Staff Performance Appraisal Training
PT-FI Mine
fcx.com
The Importance of Staff Performance Appraisal (SPA)
• SPA focuses on increasing employee’s performance & behavior to
support company’s vision, mission, and values.
Benefits
Employee
• Parameter in determining
employee’s success
• Motivate employees to
improve performance
Supervisor
• To communicate target,
parameter to succeed,
development plan, and workload
distribution
Company
• To communicate company
expectations from division to
individual performance
• Information source for employee
development, career planning, as
well as compensation & benefit.
SPA Coverage
Postponed
Target
Excluded (based on policy QMS.MPM.01)
Staff Employee of :
▪ PTFI (including Smelter), PT KPI,
PT Mahaka and NMI
▪ Labor suppliers in PTFI (BUMA,
SAS)
▪ Secondment Employees
transferred
less
than
6
month
in
appraisal year:
▪ Staff Employees with Date of Hire
after June 30, 2024
▪ Level 1 with Last Promotion after
▪ Contract Consultant
▪ FGP
Working
to
permanent
position before October 1, 2024
will be normalize in the online
system as Staff employees
June 30, 2024
▪ Leaving work before July 1, 2024
(RFD, LWP, Continuing Education,
Sick leave, etc.)
▪ Return to work after June 30, 2024
(RFD, LWP, Continuing Education,
Sick leave, etc.)
SPA Stages
QUARTER - I
QUARTER - II
JAN
APR
FEB
MAR
CREATE KRA-KPI
& PDP
MAY
JUN
QUARTER - III
JUL
SEP
OCT
NOV
DEC
PERFORMANCE MONITORING
SUPERVISOR
APPRAISAL
STAGE 1
Output
KRA-KPI
& PDP
AUG
QUARTER - IV
NORMALIZA
TION
STAGE 2
Output
Update KRA-KPI
Performance evidence
Update PDP
STAGE 3
Output
Supervisor
rating
RATING
FINALIZATION
& ONE ON
ONE
DISCUSSION
STAGE 4
Output
Final
Rating
STAGE 5-6
Output
Feedback
Stage 1 – Create KRA & PDP
WHAT-HOW
LINK
KRA STANDARD
Collaboration - 15%
Empowerment – 15%
Work effectively by showing
respect for individuals from
various backgrounds, points of
view and abilities and upholding
integrity to achieve performance
excellence
Commit in managing authority,
responsibility, motivation and
opportunities related to the
development of employees,
colleagues and oneself to
achieve performance excellence
Safety - 20%
Prioritize SHE as the main
consideration in every job or
decision and comply with
policies and procedures in
accordance with required
standards to develop incident
prevention strategies towards
zero accidents
✓
✓
✓
✓
SHEAP complete
Comply to all SHE
regulation
✓
✓
Cooperate without
distinction
Implement joint decision
Protect confidentiality
✓
✓
Clear expectation and
appropriate appreciation
Provide complete working
resources
Involve in every stages
KRA SOURCE & SMART method
Ensure KRA KPI are created through DISCUSSION using SMART principle
S
M
A
R
T
Specific
Measurable
Attainable
Relevant
Timebound
KPI must be
detail and clear
KPI must be
calculable
KPI must be
achievable and
realistic
KPI must reflect
employee’s job
function
KPI must be
given a deadline
KRA-KPI Example in Fixed Plant
Current: Fixed Facilities / utility maintenance building availability above 90% for the year 2024 with minimal
electric down time
SMART
Principles
SMART KPI
Components
Current
Example Propose
Specific
Activity
-
Achieve
Object
Fixed Facilities / utility maintenance
building
Fixed Facilities / utility maintenance
building
Location
-
Mile 74
Quantity
availability above 90%
availability rate of at least 90% with less
than 1% electric downtime
Quality
-
-
Cost
-
-
Duration
2024
2024
Start Date
January
January
End Date
December
December
Measurable &
Attainable
Time Bound
* KRA KPI should be relevant with employee’s job responsibilities.
