A Simple Study on Performance Appraisal System

8/3/2019 A Simple Study on Performance Appraisal System

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A SIMPLE STUDY

ON

PERFORMANCE APPRISAL SYSTEM


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PA is the method of evaluating the

behaviour of the employees in the

workplace, normally including

both quantitative and qualitative

aspect of the job.

How the employee is performing

How the employee can develop

What the superior can do to make it

happen

How the job is going

What is Performance Appraisal


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Provide information about the performance ranks.

Decision regarding salary revision, confirmation,

promotion and demotions.

Provide feedback about level of achievement and

behaviour of the subordinate.

Provide information which helps to counsel the

employees.

Provide information to diagnose the deficiency of

the employees.

Provide training and development needs of the

employees.

WHY conduct a PerformanceAppraisal


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The performance review must occur atleastonce in a year. Some companies review twice in

a year.

However, as a part of PerformanceManagement, the performance review is acontinuing, ongoing activity.

WHEN to conduct a PerformanceAppraisal


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Establish a more effective two way communication

Set performance objectives

Help improve current performance

Assess past performance

Provide feedback on performance

Identify training & development needs

Allocate rewards

Identify staff with promotional possibilities

Assist in career planning decisions

OBJECTIVES of PerformanceAppraisal


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The Appraisee

The Appraiser

HR Department

WHO are involved in Performance

Appraisal


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Regularity of theAttendance.

Ability to work

individually or in group.

Leadership skills.

Initiative, Technical skills.

Ability to grasp new things.

Area of interest.

Attitude.

Job Knowledge.

Content of Performance Management

Judgmental Skills.

Area of improvement.

Past Achievement.

Honesty and sincerity.

Innovativeness

Cost & Time consciousness

Communication


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Traditional Methods ofTraditional Methods of

Performance Appraisal.Performance Appraisal.

Graphic Rating Scales: This is the oldest and

most widely method used for performance

appraisal. The scales may specify five points, so

a factor such as job knowledge might be rated 1(poorly informed about work duties) to 5 (has

complete mastery of all phases of the job).


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Quantity of work: Volume of workunder normal working

conditions

Unsatisfactory(1)

Fair(2)

Satisfactory

(3)

Good(4)

OutStandi

ng(5)

Quality of work: Neatness,thoroughness and accuracy ofwork Knowledge of job

A clear understanding of the

factors connected with the job

Attitude: Exhibits enthusiasm andcooperativeness on the job

Table: Typical Graphic Rating Scale

Employee Name................... Job title .................Department ......................... Rate ...............

Data ..................................


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Ranking MethodRanking Method

This is one of the oldest and simplest

techniques of performance appraisal. In

this method, the appraiser ranks the

employees from the best to the poorest on

the basis of their overall performance. It is

quite useful for a comparative evaluation.


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Performance Points Behavior

Extremely good 7 Can expect trainee to make valuable suggestions forincreased sales and to have positive relationships withcustomers all over the country.

Good 6 Can expect to initiate creative ideas for improved sales.

Above average 5 Can expect to keep in touch with the customers throughout

the year.

Average 4 Can manage, with difficulty, to deliver the goods in time.

Below average 3 Can expect to unload the trucks when asked by thesupervisor.

Poor 2 Can expect to inform only a part of the customers.

Extremely poor 1 Can expect to take extended coffee breaks and roamaround purposelessly.


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Paired Comparison MethodPaired Comparison Method

A better technique of comparison than the

straight ranking method, this method compares

each employee with all others in the group, one

at a time. After all the comparisons on the basisof the overall comparisons, the employees are

given the final rankings.


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Forced distribution methodForced distribution method

Forced ranking is a method of

performance appraisal to rank

employee but in order of forced

distribution.


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Checklist MethodChecklist Method

Another simple type

of individual

evaluation method is

the checklist.

Is the employee really interested in the taskassigned? Yes/No

Is he respected by his colleagues (co-workers) Yes/No

Does he give respect to hissuperiors? Yes/No

Does he follow instructions properly? Yes/No

Does he make mistakes frequently? Yes/No


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Critical Incidence MethodCritical Incidence Method

Under this method, the manager prepares lists ofstatements of very effective and ineffective behavior of anemployee. These critical incidents or events represent the

outstanding or poor behavior of employees on the job .

July 20 Mr. Timmaji patiently attended to the majorcustomers complaint. He is polite, prompt, enthusiastic in

solving the customers problem.

On the other hand the bad critical incident may appear asunder:

September 28 Mr. Timmaji stayed 45 minutes over on hisbreak during the busiest part of the day. He failed toanswer the store managers call thrice.


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Essay MethodEssay Method

This method asked managers /

supervisors to describe strengths and

weaknesses of an employees behavior.


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Confidential ReportConfidential Report

It is mostly used in government organizations. It

is a descriptive report prepared, generally at the

end of every year, by the employees immediate

superior. The report highlights the strengths andweaknesses of the subordinate.


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Modern Methods


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MBOMBO

A process whereby the superior and

subordinates of the organization jointly

identify its common objectives, define

each individuals major areas of

responsibility.1. Establishment of Goals

2. Setting the performance standard

3. Actual level of job attainment is

compared with the goals agreed upon.

4. Establishing new goals and newstrategies for goals not previously

attained.


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PSYCHOLOGICAL APPRAISALS:PSYCHOLOGICAL APPRAISALS:

When psychologists are used for evaluations, they

asses an individualspotential. The appraisal consists

of in-depth interviews, psychological tests,

discussions with supervisors and a review of other evaluations.


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Assessment CentreAssessment Centre

This not a technique of performance appraisal

by itself. In fact, this is a system or organization

where assessment of several individual is done

by experts by using various techniques. Thesetechniques used role playing, case studies etc.


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360 DEGREEFEEDBACK


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What is 360 DF?

360 Degree Feedback is a multi - raterfeedback system where an individual is

assessed by a number of assessors including

his boss, direct reports, colleagues, internal

customers and external customers


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Internal

Customers

Boss

Peers

External

Customers

Team

Members

Self

Feedbackcollected from Using a speciallydesigned tool Anonymously

What is 360 DF?What is 360 DF?


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1. Halo/horn effect employees

extreme competence in one

area shines over all others.

Conversely, employee does

poorly in one area and this

overshadows all areas.

2. Bias own prejudices {race,

national origin, gender,

appearance, etc.} influence the

appraisal

3. Comparison Rating

contrasting one employee with

another

Common Problems Associated with Conductingthe Appraisal


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3. Central Tendency rate everyone as average

4. Recency Effect focusing on recent

performance instead of entire year

5. Personal Prejudice If the rater dislikes one

group or employees, he may rate them at the

lower end.

6. Favoritism evaluating friends or those whodont make waves, etc. more favorably than

others

Common Problems Associated with Conducting the

Appraisal


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Documents

A Simple Study on Performance Appraisal System