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Performance

Appraisal
Performance Appraisal :

Performance Appraisal (PA) refers to all


those procedures that are used to
evaluate the personality, performance,
potential, of its group members
melationship between job analysis
and performance appraisal:
Job analysis performance performance
standards appraisal

Translate job
Describes work Into levels of Describes the
& Personnel acceptable Job relevant
mequirement Or unacceptable strengths and
performance weakness of
Of a particular
Each individual
job
ë estion arises?

 ahy do we measure performance?


 Effective performance appraisal
systems
 How do we measure performance?
r aracteristics
 It is a step by step process
 It examine the employee strengths and
weaknesses
 Scientific and objective study
 Ongoing and continuous process
 Secure information for making correct
decisions on employees
=eeds and Objectives:
 Provide feedback about employees
 Diagnose the S & a of individuals
 Provide coaching, counseling, career
planning to subordinates
 Develop positive relation and reduce
grievance
Appraisal Benefits to
Employees(cont.)
 Direction
 Feedback
 Input
 Motivation
Appraisal Benefits to rompany
 Documentation
 Employee Development
 Feedback
 Motivation system
a y Appraisals Are Important

ë  
 
ë

ë

 
a y Important (cont.)

 meview performance
 Set goals
 Identify problems
 Discuss career advancement
¦teps in performance appraisal
Establis ing job standards

Designing an appraisal programme

Appraise performance

Performance interview

Use appraisal data


For appropriate p rpose
Process of PA
¦etting
performance
Taking corrective romm nicating
standards
standards standards

Disc ssing Meas ring


res lts standards
romparing
standards
a at to eval ate? (P ilip Model)

H Problem
stars
c ildren
Potential ¦ocial
Planned
separation citizen
L

L Performance H
Problems in performance appraisal
ΠErrors In rating
 Halo effects
 Central tendency
 Leniency/Severity
 Personal bias
 mecency effect
Problems in performance appraisal
(ront¶d)
u Incompetence
3 egative approach
4 Multiple objectives
5 mesistance
6 Lack of knowledge
Essentials of an effective appraisal system
 Mutual trust
 Clear objectives
 Standardizations
 Training
 Job relatedness
 Documentation
 Feedback and participation
 Individual differences
 Post appraisal review
 meview and appeal
Discrepencies in PA ¦ystems
 Failure to communicate standards
 Failure to give timely feedback
 Failure to allow employees to correct
performance
 Inconsistency in measuring
performance
 Failure to document performance
objectively
Appraisal Forms
 Define performance expectations
 Use a rating system
 Cover specific examples
 Set measurable goals
Meas re Performance
 Measurement systems need to be:
 Specific
 Fair
 Consistent
 Clear
 Useful
¦et Goals«.
 Jased on job requirements
 mealistic
 Measurable
 Observable
 Challenging
 Prioritized
Smart Goals
[ S pecific
[ M easurable
[ A chievable
[ m ealistic
[ T ime bound
Employee Inp t

 Employees take an active role:


 Setting goals
 Designing action plans
 Identifying strengths and weaknesses
 Employees participate in the PA meeting
Preparation

Employees:
 meview performance
 Think about new goals
Preparation (cont.)

Supervisors:
 meview performance
 Complete written appraisal
 Think about new goals
 Schedule time and place
¦tart t e Meeting
 Lay out agenda
 Do not talk about
money
 Encourage input
 Give good news first
D ring t e Meeting
meview performance:
 Jased on previous goals
 oting strengths and accomplishments
 Identifying areas for improvement
End t e Meeting
 Encourage good performance
 Lay out action plan
 Communicate outcome of goals not
met
 Confirm understanding
rontin o s Feedback
 Formal appraisals
 Informal appraisals
 Open communication
mecognize Good Performance
 ‰erbal
 Public
 Tangible
 Monetary
Identify Poor Performance

 Act early
 Take the right approach
 Deal with employee reaction
 Handle continued poor performance
Dey Points to memember
 ·ou must conduct objective appraisals on a
scheduled basis

 Appraisals tell employees how they¶re doing and


how they can improve

 Appraisals help create a system of motivation


and rewards based on performance
Improving Acc racy of mating
 Set quantitative targets
 Qualitative targets should have defined measures & milestone
dates
 Keep a diary of significant achievements & failures/misses
 Prepare for the Appraisal meeting for 30 minutes
 Each appraisal should last not less than 45 minutes
 Encourage the matee to recall good performances & failures
& do not ask him his assessment on the defined rating scale
 Discuss the reasons of your mating with him so that he
improves his assessment ability
 Seek qualitative feedback on your own assessment from your
seniors
FEEDBArD & rOU=¦ELI=G
 Feedback creates awareness of strengths and
areas of improvement
 Counseling involves helping the employees
in identifying areas of improvement and
formulating development plans
 Feedback & counseling require certain skills
which can be acquired with training and
practice
GIVI=G FEEDBArD Hints
 Give descriptive feedback & not evaluative
 Focus on behavior and not on the person
 Should be data based an not based on
impressions
 Should reinforce positive new behavior
 Give suggestive feedback and not prescriptive
 Feedback is a continuous process
 Give data from personal experiences to
support the feedback
 Feedback is intended to help
GIVI=G FEEDBArD Hints
 Feedback is more effective when it need
based and solicited by the employee
 Focus on behavior which can be changed
 Feedback must be checked and verified
 Feedback should be well timed
 It must contribute to building up
relationship
mErEIVI=G FEEDBArD Hints
 Own up responsibility rather than denying
feedback
 Make self analysis to find reason for your
behavior rather than rationalizing
 Try to understand others point of view
 Jehave to make appraiser comfortable to give
feedback rather than hindering the process by
accusations, anger and other negative feelings
 Try to get specific feedback rather than
quickly agreeing to without discussion
mErEIVI=G FEEDBArD Hints
 Je concerned about improvement rather than
laughing and joking
 Listen carefully rather than questioning the
competence and the authority of th person
 Accept it as a possible means of improvement
 Je ready to experiment with suggested
behavior rather than explaining the present
and its reasons
¦tages of PPA
 SETTIG THE PmOPEm CLIMATE
 MAAGEmS PmEPmATIO
 STAmT O A POSITI‰E OTE
 mE‰IEa PAmT PEmFOmMACE
 ITEGmATE EMPLO·EE &
OmGAIZATIO GOALS
 PLAIG FOm EMPLO·EE
DE‰ELOPMET
 COFImMIG AGmEEMET
Forced Distribution method

=o.
of
employees
Π       Π
¦ p Very romp =I =¦I
Good etent

Force distrib tion c rve


Performance criteria for executives
 For top managers
 meturn on capital employed
 Contribution to community development
 Degree of upward communication from
middle-level executives
 Degree of growth and expansion of
enterprise
For middle level managers
 Departmental performance
 Coordination among employees
 Degree of upward communication from
supervisors
 Degree of clarity about corporate goals and
policies
For supervisors
 Quality and quantity of output in a given period
 Labor cost per unit of output in a given period
 Material cost per unit in a given period
 mate of absenteeism and turnover of employees
 o of accidents in a given period
T ank yo