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Appraising Performance
Performance Appraisal <ul><li>A process of determining how well employees do their jobs compared to a set of standards to ...
Why Appraise Performance? <ul><ul><li>Play an integral role in the employer’s performance management process. </li></ul></...
Appraisal Objectives <ul><li>Evaluative/ administrative purpose </li></ul><ul><ul><li>Personnel decisions (promotion trans...
Appraisal Process <ul><li>Establish performance standards </li></ul><ul><li>Mutually set measurable goals </li></ul><ul><l...
Performance Appraisal Methods <ul><li>Topics for seminar </li></ul><ul><ul><li>Graphic Rating Scale </li></ul></ul><ul><ul...
Who does the appraising? Customers Rating Committee You Peers Boss Subordinates
Designing an Appraisal System <ul><li>Design decisions </li></ul><ul><ul><li>Decide the nature of the system (uniform or d...
Designing an Appraisal System <ul><li>Develop measurement content </li></ul><ul><ul><li>Focus of appraisal and relative we...
Designing an Appraisal System <ul><li>Design measurement process </li></ul><ul><ul><li>Types of measurement scale (ordinal...
Designing an Appraisal System <ul><li>Administrative characteristics </li></ul><ul><ul><li>Frequency and timing </li></ul>...
Rating Errors <ul><li>Primacy and recency effect </li></ul><ul><li>Halo and horn effect </li></ul><ul><li>Central tendency...
Avoiding Rating Errors <ul><li>Awareness of errors/ problems and their likely effects </li></ul><ul><li>Use of right appra...
Effective Appraisal System <ul><ul><li>Use behaviour/ outcome based measures </li></ul></ul><ul><ul><li>Monitor and docume...
Issues of Performance Appraisal in Nepal <ul><li>Limited purpose (promotion-oriented) +lack of defined goals </li></ul><ul...
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Appraising Performance=12

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Transcript of "Appraising Performance=12"

  1. 1. Appraising Performance
  2. 2. Performance Appraisal <ul><li>A process of determining how well employees do their jobs compared to a set of standards to improve their performance effectiveness. </li></ul><ul><li>Appraisal involves : </li></ul><ul><ul><li>Setting work standards </li></ul></ul><ul><ul><li>Assessing actual performance vs set standards </li></ul></ul><ul><ul><li>Identifying conditions influencing performance </li></ul></ul><ul><ul><li>Discussing with the employees and giving feedback </li></ul></ul>
  3. 3. Why Appraise Performance? <ul><ul><li>Play an integral role in the employer’s performance management process. </li></ul></ul><ul><ul><li>Help in planning for correcting deficiencies and reinforce things done correctly. </li></ul></ul><ul><ul><li>Useful for career planning in identifying employee strengths and weaknesses. </li></ul></ul><ul><ul><li>Affect the employer’s salary raise decisions. </li></ul></ul>
  4. 4. Appraisal Objectives <ul><li>Evaluative/ administrative purpose </li></ul><ul><ul><li>Personnel decisions (promotion transfer, layoff, retention) </li></ul></ul><ul><ul><li>Motivational decisions (rewards, grades, incentives) </li></ul></ul><ul><li>Developmental purpose </li></ul><ul><ul><li>Assessment of personal/professional competency and potential </li></ul></ul><ul><ul><li>Identification of development needs </li></ul></ul><ul><ul><li>Training and development decisions </li></ul></ul>
  5. 5. Appraisal Process <ul><li>Establish performance standards </li></ul><ul><li>Mutually set measurable goals </li></ul><ul><li>Measure actual performance </li></ul><ul><li>Compare performance with standards </li></ul><ul><li>Discuss the appraisal with employees </li></ul><ul><li>Initiate development/ corrective actions </li></ul>
  6. 6. Performance Appraisal Methods <ul><li>Topics for seminar </li></ul><ul><ul><li>Graphic Rating Scale </li></ul></ul><ul><ul><li>Alternate Ranking </li></ul></ul><ul><ul><li>Paired comparison </li></ul></ul><ul><ul><li>Forced Distribution </li></ul></ul><ul><ul><li>Management By Objectives (MBO) </li></ul></ul><ul><ul><li>Behaviorally Anchored Rating Scale (BARS) </li></ul></ul>
