1. PowerPoint Presentation by Charlie Cook
The University of West Alabama
1
Human Resource
Management
ELEVENTH EDITION
G A R Y D E S S L E R
© 2008 Prentice Hall, Inc.
All rights reserved.
Performance Management and Appraisal
Chapter 9
Part 3 | Training and Development

2. © 2008 Prentice Hall, Inc. All rights reserved. 9–2
After studying this chapter, you should be able to:
1. Evaluate and improve the appraisal form in Figure 9–1.
2. Describe the appraisal process.
3. Develop, evaluate, and administer at least four
performance appraisal tools.
4. Explain and illustrate the problems to avoid in
appraising performance.
5. List and discuss the pros and cons of six appraisal
methods.
6. Perform an effective appraisal interview.
7. Discuss the pros and cons of using different raters to
appraise a person’s performance.

3. © 2008 Prentice Hall, Inc. All rights reserved. 9–3
Basic Concepts in Performance
Management and Appraisal
Performance Appraisal:
Setting work standards, assessing
performance, and providing
feedback to employees to
motivate, correct, and continue
their performance.
Performance Management:
An integrated approach to
ensuring that an employee’s
performance supports and
contributes to the organization’s
strategic aims.
Comparing
Performance Appraisal
and
Performance Management

4. © 2008 Prentice Hall, Inc. All rights reserved. 9–4
Why Performance Management?
Total Quality
Appraisal Issues
Strategic Focus
The
Performance
Management
Approach

5. © 2008 Prentice Hall, Inc. All rights reserved. 9–5
Defining the Employee’s Goals
and Work Standards
Assign
Specific
Goals
Encourage
Participation
Assign
Measurable
Goals
Assign
Challenging
but Doable
Goals
Guidelines for
Effective Goal Setting

6. © 2008 Prentice Hall, Inc. All rights reserved. 9–6
Using MBO
Problems with
MBO
Setting unclear
objectives
Conflict with
subordinates over
objectives
Time-consuming
appraisal process

7. © 2008 Prentice Hall, Inc. All rights reserved. 9–7
Appraising Performance:
Problems and Solutions
Unclear
Standards
Leniency or
Strictness
Halo
Effect
Potential Rating
Scale Appraisal
Problems
Central
Tendency
Bias

8. © 2008 Prentice Hall, Inc. All rights reserved. 9–8
Appraising Performance:
Problems and Solutions (cont’d)
Know
Problems
Control
Outside
Influences
Use the
Right Tool
How to Avoid
Appraisal Problems
Train
Supervisors
Keep
a Diary

9. © 2008 Prentice Hall, Inc. All rights reserved. 9–9
Who Should Do the Appraising?
Self-Rating
Subordinates
360-Degree
Feedback
Potential
Appraisers
Immediate
Supervisor
Peers
Rating
Committee

10. © 2008 Prentice Hall, Inc. All rights reserved. 9–10
The Appraisal Interview
Satisfactory—Promotable
Satisfactory—Not Promotable
Unsatisfactory—Correctable
Unsatisfactory—Uncorrectable
Types of Appraisal
Interviews

11. © 2008 Prentice Hall, Inc. All rights reserved. 9–11
The Appraisal Interview (cont’d)
Talk in terms
of objective
work data.
Don’t tiptoe
around.
Don’t get
personal.
Encourage
the person to
talk.
Guidelines for
Conducting an Interview

12. © 2008 Prentice Hall, Inc. All rights reserved. 9–12
K E Y T E R M S
performance appraisal
performance management
graphic rating scale
alternation ranking method
paired comparison method
forced distribution method
critical incident method
behaviorally anchored rating
scale (BARS)
management by objectives (MBO)
electronic performance monitoring
(EPM)
unclear standards
halo effect
central tendency
strictness/leniency
bias
appraisal interview