Performance management in the APS: A strategic framework

MAC

The Management Advisory Committee (MAC) is a forum of Secretaries and Agency Heads established under the Public Service Act 1999 to advise the Australian Government on matters relating to the management of the Australian Public Service

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Foreword

The Management Advisory Committee (MAC) is a forum of Secretaries and Agency Heads established under the Public Service Act 1999 to advise Government on matters relating to the management of the Australian Public Service (APS). In addressing its broad advisory function the Committee considered a number of management issues where analysis, discussion, and the identification of better practice approaches would inform and promote improvements in public administration.

This report on performance management in the APS reflects the MAC's view that performance management is a fundamentally important tool that can assist agencies to improve organisational capability, to meet broad organisational objectives and to deliver high quality policy advice and program administration for the Government. Performance management is relevant in all APS agencies - regardless of the nature of business activities - and at all levels of the APS.

The APS consists of a diverse range of agencies serving government, and the implementation of performance management must be tailored to the specific circumstances of each agency. Performance management must also be applied in ways that are consistent with the legislative framework and the values of the APS.

In this report, MAC provides guidance to agencies by identifying the factors that will assist organisations in designing, implementing and reviewing their performance management systems. The success factors for performance management systems are summarised as:

Alignment - within a values-based framework that takes account of the organisational culture and business objectives;
Credibility - applying across the organisation, and seen as fair, transparent and rigorous; and
Integration - integrating organisational objectives with the performance of teams and individuals.

MAC has also identified a number of evolving trends and issues that warrant ongoing monitoring and discussion. They include performance review and feedback, reward and recognition strategies, the APS environment and APS values, the management approach and philosophy of Agency Heads, and the management of under-performance.

MAC acknowledges the contribution of the Performance Management Sub-Committee, the Working Group, and the project team.

Max Moore-Wilton, AC

Secretary, Department of Prime Minister and Cabinet /Chair MAC