unit 3- performance management

8/3/2019 Unit 3- Performance Management

1/55

BRIEF INTRODUCTIONON

PERFORMANCEAPPRAISAL SYSTEM


2/55

Content

Introduction Org model of

performance

management PA process Criteria to measure Approaches to measure

performance

Methods of PA Appraisal design

Appraisal process

Source for information

Rater errors

PA & competitiveadvantage

Performance feedback

Implement system

summary


3/55

Performance management

concept through which managers ensure that

employee's activities and outputs are congruentwith the organizations goals.

Components Job analysis

Performance appraisal

Feed back


4/55

Reasons for Performance Appraisals Benefits to Employees:

Provides a chance for employees to ask questions and tell youtheir sense of what theyve accomplished

Lets employee know his/her strengths and areas that needimprovement

Allows employees to take responsibility for their performance

Lets employees know whats expected of them; creates mutualunderstand of job duties


5/55

Reasons for Performance Appraisals Benefits to Employers:

Helps to improve employee relations and productivity

Serves as an effective retention tool

Provides a paper trail for addressing performance ordisciplinary problems

Demonstrates organizations commitment to employee success

Provides valuable feedback for managers


6/55

The Personnel-Management Cycle

Job Description

Ongoing Feedback and Training

The Performance Appraisal


7/55

How is Your Personnel-Management

Cycle? Do you have accurate and current job descriptions for all

of your employees?

Do your employees have the resources, training and

information they need? Are you aware of problems that your employees have

right now, for which they need help?

Are you giving regular informal feedback?


8/55

Job analysis the process of getting detailedinformation about jobs.

Performance appraisal process through which

an organisation gets information on how well anemployee is doing his job.

Performance feedback process of providingemployees information regarding their

performance effectiveness.


9/55

PERFORMANCE

APPRAISAL PROCESS


10/55

Appraisal design

Formal vs informal

Whose

performance

Who are raters

What problems

How to solve

What to evaluate

When toevaluate

What methods


11/55

Performance appraisal process

1. Objective of PA

2. Establish job

expectations3. Design an

appraisal program

4.Appraiseperformance

Performanceinterview

Archive appraisaldata

Use appraisal datafor appropriatepurpose


12/55

Performance Appraisals:

Employee Expectations Be informed and kept in the loop

Receive due credit

Receive constructive feedback

Awareness of appraisal points prior to appraisalcompletion

Opportunities for advancement

Honest input regarding opportunities for

advancement Employment in a motivating environment

Freedom to discuss discrepancies


13/55


Employee Expectations (contd) Identify and eliminate performance problems

Recognize and motivate quality performance

Opportunities for baseline performers to improve

contributions Document and support employment decisions


14/55


Implementing Meaningful Performance Appraisals

I. Gather documentation

II. Develop the written appraisal

III. Conduct the appraisal review session


15/55


Implementing Meaningful Performance Appraisals (contd)I. Gather Documentation

a) Personal observationObserve actual performance and judge results (Halo or Horn)

b) Feedback documentationUse performance notes made throughout the yearc) Personnel File

Examine past performance reviews, discipline records, andawards

d) Measurement toolsCheck documents that support performance rating. Examples:

Time clock reports for attendance and tardiness, etc.e) Others observations

Reviewsupervisor, manager, co-worker comments


16/55


Implementing Meaningful Performance Appraisals (contd)II. Develop Appraisal Guidelines for writing appraisals

a) Set aside dedicated timeGather performance documentation and eliminate interruptions

b) Evaluate performance based on expectationsReview established expectations, job description, performancegoals

c) Rate how well expectations were metd) Give honest ratings

acknowledge strengths and address ongoing problemse) Provide specific examples

Avoid generalities, note specific contributions andaccomplishments

f) Avoid personal and subjective statementsNo exaggerations, no character attacks


17/55


Implementing Meaningful Performance Appraisals (contd)

III. Conducting the Appraisal ReviewsessionCommon Mistakes

a) Manager is ill-preparedb) Employee is not given adequate notice

c) Discussion is rushed or interrupted

d) Employee is not given the opportunity to

commente) Managers tone is punitive or condescending


18/55


Implementing Meaningful Performance Appraisals (contd)III. Conducting the Appraisal Review session

