake of Others
Tony Baron
2013
8
Business Analytics for Managers: Taking Business Intelligence Beyond Reporting
Gert H. N. Laursen, Jesper Thorlund
2010
9
Enterprise Performance Management Done Right: An Operating System for Your Organization
Ron Dimon
2013
10
Business Dashboards: A Visual Catalog for Design and Deployment
Nils H. Rasmussen, Manish Bansal
2009
98
Published
RESOURCES
Table 25: Top 10 books on “Corporate Performance Management”
Corporate Performance Management No. Title
Author
Published
1
Analytics in a Big Data World: The Essential Guide to Data Science and its Applications
Bart Baesens
2014
2
Process Mining: Discovery, Conformance and Enhancement of Business Processes
Wil van der Aalst
2011
3
Key Performance Indicators (KPI): Developing, Implementing, and Using Winning KPIs
David Parmenter
2010
4
Applied Insurance Analytics: A Framework for Driving More Value from Data Assets, Technologies, and Tools
Patricia L Saporito
2014
5
Reinventing the CFO: How Financial Managers Can Transform Their Roles and Add Greater Value
Jeremy Hope
2006
6
Successful Business Intelligence: Unlock the Value of BI & Big Data
Cindi Howson
2013
7
Balanced Scorecard Evolution: A Dynamic Approach to Strategy Execution
Paul R. Niven
2014
8
Applying Advanced Analytics to HR Management Decisions: Methods for Selection, Developing Incentives, and Improving Collaboration
James C. Sesil
2013
9
Management Information Systems
R. Kelly Rainer, Hugh J. Watson
2013
10
Time-Driven Activity-Based Costing: A Simpler and More Powerful Path to Higher Profits
Robert S. Kaplan and Steven R. Anderson
2007
Table 26: Top 10 books on “Enterprise Performance Management” (December 2014)
Enterprise Performance Management No. Title
Author
Published
1
Competing on Analytics: The New Science of Winning
Thomas H. Davenport, Jeanne G. Harris 2011
2
Applied Insurance Analytics: A Framework for Driving More Value from Data Assets, Technologies, and Tools
Patricia L Saporito
2013
3
Predictive Business Analytics: Forward Looking Capabilities to Improve Business Performance
Lawrence Maisel, Gary Cokins
2012
4
Future Ready: How to Master Business Forecasting
Steve Morlidge, Steve Player
2011
5
Successful Business Intelligence: Unlock the Value of BI & Big Data
Cindi Howson
2013
6
Oracle Business Intelligence Applications: Deliver Value Through Rapid Implementations
Simon Miller, William Hutchinson
2009
7
Enterprise Performance Management Done Right: An Operating System for Your Organization
Ron Dimon
2010
8
Performance Management: Integrating Strategy Execution, Methodologies, Risk, and Analytics
Gary Cokins
2013
9
Data Warehouse Design: Modern Principles and Methodologies
Matteo Golfarelli, Stefano Rizzi
2011
10
Visual Intelligence: Microsoft Tools and Techniques for Visualizing Data
Mark Stacey, Joe Salvatore
2011
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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RESOURCES Table 27: Top 10 books on “Operational Performance Management” (December 2014)
Operational Performance Management No. Title
Author
Published
1
Top 25 Logistics and Distribution KPIs of 2010
smartKPIs.com, Aurel Brudan
2011
2
Best Practices and Strategies for Career and Technical Education and Training: A Reference Guide for New Instructors
Kinga N. Jacobson
2013
3
Big Data Analytics: Turning Big Data into Big Money
Frank J. Ohlhorst
2012
4
Strategy Mapping for Learning Organizations
Phil Jones
2011
5
Operations Proficiency Model: A Path to Success for Educational Institutions
Jack Spain
2013
6
Don’t blame the tools: The adoption and implementation of managerial innovations
Elizabeth Daniel, Andrew Myers
2009
7
Improving Operational Performance and Management of Irrigation System: Improving Operational Performance and Management of Canal Irrigation System Using Hydraulic Modeling
Javaid Tariq
2010
8
Key Performance Indicator 26 Success Secrets: 26 Most Asked Questions On Key Performance Indicator - What You Need To Know
Benjamin Hodges
2013
9
Top 25 Sales KPIs of 2010
smartKPIs.com, Aurel Brudan
2011
10
Top 25 State Government KPIs of 2010
smartKPIs.com, Aurel Brudan
2011
Table 28: Top 10 books on “Individual Performance Management” (December 2014)
Individual Performance Management No. Title
Author
Published
1
Leading Organization Design: How to Make Organization Design Decisions to Drive the Results You Want
Gregory Kesler, Amy Kates
2010
2
The Definitive Guide to HR Communication: Engaging Employees in Benefits, Pay, and Performance
Alison Davis, Jane Shannon
2011
3
The Talent Solution
Edward L. Gubman
2009
4
Leadership, Happiness & Profit: 12 Steps to a High-Performance Business
Terry “Doc” Dockery
2014
5
Performance : Creating the Performance-Driven Organization
Mark A. Stiffler
2006
6
Building a Culture of Distinction: Facilitator Guide for Defining Organizational Culture and Managing Change
Sheila L. Margolis
2010
7
The Unwritten Rules: Leadership in the Work Place
Guy P. Fehr
2014
8
Profiles in Performance: Business Intelligence Journeys and the Roadmap for Change
Howard Dresner
2009
9
Legitimate Leadership
Wendy Lambourne
2013
10
Rebuilding on Rock: ‘leaders re-creating culture’
Doug Booker, Mark Broadway
2010
100
RESOURCES Table 29: Top 10 books on “Employee Performance Management” (December 2014)
Employee Performance Management No. Title
Author
Published
1
Technology Made Simple for the Technical Recruiter: A Technical Skills Primer
Obi Ogbanufe
2010
2
Gamify: How Gamification Motivates People to Do Extraordinary Things
Brian Burke
2014
3
People Follow You: The Real Secret to What Matters Most in Leadership
Jeb Blount
2011
4
Reinvent: A Leader’s Playbook for Serial Success
Fred Hassan
2013
5
Harvard Business Essentials: Performance Management: Measure and Improve the Effectiveness of Your Employees
Harvard Business School Press
2006
6
Competency-Based Performance Reviews
Robin Kessler
2008
7
Competency-Based Resumes: How to Bring Your Resume to the Top of the Pile
Robin Kessler, Linda A. Strasburg
2005
8
The Enemy of Engagement: Put an End to Workplace Frustration-and Get the Most from Your Employees
Mark Royal, Tom Agnew
2011
9
Change Management: The New Way: Easy to Understand; Powerful to Use
Dutch Holland, Deborah Salvo
2012
10
Performance : Creating the Performance-Driven Organization
Mark A. Stiffler
2006
No. Title
Author
Published
1
The Millionaire Real Estate Agent: It’s Not About the Money...It’s About Being the Best You Can Be!
Gary Keller
2004
2
Eat That Frog!: 21 Great Ways to Stop Procrastinating and Get More Done in Less Time
Brian Tracy
2007
3
The Decision Book: 50 Models for Strategic Thinking
Mikael Krogerus, Roman Tschäppeler
2012
4
A Factory of One: Applying Lean Principles to Banish Waste and Improve Your Personal Performance
Daniel Markovitz
2011
5
The Power of Story: Change Your Story, Change Your Destiny in Business and in Life
Jim Loehr
2008
6
Ministering Cross-Culturally: An Incarnational Model for Personal Relationships
Sherwood G. Lingenfelter, Marvin K. Mayers
2003
7
Applied Sport Psychology: Personal Growth to Peak Performance
Jean Williams
2009
8
Motor Learning and Development
Pamela Haibach, Greg Reid
2011
9
The Ultimate Secrets of Total Self-Confidence
Robert Anthony
2008
10
Conative Connection: Uncovering the Link Between Who You Are and How You Perform
Kathy Kolbe
1997
Table 30: Top 10 books on “Personal Performance” (December 2014)
Personal Performance
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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RESOURCES Table 31: Top 10 books on “Strategy Execution” (December 2014)
Operational Performance Management No. Title
Author
Published
1
The 4 Disciplines of Execution: Achieving Your Wildly Important Goals
Chris McChesney, Sean Covey
2011
2
HBR’s 10 Must Reads on Strategy
Harvard Business Review
2013
3
Accelerate: Building Strategic Agility for a Faster-Moving World
John P. Kotter
2012
4
Execution: The Discipline of Getting Things Done
Larry Bossidy, Ram Charan
2011
5
The Soft Edge: Where Great Companies Find Lasting Success
Rich Karlgaard
2013
6
Rhythm: How to Achieve Breakthrough Execution and Accelerate Growth
Patrick Thean
2009
7
Healthcare Strategic Planning
Alan M. Zuckerman
2010
8
The Execution Premium: Linking Strategy to Operations for Competitive Advantage
Robert S. Kaplan, David P. Norton
2013
9
Management Accounting: Information for Decision-Making and Strategy Execution
Anthony A. Atkinson, Robert S. Kaplan
2011
10
The HR Scorecard: Linking People, Strategy, and Performance
Dave Ulrich, Mark A. Huselid
2011
Table 32: Top 10 books on “Strategic Management” (December 2014)
Strategic Management No. Title
Author
Published
1
Playing to Win: How Strategy Really Works
A.G. Lafley, Roger L. Martin
2013
2
Blue Ocean Strategy: How to Create Uncontested Market Space and Make Competition Irrelevant
W. Chan Kim, Renee Mauborgne
2005
3
HBR’s 10 Must Reads on Strategy (including featured article What Is Strategy?)
