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Performance Improvement Plan

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Performance Improvement Plan
How to Guide
How to Establish a Performance Improvement Plan

A Performance Improvement Plan (PIP), also known as a Performance Action Plan, is a great way to give struggling employees the opportunity to succeed while still holding them accountable for past performance. It is not always clear why an employee has poor performance. Did he or she not receive appropriate training? Does he or she not understand the expectations of the job? Are there unforeseen roadblocks in the way? Until you really allow for open dialogue and consistent feedback, you may not have provided an employee the opportunity to be successful.

Step 1: Getting started

The first step in the Performance Improvement Plan process is for the supervisor to document the employee’s performance areas that need improvement. In documenting the main performance issues, be objective and specific. Provide facts and examples to further clarify the severity or pattern of performance concerns. For examples of detailed documentation, see scenarios 1 and 2 at the end of this guide.

When developing a Performance Improvement Plan, you may wish to use an established format. Below are three sample formats that may assist in your documentation and communication.

* Performance Improvement Plan * Performance Action Plan * Action Plan for Improving Performance

Step 2: Develop an action plan

Next, the supervisor should establish an action plan for improvement. This action plan should include Specific and Measurable objectives that are Accurate, Relevant and Time-bound (otherwise known as SMART goals).

SMART goal examples: * In May, June and July, Employee X must have less than 3% quality errors per month and produce at least 150 units per month. * During this 90-day performance evaluation, Employee X must have perfect attendance. This means that he must clock in and be ready for work by the start of each scheduled shift, return from all scheduled breaks on time and

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