Chapter 9
Performance Management and Appraisal
1.
Describe the appraisal process.
2.
Develop, evaluate, and administer at least four performance appraisal tools.
3.
Explain and illustrate the problems to avoid in appraising performance.
4.
List and discuss the pros and cons of six appraisal methods.
5.
Perform an effective appraisal interview.
6.
Discuss the pros and cons of using different raters to appraise a person’s
performance.
1
Basic Concepts in Performance Management and
Appraisal
Performance Appraisal
Performance Management
Evaluating an employee’s current
and/or past performance relative to
his or her performance standards
A process that consolidates goal
setting, performance appraisal, and
development into a single common
system, the aim of which is to
ensure that the employee’s
performance supports and
contributes to the organization’s
strategic aims
Why Appraise Performance?
Why Performance Management?
2
Basic Concepts in Performance Management and
Appraisal
Defining the Employee’s Goals and Work Standards
1
Assign specific goals
2
Assign measurable goals
3
Assign challenging but doable goals
4
Encourage participation
3
Basic Concepts in Performance Management and
Appraisal
“Appraisal Process”
Plan the performance and identify it’s goals
Provide
feedback
Define the job
Establish performance goals
Appraisal method
Appraisal data sources
Feedback & performance interview
Comparing the
Employees’
Performance to
the standards
Setting work
standards
Appealing
Appraisal period
4
An Introduction to Appraising Performance
1
Why appraise performance?
2
Realistic appraisal
3
The supervisor’s role
4
Steps in appraising performance
5
An Introduction to Appraising Performance
What to Appraise (performance criteria)?
1
Performance, Competencies, and Achievements
Quantitative
Qualitative
Mix
2
Traits and behavior
Observable
Non-observable
6
An Introduction to Appraising Performance
Appraisal Methods
1
Graphic rating scale method
2
Alternation ranking method
3
Paired comparison method
4
Forced distribution method
5
Critical incident method
7
An Introduction to Appraising Performance
Appraisal Methods
6
Narrative forms
7
Behaviorally anchored rating scales (BARS)
8
Management by objectives / Results based systems
9
Computerized and web based performance appraisal
10
Merging the methods
8
An Introduction to Appraising Performance
Who Should Do the Appraising?
1
The immediate supervisor
2
Peer appraisals
3
Rating committees
4
Self rating
5
Appraisal by subordinates
6
360 Degree feedback
9
Appraising Performance: Problems and Solutions
Performance Appraisal Problems
1
Unclear standards
2
Halo effect
3
Central tendency
4
Leniency or strictness
5
Bias
6
Initial impressions / Last impressions
10
Appraising Performance: Problems and Solutions
Performance Appraisal Problems
7
Lack of objectivity
8
Personal bias
9
Etc …
11
Appraising Performance: Problems and Solutions
How to Avoid Appraisal Problems
1
Know problems
2
Use right tool
3
Train Supervisors
4
Control outside influences
5
Keep a diary
12
The Appraisal Interview
Appraisal Interview
An interview in which the supervisors and subordinate review the appraisal and
make plans to remedy deficiencies and reinforce strengths
13
The Appraisal Interview
Types of Appraisal Interview
1
Satisfactory—Promotable
2
Satisfactory—Not promotable
3
Unsatisfactory—Correctable
4
Unsatisfactory—Uncorrectable
14
The Appraisal Interview
How to Conduct the Appraisal Interview
Guide Lines
1
Talk in terms of objective work data
2
Don’t get personal
3
Encourage the person to talk
4
Don’t tiptoe around
15
The Appraisal Interview
How to Conduct the Appraisal Interview
How to Ensure the Interview Leads to Improved Performance?
How to Conduct the Appraisal Interview
How to Handle a Defensive Subordinate?
1
Recognize that defensive behavior is normal
2
Never attack a person’s defenses
3
Postpone action
4
Recognize your own limitations
16
The Appraisal Interview
How to Conduct the Appraisal Interview
How to Criticize a Subordinate?
How to Conduct the Appraisal Interview
How to Handle a Formal Written Warning?
Appraisal in Practice
17
Creating the Total Performance Management Process
Improving Productivity Through HRIS: TRW’s New Performance Management Systems
18