  7. 7. Who does the appraising? Customers Rating Committee You Peers Boss Subordinates
  8. 8. Designing an Appraisal System <ul><li>Design decisions </li></ul><ul><ul><li>Decide the nature of the system (uniform or differentiated; open or close; interactive or one-way) </li></ul></ul><ul><ul><li>Decide the purpose (evaluative, development or both) </li></ul></ul><ul><ul><li>Define the rater/ appraiser (single or multiple) </li></ul></ul><ul><ul><li>Define the appraisee (individual or group) </li></ul></ul>
  9. 9. Designing an Appraisal System <ul><li>Develop measurement content </li></ul><ul><ul><li>Focus of appraisal and relative weights </li></ul></ul><ul><ul><ul><li>Person oriented (attributes and traits) </li></ul></ul></ul><ul><ul><ul><li>Work oriented (job functions/ results) </li></ul></ul></ul><ul><ul><li>Aspects of performance value (quantity, quality, time, cost, supervision need, customer satisfaction) </li></ul></ul><ul><ul><li>Performance level anchors or measurement criteria </li></ul></ul><ul><ul><ul><li>Adjectival anchors (eg: satisfactory, poor) </li></ul></ul></ul><ul><ul><ul><li>Behavioral anchors (eg: sends notice about meeting) </li></ul></ul></ul><ul><ul><ul><li>Result oriented anchors (eg: number of customer complaints) </li></ul></ul></ul>
  10. 10. Designing an Appraisal System <ul><li>Design measurement process </li></ul><ul><ul><li>Types of measurement scale (ordinal/ranking; rating/interval) </li></ul></ul><ul><ul><li>Types of rating instruments </li></ul></ul><ul><ul><li>Accounting for situational constraints for performance </li></ul></ul><ul><ul><li>Score computation methods (judgemental or mathematical) </li></ul></ul>
  11. 11. Designing an Appraisal System <ul><li>Administrative characteristics </li></ul><ul><ul><li>Frequency and timing </li></ul></ul><ul><ul><li>Performance recording procedures </li></ul></ul><ul><ul><li>Information collection and processing procedures </li></ul></ul><ul><ul><li>Confidentiality and access </li></ul></ul><ul><ul><li>Methods of feedback </li></ul></ul>
  12. 12. Rating Errors <ul><li>Primacy and recency effect </li></ul><ul><li>Halo and horn effect </li></ul><ul><li>Central tendency </li></ul><ul><li>Leniency/ strictness </li></ul><ul><li>Non-performance factor </li></ul><ul><li>Stereotyping </li></ul><ul><li>Hostility </li></ul><ul><li>Self-comparison/ compatibility </li></ul>
  13. 13. Avoiding Rating Errors <ul><li>Awareness of errors/ problems and their likely effects </li></ul><ul><li>Use of right appraisal tools </li></ul><ul><li>Training of appraisers </li></ul><ul><li>Use of diaries </li></ul>
  14. 14. Effective Appraisal System <ul><ul><li>Use behaviour/ outcome based measures </li></ul></ul><ul><ul><li>Monitor and documents performance records </li></ul></ul><ul><ul><li>Provide on-going feedback </li></ul></ul><ul><ul><li>Avoid perceptual errors </li></ul></ul><ul><ul><li>Have both interactive (interview) and written (form) structure </li></ul></ul><ul><ul><li>Have multiple raters </li></ul></ul><ul><ul><li>Involve the employee in the appraisal process </li></ul></ul><ul><ul><li>Train appraisers </li></ul></ul>
  15. 15. Issues of Performance Appraisal in Nepal <ul><li>Limited purpose (promotion-oriented) +lack of defined goals </li></ul><ul><li>Informal and subjective criteria </li></ul><ul><li>Lack of transparency in evaluation </li></ul><ul><li>Current performance-oriented (No consideration of potentialities o the performer) </li></ul><ul><li>Appraisal not as motivational tools </li></ul><ul><li>Poor infrastructure (e.g., lack of job description, goal setting, etc.) </li></ul><ul><li>Lack of performance-based reward and development system </li></ul><ul><li>Unfavorable organizational or administrative culture </li></ul><ul><li>Ritual practice </li></ul>
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