260: Performance Improvement Plans: What You Need to Know

Have you ever been on a PIP? 

Have you ever had to manage a PIP?

If you don’t know what a PIP is, that could be considered a good thing. A performance improvement plan (PIP) is a formal document that helps employees struggling to meet job performance expectations. It outlines areas of performance that are falling short, identifies skills or training gaps, and sets specific goals for improvement. 

PIPs are not disciplinary actions, but they can feel like that. They are intended to help employers and managers help employees succeed rather than a punitive measure. 

But they don’t feel like that, and often, it seems that more people are either terminated or leave their position rather than succeed and stay within the organization. 

Drawing from my personal experiences, I'll share actionable strategies to tackle a PIP head-on, emphasizing the importance of clarity, support networks, and ownership. We'll explore the dual outcomes of a PIP and how to steer towards a positive resolution. Learn how to dissect the details of your plan, ensure regular check-ins with your manager, and utilize every resource at your disposal. This episode isn't just about surviving a PIP; it's about converting it into an opportunity for growth and demonstrating your value within the organization. 

Transcript

John Neral: 0:00

Hey there. Have you ever been on a PIP? Have you ever had to manage someone's PIP? Well, if you don't know what a PIP is, that could be a good thing, because a PIP is known as a Performance Improvement Plan. It's a formal document that helps employees who are struggling to meet their job performance expectations. It outlines areas of performance where they're falling short, identifies skills or training gaps and sets specific goals for improvement. You see, pips are not disciplinary actions, but they can feel like that. They are intended to be a way for employers or managers to help their employees succeed, but they don't feel like that, and often it seems that more people are either terminated or they leave their position after going on a PIP, rather than being successful and staying within the organization.

John Neral: 0:58

If you find yourself on a PIP or are concerned you may be going on one soon. You'll want to listen to this episode, and if you're managing talent, you'll want to listen as well. I'll break down for you the things you need to know about a performance improvement plan and what your next steps could be. Let's get started. Hello, my friends, this is the Mid-Career GPS Podcast and I'm your host, John Neral. I help mid-career professionals like you find a job they love or love the job they have. Using my proven four-step formula have using my proven four-step formula. Today's episode is timely because, as we start September, we are less than 120 days away from the end of the year and in some organizations and some managers, they may be looking at their talent numbers and may be considering putting some of them on a PIP. A PIP, otherwise known as a Performance Improvement Plan, can help employees, and some may think well, it's just the timeline has been set for me to get out of there. As somebody who has had to manage talent, who have been on PIPs, what I can offer you is that from my perspective. Yes, it is a warning notice, but it is not a death sentence, nor is it a termination notice as well. The clock gets set hey, we've identified, here are some things you are not doing well and we're gonna put a formal plan in place to help you succeed with that.

John Neral: 2:47

The PIP is essentially a partnership, but what do you do if you feel like you're really just being set up to fail or your boss simply wants you gone? Those are some of the realities. I can't stand before you today, behind this mic, and say that, oh, pips are wonderful and they're great and they're fantastic and you shouldn't be afraid of them. No, you should. You should because there is a binary outcome from any PIP you either stay or you leave. And when it comes to leaving, you either leave on your own or the company will terminate you.

John Neral: 3:34

So what do you do if you find yourself on a PIP? The first thing I want to offer you is don't panic. Listen, breathe, get clarity about what the PIP is saying and the specifics that are in it, and be really clear and know how it's going to be managed. There should be details in the performance improvement plan that outline how often you and your boss will be checking in, what kind of progress metrics will you be looking at, how will you be evaluated. And you want to know the timeline. This is important because some performance improvement plans can have a short timeline. Maybe 30 days can have a short timeline. Maybe 30 days, it might be 60, 90, 120, whatever it is. You want to know the timeline. You also want to make sure you have clarity around the expectations. You, as the person being on the PIP, need to know where the company believes you are falling short or not meeting expectations about your performance. Additionally, you're going to want to seek some support that can come from your family, your spouse, your colleagues, your friends. There's been a lot of people who have been on PIPs. There is no shame in this, but it is a data point. So you want to make sure you've got your support network around. And, additionally, you and I want to be clear about this Even though a PIP is a partnership, you have to take a tremendous amount of ownership in this process.

John Neral: 5:29

In order for you to succeed, you have to start building your plan. What does your plan look like for your success and what is your plan for exiting and what is your plan for exiting? Let that sink in for a minute. When you build your plan, you're making a decision. Am I going to go all in to be successful or am I going all in to say, yep, clock's ticking, I'm going to leave? I don't know your specific situation. You probably have some thoughts or ideas as to whether or not it is really worth it for you to stay. Is there a way out? Can you meet the demands of the PIP and do you want to stay within that organization?

John Neral: 6:32

If you do play full out, if you're looking at this PIP and you're saying to yourself you know I don't really like my boss, I don't like the company, I don't like the work I'm doing. I need to go find something else. Go all in on what the exit plan is going to be, but know that the clock is ticking. There needs to be a result of this pip and, whatever happens, know that this becomes part of your story. It is part of your narrative when you are asked why did you leave your last position? Tell me about a time on a recent job where you were challenged with something. I can share with you that in my managerial career, I have absolutely seen people who have gone on PIPs that were successful, that stayed within the organization, that got promoted, and I have seen other people who didn't meet the expectations of the performance improvement plan and either left on their own or they were terminated. But something has to happen. Because of this, you're either going to stay or you're going to go.

