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How Organizations conduct Performance Evaluations of Employees Lecture delivered to HRM students of SriJayawardanapura University(SriLanka)
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Practical Aspects of Performance EvaluationGuest Lecture for Students of SriJayawardanapura
University(SriLanka)23.12.2013
Are You ready ?
What is PERFORMANCE ?
What are the dimensions of PERFORMANCE?
What is PERFORMANCE MANAGEMENT? & Why?
Why Appraisal?
What to Appraise?
When to Appraise?
Who ?How?
Performance Management
Jayadeva de Silva
Components of the Performance Appraisal Process
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Appraiser
Appraisee
Appraisal Method Outcomes
Challenges to Effective Performance Measurement
Rater errors and biasThe influence of likingOrganizational politicsWhether to focus on the
individual or the groupLegal issues
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On what do we normally make a fuss about?
Their mistakes..
misbehaviors..
unacceptable attitudes..
failures….
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Make a
fuss about the
good work of people
BUT ..
_____________________Continuous Appraisal
‘Praise’ motivates Praise’ encourages ‘Praise’ stimulates right
behaviour that leads to right perormanceJayadeva de Silva
Praise as it happens & when it happens
And correct (mistakes)on the spot
Types of Performance Information
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Trait-basedInformation
Trait-basedInformation
Behavior-basedInformation
Behavior-basedInformation
Results-basedInformation
Results-basedInformation
JobPerformance
?
JobPerformance
?
Performance Standards
Performance Standards Expected levels of performance
▪ Benchmarks▪ Goals▪ Targets
Characteristics of Well-defined Standards Realistic Measurable Clearly understood
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Uses of Performance Appraisal (cont’d)
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PerformanceAppraisal
PerformanceAppraisal
Giving Performance Feedback
Giving Performance Feedback
Administering Wages and
Salaries
Administering Wages and
Salaries
Identifying Strengths and Weaknesses
Identifying Strengths and Weaknesses
Trait Appraisal, Behavioral Appraisal & Outcome Appraisal Instruments
Jayadeva de Silva
An appraisal tool that asks a supervisor to make judgments about worker characteristics that tend to be consistent and enduring.
An appraisal tool that asks managers to assess a worker’s behaviors.
An appraisal tool that asks managers to assess the results achieved by workers.
Trait Appraisal
Behavioral Appraisal
Outcome Appraisal
Critical Incident method
Jayadeva de Silva
Ex: A fire, sudden breakdown, accident
Workers reaction scale
A informed the supervisor immediately 5B Become anxious on loss of output 4C tried to repair the machine 3D Complained for poor maintenance 2E was happy about forced rest 1
Performance EvaluationEssay Method
Jayadeva de Silva
Dear Manager (HR),
Vivek, my assistant programmer, can always be found
hard at work in his cubicle. Vivek works independently, without
wasting company time talking to colleagues. Vivek never
thinks twice about assisting fellow employees, and he always
finishes given assignments on time. Often Vivek takes extended
measures to complete his work, sometimes skipping coffee
breaks. Vivek is a dedicated individual who has absolutely no
vanity in spite of his high accomplishments and profound
knowledge in his field. I firmly believe that Vivek can be
classed as a high-calibre employee, the type which cannot be
dispensed with. Consequently, I duly recommend that Vivek be
promoted to executive management, and a proposal will be
sent away as soon as possible.
