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How to evolve federal performance management—and what’s possible right now

This time of year brings cooler weather, changing leaves, planning for upcoming holidays— and, for many, the annual performance review process.  

Good performance management should be happening year-round. But for too many employees and managers, the annual review and goal-setting process—if it happens at all—is the only time they think about performance management.  

Performance management is the ongoing process by which managers and employees identify and work toward goals aimed at achieving an organizational mission. A shared investment in setting and meeting these goals—from employees, managers and leaders alike—is critical for driving results, whether that’s a company’s bottom line or a federal agency’s public impact. 

Our reform agenda offers some recommendations to improve performance management in government, including streamlining the disciplinary process and more effectively using probationary periods, but agencies can also take action right now without policy intervention.  

Train supervisors on the performance management process

Supervision requires a lot of time, energy and training, so it’s important that agencies put in the work on the front end to ensure supervisors are equipped before they’re tasked with managing people.  

The Small Business Administration exemplifies this best practice by requiring first-time or new-to-the-agency supervisors to undergo training with human capital experts on the performance management process and merit system principles. The agency also provides support for supervisors throughout the year.  

“This supervisory training helps drive engagement by teaching managers how to effectively set clear goals, give constructive criticism, recognize achievements and identify areas for development,” said Elias Hernandez, SBA’s chief human capital officer. “Equipping our supervisors to effectively manage employee performance has resulted in an engaged workforce, promoted a healthy organization and ultimately contributed to SBA’s mission achievement.” 

Let data drive decision-making

Annual Federal Employee Viewpoint Survey results and our Best Places to Work in the Federal Government® rankings offer agencies vital information on their workforce. Senior leaders should strategically use these data points to measure employee engagement and satisfaction, take note of performance-related questions and pain points, and adjust to what’s working well and what isn’t.  

Support employees throughout the process

Employees want to understand the performance review process, how goals are set, how good performance is rewarded and how their ratings are determined. This information is often hard to find, and employees don’t know where to turn if they have questions.  

SBA supports managers by identifying performance management liaisons across program offices who serve as an additional resource throughout the performance management life cycle.  

“Operationally, they conduct internal controls checks to help ensure employee performance standards and performance elements meet requirements,” Hernandez said. “They also serve as accountability partners to our program office supervisors, helping to ensure all performance management activities are completed within established timeframes.” 

Recognize good performance

While it’s important to deal with poor performance, a well-rounded performance management system also recognizes what’s working well. This approach helps create a culture that uplifts employees, retains high performers and celebrates accomplishments that serve the public. Our annual Samuel J. Heyman Service to America Medals® are one opportunity to recognize outstanding work, but agencies should establish their own recognition programs and participate in events like Public Service Recognition Week. 

Agencies like SBA are taking meaningful steps to make the performance management process work better for everyone. But this is still a challenging issue for many agencies. 

There are ways to update and simplify the current system that would make it easier to hold employees accountable for performance. A few ideas for where Congress and agencies should start:   

• Designate a point of contact for accountability assistance: Employees or managers with performance-related issues often don’t know where to turn for help. Agencies should establish an HR point of contact, performance desk, liaison or ombudsperson to triage these issues and connect employees to resources. 

• Offer dual track opportunities: Being a good technical expert doesn’t mean an employee will make a strong supervisor or wants to be one. Congress should revisit classification laws to allow dual tracking at lower GS levels between technical specialists and supervisors as employees advance in their careers.  

• Get creative with pilots: The Office of Personnel Management should create a series of demonstration projects designed to test different performance models and evaluate their outcomes. Ideas include equipping HR professionals with the coaching skills needed to advise managers, syncing job descriptions with actual role responsibilities and performance goals, and developing stronger internal communications around performance management standards and resources.

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