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Performance appraisal
Performance appraisal
Performance appraisal
Performance appraisal
Performance appraisal
Performance appraisal
Performance appraisal
Performance appraisal
Performance appraisal
Performance appraisal
Performance appraisal
Performance appraisal
Performance appraisal
Performance appraisal
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Performance appraisal

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  • 1. Performance Appraisal
  • 2. Performance appraisals are widely used in thesociety:The history can be dated back to the 20th centuryand then to the second world war when the meritrating was used for the first time. An employerevaluating their employees is a very old concept. It isan indispensable part of performance measurement.Successful organizations know that to win in today’scompetitive marketplace they must attract, develop,and retain talented and productive employees.Winning organizations get their competitive edgefrom a performance management system that helpsthem hire talented people and place them in theright position, align their individual performancewith the organization’s vision and strategicobjectives, develop their abilities, and rewardperformance commensurate with contributions to theorganization’s success. Please turn over
  • 3. The latest mantra being followed by organizationsacross the world being – "get paid according towhat you contribute" – the focus of theorganizations is turning to performancemanagement and specifically to individualperformance. Performance appraisal helps to rate theperformance of the employees and evaluate theircontribution towards the organizational goals. If theprocess of performance appraisals is formal andproperly structured, it helps the employees to clearlyunderstand their roles and responsibilities and givedirection to the individual’s performance. It helps to alignthe individual performances with the organizationalgoals and also review their performance. Performanceappraisal takes into account the past performance of theemployees and focuses on the improvement of thefuture performance of the employees. Please turn over
  • 4. Performance Appraisal is the process ofmeasuring an individuals work behaviorsand outcomes against the expectations ofthe job. Performance appraisal is frequentlyused in promotion and compensationdecisions, to help design and validatepersonnel selection procedures.People differ in their abilities and their aptitudes.There is always some difference between thequality and quantity of the same work on thesame job being done by two different people.Performance appraisals of Employees arenecessary to understand each employee’sabilities, competencies and relative meritand worth for the organization. Performanceappraisal rates the employees in terms oftheir performance. Please turn over
  • 5. Benefits of Effective PerformanceManagement:Improved Productivity -- Improvement inboth the way people work and the outcomesthey produce.Improved Employee Morale -- Resultingfrom on-time performance appraisals andrewards commensurate with employeecontributions.Retention of Top Performers – Employeeswho feel accomplished in their work becomeloyal employees.Increased Profitability – Loyal employeesdeliver higher levels of service that result incustomer loyalty. Please turn over
  • 6. From the point of view of the organization, performanceappraisal serves the purpose of: providing information about human resources and theirdevelopment; measuring the efficiency with which human resources are beingused and improved; providing compensation packages to employees; and maintaining organizational control.Performance appraisal should also aim at the mutual goals of theemployees and the organization. This is essential becauseemployees can develop only when the organizations interests arefulfilled. The organizations main resources are its employees, andtheir interest cannot be neglected. Mutual goals simultaneouslyprovide for growth and development of the organization as well as ofthe human resources. They increase harmony and enhanceeffectiveness of human resources in the organization. Please turn over
  • 7. A properly designed performance appraisal system can: help each employee understand more about their role and become clearabout their functions; be instrumental in helping employees to better understand theirstrengths and weaknesses with respect to their role and functions inthe organization; help in identifying the developmental needs of employees, given theirrole and function; increase mutuality between employees and their supervisors so thatevery employee feels happy to work with their supervisor and therebycontributes their maximum to the organization; act as a mechanism for increasing communication between employeesand their supervisors. In this way, each employee gets to know theexpectations of their superior, and each superior also gets to know thedifficulties of their subordinates and can try to solve them. Together, theycan thus better accomplish their tasks; provide an opportunity to each employee for self-reflection and individualgoal-setting, so that individually planned and monitored development takesplace; help employees internalize the culture, norms and values of theorganization, thus developing an identity and commitment throughout theorganization; Please turn over
  • 8. help prepare employees for higher responsibilities in thefuture by continuously reinforcing the development of thebehavior and qualities required for higher-level positionsin the organization; be instrumental in creating a positive and healthyclimate in the organization that drives employees to givetheir best while enjoying doing so; and assist in a variety of personnel decisions by periodicallygenerating data regarding each employee Please turn over
  • 9. Appraisals can help to improve employees jobperformance by identifying strengths andweaknesses and determining how theirstrengths can be best utilized within theorganization and weaknesses overcome. Theycan help to reveal problems which may berestricting employees’ progress and causinginefficient work practices.Appraisals can also provide information forhuman resource planning to assist successionplanning and to determine the suitability ofemployees for promotion, for particular typesof employment and training. In addition they canimprove communications by giving employees anopportunity to talk about their ideas andexpectations and to be told how they areprogressing. This process can also improve thequality of working life by increasing mutualunderstanding between managers and employees. Please turn over
  • 10. Larsen & Toubro, Human Resource development-Performance Appraisal System CONFENDENTIAL NAME EMP.PS.NO. CADRE DEPT. PA FORM: 28EXECUTIVES &SUPERVISORS LT LARSEN & TOUBRO LIMITED HUMAN RESOURCE DEVELOPMENT-PERFORMANCE APPRAISAL SYSTEM PERFORMANCE ANALYSIS AND REVIEW NAME DATE SIGNATUREEMPLOYEEIMMEDIATE SUPERIORNEXT SUPERIORHRD DEPT. Please turn over
  • 11. A PERFORMANCE REVIEW AGAINST OBJECTIVES B1 By Immediate Superior outstanding Inadequate A1 By Employee V. Good Adequate GoodAGREED OBJECTIVES & RESULTSTARGETS ACHIEVED1.2.3.4.5.A2 SELF REVIEW(by Employee)SIGNIFICANT CONTRIBUTORS (JOB OR PROFESSION RELATED-NOT COVEREDABOVE)IMPORTANT FACTORS FACLITATING PERFORMANCEIMPORTANT FACTORS HINDERING PERFORMANCE B2 PERFORMANCE AGAINST OBJECTIVES (By Immediate Superior) OUTSTANDING V.GOOD GOOD ADEQUATE Please turn overINADEQUATE
  • 12. Inadequate V. Good C Appraisal of Critical Attributes (By Adequate Outstanding GoodImmediate Superior) C2 Critical Attributes1. INNOVATIVENESS2. INITIATIVE3. INTERPERSONAL &TEAM RELATION4. RESOURCEFULNESS5. COMMUNICATION SKILLSSpecific role related attributes (identified in the beginning of the year)6.7. C2 Areas of Strength and Improvements (By Immediate Superior) C3 Potential Areas of Growth (By Immediate Superior) Please turn over
  • 13. D Recommendations for Training and Development (ByImmediate Superior) D1 IN-COMPANY TRAINING PROGRAMMES Description Code Description Code1. 2. D2 OTHER TRANING PROGRAMMES1. 2. D3 SPECIFIC DEVELOPMENT PLANS Proposed Action Details of Actions Required (tick as applicable) Job rotation Job enlargement Special assignment Deputation of other department Other (please specify) E Comments by next superior(s) E1 On specific Development Plans stated Above in D3 E2 Overall Observations: F For use by HRD Coordinator Please turn over
  • 14. Thank You !!!......

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