Harvard Business Review
2011
4
Strategic Management: Concepts and Cases: Competitiveness and Globalization
Michael A. Hitt, R. Duane Ireland
2014
5
Strategic Planning for Public and Nonprofit Organizations: A Guide to Strengthening and Sustaining Organizational Achievement
John M. Bryson
2011
6
The Strategic Management of Health Care Organizations
Peter M. Ginter
2013
7
Strategic Management: Text and Cases
Gregory Dess, G.T. (Tom) Lumpkin
2013
8
Strategic Project Management Made Simple: Practical Tools for Leaders and Teams
Terry Schmidt
2009
9
Strategic Management and Business Policy: Globalization, Innovation and Sustainability
Thomas L. Wheelen, J. David Hunger
2014
10
Strategic Management: A Competitive Advantage Approach, Concepts & Cases
Fred R. David, Forest R. David
2014
102
LATEST PUBLISHED BOOKS
T
he following list was compiled by using the same methodology employed for Best-selling Books, only with the focus being placed on the publication date. The content of this section reflects the most recent areas of interest in the
Performance Management field, as seen by experts. Since the list containing the latest published books in this domain was created in January, 2015, changes might have occurred in the time lapsed. However, the information presented was accurate at that time.
Table 33: The latest published books on “Performance Management” (January 2015)
Performance Management No. Title
Author
Published
1
Best Practices in Organizational Development: A Systems Approach to Achieving Business Potential
Quin Childress
Dec. 4 , 2014
2
Performance Management: Concepts, Skills and Exercises
Robert Cardy, Brian Leonard
Dec.18th, 2014
3
Performance Measurement: Building Theory, Improving Practice: Building Theory, Improving Practice
Patria de Lancer Julnes, Marc Holzer
Dec.18th, 2014
4
High Performance Through Process Excellence
Mathias Kirchmer
Dec.13th, 2014
5
Control Performance Management in Industrial Automation
Raymond M Oh
Dec.10th, 2014
6
Business Optimization: Six Steps to a Sustained Performance Culture
Greg Howes
Nov. 6th, 2014
7
Sustainability Performance Evaluation System in Government
Nan Chai
Nov. 6th, 2014
8
Performance Management in Nonprofit Organizations: Global Perspective
Zahirul Hoque, Lee Parker
Oct. 23th, 2014
9
Managing and Measuring Performance in Public and Nonprofit Organizations: An Integrated Approach
Theodore H. Poister, Maria P. Aristigueta
Oct. 13th, 2014
10
Performance Measurement and Management for Engineers
Michela Arnaboldi, Giovanni Azzone
Sep. 15th, 2014
Table 34: The latest published books on “Corporate Performance Management” (January 2015)
Corporate Performance Management No. Title
Author
Published
1
Subject-Oriented Business Process Management
Albert Fleischmann, Werner Schmidt Dec. 14th, 2014
2
Balanced Scorecard 94 Success Secrets: 94 Most Asked Questions On Balanced Scorecard - What You Need To Know
Brandon Freeman
Nov. 10th, 2014
3
Design Thinking Business Analysis: Business Concept Mapping Applied (Management for Professionals)
Thomas Frisendal
Oct. 15th, 2014
4
A Reference Architecture for Real-Time Performance Measurement: An Approach to Monitor and Control Manufacturing Processes
Sachin Karadgi
Jun. 3th, 2014
5
Analytics in a Big Data World: The Essential Guide to Data Science and its Applications
Bart Baesens
May 19th, 2014
6
Small and medium companies manage essential series - full of small corporate performance management solution
Kuang Wu Shou
May 1st, 2014
7
Performance Management in 2013: State of the discipline annual magazine
The KPI Institute, Aurel Brudan
Feb. 7th, 2014
8
The Servant Organization: Framework for Achieving Organizational Excellence Based upon Four Cornerstones
Ed Dean
Jan. 14th, 2014
9
How Financial Slack Affects Corporate Performance: An Examination in an Uncertain and Resource Scarce Environment
Bernadette Gral
Dec. 30th, 2014
10
Successful Business Intelligence: Unlock the Value of BI & Big Data
Cindi Howson
Oct. 15th, 2014
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RESOURCES Table 35: Top 10 books on “Business Performance Management” (December 2014)
Business Performance Management No. Title
Author
Published
1
Biomimicry in Organizations: Drawing inspiration from nature to find new efficient, effective and sustainable ways of managing business
Fausto Tazzi et al
Dec. 19th, 2014
2
Business Optimization: Six Steps to a Sustained Performance Culture
Greg Howes
Dec. 19th, 2014
3
High Performance Through Process Excellence
Mathias Kirchmer
Dec. 13th, 2014
4
Organizational Optimization
Robert Hutcherson
Dec. 11th, 2014
5
Business Information Management: Improving Performance
Jamie T Warner
Dec. 2nd, 2014
6
Business Performance Measurement and Management: New Contexts, Themes and Challenges
Paolo Taticchi
Nov. 14th, 2014
7
Total Quality Management For Business Performance: A Survey of Indian IT Industry
Bhushan Dewan
Oct. 1st, 2014
8
Peak Business Performance Under Pressure: A Navy Ace Shows How to Make Great Decisions in the Heat of Business Battles
Bill Driscoll et al
Sep. 30th, 2014
9
7 Razor Sharp Principles: Becoming a High Performance Organization amidst Turbulent Times
June Liau
Sep. 29th, 2014
10
Open Innovation through Strategic Alliances: Approaches for Product, Technology, and Business Model Creation
Refik Culpan
Sep. 18th, 2014
Table 36: The latest published books on “Enterprise Performance Management” (January 2015)
Enterprise Performance Management No. Title
Author
Published
1
Conduct Risk: It’s Not What You Do, It’s WHY You Do It
Lee Werrell
Dec. 5th, 2014
2
Balanced Scorecard 94 Success Secrets: 94 Most Asked Questions On Balanced Scorecard - What You Need To Know
Brandon Freeman
Nov. 10th, 2014
3
Enterprise Risk Management: A Guide for Government Professionals
Karen Hardy, Allen Runnels
Nov. 10th, 2014
4
Modern enterprise management performance evaluation to quantify the whole case
Zhou Yong Liang, Zhang Yi
Sep. 1st, 2014
5
Total Quality Management for Small & Medium Enterprises in India: Team-Building and Quality Certification- For Better the Organisational Performance
Vijayagiri Bikshapathi
July 28th, 2014
6
Enterprise Resource Planning 83 Success Secrets (What You Need to Know)
Matthew Wiley
July 16th, 2013
7
Enterprise Performance Management Done Right: An Operating System for Your Organization
Ron Dimon
April 1st, 2013
8
Open Source Data Warehousing and Business Intelligence
Lakshman Bulusu
Aug. 6th, 2012
9
The Analytical Puzzle: Profitable Data Warehousing, Business Intelligence and Analytics
David Haertzen
July 1st, 2012
10
Formation of the mechanism of enterprise performance management: a case of the food industry of Ukraine
Anatoliy Goncharuk
April 17th, 2011
104
RESOURCES Table 37: The latest published books on “Operational Performance Management” (January 2015)
Operational Performance Management No. Title
Author
Published
1
