Performance Management [Human Resource Management ]

Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved.

ObjectivesAfter reading this chapter, you should be able to:

Chapter

1. Identify the major determinants of individual performance.

2. Discuss the three general purposes of performance management.

3. Identify the five criteria for effective performance management.

4. Discuss the four approaches to performance, the specific techniques used in each approach, and the way these approaches compare with the criteria for effective performance management systems.

5. Choose the most effective performance measurement approach for a given situation.

6. Discuss the advantages and disadvantages of the different sources of performance information.

7. Choose the most effective source(s) for performance information for any situation.

8. Distinguish types of rating errors and explain how to minimize each in a performance evaluation.

9. Identify characteristics of a performance measurement system that follows legal guidelines.

10. Conduct an effective performance feedback session.

Performance Management10

An Organizational Model of Performance Management

8-2

OrganizationalStrategy

Long & Shortterm goals and values

Individual Attributes

(skills,abilities)

Individual Attributes

(skills,abilities)

IndividualBehaviors

ObjectiveResults

SituationalConstraints- Culture- Economic conditions

SituationalConstraints- Culture- Economic conditions

Purposes of Performance Management

8-3

Strategic Administrative Developmental

The purposes are:

Performance Appraisal8-4

PURPOSE:PURPOSE:

Developmental Administrative

Improve Performance Information for:pay increasespromotionsterminations

BASIS FORCOMPARISON :

BASIS FORCOMPARISON : Absolute Standard Relative Standard

APPRAISALTECHNIQUE :

APPRAISALTECHNIQUE :

Results - OrientedBARS

Rating Scale

ROLE OFMANAGER :

ROLE OFMANAGER : Counselor Judge

Performance Measures Criteria8-5

•Strategic Congruence

•Validity

•Reliability

•Acceptability

•Specificity

Job Performance Measure:Contamination, Validity and Deficiency

8-6

Validity

Actual Job

Performance

Job Performance

Measure

DeficiencyContamination

Acceptability

Affected by Three Categories of Perceived Fairness

8-7

Procedural Interpersonal Outcome

Performance Measurement Approaches

8-8

Comparative ranking forced distribution paired comparison

Attribute graphic rating scales mixed standard scales

Behavioral critical incidents BARS assessment centers

Results MBO

The Quality Approach

Comparative ranking forced distribution paired comparison

Attribute graphic rating scales mixed standard scales

Behavioral critical incidents BARS assessment centers

Results MBO

The Quality Approach

Task-BARS Rating Dimension: Patrol OfficerTM 8-6

An Example of a Behavioral Observation Scale (BOS) for Evaluation Job Performance

TM 8-7

Comparison of Approaches to Performance Measurement

8-9

StrategicCongruence

Validity Reliability Acceptability Specificity

Comparative

Attribute

Behavioral

Results

TQM

Comparison of Approaches to Performance Measurement

8-10

Approach Validity Reliability Acceptability Specificity

Comparative

Attribute

Behavioral

Results

TQM

poor

low

good

very high

very high

low

Modest Modest

low

high high

high high

high high

high

high

high

high

moderate very high

very low

very low

high

high

StrategicCongruence

WHO: Source for Performance Measures

8-11

Supervisors Peers Subordinates Self Customers

Supervisors Peers Subordinates Self Customers

Errors in Performance Measurement

8-12

Rater Errors

Similar to me Contrast Distributional errors

Reducing Rater Error8-13

Two Approaches:•Rater Error Training•Rater Accuracy Training

Improving Performance Feedback

8-14

Give feedback frequently Create the right context for the discussion Have employee do self-evaluation before session Encourage participation during session Praise effective performance Focus on solving problems Focus feedback on behavior or results Minimize criticism Set specific goals and a date to review progress

Give feedback frequently Create the right context for the discussion Have employee do self-evaluation before session Encourage participation during session Praise effective performance Focus on solving problems Focus feedback on behavior or results Minimize criticism Set specific goals and a date to review progress

Managing the Performance of Marginal Employees

Solid Performers high ability and motivation managers should provide development opportunities

Misdirected Effort lack of ability but high motivation managers should provide skill development activities such as training

Underutilizers high ability but lack motivation managers need to consider actions that focus on interpersonal problems

or incentives Deadwood

low ability and motivation managerial action, outplacement, demotion, firing.

