Performance Appraisalhttp://studygalaxy.com/
Performance Appraisal : Performance Appraisal (PA) refers to all those procedures that are used to evaluate the personality, performance, potential, of its group members
Relationship between jab analysis and performance appraisal:Job analysisperformanceperformancestandards appraisal
Describes work& Personnel RequirementOf a particularjobTranslate job Into levels of acceptableOr unacceptableperformance
Describes the Jobs relevant strengths and weakness ofEach individual
Question arises?Why do we measure performance? Effective performance appraisal systems How do we measure performance?
CharacteristicsIt is a step by step processIt examine the employee strengths and weaknessesScientific and objective studyOngoing and continuous processSecure information for making correct decisions on employees
Needs and Objectives:Provide feedback about employeesProvide databaseDiagnose the S & W of individualsProvide coaching, counseling, career planning to subordinatesDevelop positive relation and reduce grievanceFacilitates research in personnel management
Appraisal Benefits Appraisals offer employees:DirectionFeedbackMotivation
Appraisal BenefitsAppraisals offer the company:DocumentationEmployee DevelopmentFeedbackLegal protectionMotivation system
Why Appraisals Are ImportantRecognize accomplishmentsGuide progressImprove performance
Why Important (cont.)Review performanceSet goalsIdentify problemsDiscuss career advancement
Steps in performance appraisalEstablishing job standards
Designing an appraisal programme
Appraise performance
Performance interview
Use appraisal dataFor appropriate purpose
Process of PASetting performancestandardsTaking correctivestandardsDiscussingresultsComparing standardsMeasuringstandardsCommunicatingstandards
Issues in appraisal systemAppraisal Design?Formal and informalWhose performance?Who are the raters?What problems?How to solve?What to evaluate?When to evaluate?What methods?
How PA contribute to firms competitive advantages Improving performanceMaking correct decisionEnsuring legal competenceMinimizing dissatisfactionAnd turnoverValues and behaviorCompetitive advantage
Problems in performance appraisalErrors In ratingHalo effectsStereotypingCentral tendencyPersonal bias
Set Goals.Based on job requirementsRealisticMeasurableObservableChallenging
During the MeetingReview performance:Based on previous goalsNoting strengths and accomplishmentsIdentifying areas for improvement
End the MeetingEncourage good performanceLay out action planCommunicate outcome of goals not metConfirm understanding
Continuous FeedbackFormal appraisalsInformal appraisalsOpen communication
Recognize Good PerformanceVerbalPublicTangibleMonetary
Performance Appraisal MethodsIndividual Evaluation Methods Confidential report Essay evaluation Critical incidents Checklists Graphic rating scale Behaviorally anchored rating scaleMBO
Critical Incident methodEx: A fire, sudden breakdown, accident
Workersreactionscale
Ainformed the supervisor immediately 5BBecome anxious on loss of output 4Ctried to repair the machine 3DComplained for poor maintenance 2Ewas happy to forced test 1
Checklist methodSimple checklist methodForced choice methodSimple checklist method:Is employee regular Y/NIs employee respected by subordinateY/NIs employee helpfulY/NDoes he follow instruction Y/NDoes he keep the equipment in orderY/N
Forced choice methodCriteriaRating
1.Regularity on the jobMostLeastAlways regularInform in advance for delayNever regularRemain absentNeither regular nor irregular
Graphic Rating ScaleContinuous Rating ScaleEmployee name_________Deptt_______Raters name ___________Date________------------------------------------------------------------------------Exc.GoodAcceptableFairPoor 5 4 3 2 1 _ DependabilityInitiativeOverall outputAttendanceAttitudeCooperationTotal score Continuous Rating Scale
BARS( behaviorally Anchored rating scale)Step 1.Identify critical incidents
Step 2.Select performance dimension
Step 3.Retranslate the incidents
Step 4.Assign scales to incidents
Step 5.Develop final instrument
MBO ProcessSet organizational goalsDefining performance targetPerformance reviewfeedback
Group AppraisalRanking Paired comparison Performance tests Field review technique
Performance Appraisal Methods (cont.)
Ranking methodEmployeeRank
A2
B1
C3
D5
E4
Paired comparison methodAppraiser compares each employee with every other employee , one at a time.
For ex:
there are 5 employees A,B,C,D,ESo the performance of a will A compared with B & decision will be taken on whose performance is betterthen A is compared with rest all one by one.
Field review methodPerformancesubordinatepeers superiorcustomerDimension
Leadership ^ ^
Communication ^^
Interpersonal skills ^^
Decision making^ ^ ^
Technical skills^ ^ ^
Motivation^ ^ ^
Performance criteria for executivesFor top managersReturn on capital employedContribution to companies developmentDegree of growth and expansion of employees
For middle level managersDepartmental performanceCoordination among employeesDegree of clarity about corporate goals and policiesAchievement of standards
For supervisorsQuality and quantity of output in a given period Labor cost per unit of output in a given periodMaterial cost per unit in a given periodRate of absenteeism and turnover of employeesNo of accidents in a given period
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