Annual Report and Accounts 2016


John Lewis Partnership plc


27


Performance We will…


k Be bolder in creating the conditions for outstanding performance


Only 2% of Partners are currently rated ‘Outstanding’ – aim is to see more Partners truly rewarded for outstanding performance.


k Become more confident to deal with underperformance decisively


Make it easier for managers to have meaningful performance conversations with their teams. Processes, policies, advice and learning tools to be reviewed, enabling line managers and Partners to have honest conversations with confidence, with ‘on the spot’ feedback in the longer term.


k Embed robust performance management process


Make it easier for managers to record appraisal ratings as well as introducing a ‘zero tolerance’ approach to appraisals that are overdue. Every Partner to know how to improve their performance and encouraged to stretch to better levels of performance, resulting in more differentiation across pay ranges.


k Raise the value of membership by earning it


New joiners to have a ‘meaningful’ probationary period – measured not just through time served but linked to a defined performance bar, set at achieving ‘Good’ in both the How and the What.


We will introduce peer input to our performance reviews at all levels.


Aim is to experiment with peer review contributing to performance reviews at all stages and levels.


Productivity We will…


k Inspire Partners to get involved in continuous improvement (CI) initiatives


Build our CI expertise through projects targeted at improving all types of productivity. Encourage sharing and ‘storytelling’ to foster passion for improvements beneficial to the Partnership.


k Embrace technology that enhances productivity


New technology will lead to greater efficiencies and changes in hours, skills and roles required. We will need fewer Partners, will be more productive and so can pay Partners more. Partners to be helped to embrace new skills/opportunities.


k Encourage truly flexible and curious Partners


Partners will be expected to work in different areas at different times and learn new skills that add value. Policies, processes and ways of working to be reviewed to enable greater flexibility.


k Review our approach to sick absence


We understand Partners will sometimes need time off of work to help recover from illnesses but need to review how we handle absence from work holistically.


k Review our working patterns and mix of part-time and longer-hours Partners


Ensure Partners’ hours are more closely aligned with shopping patterns and stock handling peaks. Aim to avoid over-reliance on short-hours Partners and give opportunity to others to work more flexibly, while giving Partners the number of contracted hours they want.


k We will review how we’re organised and look for ways to work more efficiently


Progression We will…


k Be innovative with learning opportunities and experiences


Aim to run experiments so Partners can experience new and different things plus a number of ‘life stage experiments’ to support Partners with key transition points e.g. becoming a working parent.


k Take every opportunity to reinforce and develop our ‘learning agility’


Find meaningful ways to assess learning agility at selection stage and, for current Partners, design learning programmes to grow it. With 70% of learning through new and stretching experiences (not courses), support line managers in creation of everyday experiences that stretch Partners.


k Make better use of training and development investment and time


Partners want to develop their skills but the biggest barrier to this is time. Aim to significantly reduce the time taken to do mandatory training and be more efficient with available funds so more can be diverted to support new skills and career development for existing Partners.


k Provide the right tools and equipment to help Partners make the most of the career opportunities of the Partnership


It is difficult to navigate around today’s bigger Partnership, so clear information will grow Partners’ knowledge; defined entry-level positions will make career jumps into different areas easier; self-help tools and career coaches will help Partners make own choices. Active support for moves across Divisions.


k Invest wisely in future competitive capabilities


New capabilities can provide more opportunities for Partners to progress. Being clear what we need as a business (together with proactive planning and investment) will ensure, where appropriate, that we build the capabilities that differentiate us instead of recruiting externally.


Pay We will…


k Retain Pay for Performance for all Partners


The key way to reward individual performance. Accounting for likely movements in the National Living Wage, starting rates will be reviewed and pay will be compared to a wide range of competitors; reasons for differences will be clear. Partners to know what they’re paid against the market and the pay available for additional performance.


k Keep under review premium payments and other pay-related complexities across our business


Layers of ‘legacy’ arrangements create complexity and make true pay for performance harder to achieve. We have removed premium pay arrangements for new starters.


k Ensure that the pay review budget is never used as an excuse to avoid an honest performance conversation


The business is serious about performance being what drives pay. We need to become more comfortable with greater variance on pay review outcomes between Partners and business units, based on performance and productivity growth.


k Experiment with financial incentives linked to the performance of teams


Individual performance is already recognised through a Partner’s pay but Partners also want recognition for efforts as a team when they achieve exceptional results.


It’s Your Future


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