John Neral: 7:46

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John Neral: 8:53

Now let's dive back into the episode. So when you go on a PIP, does it mean they're going to let you go? An organization's never going to tell you that they're just not. They're going to tell you that they want you to succeed, that the PIP is in place because they've identified some areas of weakness or unsatisfactory performance, but that you have a way to get better. What I want to offer you here is look at the history of the organization, look at the organizational culture and, from there, determine whether or not this is actually a professional death sentence for you or not. If you know in a company that every time somebody goes on a PIP, they're out within 60 days. The likelihood is that's probably going to happen to you as well. But if you have evidence within a company that people have gone on PIPs and they've stayed and been successful and weren't terminated, you have that as well. A performance improvement plan serves many purposes, but for the organization, what you need to know is that a PIP helps protect the company and it helps protect them by demonstrating due diligence and compliance with employment laws. They are showing that the underperforming employee is given a fair chance to improve before any disciplinary actions were taken. So, yes, are they building a case? Sure, are they putting all of their ducks in a row, so to speak? Yep, is it a death sentence? Not necessarily so.

John Neral: 10:42

One of the questions I'm often asked by people and people I have worked with and coached is so I've gone on this pipIP. Should I have an honest conversation with my manager or supervisor? My answer is always yes. That honest conversation should outline and be an opportunity for a discussion about the reasons for the PIP and how you can achieve the results, be very evidence and results focused about what the PIP is saying. In that honest conversation. You want to walk away knowing that you have a chance to succeed. It is not automatically doom and gloom. There is a path for you to stay and improve and get better.

John Neral: 11:37

Now, on the flip side, what do you do if you're the person managing someone's PIP, if you're in a manager or a leadership role? The first thing I want to offer you is you absolutely need to partner with your senior leadership and human resources on the matter. You need to be in agreement and have absolute clarity about your reasons for putting that employee on the PIP and what the performance metrics are. And, most importantly, in order to protect the organization and to look out for the best interests of your employee in direct report, you must follow the PIP to the letter. You must follow the PIP to the letter. Remember, your job here is to protect the organization and the employee. You essentially are the conduit between the organization expecting you to manage performance and the employee being managed accordingly to succeed.

John Neral: 12:45

So here's the thing I remember having to put someone on a PIP and somebody challenged me one day on it and they challenged me on the management of the PIP and they said to me oh, you're meeting with them too much, you're taking too much time. I said, well, wait a minute, here's how I manage the PIP. We've all agreed what the metrics are. We've all agreed on what the results and the evidence are we're looking for to see whether or not this person can be successful. But I am always going to manage a PIP as if I were the one on it. If the role was reversed, would I want to be treated the same way? Would I want to make sure that I have the clarity and the conversations and the feedback and the updates to know where I am in every single part of the process? My answer was always yes, I managed those pips as if I were the one that was on it, because that way then I knew I could ensure treating my employees as fairly as possible, as best as possible.

John Neral: 14:10

Pips are not pleasant. They're not happy-go-lucky documents that go, hey, you're screwing up, so let's figure this all out. No, so let's figure this all out. No, there can be a punitive damage or repercussion because of it. It's serious. It's gotten to a point far beyond you having a check-in with your boss or your supervisor or manager and them saying, yeah, I have some concerns about your performance. Now it's in writing, it's documented. It's part of your file.

John Neral: 14:45

The company has taken the next step to document what you are not doing or how you are not meeting expectations, and there's a consequence from that. The consequence is you either meet the expectations you are successful, you come off the PIP or you haven't met those expectations and it may lead to being terminated. Pip's a serious deal. So if you find yourself on a PIP, get clarity about what the expectations are and what you need to do in order to be able to succeed. If you are managing someone on a PIP, follow that PIP to the letter. Know that you're protecting the organization and the employee at the same time the organization and the employee at the same time. The PIP is that living, breathing document about your actions as their supervisor moving forward.

John Neral: 15:53

So here's the last thing I want to offer you If you find yourself on a PIP and you're like you know what, I just need to get out, I'm done, I don't want to stay here. Do your best to acknowledge the PIP, work through all of the metrics, try to be successful. It is far easier for you to find a job when you have one than when you don't. So, yes, you can still work toward being successful on the PIP while you're actively looking for another job. That can be part of your plan, but how you show up matters and a PIP can be a great opportunity for you to learn and to grow, despite how emotional and frustrating it can be. All right, my friends, until next time. I wish you a great rest of the day and remember this you will build your mid-career GPS one mile or one step at a time, and how you show up matters. Make it a great rest of your day.

John Neral: 17:08

Thank you for listening to the Mid-Career GPS Podcast. Make sure to follow on your favorite listening platform and, if you have a moment, I'd love to hear your comments on Apple Podcasts. Visit johnnarrellcom for more information about how I can help you build your comments on Apple Podcasts. Visit JohnNarrowcom for more information about how I can help you build your mid-career GPS or how I can help you and your organization with your next workshop or public speaking event. Don't forget to connect with me on LinkedIn and follow me on social at John Narrow Coaching. I look forward to being back with you next week. Until then, take care and remember how we show up matters. Thank you.