Proper people management for public sector progress: Promising prospects

Prof. Ajantha Dharmasiri moderating the panel discussion with (from left) Labour Commissioner General Ananda Wimalaweera, Public Policy Expert Dr. Lloyd Fernando, CIPM President Dhammika Fernando, Sri Lanka Insurance Head of HR Rohitha Amarapala and Sri Lanka Air Force Group Captain Manoj Keppetipola 

The people factor is key for both private and public sector success. While the presence of modern people management practices is prevalent in the private sector with global influence, the absence of it is felt more in the public sector. Today’s column is a reflection in the backdrop of a recent seminar focusing on people management in the public sector. 

Overview

It was amazing to see the enthusiastic response of public sector officials representing various organisations at the recent seminar organised by the Chartered Institute of Personnel Management (CIPM) to focus on ‘HR for Public Sector: Promising Prospects’. 

This seminar focused on the vital need of HRM in the public sector of Sri Lanka. With a broad overview of the current reality, we deliberated the key strategies required in order to ensure the vibrant HR practices in place in the public sector contributes to the socio-economic progress of the nation. The CIPM took the initiative of arranging a series of seminars on HR for the public sector and the one held recently would have set pace with the holistic picture of national priorities.  

In line with the broad Government aims of poverty reduction, a healthy population, education for all and a clean environment etc. which are among the 17 Sustainable Development Goals of the United Nations, HR can play a key role. How it happens and what to be prioritised was deliberated in this first seminar. Performance management of the public sector was a key focal area that was addressed. Moving beyond mere rhetoric, the reality is the absence of a robust performance management mechanism in the public sector. 

Engine of growth revisited 

The popular belief is that the private sector is the engine of growth. Then what about the public sector? Is it the “gearbox” of that engine where the moving can be either forward or backward? In fact, we as a nation have seen both happening in the past. Who in fact is the driver of the engine? Is it mere political leadership or meaningful professional expertise at the helm? These are the pertinent questions one needs to address in deliberating on the people management in the public sector. 

It was Commissioner General of Labour Ananda Wimalaweera who stressed the presence and absence of vital HR processes in the public sector. He highlighted the role of public servants who are present as one for each 15 Sri Lankans. Are they equipped with cutting-edged people management practices with an updated policy framework? The sad truth is no. 

Despite the fact that there is careful attention paid in recruiting employees to the public sector, with strict adherence to a Scheme of Recruitment (SOR), what happens thereafter is the problem. Are they well set for a secure career till their retirement with no significant emphasis on their performance? Are they being sufficiently trained for required competencies and are they being developed for future leadership challenges? Again, the answer is not so affirmative. 

Performance management for the public sector 

Performance management as a concept is not uncommon to Sri Lankan public service. How it is currently done is the question. In Sri Lanka, measuring individual employee performance had been introduced by a public administration initiative way back in 1998. The objective was to link the granting of annual increments of public officers to a proper appraisal of work performed during the period considered for increment. The Government has adopted this as policy ever since.  

The popular belief is that the private sector is the engine of growth. Then what about the public sector? Is it the “gearbox” of that engine where the moving can be either forward or backward? In fact, we as a nation have seen both happening in the past. Who in fact is the driver of the engine? Is it mere political leadership or meaningful professional expertise at the helm? These are the pertinent questions one needs to address in deliberating on the people management in the public sector. 

Sri Lanka Administrative Service (SLAS) Minute was amended in 2005, accommodating special provisions including opportunities to fast-track promotions for SLAS officers. The provisions enabled SLAS officers to sit for a promotion examination on the condition that they maintain “above average performance” consecutively for five years. This was an unprecedented major breakthrough which was recognised in policy by a specific salary circular. 

Despite the fast track, the way of doing evaluations remained the same. However, the performance evaluation system and measurement system were not amended. Thus, the new policy demand and the old appraisal system became an obvious misfit, resulting in many deadlocks. 

Linking development to performance  

Ministries and departments are supposed to develop a vision, mission, strategies, goals and action plans. Departments in particular have a mandate established by Acts in Parliament. Accordingly, their respective reasons for being present are well-articulated. In essence, the outcomes they want to produce and their impacts are self-evident in their vision and mission statements. Under the prescriptions of the General Treasury, each Government institution submits its corporate plans each year. Accordingly, their outputs towards achieving the outcomes are made clear.      

