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ASSIGNMET

JANUARY 2018 SEMESTER

SUBJECT CODE : EMB603

SUBJECT TITLE : PERFORMANCE APPRAISAL

LEVEL : MASTER'S LEVEL /EXECUTIVE MASTER

STUDENT’S NAME : AYE AYE KHINE

MATRIC NO. : M60401180004

PROGRAMME : ORGANISATIONAL BEHAVIOUR

ACADEMIC : Mr. AUNG SOE LWIN


FACILITATOR

LEARNING CENTRE : M.I.E, YANGON MYANMAR

INSTRUCTIONS TO STUDENTS

1) This assignment comprises ONE PART and answer ALL QUESTION.


2) Plagiarism in all forms is forbidden. Students who submit plagiarised assignment will be
penalised.
3) This assignment carries a 60% weightage toward final grade.
4) The submission date for this assignment is BEFORE or ON _______2018.

THERE ARE 3 PAGES OF QUESTION, EXCLUDING THIS PAGE.

DECLARATION BY STUDENT

I certify that this assignment is my own work and is in my own words. All sources have been
acknowledged and the content has not been previously submitted for assessment to Asia e University
or elsewhere. I also confirm that I have kept a copy of this assignment.

Signed: _____________________________

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TABLE OF CONTENTS
TOPIC PAGE

1.0 INTRODUCTION………………………………………………………………… 3

2.0 PURPOSE OF PERFORMANCE APPRAISAL…………………………………. 4

3.0 PERFORMANCE APPRAISAL SYSTEM………………………………………. 4~5


3.1 ROLE OF AN APPRAISER………………………………………………. 5
3.2 ROLE OF AN APPRAISEE………………………………………………. 5-6

4.0 THE APPRAISAL PERIOD………………………………………………………. 6

5.0 RESPONSIBILITY FOR APPRAISAL…………………………………………... 7

6.0 PERFORMANCE APPRAISAL PROCESS-…………………………………….. 7

7.0 ASSESSMENT OF EMPLOYEE POTENTIAL…………….……………………. 8

8.0 DEVELOPMENTS IN INFORMATION TECHNOLOGY……………………… 8

9.0 STRENGTH OF PERFORMANCE APPRAISALS……………………………...8-9

10.0 WEAKNESS OF PERFORMANCE APPRAISALS …………………………….. 9

11.0 MAKE PERFORMANCE APPRAISAL LEGALLY GEFENSIVE……………9-10

12.0 THE PERORMANCE APPRAISAL FORM……………………………………10-11

13.0 TRAINING AND DEVELOPMET…………………………………………. ….. 11

13.1 DEVELOPMENT OF SUBORDINATES………………………………………… 11


13.2 POSITIVE REINFORCEMENT………………………………………....11-12

14.0 MAKE IT A DISCUSSION……………………………………………………… 12

15.0 COUNTER PRODUCTIVITY……………………………………………….......12-13


16.0 RATING…………………………………………………………………………… 13
17.0 INTERNATIONAL VARIATIONS IN PERFORMANCE APPRAISAL……...13-14
17.1 360 DEGREE FEEDBACK………………………………………………………14~15
18.0 CONCLUSIONS………………………………………………………………….. 15
REFERENCES……………………………………………………………………...........15~16

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PERFORMANCE APPRAISAL

1.0 INTRODUCTION
When employees have goals, they tend to be more motivated if they also receive feedback about
their progress. Feedback may occur throughout the workday, but many organizations also have a
formal, companywide process of providing feedback to employees, called the performance appraisal.
The performance appraisal aims to reflect and reward performance according to the key elements as
stated in organization mission and core values. The performance appraisal should not only enable to
review the past but more importantly, to provide a base for the development of employees in
accordance with the company’s direction. (Sadri, G. (2018) ATD Employee performance)
Performance appraisals also called annual reviews, evaluate an employee’s skills, achievements and
growth, or lack thereof. Companies use performance appraisals to give employees big-picture
feedback on their work and to justify pay increases, bonuses, compensation, additional status
support, as well as promotion, suspension and termination decisions. Besides the administrative role,
the HR Department also provides assistance in the training of the necessary skill by appraisal
interview. The training and development needs as identified from the performance appraisal will be
beneficial for employee’s career development or performance enhancement.
(Mondy, R.W & Noe, R.M (2006)).
From the official survey form United State in 2011 showed that involvement of service sector was
79% of country’s economy as per picture below. Employee performance is the key factor to driven
service industry. Corporations are finding out the way to improve employee performance which will
bring up company status and consistent success. (UKessays Trusted By Students (2015))

