Performance Managemant & Appraisal

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    Performance Management and Appraisal

    Performance Management is the mechanism thatensures that the employee achieves the objectives set

    by the organization and the organization therebyachieves the objectives that it has set itself in itsstrategic plan.

    Performance Appraisal is a process of evaluating an

    employees past and current performances relative tothe persons performance standards in termsrequirements of the job for purpose of placement ofselection of promotion & providing financial rewards.

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    Why Appraisal performanceThere are several reasons to appraise subordinates

    performance.

    At first appraisals play or should play an integrated role in the

    employees performance management process it does little

    good to translate the employees strategic goals into specific

    employees goals and then train the employees if you dontperiodically review your employees performance.

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    The Supervisors Role Appraising performance is both a difficult and an essential

    supervisory skill. Supervisors must therefore be familiar

    with basic appraisal technique, understand and avoid

    problems that can cripple appraisals, and know how to

    conduct appraisals fairly.

    The performance evaluation should be based on the

    performance expectations as outlined in the employees

    job description. The process includes the following

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    Develop a Learning and Self-Development Plan

    Observe and document performance

    Develop action plans to address gaps

    Provide on-going coaching and development

    Employee completes self-evaluation Manager reviews the employees accomplishments, gaps

    and development and self-evaluation

    Manager completes evaluation and plans for meeting with

    employee

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    Steps in Appraising performance

    1. Identify the job

    First make sure you define you employees job andperformance criteria. Define the job means making sure

    that you and your subordinate agree on his or her duties

    and job standards and appraisal method you will use.

    2. JobPerformanceEvaluationThat is comparing the performance of the work of

    employees with the standard model. In this step, it can use

    many methods to assess different job performance such as:

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    Rated rotation, Compare the pair, Stored critical method,Method of narrative form

    3.Provide feedback:

    Can be done once when job performance evaluation ends

    or can do the job several times throughout the process of

    evaluating the implementation of the work of employees,

    this depends on the nature and characteristics of the job.

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    Behaviorally Anchored Rating ScalesBehaviorally anchored rating scales (BARS) are rating

    scales whose scale points are defined by statements of

    effective and ineffective behaviors.The procedure for BARS is usually five steps:

    1. Generate Critical Incidents

    2. Develop Performance Dimensions

    3. Reallocate Incidents

    4. Scale of Incidents

    5. Develop Final Instrument

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    Management by ObjectivesManagement by objectives (MBO) is a systematic and

    organized approach that allows management to focus on

    achievable goals and to attain the best possible resultsfrom available resources.

    The term MBO almost always refers to a comprehensive

    organization-wide goal setting and appraisal program thatconsist of six main steps:

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    1. Set the organizations goals.

    2. Set departmental goals.

    3. Discuss and allocate department goals.

    4. Define expected results (set individual goals).5. Performance review and measure the results.

    6. Provide feedback.

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    Electronic Performance Monitoring

    Electronic performance monitoring (EPM) means using

    technology to monitor the activities of employees at work,

    which includes the productivity output and how

    effectively the employees have utilized the effective work

    time.

    It has had a negative effect on the employees like:

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    Increased stress levels

    Physical problems like stiffness in the shoulders and backpain

    Reduced the job satisfaction in the employees

    Other psycho-somatic illness complaints include anxiety,

    fatigue or exhaustion and depression

    Privacy intrusion (mails of the employee monitored by the

    employer)

    Low cost of quality and a low satisfaction rating Workers are always at a pressure to perform better due to

    the increased feelings of evaluation

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    Potential Appraisal ProblemsMany performance appraisal methods have been severely

    criticized. The potential problems are as follows:

    1. Lack of Objectivity2. Halo Error

    3. Leniency/Strictness

    4. Central Tendency

    5. Recent Behavior Bias

    6. Personal Bias

    7. Manipulating the Evaluation

    8. Ineffective organizational policies and practices

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    Performance Appraisal versus Performance

    ManagementIn comparing performance management and performance

    appraisal, the distinction is the contrast between a year end

    event the completion of the appraisal form and a process that

    starts the year with performance planning and is integral to theway people are through the year.

    Additionally, whilst PM is intended to establish and nurture a

    constant relationship between manager and individuals, PA isbased on forms designed and developed by the HR function

    which, in many occasions, are destined to be forgotten in some

    remote organizations archive.

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    Basic Building Blocks of Performance

    ManagementThe company with an effective performance management

    system will instead drive its strategic objectives right

    through the organization down to the shop floor.

    We can summarize performance managements basic

    building blocks as follow:

    1. Goal alignment

    2. Ongoing performance monitoring3. Ongoing feedback

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    Recommendations to improve performance

    Management and Appraisal

    The performance appraisal system has to be based on clearlyspecified and measurable standards and indicators. Goals have to be

    consistent and mutually decided by the employee and management.Organization should follows some strategies to improve performanceManagement and Appraisal

    1. 360 Degree performance appraisal method

    2. Management by objectives3. Work standard approach

    4. Work standard approach

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