- Maximizing the review

1) Be preparedo Determine discussion direction

o Anticipate objectiveso Gather supportive documentation

2) Set the right toneo Establish a supportive environment

o Private location Maintain confidentiality

o Quiet and undisturbed eliminate distractions

o Level playing field Avoid superiorityo Timing choose a quiet time

o Demonstrate Respecto Timeliness Conduct reviews by due date

o AppointmentsDont act like the employees time is less valuable

o Advance notice Allow the employee to be prepared

o Icebreaker Start on a friendly and relaxed note


19/55


Implementing Meaningful Performance Appraisals (contd)

III. Conducting the Appraisal Review session- Maximizing the review

o Have the best mindset

o Tone Professional and supportive

o Focus Future goals and objectives

o Open-mindedness Seek explanations

o Emotions Calm and centered

3) Communicate Effectively

Avoid communication roadblocks Vague, evasive, derisive or

derogatory language, poor listening skills, strong emotions, one-wayconversation

Improve communication skills be clear and concise, be honest, notbrutal, be an active listener and natural


20/55


During the Appraisal Process

IV. Potential Emotional Reactions

a) Emotional Distress

b) Hostility

c) Defensiveness

d) Denial


21/55


During the Appraisal Process (contd)


a) Emotional Distress - employee becomestearful or angry, but not aggressive

o How can you handle it?

o Be patient

o Offer privacy

o Suggest rescheduling

o Other ideas?


22/55




b) Hostility - employee channels his/heremotions into aggression


o Be patient

o Offer privacy

o Suggest rescheduling

o Other ideas?


23/55




c) Defensiveness - employee makes excuses


Listen objectively

Be compassionate

Reinforce expectations

Other Ideas?


24/55




d) Denial - employee insists your evaluation isincorrect


Listen objectively

Investigate as necessary

Provide supportive documentation

Other ideas?


25/55

Performance Appraisal Procedures1. Instruct employees to complete self-evaluation (interactive PDF form

via HR website)2. Employees have maximum of ONE WEEK to complete and submit

self-evaluation3. Complete Performance Appraisal4. First-line supervisors shall meet with Director or Dean for appraisals

review prior to meeting with employee5. Schedule meeting with employee6. Conduct formal meeting with employee. Review Appraisal and

determine goals, timelines, etc.7. You and employee sign the completed Performance Appraisal form

after the meeting8. Forward copy to employee and turn in completed ORIGINAL form to

Human Resources (ATTN: Frank Gomez) by February 15, 20089. If you have any questions please call me (956) 872-3646


26/55

Successful Meeting Checklisto Discuss each goal or objective established

for the employeeo Explore areas of agreement and

disagreemento Cover positive skills, traits, accomplishments

and growth potentialo Reinforce employees accomplishments

o Discuss employees potentialo Cover areas in which change is required,

expected, demanded or desired


27/55

Successful Meeting Checklist (contd)o Provide employee goals to correct deficiencies

within a specified time period

o Make training/development recommendations

o Discuss consequences of non-compliance whereapplicable

o Set objectives for next performance appraisal (orspecific timeline)

o Have employee sign appraisal to acknowledgehaving read it, and give employee an opportunity tocomment in it in writing

o Thank employee for his/her efforts


28/55

Org model of PM

Org strategy

Short & long term

Goals, values

Individual attributes

Skills & abilities

Individual

behaviors

Objective

results

Situational constraints

Org culture & eco. cond


29/55

Criteria for performance measures

Strategic congruence

Validity

Reliability

Acceptability specificity


30/55

Strategic congruence

The extent to which the performancemanagement system elicits job performance thatis consistent with the organization's strategy,goals and culture.

How nonfinancial measures linked to strategicgoals & remodeling of it Identification of key performance measures Draw relationship between performance

measures and financial outcomes.


31/55

Validity

The extent to which a performance measure assesses allthe relevant and only the relevant aspects of jobperformance.

Its between job performance measure & true / actual job

performance Never includes contamination / deficiency

Often called as content validity.


32/55

Reliability

It refers to the consistency of a performance measure.

Internal consistency reliability & test retest reliability

Among individuals Inter rated reliability

Intra rated reliability


33/55

Acceptability

The extent to which performance measure is deemed tobe satisfactory or adequate by those who use it.


