PIP template for HR and team leads: Build it right the first time

A garden doesn’t thrive by yanking at the plants when they don’t bloom fast enough. It thrives with care—regular watering, the right amount of sunlight, and a bit of patience.

When one plant starts to wither, the solution isn’t to rip it out immediately. You check the soil. You reposition it. You ask: what does it need to grow?

People aren’t all that different.

When an employee underperforms, it doesn’t always mean they’re the wrong fit. Sometimes, it just means they’re in the wrong environment—or missing the support to thrive.

A well-crafted Performance Improvement Plan (PIP) isn’t a threat. It’s a chance to replant, realign, and give someone the space and structure to grow. In this blog, we’ll show you how to build a PIP template that nurtures—not punishes—potential.

What is a performance improvement plan?

A Performance Improvement Plan (PIP) is a structured document designed to address specific performance concerns by outlining clear expectations, measurable goals, and deadlines. Rather than focusing on personal shortcomings, a PIP targets performance gaps using factual, unbiased feedback aimed at helping employees meet required standards.

Typically, a PIP includes documented observations, action steps, support resources, and defined timelines. It equips employees with the guidance and tools they need to improve effectively. Managers and HR teams use PIPs not only to foster improvement but also to maintain documentation that ensures fairness and legal protection if further action is necessary.

The plan involves regular check-ins to monitor progress, adjust strategies, and provide support. Successful completion allows the employee to continue in their role; otherwise, reassignment or termination may occur. Tools such as a professional improvement plan template, sample PIP, or a performance improvement plan template free help standardize and streamline this process for consistent and clear communication.

Why use a performance improvement plan?

A Performance Improvement Plan (PIP) is more than just a formal document; it’s a powerful tool that helps both employees and managers navigate performance challenges. Here’s why using a PIP can be a game-changer in fostering growth and success.

• Clarifies expectations: A PIP sets clear and measurable goals, making it obvious what is expected from the employee. Without these guidelines, employees may struggle to know exactly where they need to improve, leading to confusion and frustration.
• Provides structured support: A well-structured PIP includes resources, training, and feedback, creating a roadmap for the employee to follow. This guidance ensures they have the tools necessary to improve and succeed in their role.
• Promotes fairness: Using a PIP ensures that every employee is given a fair opportunity to meet performance expectations. It helps to level the playing field and prevents biased or subjective evaluations, ensuring everyone gets a chance to improve.
• Reduces legal risks: If an employee’s performance does not improve, having a documented PIP reduces the risk of legal repercussions. It provides evidence that the company made a reasonable effort to support the employee before taking any further action.
• Encourages development: PIPs are not just about identifying problems; they’re about fostering growth. Employees who succeed in their PIP often feel more motivated and valued, which boosts their engagement and future performance.

Benefits of using performance improvement plans

A Performance Improvement Plan (PIP) offers more than just a structured approach to performance issues. It has multiple benefits for both managers and employees, ensuring long-term success for individuals and teams.

• Clear communication of expectations: A PIP defines specific performance goals and the criteria for success. This transparency helps employees understand exactly what is expected of them, reducing uncertainty and aligning their efforts with company objectives.
• Improved employee performance: With regular feedback and actionable steps, a PIP provides employees with a clear path to improvement. The structure and support often lead to better results, turning performance around when given the right resources and time.
• Increased employee engagement: When an employee sees that their manager is invested in their development, it fosters loyalty and motivation. A PIP is a sign that the company values its employees and is willing to help them succeed.
• Protects the organization: A well-documented PIP can protect the company from potential legal challenges by demonstrating a fair and consistent approach to managing performance issues.
• Encourages a culture of accountability: PIPs help create a workplace where accountability is prioritized. Employees know what is expected and are held responsible for meeting performance standards, contributing to a more productive environment.

Disadvantages of performance improvement plans

While a Performance Improvement Plan (PIP) can be a great tool, it’s not all sunshine and rainbows. Sometimes, it comes with its own set of challenges that can impact both the company and the employee.

• Can be demotivating: A PIP can feel like a “last chance” ultimatum, which may make employees feel like they’re on the chopping block. This critical tone can hurt their morale and productivity, making improvement harder to achieve.
• Might not address the root cause: PIPs often focus on surface-level issues. Without proper access to the right resources or support, employees may fail to demonstrate any real improvement. A PIP can sometimes just gloss over deeper, more complex problems within the business process.
• Takes time to be effective: A PIP demands consistent effort, and the process to determine its effectiveness can drag on. This can cause delays in addressing performance issues, which might hurt the company’s overall quality and productivity.
• Could harm team dynamics: When employees are placed on a PIP, others may perceive it as a sign of failing or incompetence. This can create tension or division in the team, which impacts morale and teamwork.
• Risk of legal complications: If not executed properly, a PIP can backfire, especially if the company fails to demonstrate a fair process. This could lead to legal challenges, especially if the plan is viewed as unfair or inconsistent.