8-15

Legal Requirements ofPerformance Management Systems

8-16

Conduct a valid job analysis related to performance

Base system on specific behaviors or results Train raters to use system correctly Review performance ratings and allow for

employee appeal Provide guidance / support for poor

performers Use multiple raters

Conduct a valid job analysis related to performance

Base system on specific behaviors or results Train raters to use system correctly Review performance ratings and allow for

employee appeal Provide guidance / support for poor

performers Use multiple raters

What causes problems at work?

Poor coordination of work activities Inadequate information or instructions Low-quality materials Lack of necessary resources Poor supervision Poor interpersonal communication Inadequate training Insufficient time to produce Poor work environment (cold, noisy)

Identify and CorrectAbility Problems

Has the worker ever been able to perform adequately?

Can others perform the job adequately, but not this worker?

Train Transfer Redesign job Terminate

Identify and CorrectEffort Problems

Is the worker’s performance level declining?

Is performance lower on all tasks?

•Clarify linkage between performance and rewards

•Recognize and reward good performance

Identify and Correct Situational ProblemsDo performance problems exist in all workers, even those with proper supplies / equipment?

•Streamline work process

•Clarify needs to suppliers

•Change suppliers

•Eliminate conflicting signals or demands

•Provide adequate tools

Performance Counseling:

HOW TO HANDLE IT?

360 degree feedback

360 Degree Feedback:

The combination of peer, subordinate, and self-review

360 degree Process

Sanctioned from the top Involve employees / managers in developing

appraisal criteria / process Train employees how to give feedback Inform employees of the process Pilot test in part of organization Reinforce goals of 360° appraisal Revise process when necessary


360 DEGREE FEEDBACK SYSTEM

Syndicate -9

Top ten reasons for ineffective managerial Top ten reasons for ineffective managerial appraisalsappraisals

In the 1970s and 1980s, organizational surveys focused more on satisfaction with immediate leadership. Normally the surveys explored employee satisfaction with the organization on several different dimensions including policies, procedures, work environment, pay and benefits.

As , the multi-source appraisal process is closely related to the employee satisfaction survey. Thus the natural next step multi-source feedback and thus led to the evolution and development of 360° feedback systems by organizations.

Evolution of 360 Degree Evolution of 360 Degree FeedbackFeedback

INTRODUCTION TO 360 DEGREE FEDBACK INTRODUCTION TO 360 DEGREE FEDBACK SYSTEMSYSTEM

360-degree feedback involves gathering feedback from sources "all around" an individual, typically his/her line manager, peers and subordinates, and comparing it with his/her own perception of performance.

The concept of 360-degree feedback makes a lot of sense and, if used well, should have a great deal to offer. It seems to suit the move towards the less hierarchical, more flexibly-structured and knowledge-based organizations of the future.

(Professor Clive Fletcher, Goldsmiths College, University of London)

A 360 degree feedback tool is used to measure various levels of performance.

The 360 Degree Feedback (multi rate feedback) is also used for management training, performance appraisal, professional development and leadership development.

360-degree feedback is also known as multi-rater, multi-source and multi-level feedback, and 360-degree appraisal.

It is often confused with upward feedback, however the two approaches are absolutely different.

Upward feedback involves gathering feedback from only one source - the individual's subordinates.

360-degree feedback is an extension of upward feedback, including a variety of sources to produce a more rounded picture.

WHAT IS 360 FEEDBACK ?WHAT IS 360 FEEDBACK ?

•360 Degree Feedback is a method of assessment of individuals (such as employees). The name "360 degree feedback" reflects the many directions that information is provided from using this style of evaluation.

•You can think of the person being assessed as being in the middle of a circle,•The peers respond to the survey from 90 degrees, •Direct customer feedback and productivity reports from 180 degrees, •Internal customers from 270 degrees,and•Supervisors from 360 degrees,

Thus,providing a balanced evaluation.

