perfomance aprisal

1. PERFORMANCE
APPRAISAL
Presented By:
MOHAMMAD REHAN
BBA LLB 2ND YEAR
GITAM SCHOOL OF LAW

2. INTRODUCTION
Performance appraisal has been an important activity of
the managerial staffing. The other name of performance
appraisal is evaluation. It is very important in every sphere
of life, in education, in administration. It refers to the
degree of accomplishment of the tasks that make up an
individual’s job and indicates how well a personnel is
fulfilling the job requirements.

3. DEFINITION
• Performance appraisal is the systematic, periodic and an
impartial rating of an employee’s excellence in the matters
pertaining to his present job and his potential for a better
job.
- Flippo
• Performance appraisal is the systematic description of an
employee’s job relevant strengths and weaknesses.
- Cascio Wayne

4. CHARACTERISTICS OF
PERFORMANCE APPRAISAL
• It is a formal systematic procedure involving usually three
steps: setting work standards, assessing employee’s actual
performance against set standards, and provide feedback to
the employees to improve deficiencies.
• It is to find out how well the employee is performing the
job
• Employee knows that they are being evaluated

5. Contd….
• The focus of performance appraisal is measuring and
improving the actual performance of the employee and
also the future potential of the employee
• It is a future oriented activity as it aims on employee
development
• It is both formal or informal; but formal is more objective
as well systematic

6. PURPOSES
Performance appraisal has various purposes:
• For Employees: Individual-based
• For Organization: Institutional-based
• Special uses

7. FOR EMPLOYEES:
INDIVIDUAL-BASED
• It is one of the criteria for promotion
• Job performance measurement
• Job improvement
• Helps to identify training needs and planning for training
programmes
• Helps in compensation administration
• Important tool for motivational force to the employees

8. Contd….
• Basis for counseling
• Organizational control
• Feedback to employees
• Periodic review of progress
• Self-examination

9. FOR ORGANIZATIONAL:
INSTITUTIONAL-BASED
• Measurement of organizational objectives
• Measurement of work standards
• Information generation
• Reduces grievances of the employee
• Helps for manpower

10. SPECIAL USES
• Promotion decision
• Training and development programmes
• Evaluation of supervisors and managers
• Compensation decisions
• Performance feedback
• Personnel feedback

11. PRINCIPLES
• It must be based on objectives and behaviorally oriented
performance standards for the position the person is holding.
• The objectives should be in behavioral term.
• The criteria should be well defined and should be known to staff
who will be appraised.
• The methods used for appraisal based on the objectives,
standards and criteria framed for appraisal.
• It should be documented and discussed with the employee.

12. CRITERIA CONSIDERED FOR
PERFORMANCE APPRAISAL
1) Determine what is to be appraised
2) Who are going to be appraised and by whom?
3) Why to appraise?
4) When to appraise?
5) How to appraise?

13. APPROACHES TO
PERFORMANCE APPRAISAL
Basically 2 approaches:
A) Traditional approach:
• It is based on past performance.
• Main purpose is to determine and justify the salary.
• This is to justify the organizational performance as a whole
by the past performances of its employees.

14. Contd….
B) Modern approach:
• The purpose has been taken for the development purpose,
for taking the corrective actions timely so that goals can be
achieved within time frame and also helps in re-planning.
• It is more formal and structured.
• It is future oriented.

15. PERFORMANCE APPRAISAL
PROCESS
It includes following steps:
• Establish performance standards
• Communicate the standards
• Actual performance
• Measure actual performance
• Compare actual performance against standards
• Take corrective actions

16. Contd….
It includes following steps:
1) Establish performance standards:
Setting up of standards which serves as benchmarks against
which the performance is measured.
2) Communicate the standards:
Performance appraisal involves appraiser and appraisee. The
appraisee should be informed and the standards should be
clearly explained.

17. Contd….
3) Measure actual performance:
After the standards are framed, communicated, accepted, the
actual performance should be measured. It requires the use of
selected methods and ratings to evaluate the performance.
4) Compare actual performance against standards and discuss
the results:
Comparison can be done, and whatever the results, are
communicated and discussed with appraisee.

18. Contd….
5) Taking corrective actions:
The last step is to take corrective actions, if necessary.
Immediate actions are to set the things right back on track.
The corrective steps seeks to find out how and why
performance deviates.

19. METHODS OF
PERFORMANCE APPRAISAL
The performance appraisal methods may be classified as:
• Individual evaluation methods
• Multiple person evaluation method
• Other methods

20. INDIVIDUAL EVALUATION
METHODS
• Confidential Reports: Mostly used in government
organizations. Old and traditional methods of evaluating
employees. A confidential report is a descriptive report about the
employee and generally prepared at the end of every year by the
immediate superior.
• Essay Appraisal Method: Simplest method of rating an
employee. In this, the rater expresses in detail, the employee’s
strong and weak points. This method is highly subjective and
not free from bias.

21. Contd….
• Checklist: It is a set of descriptive statements about the
employees and their behaviors. The rater has to tick “yes”
or “no” for each statement.
• Graphic Rating Scale: Widely used performance appraisal
technique. The appraisee indicates along a continuum
quality and quantity of work of the employee being
assessed.

22. Contd….
• Critical Incident Technique: In this, the appraisee rates on
the basis of critical events or takes a snapshot of the
incidence and writes a brief report about the incidence.
• Behaviorally Anchored Rating Scales (BARS): BARS are
systematically developed checklists using critical incidents
in combination with graphic rating scales.

23. Contd….
• Forced Choice Method: This method developed to reduce bias.
This method makes use of several sets of pair phrases, two of
which may may be positive and two negative and appraisee is
asked to indicate which of 4 phrases is the most and least
descriptive of a particular employee.
• Management By Objective Method (MBO): It is participative
goal setting, choosing course of actions and decisions making
process.

24. MULTI PERSON EVALUATION
METHODS
• Ranking Method: The relative position of each employee is
expressed in terms of numerical rank.
• Paired Comparison: In this, one employee is compared with all
other employees in the group for only one trait at a time.
• Forced Distribution Method: The appraisee is forced to
evaluate the staff according to predetermined distribution scale.

25. OTHER METHODS
• Assessment Centers: This is a system of organization,
where assessment of many employees is done by various
experts using various techniques. Methods including role
playing, simulation exercises, etc.
• Group Appraisal Method: In this method, the appraisal
rating is done by number of appraisers including
immediate superiors.

26. Contd….
• Field Review Method: In this, employee is evaluated by
another person, not by immediate superiors.
• 360-Degree Feedback Appraisal: Also known as multi-
rater feedback. The evaluation feedback is taken from
superiors, subordinates, peer-groups or team members,
clients and self appraisal.

27. GUIDELINES FOR EFFECTIVE
PERFORMANCE APPRAISAL
• It should provide consistent, reliable and valid information.
• The appraisal techniques should be based on job description and job-
analysis.
• The tools should be practicable.
• Appraisal forms, procedures, techniques, tools should be standardized.
• Appraisers should be thorough and should be trained for evaluation.
• Should begin with positive comments and always reinforce the
positive points.

28. Contd….
• The employee must know before the evaluation on which
parameters they are going to be evaluated.
• The appraiser must document the expected standards for
nursing practice and job responsibilities, past performance,
performance to be developed and recommendations for
future improvement.