mgto 231 human resources management
DESCRIPTION
MGTO 231 Human Resources Management. Performance appraisal I Dr. Kin Fai Ellick WONG. Prologue. Performance appraisal for employees = academic report for students Normally, firms perform 1 to 2 appraisal per year - PowerPoint PPT PresentationTRANSCRIPT
![Page 1: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/1.jpg)
MGTO 231Human Resources
Management
Performance appraisal I
Dr. Kin Fai Ellick WONG
![Page 2: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/2.jpg)
Prologue
• Performance appraisal for employees = academic report for students
• Normally, firms perform 1 to 2 appraisal per year
• Performance appraisal could be more “terrible” than academic report, because ….
• Normally, there are appraisal interviews
![Page 3: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/3.jpg)
Questions for you
• What objectives does an HR manager want to achieve from performance appraisal?
• Why and how these objectives are important?
• What will the consequences be if the HR manager fails to achieve these objectives?
![Page 4: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/4.jpg)
Outline
• Some basic concepts of performance appraisal
• Identifying performance dimensions
• Measuring performance (next lesson)
• Managing performance (next lesson)
![Page 5: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/5.jpg)
Outline
• Some basic concept of performance appraisal
• Identifying performance dimensions
• Measuring performance (next lesson)
• Managing performance (next lesson)
![Page 6: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/6.jpg)
What is performance appraisal?
• Evaluation for improvement, not just for criticism
• Future-oriented activity (useful feedback) based on past performance– Training and development
![Page 7: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/7.jpg)
• The basic three-stage model– Identification measurement
management
![Page 8: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/8.jpg)
A Model of Performance Appraisal
Identification
Measurement
Management
Source: Managing Human Resources, 4th Edition, p.223
![Page 9: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/9.jpg)
• Identification– What areas should be examined?– Examining the relevance instead of
irrelevance (e.g., sex, gender, religion)
• Measurement– The development of standard and
measure– Again, the issues of reliability and validity
![Page 10: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/10.jpg)
• Management– Providing feedback– Coaching the ways to achieve higher
level of performance
![Page 11: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/11.jpg)
The uses of PA 1
• Administrative purpose– Used as the basis for determining
employees’ work conditions, promotions, termination, and rewards
– It helps manager “justify” his/her HR decisions
– A clear-cut criterion is usually mentioned
![Page 12: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/12.jpg)
• “但為何一畢業才知 一世我也要考試” – 小星星(唱:楊千嬅;詞:林夕)
• But why don’t I• Not Realize• There are examinations in my whole
life
”Small stars (Singer: Miriam Yeung; Lyrics: Lam Jik)
![Page 13: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/13.jpg)
The uses of PA 2
• Developmental purpose– Used as the basis for improving
employees’ performance– Providing feedback for improvement
• Do you remember goal-setting theory?
![Page 14: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/14.jpg)
Benefits of PA (Employer)
• Assessing individual differences after selection• Documentation of employees’ performance
(legal defense)• Rational basis for bonus and merit system• Set appraisal dimensions that fit the strategic
goals• Create appropriate expectation to employees• Management process• Validation of selection tools
![Page 15: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/15.jpg)
Benefits of PA (employees)
• Performance feedback and assessment for improving performance
• Fairness, effects (rewards and punishments) based on relatively standardized measures
• Goal-setting
• Increasing motivation
![Page 16: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/16.jpg)
Questions for you
• What objectives does an HR manager want to achieve from performance appraisal?
• Why and how these objectives are important?
• What will the consequences be if the HR manager fails to achieve these objectives?
![Page 17: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/17.jpg)
Outline
• Some basic concept of performance appraisal
• Identifying performance dimensions
• Measuring performance (next lesson)
• Managing performance (next lesson)
![Page 18: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/18.jpg)
A Model of Performance Appraisal
Identification
Measurement
Management
Source: Managing Human Resources, 4th Edition, p.223
![Page 19: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/19.jpg)
What are to be measured?
• Dimension– An aspect of performance that
determines effective job performance
• The very first step– The development of dimension can be
quite complicated
![Page 20: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/20.jpg)
• What constitute a good computer programmer?– Quality of programs– Quantity of programs– Interpersonal effectiveness– Hardworking– Good writing skills– Being familiar with updated computer
knowledge– Good typing skills– Etc.
![Page 21: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/21.jpg)
What are the “REAL” dimensions
• Job analysis– The dimensions can be defined through
job analysis– Critical incident technique, task inventory
analysis, position analysis questionnaire, etc.
![Page 22: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/22.jpg)
Outline
• Some basic concept of performance appraisal
• Identifying performance dimensions
• Measuring performance (next lesson)
• Managing performance (next lesson)
![Page 23: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/23.jpg)
A Model of Performance Appraisal
Identification
Measurement
Management
Source: Managing Human Resources, 4th Edition, p.223
![Page 24: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/24.jpg)
What are to be measured?
• The dimensions derived in the first step• Through the measurement tools (analogous
to selection tools), the employee’s performance on a specific dimension is usually quantified
• Thus, similar to selection tools, the reliability and validity of the measures should be well established before conducting performance appraisal.
![Page 25: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/25.jpg)
Appraisal formats
• Type of judgment– Relative or absolute
• Scale format– Nominal, ordinal, interval, or ratio
• Focus of the measure– Trait, behavior, outcome
![Page 26: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/26.jpg)
Relative vs. absolute judgment
• Relative judgment– Rating based on comparing an employee’s
performance to the performance of other employees doing the same job
– “Your performance is 1.2 SDs below mean”– Emphasis on individual differences, but
somehow may be artificial (e.g., when all are excellent or poor employees)
– Used mainly for administrative need– E.g., attention ranking scale, paired comparison
method
![Page 27: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/27.jpg)
Alternation Ranking Scale
Source: Human Resource Management, 10th Edition, p.321
![Page 28: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/28.jpg)
Ranking Employees by the Paired Comparison Method
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.
Source: Human Resource Management, 10th Edition, p.321
![Page 29: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/29.jpg)
• Absolute judgment– Rating based on performance standards– A score of 70 out of 100 reveals that the
performance is acceptable, but it does not reveal how well this rating is when being compared with others’
– Different raters may have different standards
![Page 30: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/30.jpg)
Relative performance assessment of your grade
For Required Core Courses:
Grades Senate Guidelines
A-, A, A+ 15.0%B-, B and B+ 32.5%C-, C and C+ 40.0%D 7.5%F 0-5%
![Page 31: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/31.jpg)
Scale formats
• Nominal scales– Name or category
• Country (e.g. China, U.S.A., Japan)• Department (MGTO, ECON, ACCT, etc.)• Categorical• Not so popular in PA
![Page 32: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/32.jpg)
• Ordinal scales– Order– Distances between levels may not be equal
• Rank (e.g., 1st , 2nd, 5th)
– Useful for relative or absolute judgment?
![Page 33: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/33.jpg)
• Interval scales– Equal distances– Did not have absolute zero
• Degree Celsius (20ºC double of 10 ºC)
![Page 34: MGTO 231 Human Resources Management](https://reader031.vdocument.in/reader031/viewer/2022020417/56814747550346895db4852b/html5/thumbnails/34.jpg)
• Ratio scales– Equal distances– Have absolute zero
• Length (1000m = double of 500m)
To be continued…