Perfappsys in Indian Organizations

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    PERFORMANCE APPRAISAL

    SYSTEM

    IN

    INDIAN ORGANIZATIONS

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    Performance App raisal System

    In the context of employee performance

    one FQA is whether the currentperformance measurement models are

    adequate for the Indian Organizations

    If not, what changes are required?

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    Performance App raisal System

    This presentation is limited to the

    situations prevailing in Indian

    Organizations only

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    Performance App raisal System

    Although Indian Organizations hascome off age in recent times, human

    resource management continues to

    remain a neglected one.

    The role of Human Resource Managers

    remain limited to fire fighting.

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    Performance App raisal System

    Areas like capability assessment,

    including capability gaps and trainingneeds, placement of right people in the

    right places, career plan, employee

    motivation etc. are areas receiving noattention.

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    Performance App raisal System

    Most HR Managers go through the

    performance appraisal in a rathermechanical way and treat them as they

    treat the plethora of statements that are

    prepared by organizations for

    submission to various authorities.

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    Performance App raisal System

    Presently HR Manager are clearly not in

    the know-how of what all uses a

    performance appraisal, if done in a

    scientific way, can be put to.

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    Performance App raisal System

    Presently in most organizations,

    employees are required to submit theirperformance appraisal only when a

    promotion process is undertaken.

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    Performance App raisal System

    Only a few organizations have put in

    place mechanisms to identify key

    responsibility areas for the purpose of

    designing their performance appraisal

    forms.

    Target setting is virtually non-existent.

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    Performance App raisal System

    The aims and objectives of the

    organisation, the contribution ofindividuals/the departments towards

    these objectives are certain key

    elements missing in the present dayperformance appraisal systems.

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    Performance App raisal System

    The process takes a bottom-up

    approach with virtually no interaction

    between the appraisee and theappraiser.

    A critical assessment of the appraisee

    and review of the performance over a

    reporting period are virtually non-

    existent.

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    Performance App raisal System

    As a result the employeesdevelopment

    suffers and valuable human resourceswasted.

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    Performance App raisal System

    Nowadays various tools are available

    for evaluating employee performance.

    Some organisations have even taken to

    360 degree evaluation techniques.

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    Performance App raisal System

    Till such time managing human

    resources gives way to HumanResource Management in

    organizations, performance

    management systems including 360

    degree evaluation techniques shallremain a distant dream.

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    Performance App raisal System

    If only organizations are to make use of

    the performance appraisal systems they

    have to make it a more meaningful onethereby contributing to the development

    of the individual and the organisation as

    a whole, they will be taking a giant stepforward.

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    Performance App raisal System

    It is in this context that one should look

    at revamping the performance appraisalsystems in Indian organizations.

    As a first step of course, one should be

    clear as to what purposes it shouldserve.

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    Performance App raisal System

    In general a performance appraisal

    system should serve as a tool for work-

    performance judgmental and provide a

    basis for reward allocation, promotions,

    transfers, lay-offs etc.

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    Performance App raisal System

    It should help the organisations to

    identify high potential employees

    developmental, fostering workimprovement, identifying training and

    development opportunities and develop

    ways to overcome obstacles andbarriers.

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    Performance App raisal System

    It should serve as a medium for

    translating organisational goals into

    individual job objectives, communicating

    expectations regarding employee

    performance.

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    Performance App raisal System

    It should provide for a two-way

    communication between the employee

    and the supervisor and help diagnose

    strengths and weaknesses thereby

    enabling a development plan for

    improving job performance.

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    Performance App raisal System

    It should define and analyse the

    behavioral aspects of performance.

    It should also serve as a medium for

    employee introspection.

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    Performance Appraisal System.)

    A well designed performance appraisal

    should give employees answers to

    questions such asWhat am I expected to do

    How well am I doing

    What are my strengths and weaknesses

    How can I do a better job and How can I contribute more towards the

    organisational goal.

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    Performance App raisal System

    A performance appraisal system often fails

    because

    Managers often resist either passively oraggressively

    have limited contact with subordinates

    and are poor at giving feedback

    subordinates are poor at receiving

    feedback

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    Performance App raisal System

    viewed as a wasted paper work

    especially if nothing comes out of their

    effort.

    Managers fear the emotion that can be

    unleashed.

    Managers fear not being able to defendthe rating.

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    Performance App raisal SystemWhile designing, address questions

    such as

    What is the purpose? What is the supervisors attitude

    towards performance appraisal?

    What are the appropriate job criteria?

    Who should conduct the appraisal? When they should occur; and

    How often should they occur?

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    Performance App raisal System

    The performance appraisal forms

    need to be

    job related

    as simple as possible

    easy to administer

    valid and reliable enable individuals to influence

    measures

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    Performance App raisal System

    What Performance Appraisal should deliver

    Evaluate goals

    Provide feedback to the appraisee

    Develop valid data for pay and promotion

    decisions

    Provide means of putting subordinateson notice about unsatisfactoryperformance.

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    Performance App raisal System

    Enable coaching and developmental goals.

    Develop contacts through discussions with

    subordinates.

    Motivate subordinates through recognition

    and support.

    Strengthen supervisor-subordinate relation. Diagnose individual and organisational

    problems.

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    Performance management can be regarded as acontinuous process managing the performances ofpeople for getting desired results.

    Performance management is beneficial to all the majorstakeholders of an organization by clearly describingwhat is supposed to be done for attaining certain desiredgoals.

    Performance management is the heart of any HRprocesses in an organization as it influences the restother HR functions or processes.

    Focus on performance management may be fruitlesswithout the existence of proper organizational design

    and management systems.

    Some Facts AboutPerformance Management

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    Some of the essential pre requisites without whichperformance management system will not function

    effectively in an organization are:

    Should attract very high levels of participation from allthe members concerned in an organization. It should bea participative process.

    Top management support and commitment is veryessential for building a sound performance culture in anorganization.

    Organizational vision, mission and goals should be clearly

    defined and understood by all levels so that the effortsare directed towards the realization of the organizationalambitions.

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    Clear definition of the roles for performing a given jobwithin the organizational framework which emanatesfrom the departmental and the organizationalobjectives. The system should also be able to explainthe linkages of a role with other roles.

    Open and transparent communication should prevailwhich will motivate the employees for participatingfreely and delivering high performance. Communication

    is an essential pre requisite for a performancemanagement process as it clarifies the expectations andenables the parties in understanding the desiredbehaviors or expected results.

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    Identification of major performance parameters anddefinition of key performance indicators.

    Consistency and fairness in application.

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    A commitment towards recognition of high

    performance. Rewards and recognitions should bebuilt within the framework of performancemanagement framework.

    Proper organizational training should be provided tothe staff members based on the identification of

    training needs from periodic evaluation and review ofperformance. This will motivate the employees for asuperior performance.

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    THANK YOU