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There are many organizations that are relying on employees for success and competitiveness.
According to the resource-based view, employees are the resources and assets of an organization.
(tradegov.files.wordpress.com/2012)

2.0 PURPOSE OF PERFORMANCE APPRAISAL


Performance appraisal is held with the objective of assessing accurately an employee’s individual’s
performance. The result of the assessment is later used as a basis for remuneration purposes,
identifying training needs, bonuses, planning career development or even employment termination
purposes. (Ahmad, S.S., Zakaria, A & Zani, R.M (2014))
Performance evaluation serves a number of purposes. One is to help management make general
human resource decisions about promotions, bonuses, annual pay raise, transfers, and terminations.
Evaluations also identify training and development needs. Finally, they provide feedback to
employees on how the organization views their performance and are often the basis for reward
allocations, including merit pay increases. The purpose of performance appraisal, although six
general uses have been identified;
2.1 to provide feedback about strengths and weaknesses;
2.2 to distinguish between individuals to allocate rewards;
2.3 to evaluate and maintain the human resource systems of the organization
2.4 to create a paper trail of documentation
2.5 to help staff improve their present job performance and indicate possible career
development
2.6 to create a more effective organization where staff know what they are doing and the
reason for it. (Ahmad, S.S., Zakaria, A & Zani, R.M (2014))

3.0 PERFORMANCE APPRAISAL SYSTEM


For many organizations, the primary goal of an appraisal system is to improve individual and
organizational performance. There may be other goals, however. A potential problem with it and a
possible cause of much dissatisfaction, is expecting too much from one appraisal plan. For example,
a plan that is effective for developing employees may not be the best for determining pay increases.
Yet, a properly designed system can help achieve organizational objectives and enhance employee
performance. In fact, Performance appraisal data are potentially valuable for virtually every human
resource functional area. (Kinley, N., Ben-Hur, S.(2015))
-Before appraisal period begins, Managers to identify and select appropriate appraisal factors
for each position.
-Under the appraisal system, it allows an appeal procedure should there be any discrepancy
between the viewpoint of the appraiser and appraise on the performance evaluation.
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-Should be disagree with the appraisal result, can appeal through inform the direct appraiser
of disagreement and action for appeal.
-Approach the indirect appraiser who is one level above to direct appraiser.

- If the situation still cannot be solved, appraise can go one further level up and so on until it
reaches Manager who would them make the final decision.
Performance appraisal is a process for ensuring employees focus on their work in ways that
contribute to achieving the organization’s mission is indispensable for a business organization. They
need to focus on and these are assessed by the following twelve factors which are customer service,
Job knowledge, productivity, occupational safety, attendance, cooperation, reliability, initiative,
communication, appearance, innovativeness and problem solving.
(Kinley,N.,Ben-Hur,S.(2015))

3.1 ROLE OF AN APPRAISER


Traditionally, the appraiser has been the supervisor. Supervisors have more at stake when
an employee is not performing well and they have access to greater resources that can be used
to improve performance. However, relying solely on supervisors may lead to a biased
appraisal system. Many aspects of a person’s performance may remain hidden from managers
particularly in team-based settings or organizations where supervisors do not work in the
same physical setting as the employees. Therefore, organizations are introducing additional
appraiser into the system, such as peers, customers, and subordinates.
- Ensure that subordinates fully understand the performance appraisal system.
- Document all appraisal standard and rating guidelines and communicate to all
related staff.
Moreover, appraiser needs to be held transparently where employees are aware of the process
and areas. Appraiser also needs to avoid hearsay and third-hand reports. All information
needs to be verified before being discussed with the employee, to ensure that the employees
are only appraised on their work, not their personality. (Robbins,S.P & Judge, T.A(2013))

3.2 ROLE OF AN APPRAISEE


From the employees’ side, two weeks or so before the review, they should go through their
diary or files and make a note of every project worked on, regardless of whether they were
successful or not. The best recourse for employees in preparing for an appraisal review is to
prepare a list of creative ways they have solved problems with limited resources. They will
look especially good if they can show how their work bolstered the bottom line.

