Performance Management and Appraisal: Part Three - Training and Development
Performance Management and Appraisal: Part Three - Training and Development
Performance Management and Appraisal: Part Three - Training and Development
Performance
Management
and Appraisal
92
LEARNING OUTCOMES
1. Define performance management and discuss how it
differs from performance appraisal.
2. Set effective performance appraisal standards.
3. Describe the appraisal process.
4. Develop, evaluate, and administer at least four
performance appraisal tools.
5. Explain and illustrate the problems to avoid in
appraising performance.
6. Discuss the pros and cons of using different raters to
appraise a persons performance.
7. Perform an effective appraisal interview.
Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall
93
Basic Concepts in
Performance
Management and Appraisal
Performance
Appraisal
Performance
Management
Setting work
standards,
assessing
performance, and
providing feedback
to employees to
motivate, correct,
and continue their
performance.
An integrated
approach to
ensuring that an
employees
performance
supports and
contributes to the
organizations
strategic aims.
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FIGURE 91
Online Faculty
Evaluation Form
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Set
SMART
goals
Assign
specific
goals
Assign
measurable
goals
Assign
challenging
/ doable
goals
Encourage
participatio
n
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An Introduction to Appraising
Performance
Why Appraise Performance?
1
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(Un)Realistic Appraisals
Motivations for Soft Appraisals
The fear of having to hire and train someone new.
The unpleasant reaction of the appraisee.
An appraisal process thats not conducive to candor.
performance appraisals.
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appraisal techniques
Must understand and avoid
appraisals fairly
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tool to use.
Trains supervisors to improve their appraisal skills.
Monitors the appraisal system effectiveness and
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Appraising performance
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How to Measure?
Generic dimensions
Actual job duties
Behavioral competencies
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Narrative forms
Alternation ranking
Paired comparison
Forced distribution
Critical incident
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Merged methods
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FIGURE 92
Sample Graphic
Rating Performance
Rating Form
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FIGURE 93
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FIGURE 94
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FIGURE 94 Appraisal Form for Assessing Both Competencies and Specific Objectives (contd)
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FIGURE 95
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FIGURE 96
Note: + means better than. - means worse than. For each chart, add up
the number of +s in each column to get the highest ranked employee.
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TABLE 91
Continuing Duties
Targets
Critical Incidents
Schedule production
for plant
90% utilization of
personnel and machinery
in plant; orders delivered
on time
Supervise machinery
maintenance
No shutdowns due
to faulty machinery
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FIGURE 97
Appraisal-Coaching
Worksheet
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2. Develop performance
Clearer standards
dimensions
3. Reallocate incidents
4. Scale the incidents
Feedback
Independent dimensions
Consistency
5. Develop a final
instrument
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FIGURE 98
Example of a
Behaviorally
Anchored Rating
Scale for the
Dimension
Salesmanship Skills
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Using MBO
Setting unclear
objective
Time-consuming
appraisal process
Conflict with
subordinates
over objectives
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FIGURE 99
Online Performance
Appraisal Tool
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Dealing with
Performance Appraisal
Problems
Potential Rating
Scale Appraisal
Problems
Unclear
standards
Halo
effect
Central
tendency
Leniency or
strictness
Bias
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TABLE 92
930
Know the
problems
Use the
right tool
Keep a
diary
Get
agreement
on a plan
Be
fair
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TABLE 93
Tool
Advantages
Disadvantages
BARS
Difficult to develop.
Alternation ranking
Forced distribution
method
Critical incident
method
MBO
Time-consuming.
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Accessibility
Ease-of-use
Employee
acceptance
Accuracy
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FIGURE 910 Selected Best Practices for Administering Fair Performance Appraisals
Base the performance review on duties and standards from a job analysis.
Try to base the performance review on observable job behaviors or objective
performance data.
Make it clear ahead of time what your performance expectations are.
Use a standardized performance review procedure for all employees.
Make sure whoever conducts the reviews has frequent opportunities to observe
the employees job performance.
Either use multiple raters or have the raters supervisor evaluate the appraisal
results.
Include an appeals mechanism.
Document the appraisal review process and results.
Discuss the appraisal results with the employee.
Let the employees know ahead of time how youre going to conduct the review and
use the results.
Let the employee provide input regarding your assessment of him or her.
Indicate what the employee needs to do to improve.
Thoroughly train the supervisors who will be doing the appraisals.
Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall
934
2.
3.
When using graphic rating scales, avoid undefined abstract trait names (such as loyalty or
honesty).
4.
5.
6.
Allow appraisers substantial daily contact with the employees theyre evaluating.
7.
Using a single overall rating of performance is usually not acceptable to the courts.
8.
When possible, have more than one appraiser, and conduct all such appraisals
independently.
9.
One appraiser should never have absolute authority to determine a personnel action.
10. Give employees the opportunity to review and make comments, and have a formal appeals
process.
11. Document everything: Without exception, courts condemn informal performance evaluation
practices that eschew documentation.
12. Where appropriate, provide corrective guidance to assist poor performers in improving.
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Immediate
supervisor
Peers
Self-rating
Potential
Appraisers
Rating
committee
Subordinates
360-degree
feedback
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SatisfactoryPromotable
Types of
Appraisal
Interviews
SatisfactoryNot
Promotable
UnsatisfactoryCorrectable
Unsatisfactory
Uncorrectable
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Talk in terms
of objective
work data
Dont get
personal
Encourage
the person to
talk
Get
agreement
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FIGURE 913
Checklist During
Appraisal Interview
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Postpone action.
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Performance Management
Performance Management
Is the continuous process of identifying, measuring, and
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Direction
sharing
Goal
alignment
Ongoing
performance
monitoring
Ongoing
feedback
Coaching and
development
support
Rewards,
recognition,
and
compensation
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FIGURE 914
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KEY TERMS
performance appraisal
graphic rating scale
alternation ranking method
paired comparison method
forced distribution method
critical incident method
behaviorally anchored rating scale (BARS)
electronic performance monitoring (EPM)
unclear standards
halo effect
central tendency
strictness/leniency
bias
appraisal interview
performance management
Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall
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