When (and when not) to use a performance improvement plan

A Performance Improvement Plan (PIP) can be a game-changer, but only when it’s used at the right time. Here’s when to implement a PIP template and when it’s better to look for other solutions.

• When to use a PIP: When employee performance issues become consistent and hinder productivity, implementing performance improvement plans is essential. A performance improvement plan template helps create measurable objectives and clear performance metrics to guide employees back on track.
• Setting clear job expectations: A PIP is valuable when employees are struggling to meet job expectations despite adequate support. It outlines expectations, tracks employee's progress, and offers structure for achieving improved performance.
• When improvement is possible: If there’s a genuine chance for the employee to improve, using a PIP is a great tool to guide them. If the employee can meet job expectations, the PIP helps with job satisfaction and continued development.
• When not to use a PIP: If performance issues are due to a lack of fit for the role, or if there’s a fundamental issue that cannot be fixed with a PIP, it may be time to reconsider the approach. In these cases, using a PIP might lead to frustration and poor morale rather than improvement.

Building a culture-first PIP: What great templates always include

A performance improvement plan (PIP) should do more than just address poor performance; it should support underperforming employees with clear goals and a plan for success. A well-designed PIP template fosters a healthy culture and drives improvement.

• Clear expectations: A great performance improvement plan template clearly defines the job requirements and the standards an employee must meet. This transparency helps employees understand exactly what is expected of them and eliminates any confusion.
• Actionable goals: The plan should outline measurable objectives and performance metrics that are easy to track. These goals should be aligned with the company’s vision and meeting expectations, ensuring that employees know what success looks like.
• Transparent communication: Effective transparent communication between managers and employees is essential. The PIP should encourage open discussions, allowing managers to provide continuous feedback and employees to voice any concerns.
• Support for growth: Rather than focusing solely on mistakes, a great PIP emphasizes development. It includes support, resources, and a plan for the employee to improve and succeed in their role.
• Training for managers: Managers must be trained on how to provide constructive feedback and support during the PIP process. Implementing performance improvement plans is only effective when managers know how to guide employees through it.
• Alignment with company policies: The PIP should be consistent with company policies to ensure fairness and adherence to organizational values. This alignment ensures the process remains ethical and standardized.
• Follow-up and progress tracking: Regular check-ins and feedback sessions should be incorporated to monitor the employee's progress, assess whether they’re meeting expectations, and make any necessary adjustments to the plan.

Tips to consider before implementing a performance improvement plan

Before jumping into creating a performance improvement plan (PIP), it’s important to set the stage properly. Consider these tips to ensure the process is effective and supports both the employee and company goals.

• Use a solid PIP template: Start with a comprehensive performance improvement plan template that clearly outlines the action plan, goals, and performance expectations. A well-organized template ensures that all necessary details are captured, preventing confusion during the process.
• Document everything: Maintain a paper trail of all communications and feedback provided to the employee. This documentation will help you track progress, provide legal protection, and demonstrate the company’s commitment to addressing poor performance.
• Create an open dialogue: Encourage open dialogue throughout the PIP process. Managers should regularly check in with employees to assess progress, provide support, and ensure expectations are understood. Transparency helps prevent misunderstandings.
• Get buy-in from the employee: For the PIP to succeed, the employee must be on board. Make sure they fully understand the expectations and are committed to making improvements. Gaining buy-in is crucial for motivation.
• Train managers: Ensure managers are trained in how to implement and manage a PIP effectively. This includes providing feedback, setting goals, and monitoring performance regularly.

What’s included in a performance improvement plan?

A performance improvement plan (PIP) includes several key components that help guide underperforming employees towards improvement. Here’s what a comprehensive PIP should always contain:

• Clear performance goals: The PIP should specify the performance expectations the employee needs to meet. These goals should be measurable and realistic, giving the employee a clear understanding of what’s expected.
• Actionable steps for improvement: The plan should outline specific actions and behaviors that need to change. It may include additional training or adjustments to workflows to help the employee improve.
• Timeline and deadlines: A PIP must include a clear timeline with deadlines for meeting performance goals. This timeline ensures the employee knows when improvement is expected and allows managers to track progress effectively.
• Available support and resources: Managers should detail what resources (training, mentoring, tools) are available to help the employee succeed. Support should be outlined to ensure the employee has what they need to improve.
• Regular feedback and check-ins: Scheduled meetings should be set to assess the employee’s progress. Feedback should be constructive and based on performance metrics, offering opportunities to adjust the plan as needed.