Example Propose: Achieve fixed facilities/utility maintenance building availability rate of at least 90%
with less than 1% electric downtime throughout the year 2024 at mile 74 area,
Cascade KRA-KPI
Manager
KRA-KPI
Fully
• Same KPI
• Same Target
10 Tonnage
of Ore
10 Tonnage
of Ore
Gensupt
KRA-KPI
Partial
• Same KPI
• Different
Target
10 Tonnage
of Ore
5 Tonnage of
Ore
5 Tonnage of
Ore
Supt
KRA-KPI
• Different KPI
Contribu- and target
• Act as
ting
supporter/
reviewer
10 Tonnage
of Ore
Development &
PreProduction
Production
KRA-KPI SYSTEM
EXERCISE
LINK: Home Page - TPRA PROD (fmi.com)
9
Personal Development Plan
PDP SYSTEM
EXERCISE
LINK: Home Page - TPRA PROD (fmi.com)
11
Stage 2 – Performance Monitoring
ENSURE TARGET
REACHED
Performance monitoring is
the process of reviewing
employee performance
throughout the year
through coaching
employees, adjusting
performance targets if
necessary and recording
evidence of performance
COACHING SESSION FOR
EMPLOYEE DEVELOPMENT
EMPLOYEE ENGAGEMENT
CONSOLIDATE PERFORMANCE EVIDENCE
FOR OBJECTIVE APPRAISAL
Stage 3 – Appraise Performance
Performance Appraisal by Supervisor
Determine employee performance ratings based on performance evidence
Rating
Maximum
3
2
Rating
Minimum
1
Target Achievement
Scope of Work Result
Achievement
exceeding target
on related KPI
Exceed scope of work
according to function/ KPI
Achieving all targets
related to KPI
According to scope of
work or job function
Not achieving
some or all of the
targets related to KPI
Has not succeeded performing
according to the demands of
his/her function
Stage 4- Normalization
Normalization is the process of reviewing supervisors given ratings by discussing their performance
evidence and comparing them with employees at the same level to meet the rating distribution set by the
company.
NORMALIZATION FUNCTION
NORMALIZATION STEPS
Validate employee ratings
and performance evidence
Increase objectivity and
consistency of rating
appraisal
Reduce Bias
NORMALIZATION MEETING
1
Supervisor prepares performance
evidence that supports the
employee’s appraisal
2
Agree on specific criteria for each
rating category (1, 2L, 2M, 2H, 3)
Company
EVP
3 Groups employees based on
individual grade
Division
4 Discussing underachiever (1, 2L)
5
Discussing employee that meets
target (2M, 2H, 3)
Normalization Timeline
Appraisal
EVP
Normalization
Rating
Finalization
EVP review and
approve their
divisions
ratings
L4 and above
cascade the
final result to
Supervisor
Supervisor
appraise direct
report
Oct W3- Nov W1
Oct W1-W2
Nov W3-W4
Dec W4 – Jan W4
Dec W1-W3
Nov W2
Department/
Division review
rating and
normalize
employees
All EVP review
and approve final
ratings
One on one
discussion
between
Supervisor and
Employee
Dept/Division
Normalization
Company
Normalization
Feedback
❑
Each Level is normalized
by division head
❑
Each Level 4-5-6 is
Normalized by area EVP
level
❑
All Level 4-5-6 is
Normalized by all EVP
Group Ratings
Rating
Range
3
26.51 30
2
1
General Description
“High Impact Contributor”.
Achieving all individual targets and made high-impact performance to corporate performances.
Demonstrates ability to perform at the next level. Willing and capable of taking a role with greater scope.
H
23.51 26.50
“Key Contributor”.
Achieving all individual target and made significant impact to division performances. Exhibits unique
technical skill/expertise that is critical to business strategy. Demonstrates excellent collaboration skills
and has significant positive impact on the business and/or is considered an innovator.
M
19.51 23.50
“Good Performer”.
Made valuable contribution achieving all performance targets.
L
13.51 19.50
“Performing with concern”.
Failed to achieve one or several performance targets.
10 13.50
“Poor Performer”.
Failed to achieve most of performance target. Need to be closely monitored to improve performance
Range Distribution
0-10%
75-85%
10%
5%
Flexible up to
10%
Distribution
starts from 75%
Fixed max at
10%
Fixed max at 5%
Rating 1 & 2L
Rating 2M
Rating 2H
Rating 3
Stage 5 & 6 - Rating Finalization & Feedback
Rating Finalization
Rating Finalization is a process
for conveying the final results of
performance appraisals to
supervisors.
PM Team
Division Head
To remind supervisors to adjust
the KRA score based on the
normalization results. (if there are
changes).
Supervisor
Finalizer (Lvl 4-6)
Feedback
For employees: to understand the
rating decisions regarding their
performance appraisal result.
Employee
For supervisors: to get feedback
from employee regarding
performance and future
development plans
Thank you
PT-FI Mine
fcx.com