Web and Network Data Science: Modeling Techniques in Predictive Analytics
Thomas W. Miller
Dec. 31st, 2014
2
Team Leadership in High-hazard Environments: Performance, Safety and Risk Management Strategies for Operational Teams
Randy E. Cadieux
Dec. 28th, 2014
3
Performance Evaluation and Planning Methods for the Next Generation Internet
Andre Girard
Nov. 13th, 2014
4
Performance Measurement
Luca Quagini
Nov. 12th, 2014
5
Supplier Relationship Management: Unlocking the Hidden Value in Your Supply Base
Jonathan O’Brien
Oct. 28th, 2014
6
Integration of Data Mining in Business Intelligence Systems (Advances in Business Strategy and Competitive Advantage Book (Absca))
Ana Azavedo
Sep. 26th 2014
7
Supply Chain Integration and Operational Performance: A Study On Chemical Product Manufacturing Firms in Ethiopia
Daniel Atnafu Gelagay
Aug. 18th, 2014
8
Monitoring Business Performance: Models, Methods, and Tools (Routledge Advances in Management and Business Studies)
Per Lind
July 17th, 2014
9
Redefining Operational Excellence: New Strategies for Maximizing Performance and Profits Across the Organization
Andrew Miller
May 11th, 2014
10
Delivering Value Using Business Process Management (BPM): A Practical Management, Business, Operational, Organizational and People View of Process Improvement
Ed Burns
Feb. 20th, 2014
Table 38: Top 10 books on “Individual Performance Management” (December 2014)
Individual Performance Management No. Title
Author
Published
1
Well-being and Performance at Work: The role of context
Marc van Veldhoven, Riccardo Peccei
Dec. 12th, 2014
2
Left of Boom: Putting Proactive Engagement to Work
Phillip B. Wilson
Dec. 7th, 2014
3
Building High-Performance Local Governments: Case Studies in Leadership at All Levels
Anton Gardner, John Pickering
Sep 5th, 2014
4
Human Factors Challenges in Emergency Management: Enhancing Individual and Team Performance in Fire and Emergency Services
Christine Owen
Aug. 28th, 2014
5
Performance Management (HR Fundamentals)
Linda Ashdown
Aug. 28th, 2014
6
The Effectiveness of Performance Appraisal Systems: Employee Relations and Human Resource Management
Grace Debrincat
Aug. 28th, 2014
7
The Last Piece - A Guide to Managing People
Dudley Davidson-Jarrett
Aug. 18th, 2014
8
Optimizing Talent in the Federal Workforce
William J. Rothwell, Aileen G. Zaballero Aug. 1st, 2014
9
Dream Killers: The Real Reasons Small Businesses Fail
Gregory L. Walz
July 30th, 2014
10
The Unwritten Rules: Leadership in the Work Place
Guy P. Fehr
June 18th, 2014
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RESOURCES Table 39: The latest published books on “Employee Performance Management” (January 2015)
Employee Performance Management No. Title
Author
Published
1
$ Remuneration Systems - rewards employees seek
LSOM
Dec. 29th, 2014
2
Best Practices in Organizational Development: A Systems Approach to Achieving Business Potential
Quin Childress
Dec. 24th, 2014
3
Performance Management: Concepts, Skills and Exercises
Robert Cardy, Brian Leonard
Dec. 18th, 2014
4
The Leadership Code: People-Focused, Values-Based Leadership for Maximum Performance
AJ Slivinski
Dec. 16th, 2014
5
The Leadership Zone: Lessons from the Front Lines
Ahmad-Shah Duranai
Dec. 16th, 2014
6
Creating High Performers: 7 Questions to Ask Your Direct Reports
William M Dann
Dec. 12th, 2014
7
According to Human: Putting the Human Back in Human Resources
Robert J Braathe and Huda Masood Dec. 11th, 2014
8
Job Motivation, Satisfaction, and Performance among Bank Employees
Springer Gary
Dec. 11th, 2014
9
What Does It Mean To Be A Manager?: Five Phases of Employee Performance and Eighteen Tasks of Management
Gil Herman
Dec. 9th, 2014
10
The Best Place to Work: The Art and Science of Creating an Extraordinary Workplace
Ron Friedman
Dec. 2nd, 2014
Table 40: The latest published books on “Personal Performance” (January 2015)
Personal Performance No. Title
Author
Published
1
Powerhouse: Turbo boost your effectiveness and start making a serious impact
Mike Clayton
Dec. 31st, 2014
Be More Productive: A Simple Guide on Being More Productive and Getting Things Done
Justin Dallas
Dec. 30th, 2014
You, On Paper: Expert Help on How to Write a Resume
Greg Fall
Dec. 22th, 2014
4
Change Your Mind, Change Your Health: 7 Ways to Harness the Power of Your Brain to Achieve True Well-Being
Anne Marie Ludovici MS, Dr. James O. Prochaska
Dec. 22th, 2014
5
The Cosmos Revelation: Practical Ways To Build A Better Life
Luane Hanson
Dec. 17th, 2014
A runner’s guide to sport psychology and nutrition
Andrew M. Lane, Tracey J. Devonport
Dec. 15th, 2014
6
Burnout for Experts: Prevention in the Context of Living and Working
Sabine Bährer-Kohler
Dec. 13th, 2014
7
Gender and the Work-Family Experience: An Intersection of Two Domains
Maura Mills
Dec. 10th, 2014
8
Me, my best self and I: Discover what you really want and how to get it
Moritz Ostwald
Dec. 7th, 2014
Selfish, Scared and Stupid: Stop Fighting Human Nature And Increase Your Performance, Engagement And Influence
Kieran Flanagan, Dan Gregory
Sep. 15th, 2014
2 3
9 10 106
RESOURCES Table 41: The latest published books on “Strategy Execution” (January 2015)
Strategy Execution No. Title
Author
Published
1
The Future of Strategy: A Transformative Approach to Strategy for a World That Won’t Stand Still
Johan Aurik, Martin Fabel
Dec. 29th, 2014
2
Always on: Digital Brand Strategy in a Big Data World
Arve Peder Øverland
Dec. 28th, 2014
3
Who Stole My Customer??: Winning Strategies for Creating and Sustaining Customer Loyalty (2nd Edition)
Harvey Thompson
Dec. 22nd, 2014
4
Strategic Entrepreneurial Finance: From Value Creation to Realization (Routledge Advanced Texts in Economics and Finance)
Darek Klonowski
Nov. 12th, 2014
5
25 Need-to-Know Strategy Tools
Vaughan Evans
Dec. 11th, 2014
6
Bringing Strategy Back: How Strategic Shock Absorbers Make Planning Relevant in a World of Constant Change (Jossey-Bass Business & Management Series)
Jeffrey L. Sampler
Dec. 3rd 2014
7
The Seven Inconvenient Truths of Business Strategy
Paul Hunter
Nov. 28th, 2014
8
The Strategic Alliance Handbook: A Practitioners Guide to Businessto-Business Collaborations
Mike Nevin
Oct. 28th, 2014
9
Leading Procurement Strategy: Driving Value Through the Supply Chain
Carlos Mena, Remko van Hoek
Sep. 28th, 2014
10
Getting There from Here: Bridging Strategy and Execution
Greg French
Sep. 26th, 2014
Table 42: The latest published books on “Strategic Management” (January 2015)
Strategic Management No. Title
Author
Published
1
Strategic Management of Healthcare Organizations: A Stakeholder Management Approach
Jeffrey S. Harrison
Dec. 31st, 2014
2
Strategic Challenges for the Base of the Pyramid
Patrick A.M. Vermeulen, Edgar Hutte
Dec. 31st, 2014
3
Play a Bigger Game: Proven Strategies to Design & Grow Your Successful Busines
Deborah Baker
Dec. 28th, 2014
4
Introduction to strategic marketing management (Introductory Marketing)
New Art Technologies Inc.