How to write a performance improvement plan

Writing an effective performance improvement plan (PIP) is crucial for addressing employee performance issues and driving improvement. Follow these steps to ensure the PIP is clear, actionable, and results-driven.

• Identify performance gaps: Start by identifying the specific problem areas in the employee’s performance. Use clear examples to demonstrate where they are not meeting expectations and how it impacts the organization.
• Create measurable goals: Develop clear, measurable goals for the employee to work towards. These goals should be aligned with the business objectives and should define what success looks like in terms of outcomes.
• Outline actionable steps: List the specific actions the employee must take to improve their skills and performance. Include any training or resources that may be necessary to close the gaps.
• Set timelines: Establish a clear timeline for the improvement plan. Set deadlines for addressing specific issues and meeting goals. This ensures both the employee and management are aligned on expectations.
• Determine consequences: Make it clear what the consequences will be if the employee does not meet the performance goals by the end of the PIP. This is crucial for implementing a fair and transparent process.
• Train managers: Ensure that managers are trained to handle the PIP process, providing regular feedback and support, and assessing progress effectively. Access to the right tools and skills is essential for success.

Mistakes to avoid when using a PIP

A performance improvement plan (PIP) is a powerful tool, but only when used correctly. Avoid these common mistakes to ensure the process drives real improvement and positive outcomes for your organization.

• Using a generic PIP template: Relying on a one-size-fits-all pip template without customizing it for the specific situation can backfire. Tailor the improvement plan to the employee’s role, challenges, and the organization's unique goals.
• Setting vague goals: An improvement plan must set clear, measurable goals. Vague objectives confuse employees and make it impossible to track performance improvement effectively or measure outcomes.
• Poor communication: Management must clearly explain the reasons for the PIP and the expectations. Without open communication, employees may feel blindsided, leading to mistrust and resistance.
• Lack of access to support: Employees should have access to the necessary resources, mentorship, and training. Without it, even the best intentions won’t lead to successful improvement.
• Focusing only on business needs: While business goals matter, ignoring the employee’s perspective and growth opportunities can hurt long-term engagement and performance.
• Failure to monitor progress: Regular check-ins are crucial. Ignoring updates can derail the improvement plan and leave management unaware of actual progress or setbacks.
• Using a PIP to push someone out: A PIP should be about genuine improvement, not a strategy to exit employees. Misusing it damages trust within the organization and weakens the business culture.

Free performance improvement plan templates to follow

Choosing the right pip template can make the process smoother and more effective. Here are some excellent free templates that help you build a strong performance improvement plan without missing a beat.

• Simple PIP template: This straightforward template focuses on clearly stating the performance issues, improvement goals, and timelines. It’s perfect when you need a quick but effective framework for driving improvement.
• Detailed performance improvement plan: Designed for more complex cases, this template digs deep into performance metrics, outlines specific improvement actions, and assigns deadlines. It’s ideal when a thorough, documented process is required.
• 30-60-90 day improvement plan template: This popular format breaks down the improvement journey into clear 30-day segments. It’s a great example of how to structure goals in phases for steady, measurable progress.
• Skill-based performance improvement plan: Perfect when the issue involves upgrading specific skills, this template focuses on skill gaps and development milestones. It offers a clear path to building necessary competencies.
• Behavioral improvement template: When performance concerns are behavior-related rather than technical, this improvement plan template provides a framework for addressing interpersonal and attitude issues with specific examples and goals.

Performance improvement plan best practices

Crafting a great performance improvement plan isn’t just about filling in a pip template. It’s about setting the right tone, structure, and support to truly help employees succeed. Here’s how to do it right.

• Customize the pip template: Every performance issue is unique, so the pip template must be tailored to fit the situation. Generic templates risk missing important context, reducing the chance of real improvement.
• Focus on measurable outcomes: A strong performance improvement plan sets clear, measurable targets. The goals should be easy to track and review, making the employee's improvement journey transparent for everyone involved.
• Set realistic timelines: An improvement plan should give employees a fair amount of time to address their challenges. Unrealistic deadlines only add stress and reduce the chance of meaningful performance improvement.
• Provide regular feedback: Don’t wait until the end of the plan to offer feedback. Frequent check-ins help adjust goals if needed and keep the employee motivated throughout the improvement journey.
• Offer support and resources: Equip employees with the right tools, training, and mentorship. Real improvement comes when the organization invests in the employee’s development during the performance plan process.

