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Page1of8AsiaPacificPolicyPolicyNumber:HR4.06EffectiveDate:1May2004PreparedBy:APHRApprovedBy:A.PatrickImbardelliPERFORMANCEMANAGEMENTPOLICYPURPOSEInterContinentalHotelGroup(IHG)strivestocreateaninnovativeandstimulatingworkingenvironmentforallemployees.ThispolicywillprovideclearguidelinesonperformanceandbehaviourmanagementforIHGemployees.APPLICABILITY/SCOPEThispolicyappliestoallcorporateandhotelbasedpermanentemployees,contractors,casualemployeesandtemporaryemployeesofowned,managedandleasedhotelsintheInterContinentalHotelsGroupinAsiaPacific.Thisdocumentprovideinformationonperformanceandbehaviourmanagement.IHG’sapproachtomanagingperformanceandbehaviourmakeacleardistinctionbetween:Unsatisfactoryperformance;andMisconductPleasenoteitisnotwithinthescopeofthisdocumenttooutlineeveryscenarioofperformanceandbehaviourthatmayarise.GENERALPOLICYSTATEMENTIHGLineManagersareresponsibleformanagingtheperformanceandconductoftheiremployees.Thelinemanagerwillcommunicatetherequiredperformanceexpectation.Theywillalsotakepromptandfairactiontoaddressunsatisfactoryperformanceorunacceptablebehaviour.Anyemployeewhoissubjecttodisciplinaryprocedureshouldbetreatedfairlyandinaccordancewiththisprocedurewithanynecessarymodificationsinthecircumstance.Inparticular,theemployeewillalsobefullyawareofanyallegationmade,andgivenanadequateopportunitytorespondtoallegations.Refertheappendixintheseparateattachmenttothispolicyforaflowchartonunsatisfactoryperformanceandmisconduct.PROCEDURE(S)Asoutlinedinthepolicy.ADMINISTRATIVERESPONSIBILITYTheresponsibilityforthedevelopmentofandamendmentstothispolicyresideswithAsiaPacificCorporateHumanResources.Page2of8AsiaPacificPolicyPolicyNumber:HR4.06EffectiveDate:1May2004PreparedBy:APHRApprovedBy:A.PatrickImbardelliPERFORMANCEMANAGEMENTUNSATISFACTORYPERFORMANCEWhatisunsatisfactoryperformanceandwhendoesitapply?Unsatisfactoryperformanceisperformancethatfallsbelowacceptablelevelsofquality,quantity,timelinessandcosteffectiveness.Examples:FailuretomeetdeadlinesFailuretoachievesetquotas/targetsUnsatisfactoryleveloferrors/defects/complaintsPerformanceimprovementsolutions:Performancemanagementmayinvolveoneormoreofthesestepsbelow:Coaching/DevelopmentWhereanemployeenewtoarolerequiresguidanceinthedevelopmentoftheskills,knowledgeandexperiencenecessarytomeettherequiredperformancelevels.CorrectiveCounselingAproblemsolvingdiscussiontoeliminatethebarrierstoperformancewhereanemployeeisadequatelytrainedandexperiencedyethasfailedtomeetrequiredperformancelevels.RedirectionRedirectandrefocustheemployeewheretheylackclarityofunderstandingoftheirrole,responsibilitiesand/ortasks.Dothisbyidentifyingthe:Mainrequirementsofthejobasclearlyandconciselyaspossible,andPerformanceStandardsrequired.PerformanceImprovementPlanTheseareshorttermgoalswhichareagreedwiththeemployeeandmonitoredregularlytomeasureandwhethertheemployeeiscorrectingitsperformanceissuesTheobjectiveoftheperformanceimprovementprocessistoeducateandcorrectemployeebehaviourand/orperformance.Page3of8AsiaPacificPolicyPolicyNumber:HR4.06EffectiveDate:1May2004PreparedBy:APHRApprovedBy:A.PatrickImbardelliPERFORMANCEMANAGEMENTInordertohelpmeasureandmonitorwhethertheemployeeiscorrectingtheirbehavioursometimesShortTermPerformanceObjectivesneedtobeagreedandputinplace.Keypointstorememberwhenagreeinganyobjectives:TheobjectivesneedtobereasonableinthattheemployeecanmeetthemwithintheagreedtimeframeTheobjectivesshouldbemeasurableTheobjectivesshouldbeinwritingideallywiththeemployee’swrittenagreementIfthisisthesecondorthirdtimetheemployeehasbeenputonObjectivesortheemployeefailstomeettheobjectives,thenifthemanagerwantstoterminatetheemployee,thentheyshouldmakeitcleartotheemployeethatiftheyfailtocomplywiththeobjectives,themanagerwillconsiderhis/heroptionsincludingtermination.Ifperformancedoesn’timprove:Intheeventthatthereisnoperformanceimprovement,themanagerwillbeentitledtotakethefollowingsteps:setanewperformanceplanterminatetheemployeeifavailable,talktotheemployeeaboutalternativejobswhichbettersuittheemployee’sskillsetHoweverpriortoterminatingtheemployee’semploymentorofferinganalternativepositionthemanagermustobtainthefollowingapprovals:HotelEmployee-theapprovaloftheGeneralManagerandHRDirectoroftheHotel;andCorporateEmployee-theHRDirectorsupportingthefunctionalgroupandtheRegionalDirectorforthatGroupPage4of8AsiaPacificPolicyPolicyNumber:HR4.06EffectiveDate:1May2004PreparedBy:APHRApprovedBy:A.PatrickImbardelliPERFORMANCEMANAGEMENTExamplesofShortTermObjectivesExample1:Objective:-ImproveF&BServiceGSTSRatingto[inserttarget]orlessby[insertdate]200[insertyear].Measured:-ReviewofGSTSforF&Battheendofeachmonth.Example2:Objective:-MeettheForecastGOPforF&Bforthenextquarter.[NB:-Sometimestheobjectiveneedstobebrokendownintotasks.]Tasks:-Increasetheaverageroomrateto$[inserttarget]andoccupancyto[inserttarget]%.Measured:-MeasuredbylookingatRGIindex.Example3:Objective:-FocusonprovidingproactivefinancialsupporttotheGM.Tasks:-Providetimelyfinancialreportsbynolaterthan[inserttarget]ofeachmonth.Monitoroutstandin