UPWARD/DOWNWARD FEEDBACK:

Manager

Subordinates

360-DEGREE FEEDBACK:360-DEGREE FEEDBACK:

The distinct sources of feedback used to evaluate an individual's performance are:

1. This category includes the boss, peers, subordinates, internal/external customers. It includes the people who have observed the recipient's behaviour and are therefore in a position to evaluate it.

2. The second source is the task environment. Feedback may be inherent in working on the task itself; for example, in tracking tasks, it is usually apparent when the individual is not on target.

3. The third category are the individuals themselves who may be able to judge their own performance.

RATERS IN 360 DEGREE RATERS IN 360 DEGREE FEEDBACKFEEDBACK

The fundamental concept of multi-source appraisal or 360° feedback is the involvement of a number of rating sources in the performance appraisal process.

The four most common rating sources are:

1 The supervisor;

2 Peers;

3 Subordinates; And

4 Self.

Upward FeedbackUpward Feedback

•Upward or subordinate appraisal/feedback occurs where subordinates rate the performance of their immediate supervisor on several performance dimensions and the results are formally fed back to the focal individual .

•Upward feedback is recognized as a vital component of the wider 360° feedback process and is an important process that contributes to individual and organizational development .

•One of the main concerns for organizations using, or contemplating the adoption of, upward appraisal is the effect that it may have on employee attitudes and morale.

BENEFITSBENEFITS

• The subordinates are in the best position to evaluate a manager's performance for certain competencies, for example, leadership capabilities,clarity of directions, performance feedback and sensitivity to the needs of the subordinates".

•The use of subordinate appraisals provides more reliable ratings in measuring these competencies.

•Increases employee participation and enhances their sense of importance in the company.

DISADVANTAGESDISADVANTAGES

•Upward appraisal can be perceived to undermine supervisor authority.

•Some managers perceive that subordinates lack the expertise to rate their performance accurately.

Peer feedbackPeer feedback•In a 360° feedback model, the peer/ co-worker appraisal component represents a 180° view of the focal individual's performance.

•Peer appraisal is defined by as the "process of having the members of a group judge the extent to which each of their fellow group members has exhibited specified traits, behaviours or achievements".

There are three methods of peer assessment:

Peer Nominations- Each member of the group designates a specified number of group members as being the highest in the group on a particular characteristic or dimension of performance. Peer Ratings -Each group member rates each other group member on a given set of performance or personal characteristics using a rating scale.

Peer Rankings- Peer ranking occurs where group members rank each other from best to worst on one or more factors.

BENEFITSBENEFITS

Employees who work closely with and depend on their peers/co-workers can observe teamwork and task performance first hand and they are the best judges of performance.

Peers are better than supervisors at evaluating skills that lead to improved performance.Peer appraisals can foster a more participative culture in an organization.


The problem of popularity contests inherent in upward appraisal is also a problem for peer appraisals. Individuals vie for higher scores based on their friendship and personal relationship with the raters.

Employee rivalry can lead to negative feedbacks.

Self-appraisalSelf-appraisal

Self-appraisal refers to the practice whereby the ratee rates his/her own performance. The most "neglected" rating source in the literature on multi-rater systems is the employee himself/herself.

There are a number of reasons why self-appraisal may be used by organizations:

•evaluation of current performance for administrative purposes;

•identification of training and development needs;

•criterion measurement in applied research, e.g. test validation, evaluation of training;

•reporting past achievements at time of application for a new job;

•measurement of constructs in basic research, e.g. measurement of self-perceived performance and effort in studies of motivation.

ADVANTAGES ADVANTAGES

The self appraisal are found to be more accurate in their ratings of certain performance dimensions.

Provides a way of identifying major discrepancies between self and other ratings, and thus increases self-awareness.

Self-appraisals increases ratee participation in the feedback process which leads them to be more committed to performance goals.


Rating error is particularly salient in the context of self-appraisal.

Leniency bias refers to the degree to which raters hand out undeservedly high scores to themselves.

The process of gathering feedback is just one part of 360-degree feedback. There are a number of stages to a 360-degree feedback system which need to be carefully planned and managed if it is to be successful:

STAGE 1:

DETERMINING THE OBJECTIVES

Before 360-degree feedback is introduced, the organization determines exactly what it will be used for and what it hopes to achieve through the process.

