perfprmance introduction 1

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    PART-1

    INTRODUCTION

    NATURE OF PERFORMANCE APPRAISAL

    Performance appraisal may be under standard as the assessment ofan individuals performance in a systematic way of performance beingmeasured against such factor as job knowledge quality output initiativeleadership abilities supervision dependability co-operation judgementversatility health and the like assignment should not be confined to past

    performance alone potentials of the employees for future performancemust also be assessed.

    The other terms used for performance appraisal are performancerating employee assessment employee evolution employee evolutionand(perhaps the oldest of the terms used)merit rating .In a formal senseemployee assessment is a old as the concept of management and in aninformal senses it is probably as old as mankind nor performanceappraised is done in isolation . It is linked to job analysis.

    Job analysis sets out requirement which are translated in to performance standars, which in term from the base for performanceappraisal. Thus performance appraisal acts as an employee developmenttool both employee and employer. In the process the management

    become a developer of human resources it provides a strong feed back to

    employee on their performance a feedback to employee on their performance analysis their strength and weakness.

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    Performance Appraisal-Definition

    The overall objective of performance appraisal is to improve theefficiency of an enterprise by attempting to mobilize the best possibleefforts from individuals employed in it. Such appraisals achieve fourobjectives including the salary reviews, the development and training ofindividuals, planning job rotation and assistance promotions.

    -CUMMINGS

    Performance Appraisal is the sy stematic, periodic and an impartialrating of an employees excellence in matters pertaining to his present

    job and his potential for a better job

    -FLIOPPO

    Characteristics of performance appraisal:

    The main characteristics of performance appraisal are as follow.* Performance appraisal is a process consisting of a series of steps.

    * It is the systematic examination of an employees strengths andweaknesses in terms of the job.

    * Performance appraisal is a scientific or objectives study.

    * It is an ongoing or continuous process where in the evaluations arearranged periodically according to a definite plan.

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    Advantages of Performance Appraisal1. It provides information for making and enforcing decisions about

    promotions, pay increases lay off transfers.

    2. It serves to guide employee development.

    3. It puts a psychological pressure on people to improve performance onthe job.

    4. It serves to maintain fair relationships in groups.

    5. It makes executives more observant of their subordinates.

    6. It serves as a means for evaluating the effectiveness of devices usedfor the selection and classification of workers.

    7. Wage increase may be justified.

    8. Deficiencies and shortcoming may be removed.

    9. Employee may also introspect himself in the light of performance.

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    Factors Affecting Performance Appraisal Systems

    Performance appraisal programs are affected by some factors.

    Therefore for implementing good appraisal systems the following arenecessary.

    1. It should be easily understandable. The forms, which are moredifficult to read and understand, are not effective performance appraisalsystems.

    2. The appraisal programs must have support of all line people whoadminister it. If line people think it is too theoretical, too ambitious, andtoo unrealistic or that it has been foisted on them by ivory-tower staff

    consultants who have no comprehension of the demands on the time ofthe line operator.

    3. The appraisal system should fit the organizational operations andstructure the form constructed and the factors framed should be suitablefor the organizational culture and structure.

    4. The appraisal system should be valid and reliable.

    5. The performance appraisal programs should have built in incentives.The appraisal form should be periodically evaluated to ensure that itmeets its purpose.

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    Purpose of Performance Appraisal

    1. To identify employees for salary increases, promotion, transfer andlay-off or termination of services.

    2. To determine training and development needs of the employees.

    3. To motivate employees by providing feedback on their performancelevels.

    4. To establish a basis for research and reference for personnel decisions

    Objectives of Performance Appraisal:

    * Performance appraisal provide information about the performanceranks basing which decision regarding salary, fixation, confirmation,

    promotion, transfer and demotion are taken.

    * Performance appraisal prevent grievances and in disciplinaryactivities.

    To plan career development, human resource planning based on potentialities.

    * Provide feedback information about the level of achievement and behaviors of subordinate. This information help to review the performance of the subordinate rectifying performance deficiencies andto set new standards of work.

    * To maintain individual and group development by informing the

    employee of his performance standard.

    * To develop better employee employer relationship through mutualconfidence which comes as a result of frank discussion betweensupervisor and his mention.

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