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This information should be on the appraising manager’s desk well before the review.
Reminding managers of information they may have missed should help in developing a more
objective and accurate appraisal. Appraise are required to participate actively in this process.
3.2.1 Find out an clarify the expectation from your superior at the beginning of the
appraisal Period
3.2.2 Think about employee career objective and discuss with your supervisor
during the appraisal interview
3.2.3 View performance assessments as an opportunity to showcase your
accomplishments
3.2.4 Take responsibility for your own performance and professional development
If we disagree with the appraisal result, need to inform the direct appraiser of your disagreement,
action for appeal and approach the indirect appraiser who is one level above your direct appraiser. If
the situation still cannot be solved, we can go one further level up and so on until it reaches our
department manager who would then make the final decision. (Cheung A.(HPH-HRD 18-04-2015))

4.0 THE APPRAISAL PERIOD


Formal performance appraisal are usually prepared at specific intervals, Even more significant,
however, is the continuous interaction, primarily informal, including coaching and other
developmental activities that continue throughout the appraisal period. Performance feedback once a
year is just not good enough. HR should condition managers to understand that managing
performance is a continuous process that is builds managers to understand that managing
performance is continuous process that is built into their job every day. (Cheung A.(HPH-HRD 18-
04-2015))

While there is nothing magical about the period for formal appraisal reviews, in most organizations
they occur either annually or semiannually. Often, a subordinate’s first appraisal may occur at the
end of a probationary period, anywhere from 30 to 90 days after employee’s start date. In high-tech
organizations, the speed of change mandates that a performance period be shorter, perhaps three or
four months. One source has the opinion that conducting reviews only once or twice a year is like
trying to get in shape by working our just once a month; it simply does not work. It is necessary to
link performance communication to the actual work cycle. Discussions of accomplishments can then
keep pace with new goals and priorities. In the current business climate, it may be well for all firms
to consider monitoring performance often. Changes occur so fast that employees need to look at
objectives and their own roles throughout the year to see if changes are in order. Conducting formal
appraisals at predetermined intervals is a good idea if it is not the only time managers and employees

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discuss performance. If managers are not in the habit of coaching their employees regularly, the
formal appraisal can be overwhelming. (Cheung A.(HPH-HRD 18-04-2015))
Some organizations use the employee’s date of hire to determine the rating period. However, the
interest of consistency, it may be advisable to perform evaluations on a calendar basis rather than on
anniversaries. If firms do not conduct all appraisals at the same time, it may be impossible to make
needed comparisons between employees. (Robbins,S.P & Judge, T.A(2013))

5.0 RESPONSIBILITY FOR APPRAISAL


In most organization, the human resource department is responsible for coordinating the design and
implementation of performance appraisal programs. However, it is essential that line managers play a
key role from beginning to end. These individuals usually conduct the appraisals, and they must
directly participate in the program if it is to succeed. Several possibilities exist with regard to the
person who will actually rate the employee. (Robbins,S.P & Judge, T.A(2013))
The appraisal factors reflect the values of the company and they also serve as indicators for the
performance of staff. Appraisal was a regular activity, with a continuous monitoring of performance
by subordinates. Salary review was a separate activity from appraisal. The outcome of appraisal
meetings was not predetermined. Self-appraisal was part of a move towards self-development.
People who are usually responsible for performance appraisal include immediate supervisors,
subordinates, peers, groups, the employee, customers and for the 360 degree feedback evaluation
method, perhaps all of the above. (Robbins,S.P & Judge, T.A(2013))

6.0 PERFORMANCE APPRAISAL PROCESS


At the beginning of the rating cycle for employee must reach an understanding of how the appraisal
process is going to proceed. We should begin by reviewing the position description and determining
which Position Specific Factors will be used to evaluate the employee. Although we need to discuss
this information with the employee, we need to get their input and then make the final decision. We
might want to select the area with the greatest percentage of time assessed to it, or we may want to
select one that is very critical to the success of the employee. In any case, we should select the areas
that we want the employee to concentrate on during the cycle because “what gets measured gets
done.” We also need to determine which of the Job Elements will be rated. (Zhang Y, (2012))
We may want to rate all of the elements or we may decide that up to two of the elements are not
important for this job and leave them out of the evaluation. Again, although we will discuss these
factors with our employee, we must make the final decision. The last thing we will need to do is
determine and document goals for the employee. Once it is clear how the employee will be
evaluated, we should both sign the form and we should give the employee a copy. Formal
performance evaluations are usually prepared at specific intervals. (Zhang Y, (2012))
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Although there is nothing magical about the period for formal appraisal reviews, in most
organizations they occur either annually or semiannually. Even more significant, however, is the
continuous interaction, including coaching and other developmental activities, that continues
throughout the appraisal period. Managers should be conditioned to understand that managing
performance is a continuous process that is built into their job every day. In the current business
climate, it may be well for all firms to consider monitoring performance more often. (Zhang Y,
(2012))