Defining the objectives influences the whole design of the 360-degree feedback system.It also determines which aspects of the programme should be evaluated in order to identify the impact of 360-degree feedback within the organization.

THE STAGES OF 360-DEGREE FEEDBACKTHE STAGES OF 360-DEGREE FEEDBACK

STAGE 2:

DESIGN

The questionnaire, report processing system and feedback method are designed and piloted.

STAGE 3:

COMMUNICATION• The aims and objectives of the programme are communicated to everyone

in the organization.• Ensuring that everyone understands what 360-degree feedback is and how

it will be used helps to secure commitment and enables the organization to address any concerns early on.

STAGE 4:

GATHERING FEEDBACK

• Questionnaires and instruction packs are distributed to participants, who issue them to their chosen respondents and complete a self-assessment questionnaire.

STAGE 5:

ANALYZING RESULTS

Completed questionnaires are returned for processing. All feedback is analyzed and summarized into feedback reports.

STAGE 6:

FEEDBACK

Results are fed back, discussed and development plans are drawn up.

STAGE 7:

SUPPORT

Development plans are followed up. Progress is monitored and advice and guidance provided where necessary.

Use in annual performance reviews to determine the behavior component of a leader’s performance.

Improve the executive’s job performance by providing feedback on their behavior.

Fosters communication between the employees and the supervisors.

Identifies special talents and skills.

Benchmarks various levels of organizational performance.

Assists in employee development.

PURPOSE OF 360-DEGREE FEEDBACK PROCESSPURPOSE OF 360-DEGREE FEEDBACK PROCESS

INDIVIDUAL BENEFITS

Provides participant with an opportunity to learn how different colleagues perceive them, leading to increased self-awareness;

Encourages self-development;

Increases understanding of the behaviors required to improve personal and organizational effectiveness.

Enhances teambuilding.

BENEFITS OF 360-DEGREE FEEDBACKBENEFITS OF 360-DEGREE FEEDBACK

ORGANISATIONAL BENEFITS

Enables the organization to identify overall strengths and development needs within the workforce;

Can be a powerful trigger for change.

Increases communication within the organization where information is shared upwards, sideways and downwards;

Promotes a more open culture where giving and receiving feedback is an accepted norm;

MEASUREMENT THROUGH 360 DEGREE FEEDBACKMEASUREMENT THROUGH 360 DEGREE FEEDBACK

The 360 degree survey instrument measures four areas:

Values to behavior,

Customer service,

Continuous learning, and

Project accomplishment.

Different reasons for introducing 360-degree feedback include:

• to identify training and development needs;• to provide a career development tool;• to promote leadership skills;• to assess organizational training needs;• to improve skill levels throughout the organization;• to provide an input for performance and development reviews;• to increase self and team awareness and aid development planning;• to clarify to staff what is expected in behavioral terms;• to provide a link into the Investors in People award;• to improve communication;• to improve motivation amongst staff;• to show that all opinions are valued.

DESIGNING A 360-DEGREE FEEDBACK SYSTEMDESIGNING A 360-DEGREE FEEDBACK SYSTEM

As the number of organizations using 360-degree feedback has grown, so too have the number of applications.

There are currently five general areas where 360-degree feedback is used:

• Individual development• Appraisal• Performance-related pay• Recruitment & selection• Organizational development

THE APPLICATIONS OF 360-DEGREE THE APPLICATIONS OF 360-DEGREE FEEDBACKFEEDBACK

The assessment process through the feedback system is concerned with a The assessment process through the feedback system is concerned with a manager's job performance in eight skill clusters which are as follows:manager's job performance in eight skill clusters which are as follows:

Communication - Including the skills of listening to others, processing information and communicating effectively.

Leadership - Covering the abilities of instilling trust, providing direction and delegating responsibility.

Adaptability - Encompassing the skills of adjusting to circumstances and thinking creatively.

Relationships - Assessing the capabilities to build relationships and facilitate team success.

