ch 7 - perfomance appraisal

8/20/2019 Ch 7 - Perfomance Appraisal

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PowerPoint Presentation by Charlie Cook

The University of West Alabama

Chapter 9

PerformanceManagement

and Appraisal

Part Three | Training and Development

Copyright © 2!! Pearson "d#cation$ %nc&

p#blishing as Prentice 'all


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W'"(" W" A(" )*W+


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!&!& ,efine performance management and disc#ss how it,efine performance management and disc#ss how it

differs from performance appraisal&differs from performance appraisal&

2&2& -et effective performance appraisal standards&-et effective performance appraisal standards&

.&.& ,escribe the appraisal process&,escribe the appraisal process&

/&/& ,evelop$ eval#ate$ and administer at least fo#r,evelop$ eval#ate$ and administer at least fo#rperformance appraisal tools&performance appraisal tools&

0&0& "1plain and ill#strate the problems to avoid in"1plain and ill#strate the problems to avoid in

appraising performance&appraising performance&

&& ,isc#ss the pros and cons of #sing different raters to,isc#ss the pros and cons of #sing different raters toappraise a person3s performance&appraise a person3s performance&

4&4& Perform an effective appraisal interview&Perform an effective appraisal interview&

LEARNING OUTCOMESLEARNING OUTCOMES


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Basic Concepts inBasic Concepts in

PerformancePerformance

Management and AppraisalManagement and Appraisal

PerformanceAppraisal

Setting workstandards,assessing

performance, andproviding feedback

to employees to

motivate, correct,and continue their

performance.


An integratedapproach to

ensuring that anemployee’sperformancesupports and

contributes to theorganization’sstrategic aims.


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*nline 5ac#lty

"val#ation 5orm


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Dening the Employee’sDening the Employee’s

Goals and Work StandardsGoals and Work Standards

SetSMA!

goals

Assignchallenging

" doablegoals

Assignspeci#c

goals

$uidelines for%&ective

$oal Setting

Assignmeasurable

goals

%ncourageparticipatio

n


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Setting SMA! GoalsSetting SMA! Goals

6 ..pecific$ and clearly state the desired res#lts&pecific$ and clearly state the desired res#lts&

6 //eas#rable in answering 7how m#ch&8eas#rable in answering 7how m#ch&8

6 ttainable$ and not too to#gh or too easy&ttainable$ and not too to#gh or too easy&

6 ++elevant to what3s to be achieved&elevant to what3s to be achieved&

6 TTimely in reflecting deadlines and milestones&imely in reflecting deadlines and milestones&


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An "ntrod#ction to AppraisingAn "ntrod#ction to Appraising

PerformancePerformance

1

%s #sef#l in career planning&

Plays an integral role in performance management&

'hy Appraise Performance(

%s basis for pay and promotion decisions&

'elps in correcting deficiencies and reinforcing good

performance&

2

%

&


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$%n&ealistic Appraisals$%n&ealistic Appraisals

6 Motivations for -oft AppraisalsMotivations for -oft Appraisals

The fear of having to hire and train someone new&The fear of having to hire and train someone new&

The #npleasant reaction of the appraisee&The #npleasant reaction of the appraisee&

An appraisal process that3s not cond#cive to candor& An appraisal process that3s not cond#cive to candor&

6 'a9ards of -oft Appraisals'a9ards of -oft Appraisals "mployee loses the chance to improve before being discharged"mployee loses the chance to improve before being discharged

or forced to change :obs&or forced to change :obs&

;aws#its arising from dismissals involving inacc#rate;aws#its arising from dismissals involving inacc#rate

performance appraisals&performance appraisals&


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Performance Appraisal olesPerformance Appraisal oles

$cont’d&$cont’d&6 The '( ,epartment3s (oleThe '( ,epartment3s (ole -erves a policy=making and advisory role&-erves a policy=making and advisory role&

