HUMAN RESOURCE

DEVELOPMENT
Chapter Ten
DR NUR KAMARUL HAFIZ BIN JAMIL
FACULTY OF BUSINESS AND ACCOUNTANCY
LINCOLN UNIVERSITY COLLEGE
 COACHING AND
PERFORMANCE MANAGEMENT
• The need for coaching in managing employee performance is evident, especially
when managers adopt punitive or negative approaches that can exacerbate
performance issues rather than resolving them. Managers who resort to yelling,
screaming, or threatening may inadvertently create a hostile work environment,
leading to decreased morale and productivity among employees.

• Some managers may choose to ignore poor performance altogether, which can
result in increased workloads for high-performing employees and feelings of
inequity and frustration among the team. Additionally, relying solely on giving
orders and pep talks often fails to produce the desired improvement in employee
performance, leading to further frustration for both managers and employees.
 Coaching: A Positive Approach
to Managing Performance
• Coaching is viewed as a fundamental function of effective management. Even the
most skilled planners, organizers, and decision-makers may struggle to achieve
objectives without effectively managing employee performance through
coaching. In today's work environment, characterized by participative
management approaches such as employee engagement and self-directed teams,
the role of supervisors, managers, and executives as coaches is paramount.

• Coaching entails creating a partnership between supervisors and employees

dedicated to achieving organizational objectives. It involves providing guidance,
support, and feedback to help employees succeed in their roles. In the following
chapters, we will delve into the principles of coaching, its role in improving
performance, and the skills and training required to be an effective coach. Before
that, however, it's important to clarify the distinction between coaching and
performance management.
 Coaching and
Performance Management
• Performance appraisal systems have long been a standard practice in organizations, typically
involving the use of standardized rating forms to evaluate various aspects of employee
performance on an annual basis. However, such systems have often been met with dissatisfaction
from both supervisors and employees due to their perceived ineffectiveness and inefficiency.

• In response to this dissatisfaction, many organizations are shifting towards performance

management systems. Unlike traditional performance appraisals, performance management
encompasses a broader set of activities, including planning, goal setting, continuous feedback,
coaching, rewards, and individual development. Performance management focuses on an ongoing
process of performance improvement rather than just an annual review, emphasizing informal
feedback and challenging organizational assumptions to stimulate learning and growth.

• Employees generally prefer a combination of informal and formal feedback, indicating a desire for
ongoing evaluation and coaching alongside traditional appraisal processes. Performance
management is increasingly recognized as a high priority for businesses, second only to leadership
development and succession planning.
 Definition of Coaching
• The definition of coaching varies among authors, ranging from narrow descriptions focused on
performance improvement techniques to broader perspectives emphasizing self-discovery,
partnership, and empowerment. Some liken managerial coaching to the role of athletic coaches,
emphasizing characteristics such as optimism, honesty, and trustworthiness.

• A common theme in defining coaching is the shift from seeing management as controlling to
viewing it as empowering or enabling employees. This perspective emphasizes the importance of
fostering a communicative relationship based on partnership between managers and employees.
Coaching is seen as a day-to-day approach to managing performance, where managers act as
facilitators rather than controllers.

• In a comprehensive definition, coaching is described as a process aimed at encouraging

employees to take responsibility for their own performance, achieve and sustain superior
performance, and work as partners towards organizational goals. This involves conducting
coaching analysis to understand performance and its conditions and engaging in coaching
discussions to address problems and enable employees to maintain and improve performance
effectively.
 Role of The Supervisor
and Manager in Coaching
• The primary responsibility for coaching typically falls on the shoulders
of an employee's direct supervisor or manager. While other
individuals within an organization, such as mentors or peer coaches,
can also play a role in coaching, the supervisor is uniquely positioned
within the work unit to effectively carry out coaching duties.
 Role of the Supervisor
and Manager in Coaching
Supervisors have several key responsibilities that make them well-suited for coaching:

1. Delegation: Supervisors delegate tasks and assignments to employees, making them

responsible for ensuring that these tasks are completed effectively. This delegation process
provides opportunities for supervisors to observe performance and provide feedback.
2. Establishment of standards: Supervisors set performance standards and expectations for
employees within their unit. By clearly defining expectations, supervisors can guide employees
in meeting these standards through coaching.
3. Monitoring performance: Supervisors regularly monitor employee performance to ensure that
tasks are being completed satisfactorily. This ongoing monitoring provides supervisors with the
necessary information to identify areas for improvement and provide timely feedback.
4. Authority: Supervisors have the authority within the organization to provide guidance,
support, and direction to employees. This authority gives supervisors the credibility needed to
effectively coach employees and influence their behavior.
 The HRD Professional’s
Role in Coaching
HRD professionals play a crucial role in facilitating effective coaching within organizations. Here's how they contribute:

1. Training in Coaching Process: HRD professionals can provide training sessions and workshops to managers and supervisors on
effective coaching techniques. This training equips them with the necessary skills and knowledge to conduct coaching
discussions, analyze performance, and provide constructive feedback.
2. Interpersonal Skills Development: HRD professionals can also focus on enhancing the interpersonal skills of managers and
supervisors, which are essential for effective coaching. This may include communication skills, active listening, empathy, and
conflict resolution skills, among others.
3. Problem Solving Interventions: In cases where coaching uncovers underlying organizational issues contributing to performance
problems, HRD professionals can implement interventions to address these issues. This may involve changes to reward systems,
recruitment and selection processes, or improvements to information and production systems.
4. Creating a Coaching Culture: HRD professionals can use organizational development techniques to foster a culture that values
coaching and continuous performance improvement. This involves creating an environment where coaching is encouraged,
supported, and recognized as a vital aspect of leadership.
5. Understanding Coaching as an HRD Intervention: HRD professionals must have a comprehensive understanding of coaching as
an HRD intervention. While training programs are often the focus of HRD efforts, coaching represents a critical aspect of
employee development and performance management. HRD professionals ensure that coaching processes align with
organizational goals and contribute to both individual and organizational effectiveness.
 Coaching to Improve
Poor Performance
• Defining Poor Performance: Before coaching can be effective, it's essential
to clearly define what constitutes poor performance. This definition may
vary depending on the specific role, expectations, and standards set by the
organization. Poor performance can encompass various factors such as
failing to meet deadlines, low productivity, errors or mistakes,
interpersonal conflicts, or deviations from expected behavior or values.
• Conducting Coaching Analysis: A key step in addressing poor performance
is conducting a coaching analysis to identify the root causes of the issues.
This involves gathering relevant information, such as performance data,
feedback from colleagues or clients, observations, and discussions with the
employee. The analysis aims to understand the underlying factors
contributing to the poor performance, which could range from skill gaps,
lack of motivation, unclear expectations, personal issues, or organizational
barriers.
 Coaching to Improve
Poor Performance
Coaching Discussion: Once the causes of poor performance are identified,
the manager or supervisor can engage in a coaching discussion with the
employee. This discussion should be approached with empathy, constructive
feedback, and a focus on problem-solving and improvement. During the
coaching discussion, the manager can:
• Clearly communicate the performance issues and their impact on the team or
organization.
• Listen to the employee's perspective and encourage open dialogue.
• Identify specific areas for improvement and set clear, achievable goals.
• Collaboratively develop a plan of action to address the performance gaps, which may
include additional training, coaching, resources, or support.
• Provide ongoing feedback and support to monitor progress and adjust the plan as
needed.
• Reinforce positive behaviors and recognize improvements.
• Establish accountability measures and consequences for lack of progress.
 Defining Poor Performance
Defining poor performance is indeed complex and subjective, influenced by various factors such as
organizational standards, individual perceptions, and situational contexts. Here are some key points
to consider when defining poor performance:

• Subjectivity: Evaluating performance involves subjective judgments based on individual

perceptions and expectations. What one person considers acceptable performance may differ
from another's perspective.
• Standards and Expectations: Poor performance is typically defined in relation to established
standards or expectations. These standards could include quantitative metrics (e.g., sales targets,
production quotas) or qualitative criteria (e.g., quality of work, adherence to policies).
• Tolerance for Deviation: The degree of deviation from the standard that constitutes poor
performance can vary. Some organizations may have zero tolerance for deviations, while others
may allow for a certain level of flexibility or discretion based on situational factors.
• Contextual Considerations: Performance expectations may vary based on the specific
circumstances or context. For example, seasonal fluctuations in business activity or personal
challenges faced by employees may influence the tolerance for performance deviations.
 Defining Poor Performance
• Agreement and Clarity: It's essential for both supervisors and
employees to agree on performance standards and expectations.
Clear communication and mutual understanding are crucial to ensure
alignment and avoid misunderstandings.
• Specificity: Defining poor performance requires specificity regarding
the nature and extent of deviations from expected behavior. This
clarity helps establish clear boundaries and accountability.
• Negotiation and Agreement: While not every performance standard
needs to be negotiated, employees should be aware of the standards
and agree to them. This ensures transparency and fosters a sense of
ownership and commitment to performance improvement.
 Responding to
Poor Performance
Responding effectively to poor performance requires supervisors to diagnose the underlying causes and select
appropriate responses. Here are some key considerations for responding to poor performance:

• Multiple Causes: Poor performance often stems from multiple causes, including individual factors (e.g.,
motivation, attitudes), organizational factors (e.g., reward systems, coworker dynamics), and external factors
(e.g., societal events, family issues). Identifying the correct cause(s) is crucial for developing an effective
response.
• Causal Attribution: Supervisors may use rational information and biases to determine the cause of poor
performance. Attribution theory suggests that causes of performance can be attributed to factors within the
employee (e.g., effort, ability) or the situation (e.g., task difficulty, luck). Understanding how supervisors
attribute causes can influence their response.
• Fundamental Attribution Error: The fundamental attribution error is a bias that leads individuals to
overattribute behavior to internal factors (e.g., personality traits) rather than external factors (e.g.,
situational factors). Supervisors may overlook environmental causes of poor performance and instead blame
the employee, potentially leading to inappropriate responses such as punishment.
• Employee Self-Attribution: Employees may attribute their failures to external factors to protect their self-
esteem. They may also seek feedback in ways that minimize negative feedback. Supervisors should be aware
of these tendencies when assessing performance and providing feedback.
The Coaching Analysis Process
 The Coaching Discussion
The Kinlaw Process for conducting a coaching discussion consists of three stages:

1. Confronting or Presenting: This stage involves addressing the performance issue with the employee
in a constructive manner. The goal is to limit negative emotions, specify the performance that needs
improvement, and establish a collaborative approach to change. It's important to focus on the
specific problem behavior, avoid assigning blame, and emphasize the goal of helping the employee
improve.
2. Using Reactions to Develop Information: During this stage, the supervisor helps the employee
explore the underlying causes of the poor performance. Employees may resist acknowledging the
problem, so the supervisor should focus on understanding the employee's perspective,
acknowledging their concerns, asking probing questions, and summarizing key points. By the end of
this stage, both parties should have a shared understanding of the problem and its causes.
3. Resolving or Resolution: In the final stage, the employee takes ownership of the problem and
agrees on steps to address it. Both parties express commitment to improving performance and
maintaining a positive working relationship. This stage involves exploring alternative solutions,
reviewing key points from the discussion, and affirming the belief that performance can be
successfully improved.
 The Coaching Discussion
The Fournies Process for conducting a coaching discussion involves five steps:

• Get the employee's agreement that a problem exists: The supervisor must ensure that the employee acknowledges the existence
of a performance issue. This step involves describing the problem behavior and its consequences, prompting the employee with
questions to extract a statement of the problem and its impact. The discussion should not proceed until the employee agrees that
a problem exists.
• Mutually discuss alternative solutions to the problem: During this stage, the supervisor asks the employee for their input on
potential solutions to address the performance issue. The supervisor may need to prompt the employee for ideas if necessary.
Employees are typically more committed to alternatives that they have suggested themselves.
• Mutually agree on actions to be taken to solve the problem: After discussing alternative solutions, both the supervisor and the
employee agree on which actions to pursue to resolve the problem. They should have a clear understanding of what needs to be
done and when, including a specific time for follow-up to assess progress.
• Follow up to measure results: It is essential for the supervisor to follow up at the agreed-upon time to assess whether the agreed-
upon actions have been taken and if the problem is resolved. Follow-up demonstrates the supervisor's commitment to addressing
the issue and ensures accountability.
• Recognize achievements when they occur: Even if the problem is not completely resolved, the employee should be recognized
and appreciated for any effort and improvement made. This recognition serves to motivate the employee to continue improving.
Further discussions may be necessary to determine additional steps needed to resolve the problem fully.
 Skills Necessary For
Effective Coaching
To be an effective coach, managers need to possess a range of skills, particularly in communication
and interpersonal interactions. Here are some key skills necessary for effective coaching:

• Open Communication: Managers must be able to openly communicate with their subordinates
and peers. This involves being transparent, approachable, and receptive to feedback.
• Team-Oriented Approach: Effective coaches understand the importance of teamwork and
collaboration. They prioritize team goals over individual achievements.
• Value People Over Tasks: Managers should prioritize the well-being and development of their
employees over merely focusing on completing tasks. Building positive relationships and fostering
employee growth is essential.
• Acceptance of Ambiguity: Coaches must be comfortable operating in uncertain or ambiguous
environments. They should be adaptable and able to navigate through uncertainty with
confidence.
• Active Listening: A crucial skill for coaches is active listening. This involves not only hearing what
employees say but also understanding their perspectives, concerns, and needs.
 Skills Necessary for
Effective Coaching
• Thought Transmission: Coaches ensure understanding by encouraging employees
to restate what has been discussed, ensuring clarity and alignment in
communication.
• Descriptive Communication: Effective coaches communicate in a specific and
descriptive manner, avoiding blame and instead focusing on helping employees
understand expectations and solutions.
• Communication Training: Managers may benefit from training programs focused
on communication skills, such as microskills communication training. This training
helps managers develop verbal and nonverbal communication skills essential for
effective coaching.
• Indicating Respect: Coaches demonstrate respect for their employees by valuing
their contributions, opinions, and efforts.
• Immediacy: Coaches address problems as they arise, dealing with issues
promptly and effectively.
 Skills Necessary for
Effective Coaching
• Objectivity: Effective coaches emphasize factual information over
subjective opinions, promoting fairness and impartiality.
• Planning: Coaches engage in strategic planning to set clear goals, identify
actions, and track progress towards improvement.
• Affirmation: Coaches provide positive feedback and encouragement,
recognizing employees' successes and potential for improvement.
• Consistency: Coaches maintain consistency in their behavior, fostering trust
and reliability among employees.
• Building Trust: Establishing trust is essential for effective coaching. Coaches
build trust by being honest, reliable, and supportive.
• Demonstrating Integrity: Coaches act with integrity, adhering to ethical
standards and principles in their interactions with employees.
 The Effectiveness of Coaching
Research on the effectiveness of coaching is evolving, with several studies indicating positive outcomes associated with coaching
interventions:

• Increased Employee Satisfaction and Commitment: A study in a manufacturing organization found that feedback and coaching led
to higher levels of employee satisfaction, commitment, and reduced turnover intentions.
• Belief in Change: Research suggests that individuals who believe in others' ability to change are more likely to engage in coaching
behaviors, indicating the potential effectiveness of coaching in facilitating behavioral change.
• Financial Results: British Telecommunications and E.ON UK reported improved financial performance after implementing intensive
coaching programs for their supervisors and managers.
• Sales Performance: A multinational organization observed a significant increase in sales after sales managers underwent a two-day
coaching workshop.
• Safety Improvement: Baker Hughes INTEQ-Norway reported a decrease in accidents following the introduction of a safety coaching
program.
• Reduced Employee Turnover: Mayo Clinic Arizona witnessed reduced employee turnover rates after implementing both traditional
classroom-based training and intensive one-on-one coaching for supervisors.
• Effectiveness of Coaching Training: A study on Norwegian managers and executives found that coaching training had statistically
significant effects on measures of self-efficacy and goal setting.
 Employee Participation
in Discussion
Employee participation in discussions, especially during coaching sessions, plays a crucial role in enhancing
satisfaction, goal attainment, and perceived fairness. Research indicates several key points regarding employee
participation:

• Enhanced Satisfaction and Goal Attainment: When employees have the opportunity to contribute during
discussions, they tend to be more satisfied with the conversation and their manager. Additionally, increased
participation correlates with a higher likelihood of meeting performance goals.
• Positive Perception of Supervisors: Supervisors who explicitly welcome employee participation during
discussions are perceived as more helpful and constructive by their subordinates. This encourages open
communication and fosters a supportive environment.
• Reduced Perceived Threat: Employees are more likely to participate when they feel that the threat from
their supervisor is low. Creating a safe and supportive atmosphere encourages employees to voice their
opinions, concerns, and ideas without fear of reprisal.
• Fairness Perception: Employees perceive performance discussions as fairer when they have the opportunity
for two-way communication. This includes being able to challenge or rebut their evaluation, providing a
sense of transparency and equity in the process.