week 2 Flashcards
main types of performance
environmental
Social performance
Governance performance
Environmental performance
6
Environmental impact and risk management environmental performance environmental solution companies Climate change impact and risk management Bio diversity Water scarcity Eg. limiting carbon foot print
kpi of environmental performance 5
KPI’s Electricity use NOx emissions Total water usage Energy intensity per employee Regulatory risk exposure
adv disad of evironmental performance 2,2
Advantages Improved reputation Environmental certification Problems Difficulty measuring environmental performance Greenwashing
Social performance
6
Human rights Supply chain standards Relations with customers and suppliers Relations with employees Stakeholder engagement Community involvement e.g. Medical plan
KPI’s
social performance 4
Fatalities per 1,000 employees
Community spending
Human rights policy
Staff absenteeism
adv disadv social peformance 2,3
Advantages Improved reputation Sometimes greater profits Problems Costly Suspicious of claims Who rates social performance?
Governance performance
5
Board practice and structure Anti-bribery practices Codes of ethics Board level responsibility for stakeholders Board level gender diversity
KPI’s of governance performance
Size of board
Poison pill plan
Output or outcome based approach
1
outcomes produced; quantitative results, for example sales figures, service duration (length of call), productivity measures, utilisations, quality measures.
Benefits of Output or outcome based approach
6
reassurance in measurement
simple and easy to understand
clarity in what is required
objective
motivational (e.g. provides a ‘line of sight’)
uses a language familiar to all key stakeholders.
Problems of Output or outcome based approach 6
‘what gets measured gets done’
‘what is measured is what’s easy to measure not what is most important’
can result in unintended consequences
not all jobs can be measured in this way
fails to take account of contextual constraints
fails to explain the process or means by which achievements are made.
Behavioural approach:
process orientated approach emphasising how an employee does the job – qualitative.
Behavioural Approaches list of 6
Performance ratings Rating scales - absolute or comparative Narratives general judgements critical incidents Specific reporting of significant events in review period Forms, keeping diaries, time taking, bias prone simple rank order alternation rank order paired comparisons
difference between comparative and absolute methods
comparative : Simple rank order Alternative rank order Paired comparisons Forced distribution
Absolute: Narrative/essays Critical incidents Graphic ratings scales Behavioural ratings