Signed - Project Leader
Jayadeva de Silva
NB: That stupid idiot was reading over my shoulder when I wrote thereport sent to you earlier today. Kindly read only the odd lines (1, 3, 5, 7, 9,11, 13) for my true assessment of him
Jayadeva de Silva
Checklist method
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•Simple checklist method•Weighted checklist method•Forced choice method
Simple checklist method:
Is employee regular Y/N
Is employee respected by subordinate Y/N
Is employee helpful Y/N
Does he follow instruction Y/N
Does he keep the equipment in order Y/N
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Weighted checklist method
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weights performance rating(scale 1 to 5 )
Regularity 0.5Loyalty 1.5Willing to help 1.5Quality of work 1.5Relationship 2.0
Forced choice method
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Criteria Rating
1.Regularity on the job Most Least• Always regular• Inform in advance for delay• Never regular• Remain absent• Neither regular nor irregular
Graphic Rating Scale
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• Continuous Rating Scale• Discontinuous Rating Scale
Continuous Rating Scale
Employee name_________ Deptt_______ Rater’s name ___________ Date________ ------------------------------------------------------------------------ Exc. Good Acceptable Fair Poor 5 4 3 2 1 _ Dependability Initiative Overall output Attendance Attitude Cooperation Total score
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Discontinuous Rating Scale
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Attitude
NoInterest
Indifferent
Interested
Enthusiastic
Veryenthusiastic
BARS( behaviorally Anchored rating scale)
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Step 1. Identify critical incidents
Step 2. Select performance dimension
Step 3. Retranslate the incidents
Step 4. Assign scales to incidents
Step 5. Develop final instrument
Attendance Marks
Attended every day 10
Not exceeding 2 approved leaves 07 Not exceeding 5 approved leaves 05 Not exceeding 7 approved leaves 02 Exceeding 7 approved leaves
00
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BARSLending an library item Marks
1 Lend the chosen item within 30 sec accurately 1
2 Lend the chosen item within 30 sec accurately with positive appearance
2
3 Lend the chosen item within 30 sec accurately with positive appearance & positive remarks using common name
3
4 Lend the chosen item within 30 sec accurately with positive appearance & remarks using common name & inquire experience
4
5 Lend the chosen item within 30 sec accurately with positive appearance & remarks using common name & inquire experience to get sp wants while being ready to assist
5
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Customer Service Skills
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Figure 11–10
Multisource Appraisal
Jayadeva de SilvaFigure 11–6
The MBO Process
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Job Review and AgreementJob Review and Agreement
Development of Performance StandardsDevelopment of Performance Standards
Guided Objective SettingGuided Objective Setting
Continuing Performance DiscussionsContinuing Performance Discussions
Ranking method
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Employee Rank
A 2
B 1
C 3
D 5
E 4
Paired comparison method
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A B C D E Final RankA - - - + + 3
B + - - + + 2
C + + - + + 1
D - - - - + 4
E - - - - - 5No of Positive evaluation Total no. of evaluation * 100 = employee evaluation
Forced Distribution on a Bell-Shaped Curve
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Group Appraisal Ranking Paired comparison Forced distribution Performance tests Field review technique
Performance Appraisal Methods-Groups
360 degree (Field review) method
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Performance subordinate peers superior customerDimension
Leadership ^ ^
Communication ^ ^
Interpersonal skills ^ ^
Decision making ^ ^ ^
Technical skills ^ ^ ^
Motivation ^ ^ ^
Outcome Appraisal
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Productivity Measurement output/ results from the Inputs
Every unit of Money RS /$ Every unit of Time Every unit of Land Every unit of Energy Every unit of Raw Material Every Labor hour& Every Machine hour
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Performance criteria for executives
For top managers Return on capital employed Contribution to community development Degree of upward communication from
middle-level executives Degree of growth and expansion of
enterprise.
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For middle level managers
Departmental performance Coordination among employees Degree of upward communication from
supervisors Degree of clarity about corporate goals
and policies
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For supervisors
Quality and quantity of output in a given period
Labor cost per unit of output in a given period
Material cost per unit in a given period Rate of absenteeism and turnover of
employees No of accidents in a given period
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Basic Approaches to Appraising Job Performance
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How decisive is the individual?
Very DecisiveIndecisive
Moderately Decisive
The Trait Approach
1 2 3 4 5
Basic Approaches to Appraising Job Performance
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Teamwork (check the
box that best describes this individual’s behavior)
The Behavioral Approach
Works alone on all projects
Teams up with others on most major projects
Works alone on most projects
Teams up with others on all major projects
Works alone about half the time
Basic Approaches to Appraising Job Performance
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TThe Results Approach
Key result area: Unit Sales
12-month goal: 12,000 units
Actual results: 10,500 units
Comments________________________________________________________________________________________________________________________________________________________
Conflicting Roles for Performance Appraisal
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Traditional Performance Appraisal:Logic and Process
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Appraisal Interview Hints
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Figure 11–12
Evaluating Performance –Common Rating Errors
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Halo Effect
Horn Effect
CentralTendency
Strict Rating
LenientRating
InitialImpression
SamplingError
StatusEffect
Latest Behavior
Contrast Effect
Varying Standards
Different From Me
Same As Me
Common Rater Errors
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Figure 11–11
Process of developing an appraisal method
1. Decide performance policies (to whom/when/by whom)
2. Set performance objectives 3. Determine performance criteria & standards
(attributes/behaviour/competencies/results)4. Decide Evaluation method (quality scale/
right statement marking /essays/exams/critical incidents/self evaluation/MBO/BARS)
5. Draft the evaluation form6. Train the appraisers & appraisees7. Appraise8. Discuss appraised results9. Store data 10. Make decisions
Jayadeva de Silva
10.04.2023 10:51:58 AM
Jayadeva de Silva(Humantalents Group)
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This presentation can be downloaded from www.slideshare.net/avedayaj10
