How to build a performance improvement plan (PIP) template

Support growth, accountability, and transparent progress

In this guide, you’ll build a performance improvement plan (PIP) form that helps HR and managers set clear expectations, define measurable goals, and follow up on progress over time. You’ll also automate notifications, evaluations, and follow-up reviews.
📘 Learn more: Create your first form, app, or portal in a flash

Step 1 — Create your PIP form

Start from your workspace and click + New → Form. You can start from scratch or use the Performance Review or AI employee performance review evaluation template from the Template gallery.

Or use Magic Create, describe your goal:

“A performance improvement plan form for managers and HR to set goals, timelines, and follow-up actions for underperforming employees.”

Why this matters: a digital PIP keeps everything documented and consistent while showing genuine commitment to employee growth.
📘 Learn more: How to create any form using Magic Create in Formaloo

Step 2 — Add employee and manager details

Capture the key information to personalize each plan:

• Employee name
  
  
• Job title / department
  
  
• Manager / supervisor name
  
  
• HR representative (optional)
  
  
• Date of meeting / plan start date
  
  
• Review period end date
  
  

💡 Tip: Prefill these fields from your HR database or Employee Directory.
📘 Learn more: What are linked rows and how to use them

Step 3 — Define areas for improvement

Add descriptive and rating fields to clarify expectations:

• Performance areas needing improvement (multi-select)
  
  
• Description of performance issues (long text)
  
  
• Impact on team or company goals
  
  
• Employee’s own comments or feedback
  
  

📘 Learn more: Form editor and field types

Step 4 — Set SMART goals and measurable metrics

Add a section for goals that are specific, measurable, achievable, relevant, and time-bound:

• Goal title
  
  
• Expected result or KPI
  
  
• Support or training provided
  
  
• Deadline / completion date
  
  
• Progress or completion status
  
  

💡 Pro tip: use logic to show tailored coaching resources based on selected improvement areas.
📘 Learn more: How to add advanced logic to your form

Step 5 — Add progress tracking and rating fields

Use variable fields to quantify progress over time:

• Performance rating before plan (1–5)
  
  
• Current progress rating (1–5)
  
  
• Final performance rating (1–5)
  
  
• Improvement score (calculated automatically)
  
  

Example formula:

@improvement = (@final_rating - @initial_rating)

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📘 Learn more: How to add and calculate scores using variable fields

Step 6 — Add review and approval sections

Include internal-only fields for managers or HR:

• Manager comments / evaluation
  
  
• HR review notes
  
  
• Final decision (Improved / Extended / Terminated / Promoted)
  
  
• Signatures (employee, manager, HR)
  
  

📘 Learn more: How to edit forms and form responses

Step 7 — Automate reminders and updates

Open Settings → Advanced logic or Notify tab to create smart automations:

• To employee: confirmation of PIP start with plan details.
  
  
• To manager: reminders before follow-up meetings.
  
  
• To HR: notifications when ratings or statuses change.
  
  

Use variables like @employee_name, @goal_title, and @review_date.
📘 Learn more: How to send and receive conditional email notifications

Step 8 — Enable on-update logic for follow-ups

Use on-update logic to react to progress updates:

• When progress ≥ 80% → Notify HR for review.
  
  
• When deadline passes without update → Send reminder to manager.
  
  
• When final decision = Improved → Trigger “End of PIP” email.
  📘 Learn more: What is on-update logic and how it works
  
  

Step 9 — Build a performance tracking dashboard

In Results → Responses, create a dashboard to visualize progress:

• Table view: all active PIPs with deadlines and statuses.
  
  
• Kanban view: group by Status (Active, Under review, Completed).
  
  
• Charts: measure improvement rate, department trends, or average plan duration.
  📘 Learn more: How to create a Kanban board
  
  

Step 10 — Create a performance management portal

From your workspace, create a Performance Portal.

Add pages such as:

• Active PIPs (manager view)
  
  
• My plan (employee view)
  
  
• HR review dashboard
  
  
• Training resources
  
  

Set access permissions so employees see only their plan, while managers and HR can view all.
📘 Learn more: How to create a portal and manage users’ access

Step 11 — Generate PIP summary PDFs

Use custom PDF templates to generate professional PIP documents automatically, including:

• Employee and manager details
  
  
• Goals and metrics
  
  
• Evaluation results
  
  
• Signatures and next steps
  📘 Learn more: How to generate custom PDFs using templates
  
  

Step 12 — Use AI to identify performance trends

Enable AI Analyze to spot common performance gaps and training needs:

• “Top 3 improvement areas across departments.”
  
  
• “Average time to achieve PIP goals.”
  
  
• “Success rate by manager.”
  📘 Learn more: Uncover insights and trends in your data with AI Analyze
  
  

Pro tips

• Add linked rows to connect the PIP form with your Employee Directory or Performance Review database.
  
  
• Use Memory Forms so manager and HR details prefill automatically.
  
  
• Add approval logic if multiple reviewers need to sign off before finalizing the plan.
  📘 Learn more: Build personalized and time-saving flows with logic, automations, and AI
  
  

Example scenario

An HR manager creates a PIP for a sales rep whose performance has declined. The form outlines measurable goals and a 60-day timeline. Progress is tracked weekly, and on reaching 90% goal completion, HR is notified automatically. At the end, a summary PDF is sent to the employee and stored in the portal under “Completed PIPs.”

FAQ

1. Can multiple reviewers collaborate on a PIP?
Yes, share the record or manage permissions via the portal for manager and HR access.

2. Can I reuse this PIP template for other employees?
Absolutely, duplicate the form and link it to each employee’s record.

3. Can I store progress reports and documents in one place?
Yes, upload supporting files or link to related performance reviews.

Your performance improvement system is live, empower growth and accountability

You’ve built a complete PIP workflow that supports structured improvement, transparent reviews, and data-driven coaching. Keep evolving it with automations, dashboards, and AI insights to turn challenges into growth stories.
📘 Learn more: How to personalize ending pages and email notifications with AI

Last updated October 2025

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