Intro to performance appraisal

1. BUILDING THE
THEORETICAL
CONSTRUCT:
APPROACHES TO
APPRAISAL,
FORMULATING
OBJECTIVES AND
STANDARDS
LECTURE 2

2. LECTURE OUTLINE
• BUILDING A THEORETICAL CONSTRUCT:
APPROACHES TO APPRAISAL
• PURPOSE OF PERFORMANCE APPRAISALS
• TRAIT BASED APPROACH
• BEHAVIOR BASED APPROACH
• RESULTS BASED APPROACH
• DESIGNING ACCOUNTABILITIES, OBJECTIVES
AND STANDARDS

3. PURPOSE OF PERFORMANCE
APPRAISAL
• GOALS AND FEEDBACK
• THE JOB MODEL – PERFORMER,
SITUATION, BEHAVIOR AND RESULT

4. DIFFERENCE BETWEEN TRAITS
AND BEHAVIORS
• BEHAVIOR
• THE MANNER OF CONDUCTING ONESELF
• ANYTHING THAT AN ORGANISM DOES INVOLVING ACTION
AND RESPONSE TO STIMULATION
• TRAITS
• A DISTINGUISHING CHARACTERISTIC OR QUALITY, ESP. OF
ONE'S PERSONAL NATURE
• A GENETICALLY DETERMINED CHARACTERISTIC OR
CONDITION. TRAITS MAY BE PHYSICAL, OR BEHAVIORAL
• DIFFERENCE
• A BEHAVIOR CAN BE CHANGED; A TRAIT IS ESSENTIALLY
IMPOSSIBLE TO CHANGE.

5. PERFORMER/ TRAIT FOCUSED
APPRAISALS
• PURELY TRAIT AND / OR TWEAKED TO COMPANY
REQUIREMENTS AND / OR REFLECTING JOB
DIMENSIONSPros Cons
Universal applicability Not predictive
Easy to design Not accurate
Just a judgment – no change
Accurate judgment – still not
useful
Rater errors

6. BEHAVIOR FOCUSED APPRAISALS
• BARS – ELEMENTS OF THE JOB, IDENTIFICATION OF
BEHAVIORS, THE DIMENSIONS, RATING SCALES
(EXAMPLES NOT JUDGMENT / GENERALIZATION)
• VARIATIONS – FREQUENCY SCALE, TRAIT SCALE
Pros Cons
High acceptability Difficult to identify anchors
Greater reliability / validity Difficulty to develop non-
overlapping dimensions
Behaviors to change Expensive
Focus on job content /
performance
Extensive training

7. EXAMPLES OF TRAITS AND
BEHAVIORS
• ASSERTIVENESS (AGGRESSIVE OR ACCOMMODATING)
• PACE (FAST PACED OR SLOW STARTER)
• DETAIL ORIENTATION (FLEXIBILITY OR STRUCTURED
APPROACH)
• EMOTIVENESS (CONTROLLED EMOTIONS OR DISPLAY OF
EMOTIONS)
• CREATIVITY (CONSERVATIVE OR IMAGINATIVE)
• SOCIABILITY (RESERVED OR OUTGOING)
• RUDE
• BOSSY
• FINIKY

8. RESULT BASED APPRAISALS
• THE MBO
• FORMULATE LT AND ST GOALS (SWOT, VISION AND
MISSION)
• DEVELOP GOALS IN BUSINESS AREAS (PROFITABILITY,
MARKET SHARE)
• DEVELOP UNIT / DIVISION OBJECTIVES
• DEVELOP INDIVIDUAL OBJECTIVES (REALISTIC /
ACHIEVABLE + CLOSED AND OPEN)
• THE ACTION PLAN
• IMPLEMENTATION OF ACTION PLAN AND CORRECTIVE
MEASURES
• PERFORMANCE REVIEW AGAINST STANDARDS

9. RESULT BASED APPROACH
(CONTD)
Pros Cons
Bridges ST / LT gap Inflexible
Effective performance enhancer Excessively result oriented
Establishes fairness Complex
Establishes role clarity Inadequate personal development
incentive
Job specific Critical performance aspects
assessed only

10. DESIGNING ACCOUNTABILITIES,
OBJECTIVES AND STANDARDS
• HOW TO IDENTIFY ACCOUNTABLES?
• HOW TO DEFINE OBJECTIVES?
• RESULTS /OUTCOMES NOT ACTIVITIES
• SIGNIFICANCE TO ORGANIZATION
• PRIORITIZE AND ASSIGN WEIGHT
• CLARIFY AND COMMUNICATE
• QUANTIFY AND MEASURE
• WHAT STANDARDS TO ESTABLISH?
• MEASUREABLE – Q, Q, C, T