performance appraisal 2003

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    Performance appraisal

    An organizations goals can be achieved only when people put in their best

    efforts. How to ascertain whether an employee has shown his or her best

    performance on a given job? The answer is performance appraisal. Once the

    employees has been selected, trained and motivated, he is then apprised for his

    performance. Performance appraisal is the step where the management finds out

    how effective it has been hiring and placing employees. If any problem is identified,

    steps are taken to communicate with the employees and to remedy them. So a

    performance appraisal is a process of evaluating an employees performance of a

    job in terms of its requirement .

    A basic human tendency to make judgment about those one is working with, as well

    as about one self. Appraisal it seems to be the inevitable and universal in the

    absence of care full structure system of appraisal, peoples will tends to judge the

    work performance of other including subordinate naturally, informally & arbitrarily.

    The human inclination to judge and create serious motivational ethical in legal

    problems in the workplace, without structured appraisal system there is a little

    chances of ensuring that the judgment made with lawful fair, defensible and

    accurate yet in a broader sense that practice of appraisal is very special art. In scale

    of thing historical it might well lay claim to being the world second oldest profession.

    Several methods and techniques of appraisal are available for measurement of theperformance of the employee. The methods and scales differ for obvious reason.First they differ in sources of traits and qualities to be apprised. The quality may differ because of difference in job requirements. Second they differ because of differentkinds of workers who are being rated .third the variation may be caused by the

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    degree of precision attempted in an evaluation. Finally they differ because of themethod used to obtain weighting for various traits.

    The performance appraisal method is divided into three categories these are

    Trait-based method

    Behavioral method

    Comparative method

    Result oriented method There are so many methods which are include inperformance appraisal but the most important and most popular are

    Straight ranking method

    Grading method

    Graphing rating method

    Forced choice description method

    Forced distribution methods

    Check list method

    Critical incident method

    MBO

    360 o Appraisal

    Straight ranking method

    It is the oldest and simplest method of performance appraisal, by which the man andhis performance are considered as an entity by the rater. No attempted is to made to

    fractionalize the rate; the whole man compared with the whole man; that is theranking of a man in a work group is done against that of another. The relativeposition of each man is tasted in terms of his numerical rank.

    Disadvantages- this is the simplest method of separating the most efficient from theleast efficient and relatively easy to develop and use. But the greatest Disadvantagesof his method is the

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    In practice it is very difficult to compare a single individual with human beings havingvarious behavior traits

    The method only tell us how a man stands in relation to the others in the group butdoes not indicate how much better or worse he is than another

    It is difficult task when large number of person are rated

    It does not eliminate snap judgment.

    Grading method

    Under this system, the rater consider certain feature and marks them accordingly tothe scale, train categories of worth are first established and carefully defined. Theselected feature may be analytical ability, cooperativeness, dependability, self-expression, job knowledge, leadership, etc they may be

    A-out standing B-very good C-average D-fair E-poor

    These are used in the selection of candidates by the public service commission

    Disadvantages- in this method we cant get the actual performance of the employee.for example if consider that those employee who got 50 to 60 point is in average thenthe who got 50 point may be de motivated and who got 51 point may be happy withthat appraisal .

    Graphic Rating Method

    This is the most commonly used method of performance appraisal. Under it a printedform one for each person to be rated. The factors which are including in this methodare employee characteristics and employee contribution. In employee characteristicsare included are leadership, attitude, enthusiasm, locality creative ability, analyticalability, co-ordination. In the employee contribution are include the quantity andquality of work, the responsibility assumed, specific goal achieved, regularity of attendance. These traits then evaluated on continuous scale where in the rather place a mark somewhere along a continuum .

    Disadvantages

    However this method also not free from Disadvantages

    The rating is generally subjective often the rating cluster on the high side when thismethod is used

    Another severe Disadvantages is that it assume that each characteristics is equallyimportant for all jobs

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    negative. The value of each question may be weighed equally or certain questionmay be weighed more heavily then others.

    Example

    Is the employee really interested in job? Yes/no

    Is he regular on his job? Yes/no

    Is he equipment maintain in order? Yes/no

    Does he ever make mistake? Yes/no

    Does he follow instruction properly? Yes/no

    Disadvantages

    This method suffers from bias on the part of the rater because he can distinguishpositive or negative question

    Process can be expensive and time consuming

    Separate checklist must be developed

    Free essay method

    Under this method the supervisor makes a free form, open ended appraisal of anemployee in his own words and put down its impression about the employee. Hetakes note of these factors

    Relation with fellow supervisor

    General organization and planning ability

    Job knowledge and potential

    Employee characteristics and attitude

    Production, quality, and cost control

    Physical condition andDevelopment needs

    Disadvantages

    It contains a subjective evaluation of the reported behavior of an individual mayeffect such employment decision as promotion, lay-off. Etc.