34/55

Specificity

The extent to which a performance measure givesdetailed guidance to employees about what is expect ofthem and how they can meet theses expectations.


35/55

Approaches measuring performance

Comparative approach

Attribute approach

Behavioral approach

Results approach Quality approach


36/55

Comparative approach

Ranking - highest to poorest

Forced distribution group method ( highly acceptableto not acceptable)

Paired comparison one is compared with every one inwork group


37/55

Attribute approach

Graphic rating scales various domains rated 0- 5.

Specialty Traits are included

Strength / weakness identified

Viewing as a whole abolished Identifications of error / training need


38/55

Behavioral approach

Critical incidents ex complaint satisfaction infirst attempt of service

BARS behaviourally anchored rating scales (no of critical incidents develop this)

BOS behavioural observation scale effective usage of performance and discard of others

and combination of no of behaviours to achieve them It accounts performance of individual rather his

behaviour.


39/55

OBM- organisational behaviour modification. It is throughthe formal system of behavioural feedback andreinforcement

Looked at 3 phases

Baseline period Interview period

Intervention period

Assessment centers a process which multiple ratersevaluated employees performance on no of exercises.

360- degree feedback Multi rater system

360 d f db k


40/55

360- degree feedback

Multi rater system

It is a technique understood as systematic collection ofperformance data on an individual or group, derived forma number of stake holders.

Immediate supervisor, team members, customers, peers,

and self. One has information how an employee does the job can

be an appraiser.

Formalized operations are taken for account. Ex- Onesinteraction with customers.

Transparent and known to others.


41/55

360- degree feedback

Enables employee to have relative comparison ofperception of others and self.

Numerous questionnaires, raters, analysismethod to be formulated.

Positive impact should be made before launch. Balanced & objective feedback is strength andweakness of this system.

Supervisors and lateral raters may vary in

evaluation.


42/55

Results approach

MBO ( Booz org- Allen & Hamilton) management byobjectives. It has 3 components specific, difficult andobjective goals.

ProMES productivity measurement and evaluation

system Identification of products

Define indicators of products

Contingencies between indicators and level of evaluation

A feedback system


43/55

Quality approach new gen.

Customer orientation & prevention of errors 2fundamental characteristics of this approach.

Emphasis on both system & individual factors

Emphasis on managers & employee work together tosolve problem

Involves both internal & external customers setting thestandards

Use multiple sources to measure individual & system.

M th d f P f i l


44/55

Methods of Performance appraisal


45/55

Source for performance information

Managers

Peers

Subordinates

self customers


46/55

Performance appraisal & competitive advantage

Improving performance

Competitive advantage

Minimise dissatisfaction& turnover

Strategy & Behaviour

Values & behaviour

Make correct decisions

Ensure legal compliance


47/55

Performance feedback

Finding & keeping best employee

Managers role in effective performance & marginalemployee High motivation to low motivation levels


48/55

Managers role

Feedbacks more frequently Create right context for discussion Ask individual to rate self Encourage participation of subordinates

Recognise through praise Focus on solving problems Focus on results/ behaviour not on person Minimise criticism Agree specific goals and set a date for review


49/55

Implement system

Implement system

Follow legal guidelines , regulations.


50/55

Common Problems

Failure to prepare for the interview

Failure to listen (80-20 ratio)

Failure to maintain objectivity Failure to provide feedbackpositive and/orcorrective

Failure to follow-up

Failure to document performance both goodand bad


51/55

Common Problems

Misusing the performance evaluation process toaddress a disciplinary problem

Element of surprise

Relying on impressions/rumors, rather than facts

Inconsistent application of performanceevaluation criteria

Interpersonal issues Holding employees responsible forevents/problems beyond their control


52/55

Common Rater Biases

Halo/horns effect

Contrast effect

First impressions

Similar-to-me effect

Negative and positive leniency tendency

Spillover effect

Recency effect


53/55

Reference

Human Resource Management Raymond, John, Barry& Patrick, 5th edn, McGraw hill company, Pages 326-375.

Human resource management K.Aswattppa, 5th

edition, McGraw hill company, pages 238-281. Performance appraisal, South Texas college, 2008-09.

Web article.


54/55

Any questions???!!!!!


55/55

Thank You.

unit 3- performance management

Documents