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Review of literature of performance appraisal
1. Review of literatureof performance appraisal
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I. Contents of getting review of literature of performance appraisal
==================
Remember that the performance appraisal process serves a vital function in an overall
performance management system. It’s supposed to be helping you manage your employees’
performance in order to achieve your organization’s vision, mission, goals, and objectives. You
have to make decisions about your human resources and how to best develop and deploy them,
and the performance appraisal process should be informing those decisions. The plain fact of the
matter is that it can’t do that for you unless it involves both ongoing feedback and open
conversations about what good performance looks like.
What those conversations look like is the manager acting more like a coach or tutor in
developing the employee into the kind of performer that the organization needs. When the
process is only one-way, it’s bound to become a largely negative process for everyone involved
and little or no value to the organization.
The sad truth is that the vast majority of performance appraisals do not rise to the task at hand;
and yet they could with enough care and attention. What the detractors are saying is that if you’re
not going to do performance appraisal well, then you may as well not do it all.
Performance appraisal must be an ongoing process, with feedback occurring all along the way,
even if you only do a “formal” appraisal once or twice a year. If you’re having coach-like or
tutor-like conversations about performance throughout the review period, then you’re not only
giving constant feedback that can help an employee better understand what is expected, but
2. you’ll have the opportunity to make development decisions along the way in terms of what kind
of additional training or education an employee needs to really shine.
In a previous article, Performance Management System Overhaul: Autodesk Case Study, it was
clear that the Autodesk performance review was an event that didn’t add value. The company
made a bold move to abolish the written review portion entirely, replacing it with real
discussions about performance that became known as “calibration sessions.” These helped
employees understand what good performance looked like and created many opportunities for
robust coaching and feedback on a regular, ongoing basis. The Performance Matters system they
created is getting them the results desired and adding the value that the company simply wasn’t
getting from the previous system.
The formal appraisal may only happen occasionally, but the richness lies in the more informal
dialog that occurs throughout the appraisal period. Make that the focus of your performance
appraisal process and watch what it can do for your organization.
==================
III. Performance appraisal methods
1.Ranking Method
The ranking system requires the rater to rank his
subordinates on overall performance. This consists in
simply putting a man in a rank order. Under this method,
the ranking of an employee in a work group is done
against that of another employee. The relative position of
each employee is tested in terms of his numerical rank. It
may also be done by ranking a person on his job
performance against another member of the competitive
group.
Advantages of Ranking Method
i. Employees are ranked according to their performance
levels.
ii. It is easier to rank the best and the worst employee.
Limitations of Ranking Method
i. The “whole man” is compared with another “whole man”
in this method. In practice, it is very difficult to compare
individuals possessing various individual traits.
ii. This method speaks only of the position where an
employee stands in his group. It does not test anything
about how much better or how much worse an employee
is when compared to another employee.
3. iii. When a large number of employees are working, ranking
of individuals become a difficult issue.
iv. There is no systematic procedure for ranking individuals
in the organization. The ranking system does not eliminate
the possibility of snap judgements.
2. Rating Scale
Rating scales consists of several numerical scales
representing job related performance criterions such as
dependability, initiative, output, attendance, attitude etc.
Each scales ranges from excellent to poor. The total
numerical scores are computed and final conclusions are
derived. Advantages – Adaptability, easy to use, low cost,
every type of job can be evaluated, large number of
employees covered, no formal training required.
Disadvantages – Rater’s biases
3. Checklist method
Under this method, checklist of statements of traits of
employee in the form of Yes or No based questions is
prepared. Here the rater only does the reporting or
checking and HR department does the actual evaluation.
Advantages – economy, ease of administration, limited
training required, standardization. Disadvantages – Raters
biases, use of improper weighs by HR, does not allow
rater to give relative ratings
4. Critical Incidents Method
4. The approach is focused on certain critical behaviors of
employee that makes all the difference in the
performance. Supervisors as and when they occur record
such incidents. Advantages – Evaluations are based on
actual job behaviors, ratings are supported by
descriptions, feedback is easy, reduces recency biases,
chances of subordinate improvement are high.
Disadvantages – Negative incidents can be prioritized,
forgetting incidents, overly close supervision; feedback
may be too much and may appear to be punishment.
5. Essay Method
In this method the rater writes down the employee
description in detail within a number of broad categories
like, overall impression of performance, promoteability
of employee, existing capabilities and qualifications of
performing jobs, strengths and weaknesses and training
needs of the employee. Advantage – It is extremely
useful in filing information gaps about the employees
that often occur in a better-structured checklist.
Disadvantages – It its highly dependent upon the writing
skills of rater and most of them are not good writers.
They may get confused success depends on the memory
power of raters.
6. Behaviorally Anchored Rating Scales
statements of effective and ineffective behaviors
determine the points. They are said to be
behaviorally anchored. The rater is supposed to
say, which behavior describes the employee
performance. Advantages – helps overcome rating
errors. Disadvantages – Suffers from distortions
inherent in most rating techniques.
5. III. Other topics related to Review of literature of performance appraisal (pdf
download)
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