Provides advice and assistance regarding the appraisalProvides advice and assistance regarding the appraisal

tool to #se&tool to #se&

Trains s#pervisors to improve their appraisal skills&Trains s#pervisors to improve their appraisal skills&

Monitors the appraisal system effectiveness andMonitors the appraisal system effectiveness and

compliance with ""* laws&compliance with ""* laws&


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E'ecti(ely Appraising PerformanceE'ecti(ely Appraising Performance

1

Appraising performance

Steps in AppraisingPerformance

,efining the :ob and performance criteria

Providing feedback session

2

%


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Designing the Appraisal !oolDesigning the Appraisal !ool

6 What to Meas#re>What to Meas#re>

Work o#tp#t ?


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Performance Appraisal MethodsPerformance Appraisal Methods

1

2

%

&

'

lternation raning

)raphic rating scale

Paired comparison

(orced distri"ution

Critical incident

-

9

10

3ehaviorally anchored ratingscales 43+.5

6arrative 7orms

/anagement "y o"8ectives 4/35

Computeri:ed and ;e"


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-ample raphic

(ating Performance

(ating 5orm


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()*+E 9$% *ne %tem from an Appraisal 5orm Assessing "mployee

Performance on -pecific ob=(elated ,#ties


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()*+E 9$& Appraisal 5orm for Assessing Both Competencies and -pecific *b:ectives


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()*+E 9$& Appraisal 5orm for Assessing Both Competencies and -pecific *b:ectives ?cont3d@


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()*+E 9$' -cale for Alternate (anking of Appraisee


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()*+E 9$ (anking "mployees by the Paired Comparison Method

)oteD E means 7better than&8 = means 7worse than&8 5or each chart$ add #p

the n#mber of E3s in each col#mn to get the highest ranked employee&


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T3=E 9$1 "1amples of Critical %ncidents for Assistant Plant Manager

Continuing Duties Targets Critical ncidents-ched#le prod#ctionfor plant

FG #tili9ation ofpersonnel and machineryin plantH orders deliveredon time

%nstit#ted new prod#ctionsched#ling systemH decreasedlate orders by !G last monthHincreased machine #tili9ation inplant by 2G last month

-#pervise proc#rementof raw materials andon inventory control

Minimi9e inventory costswhile keeping ade


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()*+E 9$-

Appraisal=Coaching

Worksheet


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Beha(iorally Anchored ating ScaleBeha(iorally Anchored ating Scale

$BAS&$BAS&,eveloping a BA(-,eveloping a BA(-

!&!& Write critical incidentsWrite critical incidents

2&2& ,evelop performance,evelop performance

dimensionsdimensions

.&.& (eallocate incidents(eallocate incidents

/&/& -cale the incidents-cale the incidents

0&0& ,evelop a final,evelop a final

instr#mentinstr#ment

Advantages of BA(- Advantages of BA(-

A more acc#rate ga#ge A more acc#rate ga#ge

Clearer standardsClearer standards

5eedback5eedback

%ndependent dimensions%ndependent dimensions

ConsistencyConsistency


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()*+E 9$

"1ample of a

Behaviorally

Anchored (ating

-cale for the

,imensionSalesmanship Skills


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Management )y *)+ecti(es $MB*&Management )y *)+ecti(es $MB*&

6 A comprehensive and formal organi9ationwide A comprehensive and formal organi9ationwide

goal=setting and appraisal program re


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%sing MB*%sing MB*

Setting unclearob)ective

*on+ict withsubordinates

over ob)ectives

Potential Problems withM-

!imeconsumingappraisal process


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Comp#teri,ed and We)-BasedComp#teri,ed and We)-Based

Performance Appraisal SystemsPerformance Appraisal Systems

6 Allow managers to keep notes on s#bordinates& Allow managers to keep notes on s#bordinates&

6 )otes can be merged with employee ratings&)otes can be merged with employee ratings&

6 -oftware generates written te1t to s#pport appraisals&-oftware generates written te1t to s#pport appraisals&

