Welcome!

1. Welcome!

2. Dr. Bill Egner Dr. Brad McKerly Assistant Professors

3. Roster • Assigned Professors for Dialogue • Mid-Term Evaluation of the Class—please fill out immediately On the Course Page

4. Hiring—David Lyons.  April 22 • Hiring, part 2—Dr. Bill Egner. April 29 • Compensation—Sutton Turner.  May 6 • Compensation—May 8 (9 am) & May 13 • Reviews—Dr. Paul Utnage.  May 20 10 Webinar Discussions

5. Terminations—Jon Wright. • Not May 27 but May 28 at 2 pm! • Terminations, part 2—Daniel Rolfe. June 3 • Staffing Plans & MultiSite— Jim Tomberlin. June 10 • HR Policy—Eric Rojas. June 17 • HR Policy, part 2—Matt Anthony & David Middlebrook.  June 24

6. Operations 102—Communications

7. Strategy: The Culture of Your Church. July 1 • Strategy: Parsing the Preaching Pastor, July 9 • Web, July 15 • Hardware & IT, July 22 • Productivity Tools, July 29 • Multisite & Cutting Edge Issues, August 5 • Advertising, August 12 • Policy & Practice, August 19 • Policy & Practice, August 22 • Communications Team, August 26 Operations 102—Communications

8. HR surveys show that employee reviews rank near the bottom of a supervisor’s favorite tasks. Because of this dismay and time demands, it’s easy to rush through the process—perhaps even avoid them altogether. But they can be helpful for your ministry when done well. Note the words, “when done well.” You may need to make some changes if you’re going to avoid the worst experiences. For the Q&A time,bring issues from your organization’s review methods—practices that are currently being used at your church and practices that you’d like to attempt in the future. Annual Reviews: Bane or Blessing?

9. Senior Leadership Review of Mountain Springs Church by Daniel Rolfe • A Contrarian’s Journey Through Staff Evaluations by Bob Feitl • The Fun & Fright of Taking a 360 Performance Feedback by Dr. Nathan Baxter Required Reading

10. Part 1—Introduction, 10 min. Part 2—Interactive Lecture with Dr. Paul Utnage, 40 min. Part 3—Q & A, 30 min. Today’s Class

11. Annual Reviews: Bane or Blessing? Crucial Conversations toStrengthen Culture and Leadership

12. Paul joined the staff of Springhill Presbyterian Church in Bozeman, Montana in February 2012 as the Executive Pastor. Bozeman claims to be the “most livable place” in the United States. Since Paul has lived in cities from Texas to Alaska, he just might be able to confirm whether that claim is true. Of course, he might also be biased since he looks from his front window at the Gallatin Mountains which front the mountains of Yellowstone on the other side. During his career, Paul has served as Youth Pastor, Senior Pastor and Executive Pastor in churches of all sizes. His areas of expertise have focused upon organizational change and healthy leadership cultures in each situation. He also serves as a strengths consultant with ProScanPDPWorks. Paul and his wife, Brenda, share a common passion for outdoor activities like skiing, snow shoeing, camping, hiking and biking. Dr. Paul Utnage

13. What is the current state of annual reviews? • What is the purpose of annual reviews? • What is the nature of a good annual review? • What should we review? • What should I think about when doing a review? • When do you use reviews in the disciplinary process of a staff member? • Is there a difference between the review process in a large church from a process in a medium church? • How do you help staff members appreciate reviews, rather than fear reviews? • How do you participate in the Senior Pastor’s annual review? Today’s Topics

14. A 1998 study by Development Dimensions Incorporated found that employees expressed overwhelming dissatisfaction with performance reviews. • The consulting firm, People IQ, in a 2005 national survey, found that 87% of employees and managers felt performance reviews were neither useful nor effective. • The Society for Human Resource Management found that 90% of performance appraisals are both painful and don’t work—even further, they produce an extremely low percentage of top performers. • In an article in The Psychological Bulletin, researchers (Kluger and Denisi) discovered that 30% of the annual reviews actually decreased performance. the practice of annual reviews has come under scrutiny and criticism in the last two decades

15. Charles Jacobs, author of Management Rewired: Why Feedback Doesn’t Work and Other Supervisory Lessons from Brain Science, says that the brain is wired to resist constructive feedback when it is perceived as negative criticism. So when managers give critical performance appraisals to employees, their brains’ defense mechanisms are activated. The motivation to change is improbable or decreased. the practice of annual reviews has come under scrutiny and criticism in the last two decades

