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S
Performance
Management vs.
Performance Appraisal
Team D
Galvinus Thompson, Nelson Diaz, Demetrius Livingston and Hubert Fuller
Performance Management
S Performance management aims at developing individuals
with required commitment and competencies to work
towards the shared meaning objectives within the
organization framework
S Purpose of performance management is to ensure that
the organization system and sub systems work together
to accomplish optimum goals
(Cascio, 2013)
Performance Management
(PM)
S PM systems can be rated into five tiers.
S Tier One: The system shows promise during recruitment yet it
hasn’t achieved any company goals
S Tier Two: The system has personality issues, often lacking
authenticity, inflexibility, among other issues.
S Tier Three: The system works but lacks motivation.
S Tier Four: It gives employees the necessary feedback to feel
appreciated and helps them develop themselves on occasion.
S Tier Five: Consistently motivates top talent, stretches mid-level
performers and low performers “self-select out”.
(Rock, 2013)
Performance Appraisal (PA)
S Investopedia (2015) defines PA as an annual review of an
employee overall contributions to the company by their
superiors. Also known as annual reviews, these are used
to provide “big-picture feedback” on their work to justify
pay increase, bonuses and/or terminations.
Performance Appraisal (PA)
S Requirements for an effective PA system:
S Relevance: “What really makes the difference between
success and failure on a particular job, and according to
whom?”
S Sensitivity: PA system is capable of distinguishing effective
from ineffective performers.
S Reliability: Consistency of judgment. Adequate opportunity to
observe what the employee has accomplished and under what
conditions
S Acceptability: PA system must have support from those who
will use it.
S Practicality: Ease of use.
(Cascio, 2013)
S
Fortune says that The
Best Company to Work
for is…
Google (NYSE: GOOG)
S Project Oxygen
S Gathered more than 10,000 observations across more than 100 variables
(surveys, questioners, feedback, etc.)
S Results were improved employee retention, developed a training staff
guided on managers
S Performance Reviews are done quarterly instead of semi annually
S “What it means is, if I’m a manager and I want to get better…two of the
most important things I can do is make sure I have some time for them
(employees) and be consistent. And that’s more important than doing the
rest of the stuff.”
(Bryant, 2011)
References
S Bryant, A. (2011). Google’s Quest to Build a Better Boss.
Retrieved from
https://www.nytimes.com/2011/03/13/business/
13hire.html?_r=0
S Cascio, W. F. (2013). Managing Human Resources:
Productivity, Quality of Work Life, Profits (9th ed.). Retrieved
from The University of Phoenix eBook Collection database.
S Investopedia. (2015). Performance Appraisal. Retrieved from
http:// www.investopedia.com/terms/p/performance-
appraisal.asp-0
S Rock, D. (2013). Give Your Performance Management System
a Review. Retrieved from https://hbr.org/2013/06/give-
your-performance-mangeme

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Week 4 Presentation

  • 1. S Performance Management vs. Performance Appraisal Team D Galvinus Thompson, Nelson Diaz, Demetrius Livingston and Hubert Fuller
  • 2. Performance Management S Performance management aims at developing individuals with required commitment and competencies to work towards the shared meaning objectives within the organization framework S Purpose of performance management is to ensure that the organization system and sub systems work together to accomplish optimum goals (Cascio, 2013)
  • 3. Performance Management (PM) S PM systems can be rated into five tiers. S Tier One: The system shows promise during recruitment yet it hasn’t achieved any company goals S Tier Two: The system has personality issues, often lacking authenticity, inflexibility, among other issues. S Tier Three: The system works but lacks motivation. S Tier Four: It gives employees the necessary feedback to feel appreciated and helps them develop themselves on occasion. S Tier Five: Consistently motivates top talent, stretches mid-level performers and low performers “self-select out”. (Rock, 2013)
  • 4. Performance Appraisal (PA) S Investopedia (2015) defines PA as an annual review of an employee overall contributions to the company by their superiors. Also known as annual reviews, these are used to provide “big-picture feedback” on their work to justify pay increase, bonuses and/or terminations.
  • 5. Performance Appraisal (PA) S Requirements for an effective PA system: S Relevance: “What really makes the difference between success and failure on a particular job, and according to whom?” S Sensitivity: PA system is capable of distinguishing effective from ineffective performers. S Reliability: Consistency of judgment. Adequate opportunity to observe what the employee has accomplished and under what conditions S Acceptability: PA system must have support from those who will use it. S Practicality: Ease of use. (Cascio, 2013)
  • 6. S Fortune says that The Best Company to Work for is…
  • 7. Google (NYSE: GOOG) S Project Oxygen S Gathered more than 10,000 observations across more than 100 variables (surveys, questioners, feedback, etc.) S Results were improved employee retention, developed a training staff guided on managers S Performance Reviews are done quarterly instead of semi annually S “What it means is, if I’m a manager and I want to get better…two of the most important things I can do is make sure I have some time for them (employees) and be consistent. And that’s more important than doing the rest of the stuff.” (Bryant, 2011)
  • 8. References S Bryant, A. (2011). Google’s Quest to Build a Better Boss. Retrieved from https://www.nytimes.com/2011/03/13/business/ 13hire.html?_r=0 S Cascio, W. F. (2013). Managing Human Resources: Productivity, Quality of Work Life, Profits (9th ed.). Retrieved from The University of Phoenix eBook Collection database. S Investopedia. (2015). Performance Appraisal. Retrieved from http:// www.investopedia.com/terms/p/performance- appraisal.asp-0 S Rock, D. (2013). Give Your Performance Management System a Review. Retrieved from https://hbr.org/2013/06/give- your-performance-mangeme