Performance Appraisal Methods in Manufacturing Industry

8/11/2019 Performance Appraisal Methods in Manufacturing Industry

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PERFORMANCE APPRAISAL

METHODS IN MANUFACTURING

INDUSTRYMalisetty Mahesh and Jim Lee

Engineering and TechnologyManagement Program

University of Louisiana at Lafayette


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OBJECTIVE

The objective of this paper is to review commonperformance appraisal methods and identify the

best approach for manufacturing industries.


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METHODOLOGY

A new appraisal system has been developed for

manufacturing industries by taking the

advantage of three common methods of

appraisal which are:

Comparative

Behavioral

Output based


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COMPARATIVE APPRAISAL

The performance of the employees are

compared against one another.

1. Ranking

2. Paired comparison

3. Forced distribution


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BEHAVIORAL APPRAISAL

It allows the supervisor to evaluate the

performance of the employees independent of

other employees but relative to important job-

related behavior, leading to job success.

1. Graphic rating scale

2. Checklist

3. Critical incident

4. BARS( Behaviorally Anchored Rating Scale)


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OUTPUT BASED APPRAISAL

It focuses on job products as the final criteria.

The most common is MBO( Management byObjective)

It specifies the goal that the individual has toattain and also the appropriate amount oftime to achieve it.

The objective that each manager set is drivenby the overall goals and objectives of theorganization.


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PROPOSED PERFORMANCE APPRAISAL APPROACH

Uses graphic rating scale, critical incidents, MBO andchecklist.

Like the graphic rating scales, the rater marks anemployees performance on a continuum i.e. on a five

point or seven point scale. The checklist statements are on five-point or seven-point

scale like graphical rating scales.

Goals that have to be attained by theemployees/managers/top management in the next week

or for the next appraisal time are taken into consideration. The critical incidents are noted for the varying behaviors

of the employee.


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HIERARCHIAL STRUCTURE OF IMPLEMENTING

APPRAISAL APPROACH

Series of appraisal methods happening at all levels of management in acompany to achieve better results. The structure uses differentappraisal methods at different levels of management that suitaccordingly.

1. BOTTOM LEVEL MANAGEMENT:

Peer rating: checklist method best for evaluation.Supervisor rating: Rating method good for small company and for

big companies, Forced Distribution is good.

2. MIDDLE LEVEL MANAGEMENT: consists of managers andsupervisors.

Supervisor rating: top level management evaluates the mangersand supervisors.

Peer rating: the manager evaluate the fellow manager usingchecklist method.


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3. TOP LEVEL MANAGEMENT: consists of CEO,

MD,VP and general managers.

Self Appraisal: top level uses MBO at this

level.

Manager rating Supervisors: BARS is used.

Managers identifies the job dimension like

attitude of the supervisor toward manager to

evaluate.

Peer Rating: check list is used.


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LEARNING

The researchers have developed an effective

performance appraisal method by using the

existing methods.

The paper also explains how different

methods should be used at different levels of

management to make the process of appraisal

more effective.


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THANK YOU!!

Documents

Performance Appraisal Methods in Manufacturing Industry