Topic 7_MGT 351_NEH

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Performance Management and

Appraisal

Topic - 7

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2If you can’t measure it, youcan’t x it

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Performance Appraisal

Performance Appraisal

 – Evaluating an employee’s current and/or past

 performance relative to his or her performance

standards.

Performance Appraisal always involves -

 – Setting wor standards! assessing performance! and

 providing feed"ac to employees to motivate! correct!and continue their performance.

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$

Performance Appraisal

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Performance Management

Performance Management

 – %he continuous process of identifying!

measuring! and developing the performance ofindividuals and teams and aligning their

 performance with the organi&ation’s goals.

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An (ntroduction to Appraising

Performance

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)seful in career planning.

Plays an integral role in performance management.

Why Appraise Performance?

*asis for pay and promotion decisions.

+elps in correcting deficiencies and reinforcing good

 performance.

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3

4

5 %o identify employee’s training and development needs

,

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Performance Appraisal oles

%he + epartment’s ole

 – Serves a policy-maing and advisory role.

 – Provides advice and assistance regarding the

appraisal tool to use. – %rains supervisors to improve their appraisal sills.

 – Monitors the appraisal system’s effectiveness and

compliance with EE laws.

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Effectively Appraising Performance

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Appraising performance

Steps in AppraisingPerformance

efining the 1o" and performance criteria

Providing feed"ac session

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3

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Performance Appraisal Methods

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2

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4

5

Alternation raning

3raphic rating scale

Paired comparison

4ritical incident

 5arrative forms

Appraisal Methodologies

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7orced istri"ution6

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Performance Appraisal Methods

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Performance Appraisal Methods

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Paired Comparison Method

 5ote: ; means <"etter than.= - means <worse than.= 7or each chart! add up the

num"er of ;’s in each column to get the highest raned employee.

%he paired comparison

method helps mae the

raning method more

 precise.

7or every trait >?uantity of

wor! ?uality of wor! and

so on@! you pair and

compare every su"ordinate

with every other

su"ordinate.

(n the paired comparison

method! you mae a chart!

of all possi"le pairs of

employees for each trait.

Performance Appraisal Methods

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8#

Performance Appraisal Methods

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8$

Narrative Form

Performance Appraisal Methods

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Performance Appraisal Methods

Forced Distribution

%he system re?uires

the managers to evaluate

each individual! and

ran them typically intofew categories

>ecellent! good! poor

etc@.

Bith this method you

 place predetermined

 percentages of rates into

several performance

categories.

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ealing with Performance

Appraisal Pro"lems

Unclear

standards

Leniency

orstrictness

Halo

eect

Potential RatingScale Appraisal

Problems

Central

tendency ias

Recency

!ects

8,

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Bho Should o the AppraisingC

Self"rating

S#bordinates

$%&"degreefeedbac'

Potential

Appraisers

(mmediates#per)isor

Peers

Ratingcommittee

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%he Appraisal (nterview

Satisfactory*Promotable

Satisfactory*+otPromotable

Unsatisfactory*Correctable

Unsatisfactory*Uncorrectable

 ,ypes ofAppraisal(nter)ie-s

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