5 Must-Haves in an Employee Performance Improvement Plan (2024)

5 Must-Haves in an Employee Performance Improvement Plan (1)Few aspects of a manager’s job are more uncomfortable than creating a performance improvement plan with an employee. The employee might feel embarrassed or hurt, while the manager has to deliver hard truths.

Uncomfortable as these conversations are, they’re unavoidable when performance is lacking. If an employee is failing to meet expectations, misrepresenting core values, or displaying inconsistent performance over time, steps must be taken to correct the situation.

5 Must-Haves in an Employee Performance Improvement Plan (2)

It’s essential that the employee understands they have an opportunity to improve. Avoid making employees feel like they’re being laid off, rather, emphasize their opportunity for growth. They need to know what has to be improved and when. Make it clear that they are ultimately accountable for their improvement, but they have your support and resources.

Consider these 5 tips as you craft the performance improvement plan and prepare for your conversation:

1. Be specific and objective.

Clearly convey exactly why the employee’s productivity and/or behavior isn’t up to par. Bring examples of what good performance looks like, ideally from things the employee worked on previously. Be prepared to answer questions and explain why the employee’s performance doesn’t match the ideal state.

2. Align on a plan.

Create shared expectations that both parties feel comfortable with. Include the employee in the plan’s formation, giving them a voice in their future. When employees agree on a plan and understand the intention, they have increased buy-in and are more likely to tackle their challenges head on.

Provide perfect clarity by crafting a SMART goal that you and the employee feel addresses the current problem. With clear, outlined steps, your employees can envision their path to success.

3. Acknowledge all potential outcomes.

Will the employee be let go if they fail to improve? Might they take on a new position or be transferred to another department? What will happen if their performance gets better? The employee should be aware of all possible results.

Don’t threaten your employees, but be honest. Outline potential positive and negative outcomes that could result from the employee’s actions. Not only will this realization provide transparency, but the possibilities should motivate improvement.

4. Follow up regularly.

All managers and employees should have regular conversations, regardless of the state of their performance. But when performance is lacking, these conversations are even more important. We suggest checking in with the employee bi-weekly to monitor progress and discuss what’s working and what’s not.

Remember to coach, rather than manage your employees’ performance. Employees should have control over their productivity and performance, and it’s your job to help motivate them. Empower your employees with proper guidance and feedback in your follow-up conversations.

5. Document the conversations.

It’s easy to forget what was discussed and when, so make sure your conversations are detailed in a central location that you both can access. This makes your expectations concrete and clear, and enables both parties to reflect on and track progress according to the discussion. Any possible miscommunication or forgotten details are minimized with an effective one-on-one tool.

Following those five suggestions will help you create a clear, shared performance improvement plan and hopefully avoid turnover.

Keep in mind:

The conversation is still probably going to be uncomfortable, but these tips should make the meeting a little easier and lessen the awkwardness.

Remember that your conversations don’t need to be highly formal and structured. Don’t read off a script—allow for personalization, flexibility, and authenticity to make both parties more comfortable.

Be upfront:

When you send a calendar invite for a performance improvement discussion, carefully consider your language. Make it very clear that current performance is not satisfactory and this meeting is the first step in saving their current role. Catching employees off guard is not an effective approach—give them an opportunity to prepare for the conversation too.

Share the floor:

Allow the employee to have a voice and share their point of view. Outside factors that you didn’t know about may be negatively affecting performance. Allow them to ask clarifying questions and provide their perspective.

Your employees likely have just as much to say (if not more) about their performance as you do. It’s very important that this meeting is a two-way discussion, not a lecture where the employee feels attacked or scolded.

Consider the impact:

The meeting’s location is significant—don’t embarrass your employees by making your conversations public. Schedule the meeting somewhere private but comfortable. If the conversation is held over zoom, ensure neither parties are in an open office, surrounded by others.

Give employees time to collect their thoughts. Working from home or taking the rest of the day off can give them time to process. Check in the following day to ensure both of you are on the same page and the employee has the right resources to tackle their challenges.

While these conversations are difficult to conduct, they are necessary to the success of your employees and the health of your organization. Avoid unnecessary turnover and develop top talent with the right approach to your performance improvement plan conversations.

Ready to make performance management a priority? Download our ebook to get solutions to your struggles in performance management.

