Performance improvement plan

A performance improvement plan (PIP) is designed to help boost an employee’s performance by highlighting areas that require improvement and how this can be achieved. A PIP needs to clearly highlight the steps required in order to achieve its desired results and should be drawn up by the HR department of a company in tandem with the employee’s manager.

A good PIP requires a high level of data analysis to be able to ascertain an employee’s full productivity and potential at the point of its creation. It should be explained via 1-1 meetings with the employee (explaining more publicly could damage their morale), and should also be detailed enough to have short, medium, and long-term perspectives, to emphasize to the employee that they have a future at the company should they complete the plan.