Designing and Implementing Performance Management in Sri Lanka’s Largest Private Sector Commercial Bank

September 22, 2017
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Client

Sri Lanka’s largest private sector commercial bank operating across retail, corporate, international banking and treasury and project financing.

Situation/Scope

The Performance Management System (PMS) at the bank was over a decade old. There was ambiguity amongst employees in terms of what is required from them on the job and how the same is measured. It was considered vague and ad-hoc. There was a need to: 

  • Put in place clear job roles and a competency framework to make employees appreciate what is required of them in their job and what success means 
  • Have an unambiguous and non-biased system for performance assessment and rewards, linked to other HR processes in the organization 
SHRM Approach 
  • Upfront diagnosis to really understand the issues and the challenges facing the organization going forward (visionary interviews with top leaders and focus group discussions with a microcosm of team members) 
  • Developed leadership competency framework (jointly worked with internal key executives to identify key competencies and behavior indicators for various proficiency levels) 
  • Designed Performance Management System with clear goal setting process, capturing of stakeholder inputs (beyond immediate manager) and clear linkage to rewards and career progression 
  • Supported in drafting of annual goals with clearly differentiated KRA, KPI and targets for 10 critical roles
Distinctive Impact 
  • Competency framework well received and rolled out starting with the Performance Management System. Plans made to incorporate in Recruitment and Training and Development in the next stage. 
  • The bank met its objective of an innovative PMS, in line with its value of being futuristic and employee centric through a transparent process with multiple checks built in 
  • SHRM is currently supporting in roll out and implementation of the PMS and also working on restructuring of the reward and recognition framework for the bank


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