Task Management - Gauging the level of aptitude for working efficiently and competently.

Production - Appraising abilities to initiate action and achieve results.

Development of Others - Measuring proficiencies in cultivating individual talents and motivating successfully.

Personal Development - Including the behaviors of displaying commitment and seeking improvement.

DIFFICULTIES ASSOCIATED WITH 360° FEEDBACKDIFFICULTIES ASSOCIATED WITH 360° FEEDBACK

The major challenges facing the introduction of multi-source feedback is that

the employees may feel threatened by the assessment Especially in an organization that has traditionally been bureaucratic and hierarchical.

The managers when provided with negative feedback ratings about their performance may become defensive and the feedback can de-motivate them, which in turn has negative consequences for the organization.

What the hell am I doing here

The multi-source feedback adds significantly to the time and money that are spent on employee appraisal and adds complexity to the appraisal administration process. This leads to the rater making observations on past performance based on memory.

Studies report that 360° feedback does not change feedback recipients' behavior and performance, which suggests that 360° feedback may have no effect on an organization-wide basis.

Known to Self Not Known to Self

Known to Others

Not Known to Others

The Johari WindowThe Johari Window

The Johari Window, named after the first names of its inventors, Joseph Luft and Harry Ingham, is one of the most useful models describing the process of human interaction.

TRADITIONAL PERFORMANCE APPRAISAL VS 360-DEGREE FEEDBACK

Criterion Traditional performance appraisal 360 degree feedback

Purpose To provide feedback to subordinates on past performance and future potential from one perspective only

To provide feedback on performance, behaviour and development needs from a variety of perspectives

Sources of information

One rater-the supervisor or manager Multiple raters: peers, subordinates, self, customers, suppliers, skip-level reports

Anonymity Feedback is not anonymous Feedback is collated by rater group-individual ratings are unknown to the recipient

Content of feedback

Reports on behaviour and judgements on performance based on work unit results are the typical situation

Reports on behaviour and judgements on performance based on work unit performance and development dimensions

Criterion Traditional performance appraisal 360 degree feedback

Rating methods

Likert and behaviourally anchored scales combined with qualitative comments

Primarily Likert scales, most 360 degree processes only collect quantitative data

Linkages with other HR decisions

Performance appraisal often linked to pay, merit bonuses, promotions, task assignment, transfers, training and development etc.

Typically only used for the identification of training and development needs and the exploration of career issues

Context of process

Yearly event linked to pay decisions in many cases

Continuous process not necessarily confined to one time a year

Targeted employees

All employees in the organization Typically employees in managerial position


The Balanced The Balanced ScorecardScorecard

Introduction

Balanced Scorecards provide a framework for communicating strategy in operating terms (metrics, targets, etc.)

You must communicate strategy in operating terms if you expect people to execute on your strategy.

When people are asked about strategy, they reach for their balanced scorecard.

Need for BSC Performance measurement tools provide feedback which aid only

individual feedback. Assessment of the feedback would help individual development

These systems provided no feedback to the individual on a rich/ big/ entire picture.

Dynamic world where individual cannot survive without assessing the team effort.

There was a need for a handy tool which took care of the above needs of the HRD.

Advent of Balance Scorecard

The balance scorecard was created by Kaplan and Norton in early 1990’s to enrich experiences from the past with analysis of the present and the future.

Financial perspective was extended with the internal process perspective, customer perspective and Learning growth and training perspective.

The financial perspective keeps checking the past. Customer and processes is for the present and Learning growth and training for the future.

What is a Balanced Scorecard

The Balanced Scorecard is an approach to performance measurement that combines traditional financial measures with non -financial

measures to provide managers with richer and more relevant information about activities they are managing.

What is a Balanced Scorecard

How is a balanced scorecard designed?

Mission and vision determine the companies existence. These determine the goal and further the strategic

directions for the firm. These could be applied across all functional areas. Thus, design measures to determine the achievements of

the above strategic directions.

Vision identified. Strategic directions identified as per the functional areas. Percentages allotted to the 4 areas of financials, customer

service, internal processes and employee relations and growth perspectives.

The percentages of the perspectives are further allotted weight age for achieving targets desired by the company.

