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What are some common pitfalls to avoid when setting performance improvement plan objectives?

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A performance improvement plan (PIP) is a tool to help employees who are underperforming or facing disciplinary issues to improve their performance and meet the expectations of their role. However, setting PIP objectives can be challenging and prone to some common pitfalls that can undermine the effectiveness and fairness of the process. In this article, we will discuss some of these pitfalls and how to avoid them.

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Sarbjit S.
Glen Sampson (MBA, aFHRD)

Global Talent Development Director | Fintech | M&A | Culture Transformation | Performance | Talent Management | DEI |…

1 Lack of clarity

One of the most common pitfalls to avoid when setting PIP objectives is lack of clarity. If the objectives are vague, ambiguous, or unrealistic, they can create confusion, frustration, and resentment among the employees and managers involved. To avoid this, make sure that the objectives are SMART: specific, measurable, achievable, relevant, and time-bound. For example, instead of saying "improve your communication skills", say "send clear and concise emails to your clients and colleagues within 24 hours of receiving their requests". This way, the employee knows exactly what is expected of them and how their performance will be evaluated.

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Sarbjit S.
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External pressures may have caused a person's performance to abruptly decline. Personal or professional problems might divert attention or cause brief errors in judgement. So, before beginning the PIP process in these situations, you should have an open discussion with your coworker.

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Glen Sampson (MBA, aFHRD)

Global Talent Development Director | Fintech | M&A | Culture Transformation | Performance | Talent Management | DEI | Compensation | Rewards | Change Management | FHRD (Malta)
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The lack of clarity may stem from the manager themselves not being clear on what 'good performance' looks like. Managers need to put the goals through a SMART filter before issuing it to employees. This will ensure shared clarity of what needs to be achieved.

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2 Lack of feedback

Another common pitfall to avoid when setting PIP objectives is lack of feedback. Feedback is essential for employees to understand their strengths and weaknesses, to monitor their progress, and to receive recognition and support. Without feedback, employees may feel ignored, demotivated, or unfairly judged. To avoid this, make sure that you provide regular and constructive feedback to the employee throughout the PIP period. For example, schedule weekly or biweekly meetings to review the employee's performance, acknowledge their achievements, address their challenges, and offer guidance and resources. This way, the employee feels valued, engaged, and empowered to improve.

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Sarbjit S.
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Starting a performance plan is pointless if you set unachievable goals. This is an unfair method of ejecting people from the building. It's intended to lift individuals up rather than exclude them. Set goals that reflect your desire for the employee to succeed if you're utilising a PIP for the correct reasons.

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3 Lack of consistency

A third common pitfall to avoid when setting PIP objectives is lack of consistency. Consistency means that the objectives are aligned with the organization's goals, values, and standards, and that they are applied equally and fairly to all employees in similar situations. Without consistency, employees may feel confused, discriminated, or mistrustful of the process. To avoid this, make sure that you follow the organization's policies and procedures for PIPs, that you consult with HR and other stakeholders, and that you document and communicate the objectives and outcomes clearly and transparently. This way, the employee knows that the process is legitimate, objective, and respectful.

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Glen Sampson (MBA, aFHRD)

Global Talent Development Director | Fintech | M&A | Culture Transformation | Performance | Talent Management | DEI | Compensation | Rewards | Change Management | FHRD (Malta)
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Managers need to respect the employee by keeping to the agreed 1:1 meetings as consistently as possible. While exceptions may arise that results in the 1:1 being postponed, this should not be the norm.

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4 Lack of flexibility

A fourth common pitfall to avoid when setting PIP objectives is lack of flexibility. Flexibility means that the objectives are adaptable and responsive to changing circumstances, needs, and opportunities. Without flexibility, employees may feel trapped, discouraged, or unable to cope with the challenges. To avoid this, make sure that you review and adjust the objectives as needed, that you consider the employee's feedback and suggestions, and that you recognize and reward the employee's efforts and improvements. This way, the employee feels that the process is supportive, collaborative, and positive.

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5 Lack of follow-up

A fifth common pitfall to avoid when setting PIP objectives is lack of follow-up. Follow-up means that the objectives are not forgotten or ignored after the PIP period is over, but rather that they are integrated into the employee's ongoing performance management and development. Without follow-up, employees may feel abandoned, neglected, or uncertain about their future. To avoid this, make sure that you provide a clear and formal conclusion to the PIP process, that you communicate the next steps and expectations to the employee, and that you continue to monitor and support the employee's performance and growth. This way, the employee feels that the process is meaningful, beneficial, and sustainable.

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Sarbjit S.
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You should arrange a review meeting where the management and employee sit down to evaluate the performance plan's successes and shortcomings once it has been completed (or not). This discussion ought to cover the efficacy of the strategy as a whole as well as the performance of the person

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What are some common pitfalls to avoid when setting performance improvement plan objectives?

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1 Lack of clarity

2 Lack of feedback

3 Lack of consistency

4 Lack of flexibility

5 Lack of follow-up

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