Performance Management <ul><li>Performance Appraisal   is a  systematic  description of job relevant strengths and develop...
Performance Management … <ul><li>is a process to  control   employee work behaviors and outputs through providing feedback...
Performance Management … <ul><li>Benefits: An Employee Perspective </li></ul><ul><ul><li>Improved Performance requires Ass...
Performance Management … <ul><li>Administrative/Evaluative </li></ul><ul><ul><li>pay, promotions, layoffs </li></ul></ul><...
Performance Management <ul><li>Uses of Performance Appraisal Systems </li></ul><ul><ul><li>Rewards </li></ul></ul><ul><ul>...
Performance Management <ul><li>Requirements for an Effective Performance Appraisals </li></ul><ul><ul><li>Relevant </li></...
 
Performance Management <ul><li>Performance Appraisal Criteria </li></ul><ul><li>Traits  (focus on the Person) </li></ul><u...
Performance Management <ul><li>Comparative Methods </li></ul><ul><ul><li>Ranking, Forced Distribution, Essay </li></ul></u...
Performance Management <ul><li>Adjective Descriptor Methods </li></ul><ul><ul><li>Behavioral Checklist, Graphic Rating Sca...
Sample Trait Scales Using Absolute Standards Fig. 7-4 Rate each worker using the scales below. Decisiveness: 1   2   3   4...
 
Performance Management <ul><li>Expected Outcome Methods </li></ul><ul><ul><li>Management by Objectives, Behavioral Anchore...
 
Performance Management <ul><li>Effective  Performance Evaluators  should be </li></ul><ul><ul><li>Knowledgeable of job req...
Performance Management <ul><li>Sources of Evaluators </li></ul><ul><ul><li>Peers </li></ul></ul><ul><ul><li>Self appraisal...
Performance Management <ul><li>Evaluator Error (Bias) </li></ul><ul><ul><li>Halo/horn </li></ul></ul><ul><ul><li>Harshness...
Performance Management <ul><li>Scheduling (Timing) of Performance Appraisal </li></ul><ul><ul><li>Intermittent v. Continuo...
Performance Management <ul><li>Improving Performance Appraisal Process </li></ul><ul><li>Give  daily  not once a year </li...
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Performance Management Performance Appraisal is a systematic ...