6 Allows for employee self=monitoring and self=eval#ation& Allows for employee self=monitoring and self=eval#ation&

6 "lectronic Performance Monitoring ?"PM@ -ystems"lectronic Performance Monitoring ?"PM@ -ystems Use comp#ter network technology to allow managers access toUse comp#ter network technology to allow managers access to

their employees3 comp#ters and telephones&their employees3 comp#ters and telephones&

Managers can monitor the employees3 rate$ acc#racy$ and timeManagers can monitor the employees3 rate$ acc#racy$ and time

spent working online&spent working online&


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()*+E 9$9

*nline Performance

Appraisal Tool


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Dealing .ithDealing .ith

Performance AppraisalPerformance Appraisal

Pro)lemsPro)lems

/nclearstandards

0eniency orstrictness

1aloe&ect

Potential atingScale Appraisal

Problems

*entraltendency

ias


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T3=E 9$2 A raphic (ating -cale with Unclear -tandards


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G#idelines for E'ecti(e AppraisalsG#idelines for E'ecti(e Appraisals

2now theproblems

$etagreementon a plan

/se theright tool

1ow to AvoidAppraisal Problems

2eep adiary

efair


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T3=E 9$% %mportant Advantages and ,isadvantages of Appraisal Tools

Tool dvantages Disadvantages

)raphic rating scale -imple to #seH provides a


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Choosing the ight Appraisal !oolChoosing the ight Appraisal !ool

Accessibility Accuracy%aseofuse%mployee

acceptance

*riteria for *hoosing anAppraisal !ool


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()*+E 9$10 -elected Best Practices for Administering 5air Performance Appraisals

6 Base the performance review on d#ties and standards from a :ob analysis&

6 Try to base the performance review on observable :ob behaviors or ob:ective

performance data&

6 Make it clear ahead of time what yo#r performance e1pectations are&

6 Use a standardi9ed performance review proced#re for all employees&

6 Make s#re whoever cond#cts the reviews has fre


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()*+E 9$11 #idelines for a ;egally ,efensible Appraisal

!& Preferably$ cond#ct a :ob analysis to establish performance criteria and standards&

2& Comm#nicate performance standards to employees and to those rating them$ in writing&

.& When #sing graphic rating scales$ avoid #ndefined abstract trait names ?s#ch as 7loyalty8 or7honesty8@&

/& Use s#b:ective narratives as only one component of the appraisal&

0& Train s#pervisors to #se the rating instr#ment properly&

& Allow appraisers s#bstantial daily contact with the employees they3re eval#ating&

4& Using a single overall rating of performance is #s#ally not acceptable to the co#rts&I& When possible$ have more than one appraiser$ and cond#ct all s#ch appraisals

independently&

F& *ne appraiser sho#ld never have absol#te a#thority to determine a personnel action&

!& ive employees the opport#nity to review and make comments$ and have a formal appeals

process&

!!& ,oc#ment everythingD Witho#t e1ception$ co#rts condemn informal performance eval#ationpractices that eschew doc#mentation&

!2& Where appropriate$ provide corrective g#idance to assist poor performers in improving&


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Who Sho#ld Do the Appraising/Who Sho#ld Do the Appraising/

Selfrating

Subordinates

345degree

feedback

Potentialppraisers

6mmediatesupervisor

Peers

ating

committee


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!he Appraisal "nter(ie.!he Appraisal "nter(ie.

