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Performance appraisal is a formal assessment & rating of
individual by their managers at usually at annual review
meeting
Also termed asPerformance review, Annual review &
Annual appraisal.
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To create and maintain a satisfactory performance level.
To help superiors have a proper understanding of their
subordinates.
To guide the job changes with the help of continuous
ranking.
To facilitate fair and equitable compensation based on
performance.
To provide information for making decisions regarding
lay-off, retrenchment, etc.
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THE
EVALUATION
PROCESS
Establish Performance Standards
Communicate Performance
Expectations To Employee
Measure Actual Performance
Compare Actual Performance With
Standard
Discuss Appraisal With Employee
If Necessary, Initiate CorrectiveAction
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Methods Of Performance Appraisal
Graphic Rating Scales
Ranking Method
Paired Comparison Method
Forced Distribution Method
Forced Choice Distribution
Method
Checklist Method
Essay or Free Form Appraisal
Confidential Report
Critical Incident Method
Behaviorally Anchored Rating
Scales
Assessment Centre
Human Resources Accounting
Management by Objectives
Psychological Appraisals
360 Appraisals
Traditional Methods Modern Methods
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This is the oldest and widest technology.
Judgment of performance is recorded on the scale.
The appraisers supplied with number of forms. These contain number of objectives, behavior & trait based.
The supervisor rates each subordinate by circling or
checking the score that best describes his/her
performance for each trait. The assigned values for the traits are then totaled.
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It attempts to correct a raters tendency to give a
consistently high or low rating to all employees.
The use of this method calls for objective reporting or
minimum subjective judgment.
Several sets of pair phrases or adjectives relating to job
proficiency are provided.
Rater is asked to choose the phrase which is most & least
descriptive of employees. E.g. :-
o Make a little effort and individual instruction.
o Has a cool, even temperament.
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For the trait of Quality Of Work
A Ascompared to B
A B C D E F
A + + + - - +
B - - + + + -
C + + - + - -
D - - + + + +
E + - + - - -
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The individual is rated & distributed along the scale andfixed %.
The employee are assigned to the best and worst end ofthe scale and to the middle.
In this, 5 point scale of job performance is used.
Predetermined percentages are raters are placed inperformance categories.
10% 20% 40% 20% 10%
Poorest Poorer
Than
Average
Average Better
Than
Average
Best
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The rater does not evaluate employee performance.
He supplies the report and the final rating is done by the
personnel department.
E.gs Is the employee really interested in job Yes/No.
Is he respected by his subordinates Yes/No.
Does he keep his temper Yes/No.
Does he properly follow instructions Yes/No.
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It attempts to measure the work performance in terms of
certain events or episodes that occur in connection with
appraisal.
The event is known as critical incident method.
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BARS Behaviorally Anchored Rating Scales.
o Step I : Collect Critical Incidents
o Step II : Identify Performance Dimensions
o Step
III:R
eclassification ofIncidents
o Step IV :Assigning scales values to incidents
o Step V : Producing the Final Instrument.
Develop A Final Instrument :-A subset of behaviorsare used as behavior anchors for the performancedimension.
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Appraiser :- Thorough knowledge about the content/various contents to be
appraised, standard of contents
And who observes the employee while performing a job.
Typical appraisers are :-
Supervisors
Peers
Subordinates
Employees themselves
Users ofService Consultants.
Ponds, HLL, Grasim, Colgate Palmolive, etc. practice 360performance appraisal.
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Human ResourceAccounting deals with cost of and
contribution of human resources to the organization.
Cost of employee includes cost of manpower, planning,
recruitment, selection, induction, placement, training,
development, wages and benefits, etc.
Employee contribution is the money value of theemployee service which can be measured by labour
productivity or value added by Human Resource.
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Setting ofObjectives
DevelopingAction Plan
Establishing CheckPoints Reviews of performance.
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It is a system where assessment of
several individuals is done by various
experts by using various techniques.
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Appraiser
Appraises Name
Position Trainer
Division / Department Technical Location Mumbai
ASSESSMENT FACTORS ASSESSMENT REMARKSPOINT
Personality
Professional Qualification (Related to position)
Conceptual Knowledge(out of 10)
a. Technical(only for Info sec-out of 5)
b. Process(only for Info sec out of 5)
Job Knowledge
Human Skills
Experience (Related to position)
Communication
Self Confidence
Job Stability
Maturity/Attitude
TOTAL POINTS / 100
PERCENTAGE SCORE
Final Comments
RECOMMENDATION ( Please )
Suitable Suitable Not Suitable On Hold on Hold
Signature of Appraiser(s)
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Employee: _____________________________
Date: _____________________Company: _____________________________Position Title: __________________________Review Period: _________________________Office: ________________________________Department: ___________________________From/To: ______________________________
PART A How do rate your previous yrs performance
Excellent Good Average
What were your achievements during the last year?
Describe any projects you have been responsible for which are not in your jobdescription. What results have you achieved?
PART B
I.Specify ways that you feel you met or exceeded job requirements and any reasonswhy.
II
.S
pecify the ways that you feel you did not meet job requirements and any reasonswhy.III.In what specific areas would you like to improve your job performance?IV.What job-related goals would you like to accomplish in the next 6 (12) months?V. How do you see yourself in the company - 2 years from now? In what ways youexpect the organization to support u?
Employees Signature: ____________________Date: ______________________
Reviewers Signature: ____________________Date: ______________________
Reviewers Managers Signature: ____________Date: ______________________
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