Rating and measurement system to be decided.

OverallOrganizational

Objectives

OverallOrganizational

Objectives

XYZ Company

Consumer ProductsDivision

Industrial ProductsDivision

Divisional Objectives

Divisional Objectives

Departmental Objectives

Departmental Objectives

Individual Objectives

Individual Objectives

Production

Sales

CustomerService

MarketingResearch

Develop

CascadingObjectives

MBO and Balance scorecard

Similarities Both linked to rewards and incentives which are useful for

motivation. They take care of core goal and visions of the company.

Dissimilarities Balance scorecard is quite explicit. MBO is quite open ended, balance scorecard is more

focused

What is a balanced scorecard

Financial Perspective (General Industry) Assess project risks Cost benefit analysis of proposed activities Monitoring of cash flow, planned versus actual

Financials KitchenRevenue 2.0%

Adjusted PBT of Hotel 4.0%

F & B Gross Margins - Rs. Lacs 5.0%

(Revenues - Raw Material Costs)

Market Scenerio 2.0%

F&B Contribution 4.0%

Control of Food Cost 8.0%

Banquet function costing 5.0%

Total Financials 30.0%

5 % above target - 5, 0- 4.9% above target - 4, 0-4.9 % below target -3,

5.00% - 9.99% below target - 2 , 10% or below target - 1

5 % below target - 5, 0- 4.9% Below target - 4,

On target -3, 0% - 4.9% above target - 2 ,

5.0% or above target - 1

Revenue 5.0%

4.0%

No. of days debtors 5.0%

Inventory level 5.0%

F & B Gross Margins - Rs. Lacs 5.0%

(Revenues - Raw Material Costs)

Recipe costing 4.0% If both are set up by Aug '00 - 5.0 pts

Reduction of 0.5 points for each month delay

(Continuity after set-up will also be a criterion)

Costs 10.0%

Fixed Costs incl. A&P local

(Represents Payroll, Power, Prop Ops,

A&G excluding TAC / CC)

Adjusted PBT - Rs. Lacs 12.0%

Total Financials 50.0%

5 % above target - 5, 0- 4.9% above target - 4,

0-4

5 % below target - 5, 0- 4.9% Below target - 4,

On ta

Rev Par (Net Inclusive of Meals)

5 % above target - 5, 0- 4.9% above target - 4,

0-4

FinancialsChief Accountant


Customer Perspective (General) Understanding of who are customers Activities driven by customer needs satisfaction Define levels of service to match levels of customer

satisfaction

GSTS (Front Office Manager)

Big Picture

Overall Satisfaction 7.0%

Value for Money 5.0%

Referral 5.0%

17.0%

Service Indices

Courtesy Index 5.0%

Courtesy Competence of FO Staff

Welcome at the Porch

Coutesy, Comp & Resp of BC Staff

Courtesy, Comp & Resp of Tele-Operators

Courtesy, Comp & Resp of Chauffeur

Courtesy, Comp & Resp of travel desk Staff

Efficiency Index 5.0%

Ease & Speed of Check out

Accuracy of billing at check out

Ease & Speed of Check-in

Promptness of message delivery

Baggage Delivery / Porter Service

Quality Index 3.0%

Quality of FO Services

Quality of Business Centre Services

Quality of Travel Desk services

Total 30.0%

Financials

Only Excellent rating to be considered from IMRB report Top box of the last financial quarter to be

considered for final assesment of 2002-03 as per mentioned scale

scores between 26 - 30 =1 , 31 - 35 = 2, 36 - 40 = 3, 41 - 45 = 4 46 and above = 5

Customer & Processes - Security Manager

GSTS

Big Picture

Overall Satisfaction 6.0%

Value for Money 2.0%

Referral 2.0%

Safety and Security 5.0%

Welcome at Porch 5.0%

Peace & Quiet in your room 5.0%

Internal Security Processes

Guest Room Pilferage & Safeguard of hotel property 5.0%

Parking & Safety of Guest vehicles 5.0%

Fire Safety 5.0% Results of the External Fire Safety audit

Total 40.0%

Only Excellent rating to be considered from IMRB report Top box of the last financial quarter to be considered for

final assesment of 2002-03 as per mentioned scale scores between 26 - 30 =1 , 31 - 35 = 2, 36 - 40 = 3, 41 -

45 = 4 46 and above = 5

Complaints and Pilferage records


Internal Perspective Towards the attainment of decided functional

improvements. Responsibility towards the superiors. Co –relation and maintenance of relations within the

organisations.