5 Must-Haves in an Employee Performance Improvement Plan (3)

Published November 17, 2021 | Written By Elise Paulsen

5 Must-Haves in an Employee Performance Improvement Plan (2024)

FAQs

What should be included in a performance improvement plan? ›

An effective performance improvement plan should:
  • Document existing performance concerns.
  • Encourage constructive dialogue.
  • Offer solutions to any identified issues.
  • Support underachieving employees with actionable steps.
  • Give the employee a clear understanding of how to improve their performance.
Oct 21, 2022

What are some of the main components of an employee improvement plan? ›

5 Must-Haves in an Employee Performance Improvement Plan
  • Be specific and objective. Clearly convey exactly why the employee's productivity and/or behavior isn't up to par. ...
  • Align on a plan. ...
  • Acknowledge all potential outcomes. ...
  • Follow up regularly. ...
  • Document the conversations.
Nov 17, 2021

What are five-five steps to follow when writing a performance plan? ›

How to write a performance plan
  • Identify performance or behavioral issues that need improvement.
  • Explain the level of performance and behavior expected.
  • Supply helpful suggestions for employee improvement.
  • Schedule progress meetings with the employee.
  • Outline consequences for not meeting standards.
Jul 26, 2023

What should be included in a performance management plan? ›

How do you create performance management plans?
  • Establish expectations and goals. ...
  • Plan regular follow-ups. ...
  • Evaluate Performance. ...
  • Take action. ...
  • Develop an outline. ...
  • Schedule managerial meetings and training sessions. ...
  • Inform employees and start observing. ...
  • Hold the first formal review.
Oct 19, 2023

What is an unfair pip? ›

A PIP that puts forward unrealistic targets and/or timeframes for improvement lends credence to the possibility that you are being set up to fail.

What is an example of a PIP objective? ›

EXAMPLE: To effectively manage workload on a daily basis, meet deadlines efficiently, prioritise tasks and respond to emails in a timely manner.

What are your top 3 areas of improvement? ›

Planning and organization, leadership and management, and communication and interpersonal skills are the three top areas to focus on in your journey to improve in the workplace.

What are the 4 basic components of a work plan? ›

The four main parts of a workplan are defined goals, the timeline and budget, the team and their task list, and the processes needed to keep the team on track to meet goals within the timeline and budget.

What are the 2-3 things that you think the employee should stop doing? ›

Here are 6 things you need to stop doing at work to build strong and peaceful working relationships in the office:
  • Taking extra-long breaks during work. ...
  • Reporting every little detail to your boss. ...
  • Requesting time off regularly. ...
  • Giving advice to others when they don't ask for it. ...
  • Not doing your part. ...
  • Gossiping.
May 26, 2023

What is the 5 on a performance review? ›

For convenience, we see organizations using the same rating scale for all content and areas in an employee's evaluation - from goals to competencies. This is more often than not a 5 point rating scale (5– Outstanding, 4– Exceeds Expectations, 3- Meets Expectations, 2- Needs Improvement, 1- Unacceptable).

What are the 5 goals of the employee performance evaluation process? ›

Are you doing it right? five main objectives of a performance evaluation
  • Objective 1: to evaluate an employee's performance.
  • Objective 2: provide feedback.
  • Objective 3: design a training plan.
  • Objective 4: Motivate work teams.
  • Objective 5: to assist in making decisions on compensation, compensation and promotions.

How do you tell an employee they are going on a pip? ›

You should also emphasize that the PIP is not a disciplinary action or a punishment, but a supportive and constructive tool to help them succeed in their role. You should explain how the PIP will be implemented, monitored, and evaluated, and what are the consequences of not meeting the standards.

What five points need to be covered in a performance plan? ›

  • Identify any underlying issues. Before you start to put the performance improvement plan together, make sure you are fully aware of any issues which may be behind poor performance. ...
  • Involve the employee in any performance improvement plan. ...
  • Set clear objectives. ...
  • Agree training and support. ...
  • Review progress regularly.
Jan 28, 2020

Does pip lead to termination? ›

Can you terminate an employee during PIP? Yes, an employer can terminate an employee during a PIP if they continue to perform poorly despite the warning.

Is a pip a written warning? ›

A letter of reprimand is a disciplinary step that is documented and placed in an employee's personnel file. A PIP is a documented plan that includes detailed metrics for improvement, including timelines.

Is a pip a disciplinary action? ›

Poor performance can be solved through coaching and mentoring provided through a PIP. A PIP is not a disciplinary step or groundwork to terminate an employee with cause. Rather, it is an opportunity to work with an employee to address concerns about their performance.

How long should a pip last? ›

How long does a PIP last? A PIP may be issued for a 30, 60, or 90-day period, at the supervisor's discretion. The maximum length of time for a PIP during the performance management period is 90 days. Can a PIP be extended into the next performance management period?

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