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Performance appraisal

performance appraisal, meaning, types, methods, problems in performance appraisal, 360 degree performance appraisal, definition of peformance appraisal , process of performance appraisal , miskates or error in performance appraisal, Errors in rating & objective

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By
N ARUNAGIRI
itsmearunin@gmail.com
MEANING
 Performance appraisal is the process of assessing the
performance and progress of an employee or of a group
of employee or a group of employees on a given job
and his potential for future development
DEFINITION
According to Flippo, “performance appraisal is the
systematic, periodic and an impartial rating of an
employee’s excellence in matters pertaining to his
present job and his potential for a better job.”
Performance Appraisal
 Performance Appraisal (PA) refers to all those
procedures that are used to evaluate the
 personality
 performance
 potential of its group members
OBJECTIVE OF PERFORMANCE APPRAISAL
 Provide a basis for promotion/ transfer/ termination:
 Identify those employees who deserve promotion
Or those who require lateral shift (transfer) or termination
 PA is used for career planning
 Enhance employees’ effectiveness by helping to identify
their strengths and weaknesses and
 Inform them about expected levels of performance
 To provide feedback to employees so that they come to
know where they are stand and can improve their job
performance
PROCESS OF PERFORMANCE APPRAISAL
SETTING
PERFORMANCE
STANDARDS
Communicating
the Standards
MEASURING
PERFORMANCE
COMPARING
STANDARDS
DISCUSSING
RESLUTS
TAKING
CORRECTIVE
ACTIONS
SETTING PERFORMANCE STANDARD
 Performance standards serve as benchmarks against
which performance is measured
 Standards should relate to the desired results of each
job
 The appraisal process beings with the setting up of
criteria to be used for apprising the performance of
employees
 The criteria should be clear, objective and in writing
 It should be discussed with the supervisors to ensure
that all the relevant factors have been included. Where
the output can be measured the criteria is clear.

