Existing Performance

Appraisal Tools
Checklist Method

 Constructed for each job separately

 Large number of statements
 Statements prepared by Job Experts
 Judges categorize and weigh each job

Equal importance is given to each statement

Checklist Method

 Few statements are given for

each trait

 Weights are assigned to

different statements wrt value
attached
Checklist Method

Advantages Disadvantages
Most Frequently Used Expensive
Avoids Discrimination Time Consuming
Prevents Absolute Ratings Rater Bias distinguishing
Positive and Negative
Questions
Ensures Clarity on Criteria Assembling, Analysing and
Used for Evaluation Weighing is a complex
process
Ranking Method

 The Ranking method was a man-to-man ranking

developed for the US Army in 1914. In this method,
the supervisor ranks the employees from the best to
the poorest on the basis of their overall
performance.
 Five scales were normally used to rank the officers:
 Physical qualities.
 Intelligence
 Leadership
 Personal qualities
 General value to the service
Advantages of Ranking Method
 Ideal for smaller number of employees.
 Employees are ranked according to their performance levels.
 It is easier to rank the best and the worst employee.

Limitations of Ranking Method

 In an organization having large number of employees, ranking of individuals
become a difficult issue.
 It is very difficult to compare individuals with various individual traits.
 It only reflects the position of an individual in the group without being clear
on how much better or worse an employee is when compared to another
employee.
 There is no systematic procedure for ranking individuals in the organization.
The ranking system does not eliminate the possibility of snap judgements.
Critical Incident Method

 The method requires the manager to keep logs of highly

effective as well as ineffective performances of an employee.

Example for an Assistant Plant Manager

Duty Target Critical incident
Supervise machinery No shutdowns due Prevented a
maintenance to faulty machinery machine
breakdown by
discovering a faulty
part
Table A.
 Critical Incident Method

Advantages
 Provides an objective basis for discussing
performance
 Helps avoid recency bias
 Advantageous if more than one supervisor
documents incidents

Limitations
 High potential of rater bias
 Results in very close supervision
 An additional chore for the manager
 Negative incidents may be more noticeable
 Forced Distribution Method

► Differentiation process where individuals are ranked against peers

based on predetermined categories and it eliminates bias
► It is a ranking technique used by employers to evaluate their
workers by allocating a certain percentage of rates to certain
categories
► It is suitable for only certain firms
 Forced Distribution Method

Advantages of Force Distribution Method:

 It can alleviate common rater errors such as severity error and leniency error
 Employees are evaluated using the same criteria
 It facilitates more open communication between managers and employees
 It helps identify peak performers and poor performers and thereby raise the overall
performance
Disadvantages of Force Distribution Method:
► It can damage morale within teams and creates a deterrent to teamwork
► Innovation is stifled
► If applied in a wrong manner, high performing group can suffer
► If continued for a longer period, it becomes difficult to distinguish between good
performers
► It may shift focus and resources away from making good hiring decisions leading to
poor management
► It relates to the comparison of the levels of employee performance in different
positions and departments
Thank You