Dec. 28th, 2014
5
Strategic Management: Strategists at Work
Robert MacIntosh, Donald Maclean
Dec. 26th, 2014
6
Global Strategic Management
Gerardo R. Ungson, Yim-Yu Wong
Dec. 18th, 2014
7
Sustainable Strategic Management
W Edward Stead
Dec. 18th, 2014
8
The Strategic Mind (Strategic Thinking Trilogy)
Bob Gorzynski
Dec. 17th, 2014
9
Essentials and Creating of Balanced Scorecard For Strategic Management by SWOT and Strategic Map
Tomohisa Fujii
Dec. 12th, 2014
10
The Future of Strategy: A Transformative Approach to Strategy for a World That Won’t Stand Still
Johan Aurik, Martin Fabel
Dec. 4th, 2014
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JOURNAL ARTICLES T
here are two stages in the process of improving a certain field of activity or subject. The first takes place on the theoretical scene and the second employs the gained knowledge in a real-life situation. Because the two are inseparable, education plays a role that is just as important as its practical applications. As such, the following section is an extension of the educational side of performance management, by presenting a list of academic articles written in 2014.
The selection has been made based on the following key words: performance management, organizational performance, performance measurement, operational performance, employee performance and, finally, personal performance. The information has been gathered by using the following sources: Google Scholar Search, sciencedirect.com and anelis.ro.
Table 43: The Latest Published Articles on â&#x20AC;&#x153;Performance Managementâ&#x20AC;? (January 2015)
Performance Management Title
Author
Date
Journal
Impact of Performance Management in Public and Private Organizations
Ulrik Hvidman, Simon Calmar Andersen
January, 2014
Oxford Journal of Public Administration, Research and Theory
Beyond feedback control: the interactive use of performance management systems. Implications for process innovation in Italian healthcare organizations
Chiara Demartini, Piero Mella
January, 2014
The International Journal of Health Planning and Management
Organizational Culture and the Paradox of Performance Management
Jeannette Taylor
December, 2014
Public Performance & Management Review
Beyond the Skinner Box: The Design and Management of Organization-Wide Performance Systems
William B. Abernathy
December, 2014
Journal of Organizational Behavior Management
Availability Payments and Key Performance Indicators: Challenges for Effective Implementation of Performance Management Systems in Transportation Public-Private Partnerships
Wendell C. Lawther, Lawrence Martin
April, 2014
Journal of Public Works Management Policy
The Case for Performance Management In Public Works and Infrastructure
Juita-Elena (Wie) Yusuf, William M. Leavitt
May, 2014
Journal of Public Works Management Policy
Sustainability: the missing element in performance management
Jane Maley
March, 2014
Asia-Pacific Journal of Business Administration
Global performance management systems: The role of trust as perceived by country managers
Jane F. Maley, Miriam Moeller
January, 2014
Journal of Business Research
Performance Management Systems in the Public Housing Sector: Dissemination to Diffusion
Nirmala Nath, Umesh Sharma
March, 2014
Australian Accounting Review
What qualitative research can tell us about performance management systems
Bruno Cohanier
April, 2014
Qualitative Research in Accounting & Management
A Strategic Approach to Performance Management in Banks: The Balanced Scorecard
Elif Ozturk, Ali Coskun
March, 2014
Accounting and Finance Research
Performance management
Chaneta Isaac
February, 2014
International Journal of Managment, IT and Engineering
How good are you at performance management? : technology upgrade word of mouse
Rob Bothma
January, 2014
HR Future
108
RESOURCES
Performance Management Title
Author
Date
Journal
Influence of Performance management on Manpower planning
Ankita Dhamija
January, 2014
International Journal of Exclusive Management
Approaches to Achieve Personal Values in Performance Management of Service Government
Huang Lei, Zhou Lu, Wang Bin
May, 2014
International Journal of Business and Social Science
Connotation of Performance Management on Employee Productivity
Khushboo Seth Srivastava
July, 2014
International Journal of Interdisciplinary Research
Performance Management System in International Context
Abhishek Gupta
May, 2014
Journal of Radix International Educational and Research Consortium
A conceptual model for performance management in organizations
Seyed Akbar Nilipour Tabatabai, Mehdi Karbasian, Seyed Mohsen Mirbagheri
June, 2014
Arabian Journal of Business and Management Review
Effect of strategic performance management on organizational niche in a challenging economy
Olufunso Olusanya, Tony Oluwasanya Adewale
June, 2014
International Journal of Marketing and Technology
Changing Routine: Reframing Performance Management within a Multinational
Philip Stiles, Jonathan Trevor, Elaine Farndale, Shad S. Morris, Jaap Paauwe, Günter K. Stahl, Patrick Wright
December, 2014
Journal of Management Studies
Performance Management: Perceiving Goals as Invariable and Implications for Perceived Job Autonomy and Work Performance
Bård Kuvaas, Robert Buch, Anders Dysvik
December, 2014
Human Resource Management
Leveraging employer branding, performance management and human resource development to enhance employee retention
Wayne F. Cascio
April, 2014
Human Resource Development International
Exploring logistics performance management in supplier/retailer dyads
Helena Forslund
March, 2014
International Journal of Retail & Distribution Management
Leveraging human capital through performance management process: the role of leadership in the USA, France and India
C. Lakshman
January, 2014
The International Journal of Human Resource Management
Performance Management in Practice: The Power of Words in the Words of HR Practitioners
Martin McCracken, Paula Marie O’Kane, Travor C. Brown, Nicholas Read
January, 2014
Academy of Management Journal
Management learning, performance and reward: theory and practice revisited
Caroline Rowland
April, 2014
Journal of Management Development
Adopting a contemporary performance management system : A fast-growth small-to-medium enterprise (FGSME) in the UAE
Mohamed Behery, Fauzia Jabeen, Mohammed Parakandi
January, 2014
International Journal of Productivity and Performance Management
Performance Management Models for Public Health: Public Health Accreditation Board/Baldrige Connections, Alignment, and Distinctions
Grace Gorenflo, David M. Klater, Marlene Mason, Pamela Russo, Lillian Rivera
January/ February, 2014
Journal of Public Health Management & Practice
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RESOURCES Table 44: The Latest Published Articles on “Performance Measurement” (January 2015)
Performance Measurement Title
Author
Date
Journal
The relationship between strategic performance measurement system and organizational capabilities: The role of beliefs and boundary control systems
Rapiah Mohamed, Wee Shu Hui, Ibrahim Kamal Abdul Rahman, Rozainun Abdul Aziz
January, 2014
Asian Journal of Business and Accounting
Managerial Influence in Performance Measurement System Design: A Recipe for Failure?
Anne-Marie Kruis, Sally K. Widener
March, 2014
Behavioral Research in Accounting
Is performance measurement and management fit for the future?
