Performance Apprisal Process Sample

Document Sample
Performance Apprisal Process Sample Powered By Docstoc
					 Performance Appraisal

The identification, measurement,
and management of human
performance in organizations.
 Performance Evaluation
8-5




 and Management
      Performance Management: efforts to align
      employee performance with the firm’s goals
      Performance Evaluation: efforts to determine
      the extent to which an employee performs
      work effectively. Also known as:
        Performance review Performance appraisal
        Personnel rating   Employee appraisal
        Merit rating       Employee evaluation
                                                     2
 Potential Purposes of
9-3




 Evaluation

                       Development


                              HR and
              Motivation     Employment
                              Planning

                         Legal        HRM
      Communications
                       Compliance    Research
                                                3
A Model of Performance
Appraisal
        Identification




        Measurement




        Management
 Performance
 Evaluation:
9-5




 Criteria of Evaluation
      Reliability
      Relevance
      Sensitivity
      Practicality
        Combination of criteria using activities
              and results is desirable
                                                   5
 Who Should Evaluate
9-6




 the Employee?
           MANY POSSIBILITIES
         Immediate supervisor only (typical)
         Committee of several supervisors
         Employees’ peers (coworkers)
         Employees’ subordinates
         Someone outside the immediate work
          situation
         Self-evaluation
                                                6
   Management By
9-11



  Objectives
  (MBO)
   Some Potential                    Some Potential
            Benefits                    Pitfalls
      Encourages employee          Managers may not be
       participation                 adequately prepared
      Enables subordinates to       for MBO
       exercise self-control        Demands active
       and manage own                employee and manager
       performance                   involvement
      Useful for training and      Too much emphasis on
       career development            the short run and
  Potential Evaluation
9-12




  Problems
          Opposition to evaluation
          System design and operating
           problems
               Problems with Central tendency
          Rater problems include:
                    standards      errors
                  of evaluation  “Recency of events”
                Halo effects      errors
                Leniency or     Contrast effects
              Major problems exist more with
                  harshness      Personal
             the rater than the technique used.
                                   bias/stereotyping
       Solutions to Evaluation
9-13




       Problem
       ELIMINATING    AVOIDING
           RATER      PROBLEMS
          ERRORS   WITH EMPLOYEES
         Train raters on  Train employees in
                            performance evaluation
          how to evaluate
                            methods
          others well      Simplify reporting forms
         Grant ample      Communicate how
          opportunities to evaluation information is
       The Benefits of
       Performance Appraisal
Employer Perspective:
   Despite imperfect measurement techniques, individual
    differences in performance can make a difference to company
    performance.
   Documentation of performance appraisal and feedback may
    be needed for legal defense.
   Appraisal provides a rational basis for constructing a bonus or
    merit system.
   Appraisal dimensions and standards can help to implement
    strategic goals and clarify performance expectations.
   Providing individual feedback is part of the performance
    management process.
   Despite the traditional focus on the individual, appraisal
    criteria can include teamwork and the teams can be the focus
    of the appraisal.
Trait Appraisal, Behavioral
Appraisal, and Outcome Appraisal
Instruments
  Trait Appraisal
   An appraisal tool that asks a supervisor to make judgments
   about worker characteristics that tend to be consistent and
   enduring.

  Behavioral Appraisal
   An appraisal tool that asks managers to assess a worker’s
   behaviors.

  Outcome Appraisal
   An appraisal tool that asks managers to assess the results
   achieved by workers.
Sample Trait Scales
   Rate each worker using the scales below.

  Decisiveness:
  1        2       3      4         5         6        7
  Very low              Moderate               Very high
  Reliability:
  1          2     3      4         5         6        7
  Very low              Moderate               Very high
  Energy:
  1        2       3      4         5         6        7
  Very low              Moderate               Very high
  Loyalty:
  1        2       3      4         5         6        7
  Very low              Moderate               Very high
        Evaluation of Major
        Appraisal Formats
Appraisal       Administrative          Developmental    Legal
 Format             Use                      Use      Defensibility
Absolute                0                         +               0
Relative                ++                        -               -
Trait                   +                         -               --
Behavior                0                         +               ++
Outcome                 0                         0               +
-- Very Poor   - Poor        0 Unclear or mixed       + Good   ++ Very good
  Who Should Evaluate
9-7




 the Employee?
           360-DEGREE FEEDBACK
       Alternative to          Supervisors
        traditional
        supervisor-only              Self-
        approaches      Peers      appraisal
       Uses multiple

        appraisers              Subordinates
       Not a panacea
Challenges to Effective
Performance Measurement
   Rater errors and bias
   The influence of liking
   Organizational politics
   Whether to focus on the
    individual or the group
   Legal issues
        Legal Issues
   A recent analysis of 295 court cases involving
    performance appraisal found judges’ decisions to be
    favorably influenced by the following additional factors:
       Use of job analysis
       Providing written instructions
       Allowing employees to review appraisal results
       Agreement among multiple raters (if more than one
        was used)
       The presence of rater training
         Communication Skills for the
         Appraisal Interview
Skills      Benefit                 Description                Example
Nonverbal   Suggests interest       Rater sits with a slight   While the ratee is
Attending   and active listening.   forward, comfortable       speaking, the rater
                                    lean of the upper body,    looks at the person
                                    maintains eye contact,     and gently nods head
                                    and speaks in a steady     to signal interest.
                                    and soothing voice.
Open and    Appropriate use of      —Open questions            — Open questions
Closed      open and closed         encourage information      start with words like
Questions   questions can           sharing and are most       “Could,” “Would,”
            ensure an effective     appropriate early in an    “How,” “What,” or
            flow of                 interview or in complex,   “Why”.
            communication           ambiguous situations.
            during an interview.
                                    —Closed question evoke     — Closed questions
                                    short responses and are    start with words like
                                    useful for focusing and    “Did,” “Is,” or “Are.”
                                    clarifying.
          Communication Skills for the
          Appraisal Interview (Cont.)
Skills         Benefit                     Description                 Example

Cultural      Communication is more       Pay attention to cultural   When dealing with
Sensitivity   effective when you are      differences that may        employees from a
              sensitive to the possible   influence how another       culture that is highly
              influence of cultural       person communicates         formal, avoid
              differences.                and how you might           addressing them in the
                                          communicate with            workplace by their first
                                          others.                     names. Doing so may
                                                                      signal disrespect.
       Key Steps in Implementing
       360° Appraisal
   Top management communicates the goals of and need for
    360° appraisal.
   Employees and managers are involved in the development of
    the appraisal criteria and appraisal process.
   Employees are trained in how to give and receive feedback.
   Employees are informed of the nature of the 360° appraisal
    instrument and process.
   The 360° system undergoes pilot testing in one part of the
    organization.
   Management continuously reinforces the goals of the 360°
    appraisal and is ready to change the process when necessary.

				
DOCUMENT INFO
Description: Performance Apprisal Process Sample document sample