The objective of this policy is to clearly define the process for identifying, addressing, and improving underperformance in a consistent and supportive manner. It provides employees with measurable performance expectations, access to training and resources, and regular feedback to enable improvement. At the same time, it equips managers with clear procedures to handle performance issues effectively and professionally.
The purpose of the Performance Improvement Plan (PIP) Policy is to provide a structured, transparent, and fair framework for addressing employee performance challenges at Simulanis. It ensures that employees are given the opportunity, guidance, and resources to improve before any adverse action is considered. The policy also protects the organization from arbitrary or biased decisions and fosters a culture of fairness, accountability, and growth.
This policy applies to all employees of Simulanis, across every function and level within the organization. It outlines the identification and documentation of performance gaps, while clearly defining the roles and responsibilities of managers, employees, and the People Operations (P-Ops) team in the Performance Improvement Plan (PIP) process. The policy also details the structured interventions available, such as training and coaching, along with the review timelines and assessment procedures to ensure fairness and consistency. Additionally, it specifies the possible outcomes of the PIP process, which may include continuation of the plan, successful completion, or, in certain cases, termination.
A Performance Improvement Plan is a time-bound intervention involving measurable objectives, targeted development interventions, and regular reviews.
The Simulanis PIP framework includes:
Identification of performance gaps through data and observations
Managerial discussions and coaching
Formal initiation of the PIP, jointly involving People Operations
Assignment of specific upskilling or behavioral training
Weekly and monthly reviews of progress
Defined outcomes at the conclusion of the PIP
The PIP process ensures that employees are treated fairly and given an opportunity to succeed. It:
Protects employees from sudden disciplinary actions
Provides a clear, documented route for improvement
Encourages accountability and reflection
Aligns individual performance with company goals
Minimizes team or project disruptions through proactive intervention
A consistent escalation process ensures fairness and transparency.
Observation of Performance Gaps
Performance concerns may be observed and recorded by any team member.
Evidence (e.g., missed deadlines, errors, complaints) must be documented.
Verbal Warning
A discussion is initiated by the observer, Reporting Manager, or People Operations.
Specific concerns are communicated, with a short observation window (1–2 weeks).
Escalation to Reporting Manager
If no improvement is observed, the issue escalates to the Reporting Manager.
The manager reviews evidence, provides feedback, and offers support.
Escalation to People Operations
If no improvement occurs, People Operations issues a formal warning email with performance gaps, timelines, and a corrective plan.
Reporting Manager may recommend PIP enrollment with evidence.
People Ops validates and either initiates or rejects the recommendation.
Introduction of PIP
If no improvement is observed, the employee is formally enrolled in PIP.
A formal mail from People Ops outlines the reason, duration, training plan, tasks, and success criteria.
Evaluation and Next Steps
Employee submits weekly updates.
Monthly feedback sessions are conducted.
PIP may be extended (up to 6 months) or discontinued if improvement is achieved.
If no significant progress is made after 1 month, corrective actions (including termination) may be taken.
Enrollment in PIP
Formal email issued by People Ops with performance gaps, goals, duration, resources, and expectations.
Assignment of PIP Trainings
Targeted interventions may include technical training, behavioral training, mentoring, coaching, or on-the-job shadowing.
Weekly Progress Report
Employee shares weekly updates on progress, challenges, support needed, and next steps.
Monthly Review Meeting
Conducted with employee, Reporting Manager, and People Ops.
Reviews progress, provides feedback, and decides on continuation, extension, or conclusion of PIP.
Concluding the PIP & Next Steps
Final assessment determines outcome:
Successful Completion: Employee returns to normal employment.
Partial Completion: PIP extended for further progress.
Unsuccessful Completion: Disciplinary or separation process may be initiated.
Failure to cooperate with the PIP process will be treated as a breach of organizational policy.
Examples include:
Refusal to sign acknowledgment documents
Failure to attend scheduled reviews or training without valid reasons
Lack of participation in improvement efforts
Such non-compliance may lead to disciplinary action, including termination.
Technical Skills Refreshers: Targeted sessions to close technical gaps.
Soft Skills/Behavioral Training: Focus on communication, teamwork, time management, and professional conduct.
Mentoring or Coaching: Personalized support through regular sessions with a mentor/coach.
On-the-Job Shadowing: Practical exposure by observing high-performing colleagues.
Process for Updating
The PIP Policy may be updated in response to:
Changes in organizational needs or performance practices
New labor laws or industry standards
Feedback from employees, managers, or leadership
Shifts in strategic goals or internal systems
Updates must be reviewed by People Operations and approved by the CEO before implementation.
Communication of Updates
All updates will be documented and communicated to employees via official channels. Employees must acknowledge receipt to ensure clarity and compliance.