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Steps in performance appraisal Establishing job standards Designing an appraisal programme Appraise performance Performance interview Use appraisal data For appropriate purpose
Process of PA Setting performance standards Taking corrective standards Discussing results Comparing standards Measuring standards Communicating standards
Issues in appraisal system Appraisal Design? Formal and informal Whose performance? Who are the raters? What problems? How to solve? What to evaluate? When to evaluate? What methods?
What to evaluate? (Philip Model) Problem children Planned separation stars Social citizen H L H L Potential Performance
How PA contribute to firm’s competitive advantages Improving performance Making correct decision Ensuring legal competence Minimizing dissatisfaction And turnover Values and behavior Competitive advantage
Critical Incident method Ex: A fire, sudden breakdown, accident Workers reaction scale A informed the supervisor immediately 5 B Become anxious on loss of output 4 C tried to repair the machine 3 D Complained for poor maintenance 2 E was happy to forced test 1
Ranking method Employee Rank A 2 B 1 C 3 D 5 E 4
Paired comparison method A B C D E Final Rank A - - - + + 3 B + - - + + 2 C + + - + + 1 D - - - - + 4 E - - - - - 5 No of Positive evaluation Total no. of evaluation * 100 = employee superior evaluation
Forced Distribution method 10% 20% 40% 20% 10% poor Below average average good Excellent No. of employees Force distribution curve
Field review method Performance subordinate peers superior customer Dimension Leadership ^ ^ Communication ^ ^ Interpersonal skills ^ ^ Decision making ^ ^ ^ Technical skills ^ ^ ^ Motivation ^ ^ ^