Performance Appraisal defined and tools Chapter -1

Mahmood Qasim
“Performance Appraisal is not
an event but a process”

Mahmood Qasim
Performance appraisal is a
systematic means of
ensuring that managers and
their staff meet regularly to
discuss past and present
performance issues, and to
agree what future action is
appropriate on both sides.

Mahmood Qasim
Regular
Performance
Agree
Future

Mahmood Qasim
Assessment of
performance is best when
it is a continuous process
and issues are dealt with
as they arise.

Mahmood Qasim
Performance needs to be
considered both in terms
of results achieved and
behavior demonstrated.
Reviewing results in the
context of actions and
behavior is necessary to
develop a full
understanding of
individual performance.

Mahmood Qasim
Disciplinary Issues
Avoid discussing
disciplinary arena such as
time-keeping appearance.
Such issues should be dealt
with as and when the
occur. These points may
only be discussed when
they affect performance.

Mahmood Qasim
Personality
Appraising performance
should be held to mean
literally that, and not
appraising personality and
personal characteristics.

Mahmood Qasim
Performance appraisal
should be seen as an
honest discussion. It
should promote
agreement about how
current performance
matches up to
requirements and how the
future might be
approached.

Mahmood Qasim
Assessing performance is not
appraising it. Assessment
concerns only with the past
and present. Appraisal is
encouraging them to look
ahead to improve
effectiveness, utilize
strengths, redress
weaknesses, and examine
how potential and aspirations
match up.

Mahmood Qasim
Pushing previously prepared
reports across a desk,
cursorily inviting comments,
and expecting it to be meekly
signed by the employees is
not appraisal – this is merely
a form filling exercise which
achieves little in terms of
giving staff any positive
guidance and motivation.

Mahmood Qasim
Douglas McGregor :
Performance Appraisal
plans are designed to
meet three needs:
1. They provide systematic
judgment to back up
salary increases,
promotions, transfers,
sometimes demotions
and transfers.

Mahmood Qasim
2. They are means to tell
subordinates how they
are doing and
suggesting needed
changes in his
attitude, skills,
behaviors, or job
knowledge’ they let
him know ‘where he
stands,’ with the boss.

Mahmood Qasim
3. They are also being
increasingly used as a
basis for the coaching
and counseling of the
individual by the
superiors.

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Set performance objectives
Assess past performance
Help improve current performance
Assess training and development needs
Assess future potential
Assist in career planning decision
Assess and review the reward system
Help develop counseling systems
Facilitate review of employees
Help develop committed employees
Provide incentives to employees for self-development
Establish channels of communication
Meet psychological needs
Know how well or otherwise the individual is
performing
Provide fair and systematic criteria for promotion and
transfer
Develop human relation skills of the assessors.

Mahmood Qasim
Allocate
resource
Implementation
of
fairness
Training
and
developmentReward
for
performance
Feedback

Mahmood Qasim
To conduct Performance
Appraisal various factors
such as the
organizational culture,
financial status, level in
the hierarchy, job
designing, job
specification and
description should be
considered.

Mahmood Qasim
The success of
Performance Appraisal
strictly depends on how
well is it understood by
the employees. The
better understanding
employees have the
more confident they will
have on the results.

Mahmood Qasim
In every organization the
job profile is different at
different level. Thus
different techniques
must be used to assess
the performance of the
people performing
different jobs.

Mahmood Qasim
The level of motivation is
always high when an
employee is let to
appraise his own
performance.

Mahmood Qasim
Although over the year
many modern techniques
have been introduced
but the traditional
techniques are still
practiced in various
organizations as they still
impart meaning to
performance appraisal.

Mahmood Qasim
The rater provides a
subjective evaluation of
an individual. The
evaluation is based on
the opinions of the rater,
and in many cases the
criteria are not directly
related to job
performance

Mahmood Qasim
The checklist method
requites the rater to
select words or
statement s that describe
the employee’s
performance and
characteristics.

Mahmood Qasim
Names of all the people
are written randomly on
the left side. The
appraiser simply selects
the most efficient person
and write his name on
the right side. Finally
ranking scale is used to
highlight extremes.

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An ideal scale is
created to compare
man-to-man on
various attributes. This
technique is also
known as ‘factor
comparison’.

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The person to be
assessed are
compared with each
other in pairs, one at a
time for different
rating. The appraiser is
required to fix some
criteria for making his
assessment.

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The evaluator is required
to give a printed form to
each employee with
certain parameters in
graphic form which can
be understood as the
characteristics required in
an employee.

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The rating elements have
a number of sets of
phrases and adjectives in
pairs. In case four phrases
are given, the two sets
would be positive and
negative. The choice of
the rater is fixed and he is
forced to choose the
most or the least
descriptive phrases.

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It requires the rater to
record statements that
describe extremely good
or bad behavior related
to job performance.
Recorded statements
include a brief
explanation of what
happened.

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These are employee-
produced listings of
accomplishments such as
publications, speeches,
leadership roles, and
other professionally
related activities.

