PERFORMANCE APPRAISAL (Management)

1
PERFORMANCE APPRAISAL (Management)
2
Chapter Objectives

• Define performance appraisal and identify the
  uses of performance management
• Describe the performance appraisal process
• Identify the various performance appraisal
  methods used
• The reason behind appraisal discomfort
• Explain the characteristics of an effective
  appraisal system

3
Chapter Objectives (Continued)

• Describe the legal implications of performance
  appraisal.
• Discuss the responsibility of performance
  appraisal
• Explain how the appraisal interview should be
  conducted.
• Interview with Human Resources Manager about
  Performance Management Systems

4
Performance Appraisal Defined

• System of review and evaluation of job
  performance
• Assesses accomplishments and evolves plans for
  development

5
Performance Management

• Process that significantly determines how
  organization performs
• Managers and employees work together to set
  expectations, review results and reward
  performance.
• Platform for assessing individual and team
  performance

6
Appraiser Discomfort

• Performance appraisal process cuts into managers
  time
• Experience can be unpleasant when employee has
  not performed well

7
Employee Anxiety

• Creates anxiety for appraised employee

Rationale for Performance Appraisal

• Provides legal and other benefits for employers

8
Uses of Performance Appraisal

• Human resource planning
• Recruitment and selection
• Training and development
• Career planning and development
• Compensation programs
• Internal employee relations
• Assessment of employee potential

9
Performance Appraisal Process
Plan the Performance Identify Performance Goals
Communicate Goals Establish Performance Criteria
Determine Responsibility for Appraisal
Appraisal Period Appraisal Method(s)
Computer Software
Anticipate and Consider Problems in PA
Effective PA Systems
Management Support Coaching and TD
Examine Work Performed
Appraise the Results
Conduct Appraisal Interview Discuss Goals for
Next Period
10
Responsibility for Appraisal

• Immediate supervisor
• Subordinates
• Peers
• Self-appraisal
• Customer appraisal

11
Performance Appraisal Methods

• 360-Degree Feedback
• Rating Scales
• Critical Incidents
• Essay
• Work Standards
• Ranking

12
The Appraisal Period

• Prepared at specific intervals
• Usually annually or semiannually
• Period may begin with employees date of hire
• All employees may be evaluated at same time

13
Effective Appraisal System

• Job-related criteria
• Performance expectations
• Standardization
• Trained appraisers
• Continuous open communication
• Performance reviews
• Due process

14
Legal Implications

• Adverse impact on protected classes
• The controlling of subordinate career
• Should have someone review and approve appraisals
• The rater must have personal knowledge of
  employees performance
• The appraisal system must use predetermined
  criteria

15
The Appraisal Interview

• Scheduling the interview
• Interview structure
• Use of praise and criticism
• Employees role
• Concluding the interview