Satisfactory7Promotable

Satisfactory78ot

Promotable

/nsatisfactory7*orrectable

/nsatisfactory7/ncorrectable

!ypes ofAppraisal6nterviews


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()*+E 9$12 -ample "mployee ,evelopment Plan


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Appraisal "nter(ie. G#idelinesAppraisal "nter(ie. G#idelines

!alk in termsof ob)ectivework data

$etagreement

9on’t getpersonal

%ncouragethe person to

talk

$uidelines for*onductingan 6nterview


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0andling Defensi(e esponses0andling Defensi(e esponses

1

(ecogni9e yo#r own limitations&

)ever attack a person3s defenses&

1ow to 1andle a 9efensive Subordinate

(ecogni9e that defensive behavior is normal&

Postpone action&

2

%

&


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0o. to Deli(er Criticism0o. to Deli(er Criticism

1

2

%

&

'

1ow to *riticize aSubordinate

Critici9e in private$ and do it constr#ctively&

,o it in a manner that lets the person maintain

his or her dignity and sense of worth&

ive daily feedback so that the review has no

s#rprises&

)ever say the person is 7always8 wrong&

Criticism sho#ld be ob:ective and free of biases&


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1ormal Written Warnings1ormal Written Warnings

6 P#rposes of a Written WarningP#rposes of a Written Warning

To shake yo#r employee o#t of bad habits&To shake yo#r employee o#t of bad habits&

To help yo# defend yo#r rating$ both to yo#r own boss and ?ifTo help yo# defend yo#r rating$ both to yo#r own boss and ?if

needed@ to the co#rts&needed@ to the co#rts&

6 A Written Warning -ho#ldD A Written Warning -ho#ldD

%dentify standards by which employee is :#dged&%dentify standards by which employee is :#dged&

Make clear that employee was aware of the standard&Make clear that employee was aware of the standard&

-pecify deficiencies relative to the standard&-pecify deficiencies relative to the standard&

%ndicate employee3s prior opport#nity for correction&%ndicate employee3s prior opport#nity for correction&


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Performance ManagementPerformance Management

6 Performance ManagementPerformance Management

%s the contin#o#s process of identifying$ meas#ring$ and%s the contin#o#s process of identifying$ meas#ring$ and

developing the performance of individ#als and teams anddeveloping the performance of individ#als and teams and

aligning their performance with the organi9ation3s goals&aligning their performance with the organi9ation3s goals&

6 'ow Performance Management'ow Performance Management ,iffers,iffers 5rom5rom

PerformancePerformance Appraisal Appraisal A contin#o#s process for contin#o#s improvement A contin#o#s process for contin#o#s improvement

A strong linkage of individ#al and team goals to strategic goals A strong linkage of individ#al and team goals to strategic goals

A constant reeval#ation and modification of work processes A constant reeval#ation and modification of work processes


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Basic B#ilding Blocks ofBasic B#ilding Blocks of

Performance ManagementPerformance Management

9irectionsharing

$oalalignment

-ngoingperformancemonitoring

ewards,recognition,

andcompensation

*oaching anddevelopment

support

-ngoingfeedback


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Why Performance Management/Why Performance Management/

!otal :uality Management

esolution of Appraisal 6ssues

Strategic $oal Alignment

!he


Approach


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%sing "nformation !echnology to%sing "nformation !echnology to

S#pport Performance ManagementS#pport Performance Management

6 Assign financial and nonfinancial goals to each team3s Assign financial and nonfinancial goals to each team3s

activities along the strategy map chain of activitiesactivities along the strategy map chain of activities

leading #p to the company3s overall strategic goals&leading #p to the company3s overall strategic goals&

6%nform all employees of their goals&%nform all employees of their goals&

6 Use %T=s#pported tools like scorecard software andUse %T=s#pported tools like scorecard software and

digital dashboards to contin#o#sly monitor and assessdigital dashboards to contin#o#sly monitor and assess

each team3s and employee3s performance&each team3s and employee3s performance&

6 Take corrective action at once&Take corrective action at once&


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()*+E 9$1& Performance Management (eport


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2 % ; ! % M S

performance appraisal

graphic rating scalealternation ranking method

paired comparison method

forced distrib#tion method

critical incident method

behaviorally anchored rating scale ?BA(-@

electronic performance monitoring ?"PM@

#nclear standards

halo effect

central tendency

strictnessJleniency

bias

appraisal interview

performance management


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ch 7 - perfomance appraisal

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