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Introduction
Performance Management
Benefits
Performance Management Linkage
Performance Management Process
Performance Management v/s Performance
 Appraisal
Performance-Focused Organizational Cultures
Components of Performance Management
Identifying and Measuring Employee Performance
Included while measuring employee performance
Quantity of output
Quality of output
Timeliness of output
Presence/attendance of the job
Efficiency of the work completed
Effectiveness of work completed

Types of performance information
Trait based information
Behaviour- based information
Results-based information

Performance Standards
PERFORMANCE APPRAISALS
• Also called as Employee Rating, Employee Evaluation, Performance
  Review.

•   Performance Appraisals are done for:
   Administering Wages and Salaries
   Performance Feedback
   Indentify employee strength and weakness
   Improving previous or poor performance
Uses of Performance Appraisals
Administrative Actions
   Dismissal from work
   Disciplinary procedures
   Compensation adjustments
   Promotions/ Demotions
   Transfers


Developmental Actions
Career progression
Training opportunities
Coaching
Mentoring
Identify strength / weaknesses
Performance Appraisal decisions

These decisions are undertaken by-
 The HR
 The Manager

• Informal and Systematic Appraisal processes

• Timing of Appraisals

• Legal concerns with performance appraisals
Who conducts Appraisals
   Supervisory rating of subordinates
   Employee rating of managers
   Team/ Peer Rating
   Self Rating
   Outsider Rating
   Multisource/360 degree feedback
Tools for Appraising Performance
Category Scaling Methods
Graphic Rating Scales
Behavioural Rating Scales

Comparative Methods
Ranking
Forced distribution

Narrative Methods
Critical Incident
Essay

Management by objectives – MBO Process

Combination of Methods
Training Managers and Employees
 Rater Errors
 Varying Standards
 Recency and Primary effects
 Central Tendency, Leniency and Strictness Errors
 Rater Bias
 Halo and Horns effects
 Contrast error
 Similar-to-Me / Different-from-Me Errors
 Sampling errors
Appraisal Feedback
Appraisal Interview
Feedback as a System
Reaction of Managers
Reactions of Appraised Employees
Effective performance management
Performance management and Appraisal
Performance management and Appraisal

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Performance management and Appraisal

  • 2. Introduction Performance Management Benefits Performance Management Linkage Performance Management Process Performance Management v/s Performance Appraisal Performance-Focused Organizational Cultures Components of Performance Management
  • 3. Identifying and Measuring Employee Performance Included while measuring employee performance Quantity of output Quality of output Timeliness of output Presence/attendance of the job Efficiency of the work completed Effectiveness of work completed Types of performance information Trait based information Behaviour- based information Results-based information Performance Standards
  • 4. PERFORMANCE APPRAISALS • Also called as Employee Rating, Employee Evaluation, Performance Review. • Performance Appraisals are done for:  Administering Wages and Salaries  Performance Feedback  Indentify employee strength and weakness  Improving previous or poor performance
  • 5. Uses of Performance Appraisals Administrative Actions  Dismissal from work  Disciplinary procedures  Compensation adjustments  Promotions/ Demotions  Transfers Developmental Actions Career progression Training opportunities Coaching Mentoring Identify strength / weaknesses
  • 6. Performance Appraisal decisions These decisions are undertaken by-  The HR  The Manager • Informal and Systematic Appraisal processes • Timing of Appraisals • Legal concerns with performance appraisals
  • 7. Who conducts Appraisals  Supervisory rating of subordinates  Employee rating of managers  Team/ Peer Rating  Self Rating  Outsider Rating  Multisource/360 degree feedback
  • 8.
  • 9. Tools for Appraising Performance Category Scaling Methods Graphic Rating Scales Behavioural Rating Scales Comparative Methods Ranking Forced distribution Narrative Methods Critical Incident Essay Management by objectives – MBO Process Combination of Methods
  • 10. Training Managers and Employees  Rater Errors  Varying Standards  Recency and Primary effects  Central Tendency, Leniency and Strictness Errors  Rater Bias  Halo and Horns effects  Contrast error  Similar-to-Me / Different-from-Me Errors  Sampling errors
  • 11. Appraisal Feedback Appraisal Interview Feedback as a System Reaction of Managers Reactions of Appraised Employees Effective performance management