  1. 1. Performance Management <ul><li>Performance Appraisal is a systematic description of job relevant strengths and development needs of an employee’s actual performance relative to established standards. </li></ul>
  2. 2. Performance Management … <ul><li>is a process to control employee work behaviors and outputs through providing feedback on performance. </li></ul>
  3. 3. Performance Management … <ul><li>Benefits: An Employee Perspective </li></ul><ul><ul><li>Improved Performance requires Assessment and Feedback </li></ul></ul><ul><ul><li>Fairness results when performance is measured o bjectively and outcomes are equitable </li></ul></ul><ul><ul><li>Recognition of performance can motivate employee improvement </li></ul></ul>
  4. 4. Performance Management … <ul><li>Administrative/Evaluative </li></ul><ul><ul><li>pay, promotions, layoffs </li></ul></ul><ul><li>Developmental </li></ul><ul><ul><li>training, career development, HR research </li></ul></ul><ul><li>Legal (minimize exposure to EEO) </li></ul><ul><ul><li>Job related appraisal </li></ul></ul><ul><ul><li>Avoid vague/subjective performance criteria </li></ul></ul><ul><ul><li>Implement a review and appeals process </li></ul></ul><ul><ul><li>Respect employee privacy and confidentiality </li></ul></ul>
  5. 5. Performance Management <ul><li>Uses of Performance Appraisal Systems </li></ul><ul><ul><li>Rewards </li></ul></ul><ul><ul><li>Staffing/Career Decisions </li></ul></ul><ul><ul><li>Training/Development Assessment </li></ul></ul><ul><ul><li>Motivation </li></ul></ul><ul><ul><li>Validate HR Research </li></ul></ul>
  6. 6. Performance Management <ul><li>Requirements for an Effective Performance Appraisals </li></ul><ul><ul><li>Relevant </li></ul></ul><ul><ul><li>Acceptable (Evaluators and Employees) </li></ul></ul><ul><ul><li>Practical (Organization and Evaluators) </li></ul></ul><ul><ul><li>Reliable </li></ul></ul><ul><ul><li>Sensitive to Employee Issues and Needs </li></ul></ul>
  7. 8. Performance Management <ul><li>Performance Appraisal Criteria </li></ul><ul><li>Traits (focus on the Person) </li></ul><ul><ul><li>Observable personality dimensions </li></ul></ul><ul><ul><ul><li>Reliable, decisive, loyal </li></ul></ul></ul><ul><ul><li>Ambiguous and open to bias </li></ul></ul><ul><li>Behavioral (focus on worker behaviors) </li></ul><ul><ul><li>Behaviors required to accomplish the job </li></ul></ul><ul><ul><li>More legally defensive (than Traits), expensive, time consuming and limits application across jobs (more job specific) </li></ul></ul><ul><li>Outcomes </li></ul><ul><ul><li>Clear, Unambiguous Criteria </li></ul></ul><ul><ul><li>Eliminates subjective rater error ~ subject to criteria contamination and deficiency </li></ul></ul>
  8. 9. Performance Management <ul><li>Comparative Methods </li></ul><ul><ul><li>Ranking, Forced Distribution, Essay </li></ul></ul><ul><li>Advantage </li></ul><ul><ul><li>Differentiates employees </li></ul></ul><ul><li>Disadvantages </li></ul><ul><ul><li>Degree of differences unclear </li></ul></ul><ul><ul><li>Difficult to compare across groups </li></ul></ul><ul><ul><li>May cause conflict among workers </li></ul></ul><ul><ul><li>Vague feedback-difficult to defend </li></ul></ul>
  9. 10. Performance Management <ul><li>Adjective Descriptor Methods </li></ul><ul><ul><li>Behavioral Checklist, Graphic Rating Scale </li></ul></ul><ul><li>Advantages </li></ul><ul><ul><li>Avoids conflict </li></ul></ul><ul><ul><li>Allows comparison across work groups </li></ul></ul><ul><ul><li>Feedback of Specific performance dimensions </li></ul></ul><ul><li>Disadvantages </li></ul><ul><ul><li>Open to Rater Error </li></ul></ul><ul><ul><li>Inconsistency Across Raters </li></ul></ul>
  10. 11. Sample Trait Scales Using Absolute Standards Fig. 7-4 Rate each worker using the scales below. Decisiveness: 1 2 3 4 5 6 7 Very low Moderate Very high Reliability: 1 2 3 4 5 6 7 Very low Moderate Very high Energy: 1 2 3 4 5 6 7 Very low Moderate Very high Loyalty: 1 2 3 4 5 6 7 Very low Moderate Very high © 1998 by Prentice Hall
  11. 13. Performance Management <ul><li>Expected Outcome Methods </li></ul><ul><ul><li>Management by Objectives, Behavioral Anchored Rating Scales (BARS) </li></ul></ul><ul><li>BARS measures actual performance behaviors exhibited by an employee relative to pre-defined behaviors of a critical performance dimension. </li></ul><ul><li>MBO is a mutual goal setting process comparing actual performance to agreed upon performance objectives. </li></ul>
  12. 15. Performance Management <ul><li>Effective Performance Evaluators should be </li></ul><ul><ul><li>Knowledgeable of job requirements </li></ul></ul><ul><ul><li>Able to observe performance </li></ul></ul><ul><ul><li>Accurate, unbiased, able to differentiate performance levels </li></ul></ul>
  13. 16. Performance Management <ul><li>Sources of Evaluators </li></ul><ul><ul><li>Peers </li></ul></ul><ul><ul><li>Self appraisals (Employee) </li></ul></ul><ul><ul><li>Subordinates </li></ul></ul><ul><ul><li>Outside personnel </li></ul></ul><ul><ul><li>Computer monitoring </li></ul></ul><ul><li>The 360 degree method </li></ul><ul><li>Choice Depends on Objectives </li></ul>
  14. 17. Performance Management <ul><li>Evaluator Error (Bias) </li></ul><ul><ul><li>Halo/horn </li></ul></ul><ul><ul><li>Harshness/strictness </li></ul></ul><ul><ul><li>Leniency </li></ul></ul><ul><ul><li>Central Tendency </li></ul></ul><ul><ul><li>Recency </li></ul></ul><ul><ul><li>Contrast- similar or dissimilar to me </li></ul></ul><ul><ul><li>Anchoring- biased by prior appraisal </li></ul></ul>
  15. 18. Performance Management <ul><li>Scheduling (Timing) of Performance Appraisal </li></ul><ul><ul><li>Intermittent v. Continuous (Formal v. Informal) </li></ul></ul><ul><ul><li>Purpose: Developmental v. Pay Adjustment </li></ul></ul><ul><li>Intermittent v. Continuous </li></ul><ul><ul><li>Formal ~ usually intermittent (monthly, semi-annual, annual) </li></ul></ul><ul><ul><li>Informal ~ should be continuous (daily if necessary) </li></ul></ul><ul><ul><li>Communicate when required – support positive results or correct developmental (deficient) performance areas </li></ul></ul><ul><li>Development v. Pay ( Two separate Appraisal Interviews ) </li></ul><ul><ul><li>First discuss performance strengths and developmental needs </li></ul></ul><ul><ul><li>Second discuss pay issues </li></ul></ul>
  16. 19. Performance Management <ul><li>Improving Performance Appraisal Process </li></ul><ul><li>Give daily not once a year </li></ul><ul><li>Have employee’s rate their performance </li></ul><ul><li>Encourage the employee to participate </li></ul><ul><li>Emphasize Constructive criticism </li></ul><ul><li>Provide constant Feedback </li></ul><ul><li>Focus on behavior (performance) not the person </li></ul><ul><li>Mutually agree on specific goals, timelines, and developmental programs/assignments </li></ul>
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