Steven A. Melnyk, Umit Bititci, Ken Platts, Jutta Tobias, Bjørn Andersen
June, 2014
Management Accounting Research
Behavioral-Economic Nudges and Performance Measurement Models
Mary A. Malina, Frank H. Selto
May, 2014
Journal of Management Accounting Research
Alpha and Performance Measurement: The Effects of Investor Disagreement and Heterogeneity
Wayne Ferson, Jerchern Lin
August, 2014
The effect of performance measurement systems on firm performance: A cross-sectional and a longitudinal study
Xenophon Koufteros, Anto (John) Verghese, Lorenzo Lucianetti
September, 2014
Journal of Operations Management
Performance Measurement of Major League Baseball Teams Using Network DEA
Herbert F. Lewis
February, 2014
Data Envelopment Analysis: International Series in Operations Research & Management Science
The theory and practice of performance measurement
Pietro Micheli, Luca Mari
June, 2014
Management Accounting Research
The use of performance measurement systems in the public sector: Effects on performance
Roland F. Speklé, Frank H.M. Verbeeten
June, 2014
Management Accounting Research
Performance measurement and indicators for water supply management: Review and international cases
Mateus Ricardo Nogueira Vilanova, Paulo Magalhães Filho, José Antônio Perrella Balestieri
November, 2014
Renewable and Sustainable Energy Reviews
Research opportunities in strategic management field: a performance measurement approach
Rogerio Tadeu de Oliveira Lacerda, Leonardo Ensslin, Sandra Rolim Ensslin
March, 2014
International Journal of Business Performance Management
The Journal of Finance
Table 45: The Latest Published Articles on “Organizational Performance” (January 2015)
Organizational Performance Title
Author
Date
Journal
Causality Between High-Performance Work Systems and Organizational Performance
Duckjung Shin, Alison M. Konrad
July, 2014
Journal of Management
Knowledge leadership to improve project and organizational performance
Li-Ren Yang, Chung-Fah Huang, Ting-Jui Hsu
January, 2014
International Journal of Project Management
High-Performance Work Systems and Organizational Performance in Emerging Economies: Evidence from MNEs in Turkey
Geoffrey Wood, Kamel Mellahi, Ekrem Tatoglu, David G. Collings, Mehmet Demirbag
June, 2014
Management International Review
Total JIT (T-JIT) and its impact on supply chain competency and organizational performance
Kenneth W. Green Jr, R.Anthony Inman, Laura M. Birou, Dwayne Whitten
January, 2014
International Journal of Production Economics
110
RESOURCES
Organizational Performance Title
Author
Date
Journal
Corporate Social Responsibility or CEO Narcissism? CSR motivations and organizational performance
Oleg V. Petrenko, Federico Aime, Jason Ridge, Aaron Hill
November, 2014
Strategic Management Journal
Multiple dimensions of human resource development and organizational performance
Sun Young Sung, Jin Nam Choi
August, 2014
Social Context, Management, and Organizational Performance: When human capital and social capital serve as substitutes
Kenneth J. Meier, Nathan Favero, Mallory Compton
December, 2014
Public Management Review
Board Processes, Board Strategic Involvement, and Organizational Performance in For-profit and Nonprofit Organizations
Chris Bart, Pengji Wang, Hongjin Zhu
December, 2014
Journal of Business Ethics
Customer Orientation and Organizational Performance: Mediating Role of CRM
Dae-Yul Jeong, Sung-Min Kim, Dong-Ju Yoon
September, 2014
Advanced Science and Technology Letter
Efficacy of Organizational Intelligence on Hospitals’ Performance Indicators
Asadi Mahboubeh, Tabatabaee Seyed Saeed, Khayat Moghadam Saeed
June, 2014
World Applied Sciences Journal
Critical factors, food quality management and organizational performance
Dimitrios P. Kafetzopoulos, Katerina D. Gotzamani
June, 2014
Food Control
Executive Compensation, Organizational Performance, and Governance Quality in the Absence of Owners
Ashley N. Newton
December, 2014
Journal of Corporate Finance
Journal of Organizational Behavior
Table 46: The Latest Published Articles on “Operational Performance” (January 2015)
Operational Performance Title
Author
Date
Journal
Use of cloud computing, web 2,0 and operational performance: the role of supply chain integration
Sebastian Bruque, Jose Moyano, Juan Manuel Maqueira
January, 2014
Academy of Management Journal
Operating internationally—The impact on operational performance improvement
Krisztina Demeter
March, 2014
International Journal of Production Economics
Impact of operational and marketing capabilities on firm performance: Evidence from economic growth and downturns
Muhammad Usman Ahmed, Mehmet Murat Kristal, Mark Pagell
August, 2014
International Journal of Production Economics
Power planning in ICT infrastructure: A multi-criteria operational performance evaluation approach
Sheng-Tun Li, Wei-Chien Chou
December, 2014
Omega
Carbon emission reduction: the impact on the financial and operational performance of international companies
Isabel Gallego-Álvarez, Liliane Segura, Jennifer MartínezFerrero
August, 2014
Journal of Cleaner Production
Risk-based operational performance analysis using loss functions
Seyed Javad Hashemi, Salim Ahmed, Faisal I. Khan
September, 2014
Chemical Engineering Science Journal
The impact of advanced analytics and data accuracy on operational performance: A contingent resource based theory (RBT) perspective
Bongsug (Kevin) Chae, Chenlung Yang, David Olso, Chwen Sheu
March, 2014
Decision Support Systems Journal
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RESOURCES
Operational Performance Title
Author
Date
Journal
Linking strategic flexibility and operational efficiency: The mediating role of ambidextrous operational capabilities
Sebastian Kortmann, Carsten Gelhard, Carsten Zimmermann, Frank T. Piller
November, 2014
Journal of Operations Management
Aligning Supply Chain Relational Strategy with the Market Environment: Implications for Operational Performance
Karthik N. S. Iyer, Prashant Srivastava, Mohammed Y. A. Rawwas
January, 2014
The Journal of Marketing Theory and Practice
Analyzing banks’ intermediation and operational performance using the Hicks–Moorsteen TFP index: The case of Iran
Amir Arjomandi, Abbas Valadkhani, Martin O’Brien
January, 2014
Research in International Business and Finance Journal
Pricing and Operational Performance in Discretionary Services
Chunyang Tong, Sampath Rajagopalan
April, 2014
Production and Operations Management
The impact of sales and operations planning practices on manufacturing operational performance
Antônio Márcio Tavares Thomé, Rui Soucasaux Sousa, Luiz Felipe Roris Rodriguez Scavarda do Carmo
July, 2014
International Journal of Production Research
Table 47: The Latest Published Articles on “Employee Performance” (January 2015)
Employee Performance Title
Author
Date
Journal
A Study on the Drivers of Employee Engagement Impacting Employee Performance
Madhura Bedarkar, Deepika Pandita
May, 2014
Procedia - Social and Behavioral Sciences Journal
Idiosyncratic Deals and Employee Performance: The Role of Team Orientation and Social Comparison
Satvir Singh, Anjali Chaudhry, Prajya Rakshit Vidyarthi, Richard A. Posthuma
January, 2014
Academy of Management Journal
What Could Have Been Done? Circuit City: A Case Study of Management and Employee Performance Failure
Todd A. Campbell
April, 2014
Performance Improvement
Determinants of employee engagement and their impact on employee performance
Anitha Jagannathan
March, 2014
International Journal of Productivity and Performance Management
Organizational Tenure and Employee Performance. A Multilevel Analysis
Niklas K. Steffens, Meir Shemla, Jürgen Wegge, Stefan Diestel
December, 2014
Group Organization Management
Impact of Social Networking on Employee Performance
Naheed Ashraf, Tasawar Javed
December, 2014
Business Management and Strategy
Exploring the Role of Productivity Propensity in Frontline Employee Performance: Its Relationship with Customer Orientation and Important Outcomes
Eric G. Harris, Tom J. Brown, John C. Mowen, Andrew Artis
March, 2014
Psychology & Marketing
The Impact of Applicant Faking on Selection Measures, Hiring Decisions, and Employee Performance
John J. Donovan, Stephen A. Dwight, Dan Schneider
September, 2014
Journal of Business and Psychology
Incentives to Move up the Echelon: Impact of Inter-hierarchical Pay Gaps on Employee Performance
Hui Liao, Wei Chi, Rui Zhao, Lei Wang, Qing Ye
January, 2014
Academy of Management Journal
Work Characteristics and Employee Performance: Does Needs-Supply Congruence Matter?