Mahmood Qasim
It identifies and evaluates
relevant job-related
behaviors.

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Skilled HR representative
goes into the “field” and
assists supervisors with
their ratings and solicits
information about the
employee’s performance
from the immediate
supervisor. Prepares and
send the evaluation to
the supervisor for review.

Mahmood Qasim
In limited number of jobs,
performance appraisals
may be based on a test of
knowledge or skills.
These tests are
particularly appropriate
when a company relies
on a pay-for-knowledge
or pay-for-skills.

Mahmood Qasim
It is a collection of
different methods that
compete one person’s
performance with that of
coworkers.

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Ranking Method:
Requires rater to place
each employee in order
from best to worst. This
method is subject to halo
and recency effects,
although rankings by two
or more raters can be
averaged to help reduce
biases.

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Forced Distribution:
It requires raters to sort
employees into different
classifications, usually
with specified
proportions in each
category.

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Point Allocation Method:
This method requires the
rater to allocate a fixed
number of points among
employees in the group.
Good performers are
given more points than
are poor performers.

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Paired Comparisons:
It forces raters to
compare each employee
with all other employees
in the same group.

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Evaluation is done on the
fact as to how much an
employee returns to the
organization against what
is spent on him or her.

Mahmood Qasim
Past-oriented approaches
is like driving a car by
looking through the
rearview mirror. Future-
oriented appraisals focus
on future performance by
evaluating an employee’s
potential or setting
future performance
goals.

Mahmood Qasim
It can be a useful
technique if the goal of
evaluation is to further
self-development. It
helps users set personal
goals. But the employees
can be too lenient or
critical about his or her
performance.

Mahmood Qasim
The set goals are
objectively measurable
and mutually agreed on
by the employee and the
manager. Since the
employee gets to
participate inn setting his
or her goals they are
motivated to achieve it.

Mahmood Qasim
Preparation of
future objectives
Mutual setting of
objectives by
appraiser and
appraisee
Deciding criteria for
measurement of
objectives by mutual
agreement
Job performance
Need based
intermittent review
of performance
Periodical review
by appraiser and
appraisee

Mahmood Qasim
Psychologists assess
individual’s future
potential, not that
individual’s past
performance. It is done
through interviews,
psychological tests,
discussions with
supervisors.

Mahmood Qasim
An individual is appraised
by is boss, team
members, peers,
customers, subordinates
and by the subject
himself. It is used in
various forms such as
540, 400, 0r 180
depending on its horizon.

Mahmood Qasim
Identification of
developmental needs and
preparation of
development plans more
objectively in relation to
current of future roles, to
facilitate performance
improvements for an
individual or a group of
individuals.

Mahmood Qasim
Provision of insights into
the strong and weak
areas of a candidate in
terms of the effective
performance of roles,
activities, styles, traits,
qualities, competencies,
etc.

Mahmood Qasim
Impact of knowledge,
attitude and skills.

Mahmood Qasim
Reinforcement of other
change management
efforts and interventions
directed at organization
effectiveness. Such as
TQM efforts, customer-
focused or internal
customer satisfaction
enhancing interventions,
cost-reducing
interventions, etc.

Mahmood Qasim
Generation of data to
serve as a more objective
basis for rewards and
other personal decisions.

Mahmood Qasim
Alignment of individual
and group goals with
organizational vision,
values and goals.

Mahmood Qasim
Basis for performance-
linked pay or
performance rewards.

Mahmood Qasim
Aid of in culture building,
and leadership
development and team
building.

Mahmood Qasim
Planning of internal
customer satisfaction
improvement measures.

Mahmood Qasim
Increase in role clarity
and accountability.

Mahmood Qasim
The job-related
simulations are the main
focus of this system. The
technique aims to assess
an employee’s potential
for facilitating his rise in
the hierarchy. Evaluation
is done by giving rating in
the form of acceptability.

Mahmood Qasim
In case of a manager the
evaluators observe and
evaluate the performance
of managers in several
situations by fixing
benchmark criteria,
mainly in the field of
planning, organizing,
interpersonal skills,
creativity and decision
making

Mahmood Qasim
Techniques involved in
this process are use of
the business game, group
discussion and role-
playing incidents when
there is no leader.
Therefore evaluators are
managers with hands-on
experience at different
levels of management.

Mahmood Qasim
It identifies potentials in
employees to take higher
positions and
responsibilities. It
informs employees about
future prospects,
succession plans, training
efforts, and provides
guidelines for improving
their career prospects.

Mahmood Qasim
Study Found That
Criticism had a negative impact on
achievement of goals.
Praise has little effect one way or
they other
Performance increased most when
specific goals are established
Defensives resulting from critical
appraisal produced poor performance.
Coaching should be day to day, not
once in a year activity.
Mutual goal setting, not criticism,
improves performances.

Performance Appraisal defined and tools Chapter -1

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Performance Appraisal defined and tools Chapter -1

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