PERFORMANCE APPRAISAL ‘AN OBJECTIVE LOOK’ Quantum leap Learning, Bangalore 080-41663430 [email_address]

Objectives of the Workshop Ensure the maximum effectiveness of the process Importance and the implications of the Performance appraisal to the organizations Methods to be followed, the principles and the processes of the appraisal, how to maintain objectivity in the appraisal, Responding to employee reactions, Observing and measuring performance, Structuring the interview with the focus on improving performance. .

Ensure the maximum effectiveness of the process

Importance and the implications of the Performance appraisal to the organizations

Methods to be followed, the principles and the processes of the appraisal, how to maintain objectivity in the appraisal, Responding to employee reactions, Observing and measuring performance, Structuring the interview with the focus on improving performance.

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What Is Appraised? CORE COMPETENCIES FUNCTIONAL COMPETENCIES( KNOWLEDGE, TECHNICAL/TRANSFERABLE SKILLS) BEHAVIORAL COMPETENCIES ( TRAITS, SELF IMAGE, ATTITUDE) THRESHOLD COMPETENCIES DIFFERENTIAL COMPETENCIES

CORE COMPETENCIES

FUNCTIONAL COMPETENCIES( KNOWLEDGE, TECHNICAL/TRANSFERABLE SKILLS)

BEHAVIORAL COMPETENCIES ( TRAITS, SELF IMAGE, ATTITUDE)

THRESHOLD COMPETENCIES DIFFERENTIAL COMPETENCIES

Management by Objectives (MBO) The Principles Everybody within the organization Should have a clear understanding of the aims, or objectives, of that organization, as well as awareness of their own roles and responsibilities in achieving those aims. MBO creates Empowerment that recognizes "the demise" of the command-and-control system, but remains a term of power and rank.

The Principles

Everybody within the organization Should have a clear understanding of the aims, or objectives, of that organization, as well as awareness of their own roles and responsibilities in achieving those aims.

MBO creates Empowerment that recognizes "the demise" of the command-and-control system, but remains a term of power and rank.

"MBO is one of the rational school of management's successful products." – The Economist

"MBO is one of the rational school of management's successful products."

– The Economist

Critical questions in MBO What are the appraises’ goals? What specific objectives must they meet in the next week, month, quarter, year? How will you measure success towards their goals and what feedback do you have to check their results against their goals? How will you know that they've achieved your goals? What do they have to do to achieve your goals? What performance standards must they reach? Are you linking their individual goals to those of your company?

What are the appraises’ goals?

What specific objectives must they meet in the next week, month, quarter, year?

How will you measure success towards their goals and what feedback do you have to check their results against their goals?

How will you know that they've achieved your goals?

What do they have to do to achieve your goals?

What performance standards must they reach?

Are you linking their individual goals to those of your company?

Defining the objectives in an MBO An objective is a specific step, a milestone, which enables you to accomplish a goal The objectives must be: Be specific Be measurable Be Agreeable Be Realistic Be time bound

An objective is a specific step, a milestone, which enables you to accomplish a goal

The objectives must be:

Be specific

Be measurable

Be Agreeable

Be Realistic

Be time bound

Performance Appraisal is… A Shared Responsibility To Plan, Monitor And Review Is an Ongoing Developmental Process Is a Motivational Exercise To “OBSERVE And EVALUATE An Employee In Relation To PRE-SET Performance Standards

A Shared Responsibility

To Plan, Monitor And Review

Is an Ongoing Developmental Process

Is a Motivational Exercise

To “OBSERVE And EVALUATE An Employee In Relation To PRE-SET Performance Standards

Barriers to Effectiveness Thinking Appraisals involve confrontation because it requires facing conflict and dealing with disagreement Believing Appraisals are time- stealers Lacking a systematic format which ensures that all pertinent issues are covered so that conclusions can be accurately drawn Believing that Appraisals are futile because it’s your word against your employees’ Jumping into Money talk Absence of Regular feedback through the performance cycle

Barriers to Effectiveness

Thinking Appraisals involve confrontation because it requires facing conflict and dealing with disagreement

Believing Appraisals are time- stealers

Lacking a systematic format which ensures that all pertinent issues are covered so that conclusions can be accurately drawn

Believing that Appraisals are futile because it’s your word against your employees’

Jumping into Money talk

Absence of Regular feedback through the performance cycle

Ten more Barriers to Effectiveness Gut feeling (subjectiveness), Biases, Stereotyping, First impression Lack of follow-up Improper preparation; poor documentation Attribution - tending to see poor performance more within control of the individual and superior performance as more of an influence of external factors Contrast effect - contrasting one employee's accomplishments against another Central tendency (forced bell curve) - expecting in any group that there will be some poor employees and some great employees Recency effect: over - emphasis on recent performance Inadequately defined and/or misunderstood standards/goals Poor interviewer (poor environment, poor use of time, domineering, poor listener, etc. Conducting an "annual" review (as opposed to the ongoing review)

