Professional Documents
Culture Documents
Performance Management
Performance Management
Performance Management
Performance Appraisal:
Performance Management:
An integrated approach to
ensuring that an employees
performance supports and
contributes to the organizations
strategic aims.
Purpose of PM System
Strategic: help top mgmt achieve strategic objective
Administrative: furnish valid information to make
PM is goal directed
At the heart of performance management is the idea that
WHEN?
Frequency of Appraisal
Informal evaluation Continuous
Formal evaluation Annual or Biannual
WHAT?
Criteria used
Traits or
characteristics
Actual
performance
Training
Needs
Behaviour
Potential
98
appraisal techniques.
Must understand and avoid
appraisals fairly.
99
910
911
Narrative Forms
Management by Objectives
(MBO)
10
Merged Methods
11
Graphic
Rating
Form
Note: + means better than. - means worse than. For each chart, add up
the number of +s in each column to get the highest ranked employee.
Continuing Duties
Targets
Critical Incidents
Schedule production
for plant
90% utilization of
personnel and machinery
in plant; orders delivered
on time
Supervise
procurement of raw
materials and on
inventory control
Supervise machinery
maintenance
No shutdowns due
to faulty machinery
Narrative Forms
Final appraisals are
frequently written in
a narrative form
Supervisor rates
employee by
describing the
behaviour related to
each factor
Example of
BARS for
Dimension
Salesmanship
Skills
Management by
Objectives
MBO refers to a organizational 6 step goal
setting and appraisal program
Set the
organizations
goals
Set the
departmental
goals
Discuss
developmental
goals
Define
expected
results
Performance
reviews
Provide
feedback
Set
SMART
goals
Assign
specific
goals
Assign
measurable
goals
Assign
challenging/
doable goals
Encourage
participation
Appraisal Form for Assessing Both Competencies and Specific Objectives (contd)
Accessibility
Ease-of-use
Employee
acceptance
Accuracy
PRACTICAL IMPACT
Varying standards
Leniency/Strictness/
Central Tendency
Rater bias
Halo / Horns
Contrast error
Similar-to-me Error
Sampling error
Types of
Appraisal
Interviews
SatisfactoryNot Promotable
UnsatisfactoryCorrectable
UnsatisfactoryUncorrectable
929
Direction sharing
Role clarification
Goal alignment
Ongoing feedback