Internal Processes Exeutive Housekeepers

Functional Audit / Reports on functional Processes

5.0%Evaluation by GM on the internal process as sent by Coo's Office. Details of processes & measurement

to be outlined in Part'C'.

Hotel Specific Assignment5.0% In discussion with GM specific assignment to be

mentioned in Part C

10.0%


Learning and Growth Perspective Avoidance of brain drain through focussed training in

identifiable areas of risk Organisational development through people improvement Knowledge workers in continuous learning mode

ESTS 5.0%

Balance ScoreCard for the unit 3.0%

Ensuring understanding of Balancescore Card & contributing in development of Balancescore Card &

updating monthly. Creating initiative chart on monthwise actions.

ESS ( Corporate Survey ) 5.0%

Manpower Planning / Employee retention growth 2.0%

15% and above budget = 1 , 0 - 14% above Budget = 2, Within budget =3, 0-14%

below budget = 4, 15% and below=5

Department Audit 3.0%As per internal process sent by Coo's office deatil

process & intraduction of sustem in department to be clearly mentioned in Part A

Training manhours received 2.0%

To ensure that self learning takes place & atleast 4-5 development programs are attemded for self development and Internal process are further

developed which are to be mentioned in Part "A" and "C" respectively.

Training manhours & training conducted 5.0%

To ensure that at least 12hrs. Training is conducted on monthly basis & an exposure rate per employees

is at least 16hrs. ( Please enusre that only those programmes reported on monthly basis by HR would

be considered for the same )Total Human Resources 25.0%

Top box score for last Qtr. ( Strongly Agree on average of 11 question I.e. yes/no question 11 & 12 not to be considered for average calculation ) scale

as below 21-25 = 1, 26-30 = 2, 31-35 = 3, 36-

Overall Index less than 55 is 2.5 , 56-70 = 3, 71- 80 = 3.5, 81-85 = 4, 86 and above = 5

Employees, Learning, Growth, Training & Development Food and Beverage Manager

Employees, Learning, Growth, Training & Development General Manager

ESTS index for the hotel 3.0%

Balance ScoreCard for the unit2.0%

Balance scorecard to be developed linked to brand strategy & sent to brand corp office every Qtr. (to be

send in December 02 & March 03)

Training manhours & training conducted/manager 2.0%

16 hours of exposure rate per employee per department

Trg. To be calculated on inhouse Program, External nomination, Special program in units & CTD provided the same are reported in monthly HR report throug out

the year

ESS ( Corporate Survey ) 5.0%

HR audit & Traning Audit 3.0%HR compliance audit .

Training audit as per COE

Manpower Planning / Employee retention growth 5.0%

15% and above budget = 1 , 0 - 14% above Budget = 2, Within budget =3, 0-14% below

budget = 4, 15% and below=5Total Human Resources 20.0%

Top box score for last Qtr. ( Strongly Agree on average of 11 question I.e. yes/no question 11 & 12 not to be considered for

average calculation ) scale as below 21-25 = 1, 26-30 = 2, 31-35 = 3, 36-40 = 4, 41 and above = 5

Overall Index less than 55 is 2.5 , 56-70 = 3, 71- 80 = 3.5, 81-85 = 4, 86 and above = 5

Limitations

Time required to design the balance scorecard Time value to the benefit of implementing it Inefficient designs Objectives of balance scorecards not served. Sound systems required for its success. Installation of proper metric system Team spirit

You work in a hotel that assigns employees to teams during their first month of employment. Performance appraisals are coming up. Several employees such as steward, Assistant Front Office Manager, General Manager have asked you how you, as their manager, will measure their performance. What will you tell them?

Case

Performance Management [Human Resource Management ]

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