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Performance Appraisals
Objective
Explain what is Performance Appraisal
Describe the purpose of Performance Appraisal
Define Goals and Work Efforts
Define Performance Criteria
Explain the steps in Performance Appraisal Process
Describe Who Should Do the Appraising
Explain the various methods of Performance
Appraisal
Explain the importance of Appraisal Interview
Explain the Requirements of an Effective Appraisal
System
Describe the errors of Performance Appraisal
Introduction
Introduction
What is Michael talking about? Why is Chris
feeling better hearing about ‘Performance
Appraisals’?
Introduction
Chris
‘Performance Appraisals’ will
help Chris’s management to
record and measure the
performance of each of its
employees
So, when the decision of choosing the new
Senior Manager has to be taken, they can rely
on the results of the ‘Performance Appraisals’
to choose the most suitable candidate
So, Chris feels better that during the ‘Performance
Appraisals’, he will be able to clearly outshine Tom,
as Chris is definitely a better performer than Tom
Let us learn more about ‘Performance
Appraisals’
What is Performance Appraisal?
Performance Appraisal (PA) is the process that
is used to evaluate the personality,
performance and potential of the employees
of an organization
It is a process of evaluating and
communicating to an employee how he or she
is performing the job and establishing a plan
for improvement
Hence, it is a system of review and evaluation
of job performance to assess
accomplishments and to evolve plans for
development
Purpose of Performance Appraisal
- For the Employee
Offers direction
Provides feedback about their performance
Provides inputs for improvement
Offers motivation for future level of effort and
task direction
Clarifies task perception of the employee
Purpose of Performance Appraisal
- For the Organization/Management
Ensures proper documentation of
performance
Offers Legal protection
Creates a motivation system
For decisions relating to promotions, firings,
layoffs, and merit pay increases
Provides input for training and development
needs
Defining Goals and Work Efforts
The best defined goals are ‘SMART’ goals which are:
M
A
R
T
S
Specific and clearly
state the desired
results
Measurable in
answering “how much”
Attainable and not too
tough or too easy
Relevant to what’s to be achieved
Timely in reflecting deadlines and
milestones
Steps in Appraisal Process
Setting &
Communicating
Performance
Standards
Plan the Performance
• Identify & Communicate
Performance Goals
• Establish Performance Criteria
Anticipate &
Consider
•
Measuring
Standards
Determine
Comparing
Standards
Examine Work Performed
•
•
Appraisal Period and Methods
Responsibilities for Appraisal
•
Management
Support
•
•
Discussing
Results
Appraise the Results
Taking
Corrective
Standards
Conduct Appraisal Interview
•
Discuss Goals for next Period
Problems in
Performance
Appraisal
Effective
Performance
Appraisal System
Coaching
Training and
Development
Performance Appraisal Methods
- Behaviourally Anchored Rating Scales (BARS)
In this method the supervisor rates
employees according to items on a
numerical scale. BARS helps to overcome
errors in performance appraisals that
occur while using a graphic rating scale
Performance Appraisal Methods
- Multi-Rater Assessment or 360 Degree Feedback
•
The managers, peers,
customers, suppliers,
or colleagues are
asked to complete
questionnaires on the
employee being
assessed
•
The person or
employee being
assessed is also
required to
complete a
questionnaire
The HR department
provides results to the
employee. The results
help the employee to
understand how his
opinion differs from
those of the group
doing the assessment
Appraisal/Feedback Interview
There are a few key points that a manager or appraiser should keep in
mind for conducting an Appraisal Interview, such as:
He should
encourage the
employee to talk
as well
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