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Performance Appraisals

ObjectiveExplain what is Performance Appraisal

Describe the purpose of Performance Appraisal

Define Goals and Work Efforts

Define Performance Criteria

Explain the steps in Performance Appraisal Process

Describe Who Should Do the Appraising

Explain the various methods of Performance Appraisal

Explain the importance of Appraisal Interview

Explain the Requirements of an Effective Appraisal System

Describe the errors of Performance Appraisal

Introduction

Introduction

What is Michael talking about? Why is Chris feeling better hearing about ‘Performance

Appraisals’?

Introduction

‘Performance Appraisals’ will help Chris’s management to record and measure the performance of each of its employees

So, when the decision of choosing the new Senior Manager has to be taken, they can rely on the results of the ‘Performance Appraisals’ to choose the most suitable candidate

So, Chris feels better that during the ‘Performance Appraisals’, he will be able to clearly outshine Tom, as Chris is definitely a better performer than Tom

Let us learn more about ‘Performance Appraisals’

Chris

What is Performance Appraisal?

Performance Appraisal (PA) is the process that is used to evaluate the personality, performance and potential of the employees of an organization

It is a process of evaluating and communicating to an employee how he or she is performing the job and establishing a plan for improvement

Hence, it is a system of review and evaluation of job performance to assess accomplishments and to evolve plans for development

Purpose of Performance Appraisal - For the Employee

Offers direction

Provides feedback about their performance

Provides inputs for improvement

Offers motivation for future level of effort and task direction

Clarifies task perception of the employee

Purpose of Performance Appraisal - For the Organization/Management

Ensures proper documentation of performance

Offers Legal protection

Creates a motivation system

For decisions relating to promotions, firings, layoffs, and merit pay increases

Provides input for training and development needs

Defining Goals and Work Efforts

SSpecific and clearly state the desired results

M

Measurable in answering “how much”

A

Attainable and not too tough or too easy

R

Relevant to what’s to be achieved

T

Timely in reflecting deadlines and milestones

The best defined goals are ‘SMART’ goals which are:

Steps in Appraisal Process

Anticipate & Consider• Problems in

Performance Appraisal

• Effective Performance Appraisal System

Management Support• Coaching • Training and

Development

Plan the Performance• Identify & Communicate

Performance Goals• Establish Performance Criteria

Determine• Appraisal Period and Methods• Responsibilities for Appraisal

Examine Work Performed

Appraise the Results

Conduct Appraisal Interview• Discuss Goals for next Period

Setting & Communicating

Performance Standards

Measuring Standards

Comparing Standards

Discussing Results

Taking Corrective Standards

In this method the supervisor rates employees according to items on a numerical scale. BARS helps to overcome errors in performance appraisals that occur while using a graphic rating scale

Performance Appraisal Methods - Behaviourally Anchored Rating Scales (BARS)

• •

The managers, peers, customers, suppliers, or colleagues are asked to complete questionnaires on the employee being assessed

The person or employee being assessed is also required to complete a questionnaire

The HR department provides results to the employee. The results help the employee to understand how his opinion differs from those of the group doing the assessment

•

Performance Appraisal Methods - Multi-Rater Assessment or 360 Degree Feedback

Appraisal/Feedback InterviewThere are a few key points that a manager or appraiser should keep in mind for conducting an Appraisal Interview, such as:

He should be

direct and

specific He should never get personal

He should encourage the

employee to talk as well

He should develop an action plan from the

information gathered

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