Gut feeling (subjectiveness), Biases, Stereotyping, First impression

Lack of follow-up

Improper preparation; poor documentation

Attribution - tending to see poor performance more within control of the individual and superior performance as more of an influence of external factors

Contrast effect - contrasting one employee's accomplishments against another

Central tendency (forced bell curve) - expecting in any group that there will be some poor employees and some great employees

Recency effect: over - emphasis on recent performance

Inadequately defined and/or misunderstood standards/goals

Poor interviewer (poor environment, poor use of time, domineering, poor listener, etc.

Conducting an "annual" review (as opposed to the ongoing review)

5 key Components of Appraisal /Review Planning and Preparation Starting the Meeting Discussion Closing Follow-up

Planning and Preparation

Starting the Meeting

Discussion

Closing

Follow-up

Planning and Preparation The first step is to give the employee sufficient notification of the date of the meeting make sure that you allow sufficient time for you to rate your employees and for your employees to complete their self-appraisal Note any discrepancies that exist between your ratings and the employee’s self-appraisal and prepare to answer those Prepare to not only provide the ratings, but also discuss the reasons for the ratings Prepare to support your reasons with actual examples that stay focused on performance-related behaviors In order to be optimally prepared for the interview, select the exact words to use for introductory statements and to confront defensiveness

The first step is to give the employee sufficient notification of the date of the meeting make sure that you allow sufficient time for you to rate your employees and for your employees to complete their self-appraisal

Note any discrepancies that exist between your ratings and the employee’s self-appraisal and prepare to answer those

Prepare to not only provide the ratings, but also discuss the reasons for the ratings

Prepare to support your reasons with actual examples that stay focused on performance-related behaviors

In order to be optimally prepared for the interview, select the exact words to use for introductory statements and to confront defensiveness

Planning and Preparation Gather: the job description and performance standards goals set from the last appraisal work rules and procedures your documentation notes any feedback or letters from customers/co-workers current disciplinary memos the previous performance appraisal Before filling out the appraisal form, take a moment to: list the main areas of responsibility what the employee has done well what the employee needs to improve in what you can do to help the employee do a better job

Gather:

the job description and performance standards

goals set from the last appraisal

work rules and procedures

your documentation notes

any feedback or letters from customers/co-workers

current disciplinary memos

the previous performance appraisal

Before filling out the appraisal form, take a moment to:

list the main areas of responsibility

what the employee has done well

what the employee needs to improve in

what you can do to help the employee do a better job

Planning and Preparation Remember to avoid: Halo Effect - tendency to overrate a favored employee, or an employee who had a prior good rating Horns Effect - tendency to rate an employee lower than circumstances warrant Recency Error- letting outstanding work [or unsatisfactory work] immediately prior to the evaluation offset an entire year of performance Cookie Cutter Effect - not focusing on individual specific performance and rating all your employees, or groups of employees the same

Remember to avoid:

Halo Effect - tendency to overrate a favored employee, or an employee who had a prior good rating

Horns Effect - tendency to rate an employee lower than circumstances warrant

Recency Error- letting outstanding work [or unsatisfactory work] immediately prior to the evaluation offset an entire year of performance

Cookie Cutter Effect - not focusing on individual specific performance and rating all your employees, or groups of employees the same

Conducting the Appraisal discussion

Conducting the Appraisal discussion The opening of the meeting should put the employee at ease as quickly as possible "I’d like to start by hearing you talk about your accomplishments over the last year. What things did you do that you’re really proud of?" "Where did you feel you could have done better?” “ As you try to work on that in the upcoming year, what would make it more likely for you to be successful?” Using "I" statements, begin with something like: "Now, I’d like to express to you what I was looking for and how I saw your performance.” Provide feedback about the employee’s performance, using specific examples. In many cases the employee will have already said something about this area in the first part of the meeting. It is important that you relate your comments back to the employee’s comments.

The opening of the meeting should put the employee at ease as quickly as possible

"I’d like to start by hearing you talk about your accomplishments over the last year. What things did you do that you’re really proud of?"

"Where did you feel you could have done better?”

“ As you try to work on that in the upcoming year, what would make it more likely for you to be successful?”

Using "I" statements, begin with something like: "Now, I’d like to express to you what I was looking for and how I saw your performance.”