Scott B. Dust, Christian J. Resick
January, 2014
Academy of Management Journal
On the same side of the fault line: Inclusion in the leader’s subgroup and employee performance
Bertolt Meyer, Meir Shemla, Jia Li, Jürgen Wegge
December, 2014
Journal of Management Studies
112
RESOURCES Table 48: The Latest Published Articles on “Personal Performance” (January 2015)
Personal Performance Title
Author
Date
Journal
Neural patterns underlying social comparisons of personal performance
Michael Lindner, Sarah Rudorf, Robert Birg, Armin Falk, Bernd Weber, Klaus Fliessbach
June, 2014
Social Cognitive and Affective Neuroscience
Communication, Networking and Personal Development Skills Trained during the Educational Process
Roxana Enache, Alina Crisan
December, 2014
Procedia - Social and Behavioral Sciences
The impact of materialism and anticonsumption lifestyles on personal debt and account balances
Marcelo Vinhal Nepomuceno, Michel Laroche
September, 2014
Journal of Business Research
The personality systems framework: Current theory and development
John D. Mayer
December, 2014
Journal of Research in Personality
Domain of Competence: Personal and Professional Development
Patricia J. Hicks, Daniel Schumacher, Susan Guralnick, Carol Carraccio, Ann E. Burke
March, 2014
Academic Pediatrics Journal
Facebook’s potential for personal, social, academic and career development for higher education students
Kenneth Wong, Reggie Kwan, Kat Leung, Fu Lee Wang
February, 2014
International Journal of Innovation and Learning
Cognitive-Behavioral Processes Based on Using the ABC Analysis by Trainees’ for Their Personal Development
Oana A. David, Silviu A. Matu, Sebastian Pintea, Carmen D. Cotet, Diana Nagy
April, 2014
Journal of Rational-Emotive & Cognitive-Behavior Therapy
Personal Leadership Development in International Business
Raj Aggarwal, John W. Goodell
January, 2014
Journal of Teaching in International Business
A guided empowerment self-audit as a school improvement strategy
Charity Fleming Smith, Debbie Goodman
September, 2014
Research in Higher Education Journal
Does self-improvement explain wellbeing in life and at workplace? Analysis based on selected measures of wellbeing
Anna Maria Zawadzka, Anna Szabowska-Walaszczyk
June, 2014
Polish Psychological Bulletin
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COMMUNITIES
F
or todayâ&#x20AC;&#x2122;s business environment and the fast-paced corporate world, even e-mail connections may seem too slow and unresponsive. Since 2012, social media has been encompassed in a booming ascension trajectory. While everyday connections are being delivered by platforms such as Facebook, business to business interactions migrated towards specialized social networks, such as LinkedIn. It offers the proper environment to share, exchange and analyze current trends, news and expertise related to various fields of business. Thus, when it comes to Performance Management, five different categories of groups have been identified, namely Performance Management, Balanced Scorecard, Business Intelligence, Key Performance Indicators and Employee Performance Management. The highly dynamic nature of the field becomes obvious when comparing the number of members from the 2013 to the 2014
analysis. If, last year, the Business Intelligence, Big Data, Analytics, MIS Reporting & Database Group had 69,794 members, in 2014 it has grown up to 90,549 members. The Human Resources (HR) & Talent Management Executive group had, in 2013, 254,135 members but, in 2014, it numbered 352,139 members. Also, the group PERFORMANCE: Measurement, Management, KPI, Balanced Scorecard, Business Intelligence, Analytics grew from 10.810 to 15.710 members. Overall, every group experienced an increase in the number of members, thus reflecting the increasing interest given to specific domains related to performance management. Each groupâ&#x20AC;&#x2122;s member base is represented below. The number of members was correct at the time of the research (February, 2015). However, given the high dynamism of social media, the number of members for the presented groups might have increased ever since.
Table 49: Performance Management communities
Performance Management
Members
Business Improvement, Change Management and Performance
48,343
PERFORMANCE: Measurement, Management, KPI, Balanced Scorecard, Business Intelligence, Analytics 15,710 Performance Management Professional Group
10,285
Table 50: Balanced Scorecard communities
Balanced Scorecard
Members
Balanced Scorecard Practitioners Global Network
12,549
PERFORMANCE: Measurement, Management, KPI, Balanced Scorecard, Business Intelligence, Analytics 15,710 Balanced Scorecard Group
4,350
Table 51: Business Intelligence communities
Business Intelligence
Members
Business Intelligence, Big Data, Analytics, MIS Reporting & Database Group
90,549
Business Intelligence
37,006
EPM - Business Intelligence
12,242
Table 52: Key Performance Indicators communities
Key Performance Indicators
Members
PERFORMANCE: Measurement, Management, KPI, Balanced Scorecard, Business Intelligence, Analytics 15,710 Performance Measurement
4,788
Key Performance Indicator (KPI) Users Group
4,194
Table 53: Employee Performance Management communities
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Employee Performance Management
Members
Human Resources (HR) & Talent Management Executive
352,139
Talent Management Group
3,026
Employee Performance Management (HR)
2,846
PORTALS
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t comes as no surprise that todayâ&#x20AC;&#x2122;s world relays mostly on online content as a prime source of information and knowledge. The following section was born with the intention of providing necessary guidelines for online orientation in the Performance Management field. Thus, the tables below provide a ranking of the ten most accessed Performance Management related websites, based on their online traffic statistics. The ranking in the first table is provided by Alexa.com, while the second ranking was provided by Ranking.com, both of which are
considered web statistics authorities. The order of the selected websites differs for Alexa.com and Ranking.com. While the first one presents kpiinstitute.org, KPILibrary.com and smartKPIS.com as the first three portals, the latter, Ranking.com, shows enterprise-dashboard.com, dashboardinsight.com and smartKPIs.com as the most visited Performance Management websites. However, the overall trend is centered on performance related tools, such as Dashboards, Scorecards and KPIs.
Table 54: The most visited portals according to Alexa.com (January 2015)
No.
Name
Rank on Alexa.com
1
www.kpiinstitute.org
236,039
2
www.KPILibrary.com
241,264
3
www.smartKPIs.com
245,309
4
www.businessintelligence.com
369,469
5
www.b-eye-network.com
469,230
6
www.dashboardinsight.com
617,055
7
www.dashboardspy.com
864,629
8
www.enterprise-dashboard.com
981,341
9
www.dashboardzone.com
1,580,240
10
www.performanceportal.org
3,305,115
Table 55: The most visited portals according to Ranking.com (January 2015)
No.
Name
Rank on Alexa.com
1
www.enterprise-dashboard.com
175,403
2
www.dashboardinsight.com
176,817
3
www.smartKPIs.com
377,547
4
www.KPILibrary.com
402,918
5
www.b-eye-network.com
830,498
6
www.dashboardspy.com
1,389,344
7
www.businessintelligence.com
1,509,939
8
www.kpiinstitute.org
Not Ranked
9
www.dashboardzone.com
Not Ranked
10
www.performanceportal.org
Not Ranked PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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s the entire report proves, one of the biggest trends in 2014 was the emergence of huge amounts of data that organizations have to deal with, at all levels. In order to ease both the access and the understanding, performance related systems need different enablers, and technology always comes in hand.
This edition presents the results of two studies conducted by different entities and in different manner, but having the same purpose, namely to rank software solutions providers. Details about their results can be found below on roughly the same levels, especially chosen for consistency.
Gartner’s Magic Quadrants The main study that reviews software products is provided by Gartner, the research and advisory company. Three of their Magic Quadrants are quoted below, all reflecting the latest developments in the software market, from three perspectives: Corporate Performance Management, Business Intelligence and Talent Management.
Corporate Performance Management In March 2014, Gartner released its report, “Magic Quadrant for Corporate Performance Management Suites”, which presents a global view of the primary vendors that offer CPM suites. As a trend for 2014, Gartner mentions that the growth of the overall CPM market has slowed, but opportunities were still identified, and vendors continued to invest in their suites, especially those for cloud, IMC, analytics and integrated planning. In 2014, the need for improved analytics in CPM applications remained strong. “CFOs see facilitating analysis and decision making as top areas for improvement” (Gartner, 2014). As Gartner states, in 2014 three new CPM vendors were added, namely Adaptive Insight, Axiom EPM and Solver, while no vendors were dropped from the Magic Quadrant. The software solutions were evaluated based on seven criteria: 1. Product or Service: CPM suite functionality; 2. Overall Viability: the organization’s financial health; 3. Sales Execution/Pricing: the vendor’s capabilities in all sales activities; 4. Market Responsiveness/Record: effectiveness in the market; 5. Marketing Execution: evaluated as part of both “Market Responsiveness” and “Operations” 6. Customer Experience: the capability to deliver presales and postsales support 7. Operations: the organization’s capability to meet goals and commitments regarding CPM suites.
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Figure 78: Magic Quadrant for Talent Management Suites (Gartner, June 2014)
In 2014, the Leaders in terms of CPM suites were Oracle, SAP and IBM, the Challengers were SAS and Infor. Prophix Software was rated as the highest niche player, while the category Visionaries clustered vendors such as Host Analytics, Tagetik, Adaptive Insight, Longview Solutions, Board International and prevero.
