What is a Performance Improvement Plan (PIP)?
A Performance Improvement Plan is essentially a document that is sent to an employee when their work isn’t meeting the expectations required by the business.
This document does not have to be static, rather it’s a two-way conversation where HR communicates with the underperforming employee and other managers, supervisors, and co-workers.
A PIP intends to offer a positive solution to an underlying issue that an employee may be having within this business, whether it’s because a specific tool is not being correctly, deadlines are not being properly met, or the job just isn’t meeting specific expectations and requirements.
In other words, it’s a document to enhance performance.
A PIP can cover specific areas within a job such as skill gaps or training. Basically, any deficiency the employee might be showing that could be affecting the general business, or that could potentially be harmful in the future if it’s not rectified. Bear in mind, that it’s always best to act on something before they have gone beyond repair.
It is important to set deadlines throughout the entire duration of a PIP which can last somewhere between 1 and 3 months. After that time, if the issue has not improved, or the employee has not attempted to improve it, chances are, nothing will change and other measures must be taken.
Benefits of a PIP
You hear the term Performance Improvement Plan, and your mind automatically defaults to “mistakes, bad”, but sending (and quite frankly, receiving) PIPs also come with a wide range of benefits that make them a powerful tool inside a business.
Benefits include:
Employees become more receptive to criticism if they know for a fact that they can still rectify the situation and that they do not have to do it alone. It is clear they have the support of the business to be able to move forward
By creating a framework for coworkers, employees, and managers to work albania phone number list more closely, you are effectively improving and encouraging teamwork. Teams should work as a unit and seek help from one another, but let’s face it, sometimes it’s hard to admit we can’t do something. PIPs open the door for employees to seek assistance from their peers.
PIPs can help HR identify issues inside the business that could lead to a chain reaction. Although businesses may have different departments and they may seem somewhat detached from one another, they should work as a unit. So, by identifying a certain issue with one employee it allows you to analyze what issues came before and what issues are being provoked because of it. Therefore opening the door to very successful problem-solving.
By effectively solving one issue in a department, you will be increasing employee morale, since every member of the team will be able to work together seamlessly, no job will be left behind and no employee will have to pick up more slack.
When should a PIP be sent?
A PIP should be sent when the employee is not meeting the business’s expectations.
These expectations can either be external or internal to the business.
Some of the reasons can include:
Employee’s underperformance
When an employee consistently fails to meet performance standards or fails to achieve key performance metrics related to their job responsibilities.
Poor quality of work
When the employee is producing low-quality work, this could be due to frequent errors, inaccuracies, cutting corners or incomplete work.
Low productivity
When an employee’s productivity levels are below expectations, resulting in delays, missed deadlines, or incomplete work assignments. This issue could also affect other coworkers, or be affected by delays in previous steps of the funnel.
Lack of job knowledge or skills
When the employee shows to have a lack of understanding of the duties they should be performing, or lack the knowledge and skills with the business’s tools and procedures.
Bad communication and teamwork skills
When the employee is showing problems related to communication skills, such as ineffective verbal or written communication, difficulty in expressing ideas clearly, or poor interpersonal communication with colleagues or clients, leading to inefficient teamwork.
Low attendance and Punctuality
Chronic absenteeism, tardiness, or excessive time away from work without valid reasons can also be grounds for initiating a PIP.
Failure to adhere to policies and procedures
If the employee violates company policies, procedures, or ethical standards, such as breaching confidentiality, misuse of company resources, or engaging in unethical behavior.
Customer service issues
Poor performance in roles that require interaction with customers, clients, or external stakeholders, including complaints about professionalism, responsiveness, or service quality can lead to a PIP.
Bear in mind that a PIP should not just be sent out at the drop of a hat, there must be an extensive analysis of the situation, to make sure that you’re addressing the actual issue, and that there is nothing more serious behind it.
When you shouldn’t send a PIP
A Performance Improvement Plan should be sent as an opening to alert of a situation or issue and actually make an improvement.
Although it is important to be clear about the consequences of not following through, it’s important to realize that this is not a disciplinary hearing (at least not at this point), so it should not be sent as a reprimand, but rather focus on what should be done to fix the issue.
A PIP is not a “termination warning” per se. If the employee is showing truly negative issues, in the workplace perhaps you should consider a different course of action.
Strategies to conduct a PIP
Now you know what a PIP is and when it should be considered, let’s see how to conduct it.
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Before jumping into the employee’s underlying issues, make sure that the rest of the team is running smoothly, and everyone is sticking to their tasks. Make sure to also check in with managers and other supervisors to ensure that all the instructions have been given out efficiently. If not, the PIP could be seen as an attack.
Find out where the problems are coming from, how they are affecting the business, and what the short and long-term consequences are.
If there has been prior communication regarding the matter at hand, be sure to include them in your document.
Feel free to contact the employee before issuing the PIP to understand the scope of the issue, where it originated, or if there have been prior conversations.
In your PIP, list the specific issues that need be solved clearly and leave no room for error in interpretation.