Using pulse surveys to identify roadblocks during a PIP

Even the best performance improvement plans can hit bumps along the way. Pulse surveys are a smart, quick way to catch issues early, keep communication open, and fine-tune the process for better outcomes.

• Track employee sentiment: Pulse surveys allow managers to gauge how employees feel during the PIP. Regular check-ins help spot stress, confusion, or frustration before it affects performance or engagement.
• Identify unclear expectations: If survey results show repeated misunderstandings, it’s a sign that the pip template or improvement plan goals need more clarity. Early detection prevents bigger issues down the road.
• Measure effectiveness of support: Surveys can reveal whether the support systems (training, mentorship, feedback) are actually helping. If employees report lacking resources, management can adjust and provide better tools.
• Spot gaps in communication: Frequent surveys uncover communication breakdowns between managers and employees. Open feedback ensures smoother progress and prevents feelings of isolation during the improvement journey.
• Refine the improvement plan: Data from pulse surveys helps managers tweak the performance improvement plan in real-time, improving the chances of lasting performance growth.

Conclusion

Building the right pip template is more than just filling out a form—it’s about creating a supportive path for growth, accountability, and real performance improvement. A well-designed plan helps HR and team leads guide employees back on track without losing morale or momentum.

That’s where CultureMonkey can step in and make a difference. With its pulse surveys, real-time feedback analytics, and employee engagement tools, CultureMonkey helps leaders understand employee challenges early and act with precision.

Whether it’s spotting trends during a performance improvement plan or creating a healthier workplace overall, CultureMonkey gives you the insights you need to build a stronger, happier, and more productive team.

Summary

Performance Improvement Plans (PIPs) offer employees clear guidance on expectations and provide the tools they need to improve. With specific goals, resources, and regular feedback, employees are supported throughout the process.

By setting measurable objectives, PIPs ensure fairness and help eliminate bias in performance evaluations. They also document efforts made to assist the employee, offering protection in case further action is required.

Rather than focusing solely on failures, PIPs promote development. Employees who engage with the plan are often more motivated, leading to better performance and a stronger commitment to the organization.

Clear communication is a vital part of a PIP, as it ensures transparency and minimizes misunderstandings. Through regular check-ins and defined goals, both managers and employees can stay aligned and focused.

Ultimately, PIPs foster a culture of accountability by defining performance expectations and holding employees responsible. This creates an environment where everyone is empowered to reach their goals and contribute to the company’s success.

FAQs

1. What is the performance improvement plan success rate?

The success rate of a performance improvement plan varies but typically falls between 20% and 50%. Success largely depends on how well the pip template is structured, the support provided by management, and how committed the employee is to improvement. A clear, personalized plan backed by consistent feedback significantly boosts the chances of success.

2. How long should a performance improvement plan last?

A performance improvement plan usually lasts between 30 and 90 days, depending on the complexity of the performance issues. The timeline should give enough opportunity for employees to demonstrate improvement while keeping the process focused. A well-structured pip template clearly outlines the duration to maintain consistency and fairness throughout the plan.

3. What are areas of improvement for employees?

Common areas of improvement for employees include communication skills, time management, teamwork, technical abilities, leadership, and adaptability. A well-built pip template helps identify specific problem areas and sets clear, measurable goals. Addressing these areas through a targeted performance improvement plan ensures continuous growth, better job satisfaction, and stronger overall team performance.

4. What happens after a performance improvement plan?

After a performance improvement plan, the employee's progress is reviewed. If improvement is demonstrated, they may continue in their role with ongoing support. If performance remains lacking, further steps, such as reassignment or termination, may occur. A well-structured pip template ensures clarity in next steps, guiding both employees and managers toward productive outcomes.

5. When to use a performance improvement plan?

A performance improvement plan should be used when an employee is consistently struggling to meet job expectations despite regular feedback. It’s ideal for addressing poor performance systematically, offering structured support. Using a clear pip template ensures that both the employee and management stay aligned on goals, expectations, and the path toward measurable improvement.

6. Is a PIP legally required before termination?

A performance improvement plan is not legally required before termination, but many organizations use it to demonstrate fairness and due process. A structured pip template documents the support and opportunities given to the employee. This documentation can protect the company in case of disputes and shows a genuine effort to encourage improvement.