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Business Intelligence Each February, Gartner releases one of its most important research reports: Magic Quadrant for Business Intelligence and Analytics. As stated in the 2014 Magic Quadrant, this year was considered to be a critical one, dominated by the task of making “hard types of analysis easy,” and by the increasing complexity that new data sources and new types of analysis introduced (Gartner, 2014). Some of the most 2014 important trends in BI and Analytics identified by Gartner are: a) The market was in the middle of an accelerated transformation from BI systems, used mainly for measurement and reporting, to those that also support analysis, prediction, forecasting and optimization; b) Companies and independent software vendors have embedded both traditional reporting (dashboards and interactive analysis) and more advanced ones, such as prescriptive analytics, built from statistical functions and algorithms available on BI platforms; c) A “race” to fill the gap in governed data discovery: Leaders, which “own” the installed base market share, have been trying to address that by focusing their new product investment on business-user-driven data discovery and analysis: Qlik planned to release a completely re-architected, enterprise-ready version of its platform (QlikView), while Microsoft, MicroStrategy and SAS have surpassed others when it comes to integrating their enterprise and new data discovery capabilities; d) Advances in self-service data integration, which included: automatic semantic identification, the automation and encapsulation of advanced analytics, exploration with natural-language query technologies. IBM and SAS were drivers of these new approaches; e) 2014 was a tipping point for cloud adoption: 45% of respondents to Gartner’s BI and analytics platform Magic Quadrant survey mentioned they would place their mission-critical BI in the cloud.
Figure 79: Magic Quadrant for Business Intelligence and Analytics (Gartner, February 2014)
Some of the most notable changes by comparison with the 2013 Magic Quadrant were: a) Capabilities added: geospatial and location intelligence, embedded advanced analytics, business user data mash-up and modeling, embeddable analytics, support for big data sources; b) All vendors in the Leaders quadrant were moved to the left in terms of Completeness of Vision, which reflects the fact that no vendor is fully addressing the critical space in the market for “governed data discovery”; c) In 2013, Tableau and Qlik occupied similar positions in the Leaders quadrant. In 2014, Tableau surpassed Qlik, as customers rated it as one of the best vendors for the fourth year in a row. d) If in 2013, the Visionaries quadrant, dedicated to those software solutions rated as thought-leaders and innovators was empty but, in 2014, Alteryx and Panorama Software migrated toward this quadrant due to their high scores for innovation, market understanding and product strategy.
PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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In June 2014, Gartner launched the second edition of the “Magic Quadrant for Talent Management Suites”, which assesses the market for vendors who help organizations “manage the key processes of plan to source, acquire to onboard, perform to reward and assess to develop” (Gartner, 2014). Gartner defines talent management as a set of applications that includes workforce planning, talent acquisition, performance appraisal, goals management, succession management, compensation management etc. Historically, companies needed multiple software solutions for their HR functions but, as the vendor community increased, talent management suites have become a viable option. In 2014, Gartner mentioned that this market has finally become firmly established. Gartner also emphasized the fact that a growing number of respondents considered that talent management integration is a very important aspect. When it comes to the results, it can be observed that, just as in the first edition, this Magic Quadrant has no Challengers (as Gartner explains, it seems customers continue to value innovation over execution). The same three suites are the Leaders, namely SAP (Success Factors), Cornerstone OnDemand and Oracle. In the Niche Players section we find vendors such as HR Smart, Meta4 or Adrenalin eSystems, while some of this quadrant’s Visionaries are Halogen Software, IBM Kenexa (which moved here from Niche Player), YalentSoft or PeopleFluent.
Figure 80: Magic Quadrant for Corporate Performance Management Suites (Gartner, March 2014)
The G2 Crowd Scores G2 Crowd is an independent online software review platform, which relies on real feedback from the users of business technology solutions. In order to compile “The Grid”, G2 Crowd rates products and services algorithmically, in real-time, and “based on data sourced from product reviews shared by G2 Crowd users and data aggregated from online sources and social networks” (G2 Crowd). The satisfaction rating is affected by the following factors: - Overall Customer Satisfaction and NPS Score; - Customer Satisfaction with 2nd Level Product Attributes; - Popularity and statistical significance. G2 Crowd’s Grids are also divided into four categories, namely: - Leaders: vendors who deliver products that are rated highly by G2 Crowd users; - High Performers: their products are highly rated, but have not yet achieved the Leaders’ level; - Contenders: vendors who have received below average user satisfaction ratings - Niche: they might have good customer satisfaction scores, but they have not received enough reviews. 118
G2 Crowd states that “the ratings may change as the products are further developed, the vendors grow, and as additional opinions are shared by users”. G2 Crowd features both software examples and reviews, as well as Grids for numerous categories, namely CRM & Related, Marketing, Accounting & Finance, Analytics, Business Intelligence, CAD & PLM, Collaboration & Productivity, Content Management, Digital Advertising, E-Commerce, Hosting Services, HR, IT Infrastructure Software, IT Management, IT Security, Professional Services, Regional Supply Chain & Logistics, as well as Vertical Industry Software. Out of all these categories, the Performance Management in 2014 report now offers details about the Grids available for three performance related fields, namely the Grid for Performance Management, the Grid for Business Analytics and the HR Management Suites.
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Grid for Performance Management The report, launched in July 2014, featured performance management products ranked by customer satisfaction and market presence. According to G2 Crowd, performance management products are usually sold as part of an HR suite. In order to compile the Grid, the company only gathered reviews from users who specifically stated that they employ the product for performance management. When it comes to performance management, the Leaders are SuccessFactors and Workday, UltiPro and Halogen TalentSpace are High Performers, Oracle PeopleSoft is a Contender, while SikRoad is part of the Niche category. Figure 81: Grid for Performance Management (G2 Crowd, July 2014)
Grid for Business Intelligence The Grid for Business Intelligence was launched in September 2014 and it ranks all the vendors that have at least 10 reviews on the G2 Crowd online platform. In comparison to the Grid for Performance Management, this Grid features more software vendors, thus highlighting the fact that Business Intelligence solutions users are the most active on the G2 Crowd platform out of all the categories our report presents. In 2014, the Business Intelligence Leaders that G2 Crowd has identified are Tableau Desktop, Qlikview, TIBCO Spotfire, SAS BI and Oracle BI, while vendors such as Alteryx and GoodData BI are considered High Performers. Some of this edition’s Contenders are Hyperion, MicroStrategy and IBM Congos, and the Niche vendors are Birst and Pentaho.
Figure 82: Grid for Business Intelligence (G2 Crowd, September 2014)
Grid for HR Management Suites The Grid for HR Management Suites was launched in June 2014. This Grid also contains numerous vendors, in other words the ones who have received more than 10 reviews on the G2 Crowd platform. Therefore, we can infer that there is a high interest when it comes to HR Management dedicated software solutions. In 2014, the Leaders in the field were SuccessFactors, UltiPro, Workday, and Oracle PeopleSoft. Vendors such as Halogen TalentSpace, SilkRoad, and Cornerstone OnDemand are part of the High Performers, while Oracle Taleo and IBM Kenexa are Contenders. Just like in the case of the other Grids, the Niche category has the fewest vendors, namely PeopleFluent and Kronos. The following observations can be made by comparing the results displayed in Gartner’s Magic Quadrants and, respectively, in G2 Crowd’s Grids: - Business Intelligence vendors: both Gartner and G2 Crowd rated roughly the same companies as Leaders, namely Tableau, Qlik, SAS, Oracle and Tibco. Differences appear within the other categories, mainly due to their different significance, as well as due to the methodologies employed; - Performance Management vendors: no similarities can be found between Gartner’s Magic Quadrant Corporate Performance Management Suites and G2 Crowd’s Grid for Performance
Figure 83: Grid for HR Management Suites (G2 Crowd, June 2014) Management, mainly due to the fact that the latter focuses on the HR function; - Employee performance vendors: similar companies are included in Gartner’s Magic Quadrant for Talent Management and in G2 Crowd’s Grid for HR Management Suites. However, Oracle is the only Leader that remains consistent in both approaches. As a trend for the year 2014, we can notice an increasing interest in different rankings and tools that can help companies make better decisions when it comes to software vendors, which basically proves a higher degree of maturity when it comes to performance related technology solutions. PERFORMANCE MANAGEMENT IN 2014: ASEAN SPECIAL EDITION
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THE KPI INSTITUTE’S PROFESSIONAL CERTIFICATION PROGRAMS To browse through our upcoming training courses and select the solution that best addresses your personal and professional objectives we recommend you visit: http://store.kpiinstitute.org/scheduled-courses
Certified Strategy and Business Planning Professional The course will help improve the business planning process and longterm organizational performance, through the use of strategic planning tools that will ultimately lead to smarter and quicker strategic decisions.