Provide feedback about the employee’s performance, using specific examples. In many cases the employee will have already said something about this area in the first part of the meeting. It is important that you relate your comments back to the employee’s comments.

Conducting the Appraisal discussion Using "I" statements, begin with something like: "Now, I’d like to express to you what I was looking for and how I saw your performance.” Provide feedback about the employee’s performance, using specific examples. In many cases the employee will have already said something about this area in the first part of the meeting. It is important that you relate your comments back to the employee’s comments. Promote and encourage dialog, if there is no verbal communication, distrust and resentment may emerge You should recognize the dynamics and retain control of the meeting

Using "I" statements, begin with something like: "Now, I’d like to express to you what I was looking for and how I saw your performance.”

Provide feedback about the employee’s performance, using specific examples. In many cases the employee will have already said something about this area in the first part of the meeting. It is important that you relate your comments back to the employee’s comments.

Promote and encourage dialog, if there is no verbal communication, distrust and resentment may emerge

You should recognize the dynamics and retain control of the meeting

Conducting the Appraisal discussion Do not be drawn into discussions concerning other behaviors and other employees The discussion of future performance is very important for summarizing the evaluation aspect and helping both of you close the meeting in a positive fashion Ask open-ended questions. Match your words with appropriate facial and body language Paraphrase to ensure understanding Emphasize points of agreement Make a special effort to listen

Do not be drawn into discussions concerning other behaviors and other employees

The discussion of future performance is very important for summarizing the evaluation aspect and helping both of you close the meeting in a positive fashion

Ask open-ended questions.

Match your words with appropriate facial and body language

Paraphrase to ensure understanding

Emphasize points of agreement

Make a special effort to listen

“ Mistakes my Managers make” the Industry Experts Speak –collated data/remarks Spending more time on performance appraisal than performance PLANNING, or ongoing performance communication. Forgetting appraisal is about improvement, not blame. Thinking a rating form is an objective, impartial tool. Stopping performance appraisal when a person's salary is no longer tied to the appraisals Believing they are in position to accurately assess staff. Canceling or postponing appraisal meetings Measuring or appraising the trivial Surprising employees during appraisal

Spending more time on performance appraisal than performance PLANNING, or ongoing performance communication.

Forgetting appraisal is about improvement, not blame.

Thinking a rating form is an objective, impartial tool.

Stopping performance appraisal when a person's salary is no longer tied to the appraisals

Believing they are in position to accurately assess staff.

Canceling or postponing appraisal meetings

Measuring or appraising the trivial

Surprising employees during appraisal

Closing and follow up Spend only about 30% of the time discussing the past and 70% talking about future performance,"

Identify Training and development needs based on the evaluation Share the employee’s additional views/ answer questions Decide on the next feedback session to follow up on the goals set Ask/offer to put the details of the agreeable terms of the meeting in an email to document Motivate the Employee to look ahead and charter the future course of performance Thank the Employee for his/her time

Identify Training and development needs based on the evaluation

Share the employee’s additional views/ answer questions

Decide on the next feedback session to follow up on the goals set

Ask/offer to put the details of the agreeable terms of the meeting in an email to document

Motivate the Employee to look ahead and charter the future course of performance

Thank the Employee for his/her time

CALL THE TRAINING AND DEVELOPMENT TEAM! Sidharth Wadhwa - 9 year highly accomplished career track record, that include successfully carrying out training intervention, needs analysis and people development workshops at various levels across IT, ITes and Manufacturing Industry in India; Sidharth Wadhwa is a Certified Learning and development Manager and a Certified Psychometrics Professional. Sindhu Upadhyay -Certified Behavioral Coach with over 9 years experience in conducting workshops on Leadership, EQ, Assertiveness, Managerial effectiveness, Behavioral Interviewing skills and Performance Management. She is a Post Graduate in Communication Management with certification in Applied corporate psychology. Quantum Leap, 54, 7th main, 10th Cross, JP Nagar-7th Phase Bangalore - 560078 Phone no: +91 9342231648/9845223842/080-41663430 training@qllearning.com

CALL THE TRAINING AND DEVELOPMENT TEAM!

Sidharth Wadhwa - 9 year highly accomplished career track record, that include successfully carrying out training intervention, needs analysis and people development workshops at various levels across IT, ITes and Manufacturing Industry in India; Sidharth Wadhwa is a Certified Learning and development Manager and a Certified Psychometrics Professional.

Sindhu Upadhyay -Certified Behavioral Coach with over 9 years experience in conducting workshops on Leadership, EQ, Assertiveness, Managerial effectiveness, Behavioral Interviewing skills and Performance Management. She is a Post Graduate in Communication Management with certification in Applied corporate psychology.