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Performance appraisal

  • 2. MEANING  Performance appraisal is the process of assessing the performance and progress of an employee or of a group of employee or a group of employees on a given job and his potential for future development
  • 3. DEFINITION According to Flippo, “performance appraisal is the systematic, periodic and an impartial rating of an employee’s excellence in matters pertaining to his present job and his potential for a better job.” Performance Appraisal  Performance Appraisal (PA) refers to all those procedures that are used to evaluate the  personality  performance  potential of its group members
  • 4. OBJECTIVE OF PERFORMANCE APPRAISAL  Provide a basis for promotion/ transfer/ termination:  Identify those employees who deserve promotion Or those who require lateral shift (transfer) or termination  PA is used for career planning  Enhance employees’ effectiveness by helping to identify their strengths and weaknesses and  Inform them about expected levels of performance  To provide feedback to employees so that they come to know where they are stand and can improve their job performance
  • 5. PROCESS OF PERFORMANCE APPRAISAL SETTING PERFORMANCE STANDARDS Communicating the Standards MEASURING PERFORMANCE COMPARING STANDARDS DISCUSSING RESLUTS TAKING CORRECTIVE ACTIONS
  • 6. SETTING PERFORMANCE STANDARD  Performance standards serve as benchmarks against which performance is measured  Standards should relate to the desired results of each job  The appraisal process beings with the setting up of criteria to be used for apprising the performance of employees  The criteria should be clear, objective and in writing  It should be discussed with the supervisors to ensure that all the relevant factors have been included. Where the output can be measured the criteria is clear.
  • 7. COMMUNICATING THE STANDARDS  Performance appraisal involves at least two parties, the appraiser who does the appraisal and the appraise whose performance is being evaluated  The appraiser should prepare job descriptions clearly; help appraisee set his goals and targets; analyze results objectively; offer coaching and guidance to appraisee whenever required and reward good results  The appraisee should be very clear about what he is doing and why
  • 8. MEASURING PERFORMANCE  Performance measures, to be helpful must be easy to use, reliable and must report on the critical behaviors that determine performance  Performance measures may be objective or subjective  Objective performance measures are indications of job performance that can be verified by others and are usually quantitative  Subjective performance measures are ratings that are based on the personal standards or opinions of those doing the evaluation and are not verifiable by others
  • 9. COMPARING STANDARDS  Actual performance may be better than expected and sometimes it may go off the track  Whatever be the consequences, there is a way to communicate and discuss the final outcome
  • 10. DISCUSSING RESULTS  The results of the appraisal are communicated to and discussed with the employees. Along with the deviations, the reasons behind are also analyzed and discussed.  Such discussion will enable an employee to know his weakness and strengths  Therefore, he will be motivated to improve himself
  • 11. TAKING CORRECTIVE ACTIONS  Through mutual discussions with employees, the steps required to improve performance are identified and initiated. Training, coaching, counseling, etc is examples of corrective actions that help to improve performance
  • 12. PROBLEMS IN PERFORMANCE APPRAISAL ERRORS IN RATING Halo effect Stereotyping Central tendency Constant error Personal bias Spill over effect
  • 13. PROBLEMS IN PERFORMACNE APPRAISAL  LACK OF RELIABILITY  NCOMPETENCE  Negative approach  Multiple objectives  Resistance  Lack of knowledge
  • 14. METHODS OF PEFORMANCE APRAISAL METHODS OF PERFORMANCE APPRAISAL TRADITIONAL METHOD MODERN METHOD
  • 15. TRADITIONAL METHOD  CONFIDENTAIL REPORT  FREE FORM OR EASSY  STRAIGHT RANKING  PAIRED COMPARISONS  FORCED DISTRIBUTION  GRAPHIC RATING SCALES  CHECK LIST METHOD  CRIRTICAL INCIDENTS  GROUP APPRAISAL
  • 16. MODERN METHOD  ASSESSMENT CENTRE  HUMAN RESOURCE ACCOUNTING  BEHAVIOURALLY ANCHORED RATING SCALE  APPRAISAL THROUGH MBO  360 DEGREE APPRAISAL
  • 17. CONFIDENTIAL REPORT  Prepared at the end of the year  Prepared by the employee’s immediate supervisor  The report highlights the strengths and weaknesses of employees  Prepared in Government organizations  Does not offer any feedback to the employee
  • 18. FREE FORM OR ESSAY  The rater is asked to express the strong as well as weak points of employee’s behavior  The rater considers the employee’s :  Job knowledge and potential  Understanding of company’s programs, policies, objectives etc  Relation with co-workers and supervisors  Planning, organizing and controlling ability  Attitude and perception
  • 19. STRAIGHT RANKING /RANKING METHOD  The evaluator rates the employee from highest to lowest on some overall criteria PAIRED COMPARISONS  Each worker is compared with all other employees in a group  For several traits paired comparisons are made, tabulated and then rank is assigned to each worker  This method is not applicable when the group is large
  • 20. FORCED DISTRIBUTION  The rater is asked to appraise the employee according to predetermined distribution scale.  Two criteria used for rating are: job performance and promotion.  A five point performance scale is also used without mentioning any descriptive statements.  The worker is placed between two extremes of “good” and “bad” performance.
  • 21. GRAPHIC RATING SCALES  A form is used to evaluate the performance of the employees  A variety of traits may be used in this device, the most common being quality and quantity of work  Easy to understand and use.  Permits statistical tabulation of scores of employees 
  • 22. CRITICAL INCIDENT TECHNIQUE  Manager prepares lists of statements of very effective and ineffective behavior of an employee  These critical incidents represent the outstanding or poor behavior of the employees  The manager periodically records critical incidents of employee’s behavior
  • 23. MODERN METHOD ASSESSMENT CENTRE METHOD  An assessment center is a group of employees drawn from different work units  These employees work together on an assignment similar to the one they would be handing when promoted.  Evaluators observe and rank the performance of all the participants.  This group evaluates all employees both individually and collectively by using simulation techniques like role playing, business games and in basket exercise  Employees are evaluated on job related characteristics considered important for job success
  • 24. 360 DEGREE PERFORMANCE APPRAISAL employee peer self superior subordinate
  • 25. PERFORMANCE APPRAISAL THROUGH MBO  SET ORGANIZATION GOALS  DEFINING PERFORMANCE TARGETS  PERFORMANCE REVIEWS.  FEED BACK
  • 26. Mail me for more topic itsmearunin@gmail.com