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    Some appraisal may not write a descriptive report

    The appraisal may be loaded with flowery language about the quality of rate then theactual evaluation

    Critical incident method

    The essence of this system is that it attempts to measure workers performance interms of certain events and episode that occur in the performance rates job. Theseevents are known as critical incident method. The supervisor keeps a written recordof the event that can easily recalled and used at the time of performance appraisal

    Disadvantages

    Negative incident are generally more noticeable than positive ones

    The supervisor may be put off and easily forgotten

    Very close supervision may be required and it may not be like by the employee

    MBO method

    The MBO approach overcomes some of the problems that arise as a result of assuming that the employee traits needed for job success can be reliably identified

    and measured. Instead of assuming traits, the MBO method concentrates on actualoutcomes. If the employee meets or exceeds the set objectives, then he or she hasdemonstrated an acceptable level of job performance. Employees are judgedaccording to real outcomes, and not on their potential for success, or on someonessubjective opinion of their abilities. The guiding principle of the MBO approach is thatdirect results can be observed, whereas the traits and attributes of employees (whichmay or may not contribute to performance) must be guessed at or inferred. The MBOmethod recognizes the fact that it is difficult to neatly dissect all the complex andvaried elements that go to make up employee performance. MBO advocates claimthat the performance of employees cannot be broken up into so many constituentparts - as one might take apart an engine to study it. But put all the parts together and the performance may be directly observed and measured.

    Disadvantages

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    MBO methods of performance appraisal can give employees a satisfying sense of autonomy and achievement. But on the downside, they can lead to unrealisticexpectations about what can and cannot be reasonably accomplished.

    360o Appraisal method

    It is a technique in which performance data/feedback/rating is collected from all

    sections of people employee interacts in the course of his job like immediate

    supervisors, team members, customers, peers, subordinates and self with different

    weightage to each group of raters. This technique has been found to be extremely

    useful and effective. It is especially useful to measure inter-personal skills, customer

    satisfaction and team building skills. One of the biggest advantages of this system is

    that assesssees cannot afford to neglect any constituency and has to show all-round

    performance. However, on the negative side, receiving feedback from multiple

    sources can be intimidating, threatening, expensive and time consuming.

    Company examples

    -Carhart was using a Word-based employee performance management system

    that had been developed by the company's IS team. The forms included

    macros that would populate and do calculations, however, the entire system

    was proving to be cumbersome for all involved.

    - A changeover in the HR department allowed Oil States to initiate many web-

    based changes, including updates to their OSI HR-Portal. The Portal

    centralizes access to everything from one convenient location, providing

    managers and employees with access to critical information and tools. Just as

    they had improved their HRMS/payroll systems years earlier, they now sought

    to improve their employee self-serve options. The goal was to have employees

    access their appraisals online, via the OSI HR-Portal.

    - Coca cola performance appraisal is annually. They appraise the employee

    due to their performance about goals of the organization. They set the goals at

    the start of the year and tell the employees about the goal if the employees

    achieve this goal they appraise the employees.

    http://www.halogensoftware.com/http://www.halogensoftware.com/
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    - AGF invested in a new, off-the-shelf, web-based employee performance and talentmanagement system that provides their employees with a greater sense of wherethe organization is heading and how everyone contributes to helping theorganization achieve its corporate goals.

    The new system has enabled AGF to: Drive individual performance in line with overall corporate goals Encourage greater dialogue around performance to help motivate and engage

    employees Create a more efficient process and improve managers' productivity by guiding

    them through the process Help managers spend time with their team members building relationships and

    dialoguing about performance

    Elevate employee performance management to a strategic level Drive greater accountability for and visibility into the employee performance

    management process

    - Pavestone Company, the largest producer of interlocking concrete paving stonesand segmental retaining walls in the United States. Pavestone had developed a paper-based employee appraisal and compensation process that involved the creation anddistribution of a booklet for each of the company's 1,400 employees. With 20 locationsacross the U.S. booklets had to be mailed out to managers at these locations, filled outand then mailed back to HR at headquarters in Dallas each year.

    - There are number of ways, in which IKEA doing the performance of its employees.They are using open and closed appraisal.If the appraisal is open, the appraisee canactively take part in the review process and discuss the results. If the appraisal isclosed, the report remains confidential.

    -Xerox, Intel, and Du Pont are just a few examples of companies that use MBO at alllevels of the organization. Overall organizational objectives are converted into specificobjectives for employees. Objectives at each level of the organization are linkedtogether through a "bottom up" approach as well as a "top down" approach. In thismanner, if each individual achieves his/her goals, then the department will achieve itsgoals and the organization objectives will in turn be met. MBO provides a systematicmethod of assuring that all employees and work groups set goals that are in alignmentwith achieving the organization's goals

    - Japan Tobacco International very often use a checklist performance appraisals,because it is very easy to use, especially when asking the employee to perform a self-appraisal of his performance level. Most employees can complete these forms quickly.A self-appraisal is useful for the manager to know how the employee sees himself andwhether it is consistent with how the manager rates the employee's performance.

    http://www.halogensoftware.com/products/http://www.halogensoftware.com/products/http://www.halogensoftware.com/products/http://www.halogensoftware.com/products/http://www.halogensoftware.com/products/
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    For an effective management and do best evaluation among personnel, performanceappraisal is very essential instrument. it generally review each individual performanceagainst agreeing objective, standard and delegation of responsibilities andtasks.Performance Appraisals are important for staff motivation, attitude and behavioraldevelopment, communicating and aligning individual as well as organizational aims andhaving positive relationships between management and staff and also increase the levelof competence among the employee of organization and their energetic level increase.

    As performance appraisal provide a formal, recorded, regular review of an individualperformance so we can plan for future development. In this way the chances of organizational growth increases.so as profit will also in gain.

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