The rationale for linking institutional progress with individual performance is that the impacts departments desire to create should pass down from institutional level to interactive team level and then to individual level, which in turn produce results from individual level to spill over to interactive team level and institutional level respectively. It in fact links individual, division, department, ministerial and policy levels sequentially. 

The flow from the individual performance leads to Divisional Management Plans and to Strategic Departmental Plans which can be linked to results-based budgets as well. In essence, the broader policy objectives will be achieved if the individual level performance is correctly agreed to by the individuals and performed within a stipulated time.

KRAs, KPIs and KBIs

The expected performance evaluation should focus on two key aspects, tasks and competencies. Tasks involve Key Result Areas (KRAs) and associated Key Performance Indicators (KPIs).  Competencies involve Key Behavioural Indicators (KBIs). The intention here is to not to go into details but to highlight the novelty and necessity of the needed approach.  

Identification of KPIs will rely on the key results that an institution is deemed by the very establishment of the particular institution. In other words, its mandate articulated in respective Acts or other legislative enactments. Once the key result areas are agreed to at the strategic level, the key divisional objectives will be made clear and mentioned in the first page of the performance plan as a measure to keep the rest of the document aligned. Key Performance Areas should be derived from the divisional objectives spelt out in each performance plan. Derivation of tasks, which can range from one to many, will then depend on the key performance areas that have already been identified.      

Performance management as a concept is not uncommon to Sri Lankan public service. How it is currently done is the question. In Sri Lanka, measuring individual employee performance had been introduced by a public administration initiative way back in 1998. The objective was to link the granting of annual increments of public officers to a proper appraisal of work performed during the period considered for increment…This was an unprecedented major breakthrough which was recognised in policy by a specific salary circular. 

KBIs on the other hand, refer to the broad aspect of competencies. According to Gary Hamel and C.K. Prahlad, “Core competencies are the collective learning in the organisation, especially how to co-ordinate diverse production skills and integrate multiple streams of technologies.” In the public sector, the demanded set of skills may vary from being generic to specific. On the whole, an individual might need to master a set of skills that are generic, but when referred to a position like Divisional Secretary, soft skills such as public relations would be pivotal. Just as the need to master the skills, the need to check on the employees building their competencies and how they showcase their required skills in their respective performance can only be measured by putting up the key behavioural indicators on the board.   

Being brilliant on basics 

It was Dhammika Fernando, the incumbent president of the CIPM, who stressed the importance of professionalism in people management much required by the public sector. Like the case of a chartered accountant handling vital financial matters, a chartered HR professional should be involved in handling key people matters. This is much applicable to performance management, as a case in point. 

A lot can be improved in Sri Lankan organisations in this respect. I have seen in some cases where the organisations wait till the months of October and November and convert what they have done as objectives, just for the sake of having a set of objectives in order to link with their annual appraisals. Ideally, there is a need to set performance measurements and standards at the outset.

Performance elements and standards should be measurable, understandable, verifiable, equitable, and achievable. Through critical elements, employees are held accountable as individuals for work assignments or responsibilities. Employee performance plans should be flexible so they can be adjusted for changing program objectives and work requirements. When used effectively, these plans can be beneficial working documents that are discussed often, not merely paperwork filed in a drawer and seen only when ratings of record are required.

Sri Lankan organisations are increasingly getting used to objectively rating their employees. Sound performance management systems have been established at least in multinationals and high-performing local organisations. The constant challenge is to manage the expectations of employees. It is a long way for the public sector. 

Road ahead

Linking performance to rewards has always been a thorny task, especially in the public sector. Establishing a robust, transparent and a sustainable performance management system to the public sector has not yet been successful despite many attempts. I do not want to paint a gloomy picture. There are glimpses of achievements and loads of positives about public sector administrators with proper people management focus. The way the public sector promptly acted with commitment and care during the tsunami is one classic example. The much-improved efficiency we see in the Department of Immigration and Emigration is another. 

The challenge is to share best practices within the public sector so that they should essentially become next practices of lethargic institutions. It essentially boils down to effective leadership at all levels.  

(Prof. Ajantha S. Dharmasiri can be reached through [email protected], [email protected] or www.ajanthadharmasiri.info)