Performance%20Appraisal

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Performance Appraisal

• An introduction and overview

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What is performance appraisal?

• Employee Assessment the assessment of an
  employee's effectiveness, usually as undertaken
  at regular intervals
• Performance appraisal may be defined as a
  structured formal interaction between a
  subordinate and supervisor in which the work
  performance of the subordinate is examined and
  discussed
• with a view to identifying weaknesses and
  strengths as well as opportunities for
  improvement and skills development
• What does it get used for?

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Appraisal is both inevitable and universal

• Dulewicz (1989), "... a basic human tendency to
  make judgments about those one is working with,
  as well as about oneself."
• The human inclination to judge can create serious
  motivational, ethical and legal problems in the
  workplace.
• Without a structured appraisal system, there is
  little chance of ensuring that the judgments made
  will be lawful, fair, defensible and accurate.

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Historically speaking

• As a distinct and formal management procedure
  used in the evaluation of work performance,
  appraisal dates from the time of the Second World
  War (not more than 60 years ago)
• almost everything in the field of modern human
  resources management can be traced to Taylors
  pioneering Time and Motion studies
• Appraisal could claim to be the world's second
  oldest profession!

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The start of a system

• Performance appraisal systems began as simple
  methods of income justification.
• The process was firmly linked to material
  outcomes.
• If an employee's performance was found to be less
  than ideal, a cut in pay would follow.
• If an employees performance was better than the
  supervisor expected, a pay rise was in order.
• Sometimes this basic system succeeded in getting
  intended results but more often than not, it
  failed.

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• Motivational researchers have shown that
  different people with roughly equal work
  abilities could be paid the same amount of money
  and have different levels of motivation and
  performance.
• Pay rates are shown to be important.
• But, other elements matter! For example, morale
  and self-esteem, can have a major influence.
• In the 1950s in the United States, the potential
  usefulness of appraisal as tool for motivation
  and development was gradually recognized. The
  general model of performance appraisal, as it is
  known today, began from that time.

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Controversy in performance appraisal

• Researchers, management commentators,
  psychometricians have expressed doubts about the
  validity and reliability of the performance
  appraisal process.
• Some have suggested that the process is so flawed
  that it is impossible to perfect it.
• There are some advocates of performance appraisal
  who view it as potentially "... the most crucial
  aspect of organizational life" (Lawrie, 1990).
• Others believe that performance appraisal has
  many uses, but scorn attempts to link the process
  to reward outcomes (raises and promotions), as it
  reduces developmental value.

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Consider this

• How many people would gladly admit their work
  problems if, at the same time, they knew that
  their next pay raise or a much-wanted promotion
  was riding on an appraisal result?
• In situations like that, many people would deny
  or downplay their weaknesses.
• But, if you do not link appraisals to rewards,
  those being evaluated may feel the process is a
  sham or a waste of time.