Certified KPI Professional This program is meant to improve the practical skills in working with KPIs and developing instruments like scorecards and dashboards. Participants will acquire a sound framework to measure KPIs, starting from the moment they are selected, until results are collected in performance reports.
Certified Performance Improvement Professional This course offers insights and best practices for improving performance in different scenarios, from data analysis and reporting, decision making and initiative management, to building a performance culture. Certified Employee Performance Management Professional Attendees will gain exposure to best practices and key concepts and will learn how to establish and use criteria for performance evaluations, from implementation to improvement and maintenance of the company’s employee performance management system.
Certified Personal Performance Professional The two-day interactive program will help you understand personal performance, by explaining the benefits and clarifying the process of measuring it. It focuses on identifying ways to boost your performance outside working hours.
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Certified Data Visualization Professional An exclusive framework that provides insights on effective visual communication, through a rigorous approach to creating visual representations of vast information, techniques of standardization and tailored data visualization tools.
Certified Data Analysis Professional Attendants will understand through practical learning how to effectively collect, analyze and interpret data by enabling managers/ analysts to draw insights from both quantitative and qualitative data, based on historical statistics and trend analysis.
Certified Benchmarking Professional Benchmarking methodological uniqueness is represented by the identification and analysis of the processes that lead to a superior performance of a company, offering the opportunity to compare an organization’s performance against industry competitors.
Certified Supplier Performance Professional Participants’ skills in managing supplier performance and developing a strategic approach to procurement will be developed by enabling the identification of performance gaps and implementing action agreements with suppliers.
Certified Customer Service Performance Professional Participants will not only understand the importance and implementation phases for the Customer Service Excellence standards, but they will also be given the necessary tools to implement it internally and measure its impact externally.
To browse through our upcoming training courses and select the solution that best addresses your personal and professional objectives visit our online Store. store.kpiinstitute.org/scheduled-courses
CERTIFICATION PROGRAMS 2015
Scheduled Courses in 2015 CERTIFICATION TRAINING COURSES IN
Africa
Americas
Morocco Nigeria South Africa
Brazil Canada Mexico USA
25
Europe Australia China India Indonesia Malaysia Singapore
COUNTRIES
Middle East
Austria Bahrain Romania Egypt UK Kuwait Oman Qatar Saudi Arabia Turkey UAE
organization
Research
education
2004 25 4
28,000 20,475 11
3,400 614 554
Year of establishment
# Organizations assisted through smartKPIs.com # KPI examples published on smartKPIs.com # Years spent on researching performance best practice
# Professionals trained # Client organizations # Training days delivered
For more details: store.kpiinstitute.org
228 115 113
# Education programs delivered # Open training courses delivered # In-house training courses delivered
SOFTWARE
Content. Methodology. Visual Summary. Introduction. Global Perspectives. Practitioners’ Perspectives. Academics’ Perspectives. Consultants’ Perspectives. Map Snapshot. Country Profiles. Country Legislation.Trends in Search. 2014 Statistics. Media Exposure. Educational Programs. Main Events in the field. Career. Best-selling Books. Latest Published Books. Journal Articles. Portals. Communities. Corporate Performance Management Software. Business Intelligence Software. Employee Performance Management Software. | Interviews. Cambodia. Indonesia. Malaysia. Philippines. Singapore. Vietnam. | ASEAN Insights. The Sultanate of Brunei Darussalam.The Kingdom of Cambodia.The Republic of Indonesia. Lao People’s Democratic Republic. Malaysia. Myanmar. The Philippines. Singapore. Thailand. The Socialist Republic of Vietnam. | Keywords analyzed. Analytics. Balanced Scorecard. BI. Business Intelligence. Business Performance Management. Corporate Performance Management. Dashboard. Employee Evaluation. Employee Performance. Employee Performance Management. Enterprise Performance Management. Individual Performance Management. Individual Performance Plan. Key Performance Indicators. KPI. Metrics. Operational Performance Management. Performance Appraisal. Performance Criteria. Performance Evaluation. Performance Management. Performance Management Plan. Performance Management System. Performance Measures. Performance Review. Scorecard. Strategic Performance Management. Strategy Execution. Strategy Implementation. Strategy Management. | Educational Degree Institutions. University of Brunei Darussalam, Faculty of Business and Economics. Sultan Sharif Ali Islamic University, Faculty of Business and Management Sciences. Institut Teknologi Brunei, ITB School of Business. Royal University of Phnom Penh. Build Bright University, Faculty of Business Management. Royal University of Law and Economics, Faculty of Economics and Management. University of Cambodia, College of Business. University of Puthisastra, Faculty of Economics and Business. Paññasastra University of Cambodia, Faculty of Business and Economics. National University of Management. University of Southeast Asia, Faculty of Economics, Business and Tourism. Cambodian Mekong University, Mekong School of Management. Western University. University of Battambang, Faculty of Business Administration & Tourism. University of Management and Economics, Faculty of Management and Tourism. Zaman University, Faculty of Economics and Administrative Sciences. Life University, Faculty of Business Management. Mean chey University, Faculty of Business Management. Chea Sim University of Kamchaymear. Airlangga University, Faculty of Economics. Gadja Mada University, Faculty of Economics and Business. Padjadjaran University, Faculty of Economics and Business. Sebelas Maret University, Faculty of Economics and Business. Brawijaya University, Faculty of Business and Economics. Gunadarma University, Faculty of Economics. Bina Nusantara University, School of Business Management. Udayana University, Faculty of Economy and Business. Negeri Malang University, Faculty of Economics. Muhammadiyah Malang University, Faculty of Economics and Business. National University of Laos, Faculty of Economics and Business Administration. Sains Malaysia University. Malaya University, Faculty of Business and Accountancy. Putra Malaysia University, Faculty of Economics and Management. Kebangsaan Malaysia University, Faculty of Economics and Management. Utara Malaysia University, School of Business Management. Islam Antarabsangsa Malaysia University, Faculty of Economics and Management. Tunku Abdul Rahman University, Faculty of Accountancy and Management. Pendidikan Sultan Idris University, Faculty of Management and Economics. Malaysia Sabah University, Faculty of Business, Economics and Accounting. Tenaga Nasional University, College of Business Management & Accounting. Kuala Lumpur University. Accountancy, Entrepreneurship & Islamic Finance. Yadanabon University, Department of Economics. De La Salle University, Faculty of Economics. University of the Philippines Diliman, Faculty of Economics. Ateneo de Manilla University, Graduate School of Business. University of the Philippines Los Baños, Faculty of Economics and Management. Aquinas University of Legazpi, College of Business Management and Accountancy. University of Southeastern Philippines, College of Governance and Business. University of San Jose-Recoletos, College of Commerce. Adamson University, College of Business Administration. Miriam College, College of Business, Entrepreneurship and Accountancy. Silliman University, College of Business Administration. National University of Singapore, Business School. Singapore Management University. SIM University. Mahidol University, College of Business. Chulalongkorn University, Faculty of Economics. Kasetsart University, Faculty of Business Administration. Khon Kaen University, Faculty of Management Sciences. Burapha University, Faculty of Management and Tourism. Vietnam National University, Faculty of Economics and Law. Ho Chi Minh City International University, School of Business. Hanoi University, Faculty of Management & Tourism. Lac Hong University, School of Management. | Career. Jobs. Salaries. | Book Categories. Business Performance Management. Corporate Performance Management. Employee Performance Management. Enterprise Performance Management. Individual Performance Management. Operational Performance Management. Performance Management. Personal Performance. Strategic Management. Strategy Execution. | Peer Reviewed Journals. Top 15. | Portals. Top 10 Most Visited. | Communities Analyzed. Balanced Scorecard. Business Intelligence. Corporate Performance Management. Employee Performance Management. Key Performance Indicators. | Software. Gartner: Magic Quadrant for Corporate Performance Management Suites, Magic Quadrant for Business Intelligence and Analytics, Magic Quadrant for Talent Management Suites. The G2 Crowd Scores: Grid for Performance Management, Grid for Business Intelligence, Grid for HR Management Suites. 122