Performance Improvement Plan (PIP)

A Performance Improvement Plan (PIP) is a program that outlines specific steps that an employee must take to improve their job performance. For example, a PIP may be assigned to a sales rep who has not met quota, or needs help in reaching their full potential.

When an employee is not meeting expectations, a manager will typically inform them that they are now on a PIP and outline the specific elements assigned to them:

  1. Employee goals and objectives:
    The plan should outline specific areas where the employee can improve and measurable goals that will be tracked.
  2. Timeline:
    The plan provides a timeframe for the employee to achieve the goals outlined in their plan.
  3. Action steps:
    Specific steps the employee should take to improve their performance. These may include increased output, training, mentorship or coaching.
  4. Regular reviews:
    The plan will include regular meetings between the employee and their manager to track progress and make adjustments as needed.

The goal of the PIP is to help a struggling employee realize their full potential. Rather than waiting for an employee to fail and be let go, the PIP is a proactive approach that aims to address performance and achieve a positive outcome.

How to Survive a Performance Improvement Plan