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Appraising Employee

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APPRAISING EMPLOYEES PERFORMANCE

It is defined as the method by which, through observations of the appraiser, the individual workers efficiency in performing his duties and responsibilities during a given period is evaluated on the basis of pre-determined performance standards or established goals mutually set by the employee and his supervisor.

The performance of an employee on his job is judged in terms of two factors:

1.The dimension of the job which includes the requirements, duties and responsibilities, and their standards of satisfactory performance.

2.The dimension of the man and his performance.

This answers the questions, what must be done, how should the job be done, and how well it should be accomplished.What has he accomplished? What has he contributed to the achievement of the objectives of his unit and his company? These aspects centers on the overall quality of performance.

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Duties and responsibilities refer to what should be done, the rendering of what is due any person or organization and the fulfillment of moral obligations. Performance tells how much should be done or accomplished, its quality and the manner in which it is done.Performance as distinguished from duties

OBJECTIVES OF PERFORMANCE APPRAISALProviding feedback on employees performance

Basis for personnel actionPotentials and promotions

Transfer, demotion, layoff, and discharge

Salary increase

Feedbacks can help raise employees efficiency and it provides employees strong and weak points, thus enabling both the supervisor and the employee to take the necessary measures to correct poor work habits.Potentials and promotionsRatings can help uncover the hidden talents and potential abilities.Transfer, demotion, layoff, and dischargeMerit ratings provide the basis for determining if the employee would be better suited for another job or could not perform his present job satisfactorily.

Salary increaseRatings furnish a good basis for granting salary increases within the limits of the salary range as a reward for good performance of the job.

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OBJECTIVES OF PERFORMANCE APPRAISAL3.Management guide in employee counseling and discipline

Promotion of better employee employer relations

Improvements of supervision by making the supervisor better aware if his duties

3.Management guide in employee counseling and disciplineRatings may reveal certain shortcomings which an employee unaware of and which he can and will be glad to do something about it.

Promotion of better employee employer relationsPerformance ratings promotes better employee employer relations because the employee is informed about what his supervisor expects of him.

Improvements of supervision by making the supervisor better aware if his dutiesSupervisors cannot avoid making judgement of their subordinates. By requiring the supervisor to formally evaluate the performance of his men, he becomes aware of the need to observe closely the work of the employee in his unit to be able to make fair equitable evaluation of the work of each employee.

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OBJECTIVES OF PERFORMANCE APPRAISALDevelopment of employees and supervisors. While performance rating is used for the development of employees, it is likewise useful in the development of supervisors

As an agent of change

Identification of the training needs and management development

Facilitate organization diagnosis and development

Development of employees and supervisors. While performance rating is used for the development of employees, it is likewise useful in the development of supervisorsSince the supervisor must know the weak and strong points of the employee, he must improve the methods of instruction and supervision.

As an agent of changeThe review will therefore enable management to remove such restraints or to restructure the job to make it more meaningful and thus, motivate employee for better performance.

Identification of the training needs and management developmentPerformance appraisal may help reveal the employees weaknesses and thereby help identify his specific training needs.

Facilitate organization diagnosis and developmentPerformance appraisal contributes to the identification of organizational problems and the appropriate organizational development interventions.

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METHODS USED IN PERFORMANCE APPRAISALRank order methodADVANTAGESThis method has a distinctive advantage of simplicity. It facilitates the comparison of employees by placing them on a spectrum from the best to the poorest in terms of performance. This method simplifies the problem of maintaining specific standards of each quality.DISADVANTAGESIt is unwieldy if many workers are to be rated and many traits are involved.The rating of one employee in one unit of the company cannot be compared with these of the employees in other unit.

Paired Comparison Method

Forced Distribution Method

Rank order methodADVANTAGESThis method has a distinctive advantage of simplicity. It facilitates the comparison of employees by placing them on a spectrum from the best to the poorest in terms of performance. This method simplifies the problem of maintaining specific standards of each quality.DISADVANTAGESIt is unwieldy if many workers are to be rated and many traits are involved.The rating of one employee in one unit of the company cannot be compared with these of the employees in other unit.

Paired Comparison MethodUnder this method, the name of each employee who is to be rated is written on a card.

Forced Distribution MethodThis system uses a 5-point job performance scale in rating employees who do similar work in the firm.

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METHODS USED IN PERFORMANCE APPRAISALNarrative EssayThe narrative essay represents an absolute rating system in its simplest form.

Graphic Rating ScaleThe graphic rating scale uses a chart or graph containing a list of traits to be considered in rating the employees.

Checklist MethodThe rating methods provides a number of traits or factors with their corresponding definitions written in the left-hand column of the form such as quality of work, attitude toward the job, judgement, reliability, functionality, and punctuality.

Critical incidentsThe critical requirements of a job are those behaviors that make a critical difference between doing a job effectively and ineffectively.

METHODS USED IN PERFORMANCE APPRAISALRating scale methodThe rating scale method of performance evaluation is a variation of the checklist method.

WeightingSome companies assign weight or numerical value to each trait, although these values may not appear in the form.

Management by objectivesIt is a new approach in appraising management performance introduced by Peter Drucker in early 1950s whereby the superior and the subordinate managers of an enterprise jointly identify their common goals.

THE APPRAISAL INTERVIEWMost organizational appraisal systems require supervisors to assess employees on various aspects of their productivity, behavior or personal traits. Examples of these 3-dimension includes (a) quality of work, (b) quantity of output, (c) attendance and initiative, and (d) general attitude. Some managers ask the supervisors to write essays describing the employees performance. Others recommend that they accumulate a record of critical incidents (both negative and positive). Many uses graph rating scales that grade the employee with A B C D E or 1 2 3 4 5.

Regardless of systems used, the assessment is the communicated to the employee in an appraisal interview. This is a session in which the supervisor provides feedback to the employee on past performance, discusses any problem that had arisen, and invites a response. Then the two parties set objectives for the next time period. The appraisal interview provides a rich opportunity to motivate the employee.

COMMON ERRORS IN RATINGThe halo errorIt is an error that can be recognized quite easily on factor scales. It takes place when the rater allows one aspect of a persons character or performance to influence the entire evaluation.

The central tendency errorThis error is evidenced when the rater marks all or almost all personnel as average.

The constant errorThese are easy raters and tough raters in all phases of life. These are teachers who rarely award As and those who give them to most of the class. This is also called systematic error. Educating the one who gives rate is the solution rather than manipulate the ratings.

COMMON ERRORS IN RATINGMiscellaneous errorsSimilar to meRater rates favorably those who appear to be similar to herself. Unless corrected, individually and creativity may ultimately be eliminated.

Contrast errorsWorkers are likely to be rated down. If poorer performance were rated first the average performer maybe rated highly.

Position errorsThose in higher position are rated highly while those in the lower position were rated poorly . The rater must be aware that some begin or start at the lower positions then catapults to high positions.

BiasesThese are raters who feel biased and rates employees badly according to their feelings.

SUGGESTED APPROACHESAppraisal interviews are most likely to be successful whenthe appraiser......

Is knowledgeable about the employees job.Has previously set measurable performance standards.Has gathered specific evidence s frequently about performance.Seeks and uses inputs from other observers in the organization.Limits the amount of criticism to a few major items so that the employees can focus their improvements efforts.Provides support, acceptance and praise for task well done.Listens to the employees input and reactions.Allows participa

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