16. Robert Sutton, a Stanford University professor, says that performance evaluations do more harm than good. • Samuel Culbert, a professor at the UCLA Anderson School of Management and author of the book, Get Rid of Performance Reviews, actually argues that employee performance reviews are “destructive and fraudulent . . . they’re just plain bad management . . . It’s time to finally put the performance review out of its misery.” • Tom Coens and Mary Jenkins, in Abolishing Performance Appraisals, describe study after study that show performance appraisals do not work. • GaroldMarkie, in Catalytic Coaching, argues that performance reviews have reached the end of their utility and should be replaced with a coaching system. the practice of annual reviews has come under scrutiny and criticism in the last two decades

17. Much of the research demonstrates that reviews, by their very nature, offer: • False objectivity • Focus on the manager rather than the individual • Lack of development • Destruction of teamwork and innovation • Stifling information feedback • Demand for self-protection • Creation of distrust and uncertainty • Irrelevance the practice of annual reviews has come under scrutiny and criticism in the last two decades

18. However annual reviews offer some positive benefits: • Opportunities for conversations that strengthen culture and leadership • Opportunities to develop job satisfaction • Opportunities to stimulate trust so the conversation goes on

19. Common purposes for annual reviews were: • To honor high performers and weed out poor performers • To motivate medium performers to improve by assessing/honing their strengths and correcting their weaknesses • To determine salary raises or holiday bonuses what is the purpose of an annual review?

20. At Springhill an annual review is a tool, or instrument, to strengthen: • Culture • Coordination • Coaching • Celebration what is the purpose of a review?

21. Quantitative review methodology • Provides a stated baseline to measure people • Provides a measurement method for all people • Impersonal • Reduces complex social realities to one-dimensional numerical variables • Assumes confirmable observations • Focuses upon short-term improvements at best • Records poor track records in a way that is easy to report and supportable in lawsuits what is the nature of a good annual review?

22. Qualitative review methodology • Personal conversation (whether written or verbal) because it is a more relational observation • Catches the complex social realities • Confirmation comes from multiple interviews • Tailors to the uniqueness of each person and each experience • More difficult to compare one person’s review with another person’s review • Focuses upon larger contexts and long-term improvement what is the nature of a good annual review?

23. Vision • Goal-setting • Team relations • Leadership • Problem-solving experiences • Impact upon culture • Spiritual life as it influences other people on the team • Final agreement for any personal development needs what do you review?

24. You are free to change the questions/topics of your review when you use qualitative methodology. You are not comparing the year-to-year numbers. So be creative every year. Why make a review predictable? what do you review?

25. Be careful. One size does not fit all. • Continually review staff members throughout the year. • Mold the conversation and questions to fit your key purposes of a review. • Get the staff member’s input before you insert your thoughts. what should I think about when doing a review?

26. Choose a teacher-coach style. If you aren’t wired for this, get someone else to do it. • Shift your sight to their growth. It’s not about you. • Honor honest evaluation and creative thinking—from both of you. • Stay with healthy relationship principles. what should I think about when doing a review?

27. In general, do not couple reviews with discipline. There should be no surprises in the review. • Meet for disciplinary discussions before performing the review. A prior disciplinary matter may then be reflected in the review, but don’t make it the focus of the review. • Protect your culture—because people will talk. when do you use reviews in the disciplinary process of a staff member?

28. Is there a difference between the review process in a large church from a medium church? • Purpose • Scope • Responsibility • Training other questions

29. How do you help staff members appreciate reviews, rather than fear reviews? • In general, you will create the expectations among everyone as you review people. • Build a healthy organizational culture by training—and expecting—healthy relational principles throughout the year. • Prepare people for the review by walking through the review with everyone in a staff meeting. • Before you start the review process, give them a support person who can serve in a mediatory way if the review falls apart. other questions

30. How do you participate in the Senior Pastor’s annual review? • Carefully • Selectively • Relationally other questions

31. Dr. Paul Utnage (he prefers “Paul” without the title) • Executive Pastor • Springhill Presbyterian Church, 7 W. Main Street, Suite 201, Bozeman, MT 59715 • (406) 582-8000 • paulu@springhillpres.com Contact Information

32. Bring issues from your organization’s review methods—practices that are currently being used at your church and practices that you’d like to attempt in the future. Q & A Send Questions via Chat to Tami