7.0 ASSESSMENT OF EMPLOYEE POTENTIAL


Some organization attempt to assess employee potential as they appraise their job performance.
While past behaviors may be the best predictors of future behaviors, an employee’s past performance
in one job may not accurately indicate future performance in a higher-level or different position.
The best salesperson in the company may not have what it takes to become a successful district sales
manager, where the tasks are distinctly different. Similarly, the best computer programmer may, if
promoted, be a disaster as an information technology (IT) manager. Overemphasizing technical skills
and ignoring other equally important skills is a common error in promoting employees into
management jobs. (Kinley, N., Ben-Hur, S.(2015))
Recognition of this problem has led some firms to separate the appraisal of performance, which
focuses on past behavior, form the assessment of potential, which is future oriented.
Therefore, performance appraisals must be accurately done. Failure to do so would create a
performance appraisal process that emphasizes on the wrong criteria, and in turn inaccurately
appraised employees would be under-rewarded or over-rewarded. (Kinley, N., Ben-Hur, S.(2015))

8.0 DEVELOPMENTS IN INFORMATION TECHNOLOGY


Computers have been playing an increasing role in PA for some time (Sulsky & Keown, 1998). There
are two main aspects to this. The first is in relation to the electronic monitoring of performance,
which affords the ability to record a huge amount of data on multiple dimensions of work
performance (Stanton, 2000). Not only does it facilitate a more continuous and detailed collection of
performance data in some jobs, e.g. call centers, but it has the capacity to do so in a non-obvious,
covert manner. (Kinley, N., Ben-Hur, S.(2015))
The second aspect is in mediating the feedback process, by recording and aggregating performance
ratings and written observations and making the information available on-line; many software
packages are available for this. The use of IT in these ways undoubtedly helps in making the
appraisal process more manageable, especially where multiple rating sources are involved, but it also
raises many questions about appraises' reactions and possible effects on PA outcomes. Mostly, the
evidence so far is positive. (Kinley, N., Ben-Hur, S.(2015))
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9.0 STRENGTH OF PERFORMANCE APPRAISALS
They provide a document of employee performance over a specific period of time. They provide a
structure where a manager can meet and discuss performance with an employee. They allow a
manager the opportunity to provide the employee with feedback about their performance and discuss
how well the employee goals were accomplished. They provide a structured process for an employee
to clarify expectations and discuss issues with their manager. They provide a structure for thinking
through and planning the upcoming year and developing employee goals. They can motivate
employees if supported by a good merit increase and compensation system. It provides a systematic
procedure, describing and placing a value on a job. Job descriptions can be employed in recruitment
and selections. (Cheung A.(HPH-HRD 18-04-2015))
9.1 Contributing ideas for the benefit of the organization
9.2 Having a strong work ethic and a high level of self-motivation
9.3 Displaying loyalty, honesty and integrity
9.4 Offering assistance often
9.5 Going the extra mile at work

10.0 WEAKNESS OF PERFORMANCE APPRAISALS


A potential weakness of traditional performance appraisal methods is that they lack objectivity. In the
rating scales method, for example, commonly used factors such as attitude, appearance, and
personality are difficult to measure. In addition, these factors may have little to do with an
employee’s job performance. Although subjectivity will always exist in appraisal
methods, employee appraisal based primarily on personal characteristics may
place the evaluator and the company in untenable positions with the employee
and equal employment opportunity guidelines. The firm may be hard-pressed to
show that these factors are job-related.( Lotich P, (2014))
If the appraiser not done right, they can create a negative experience. Performance appraisals are
very time consuming and can be overwhelming to managers with many employees. They are based
on human assessment and are subject to rater errors and biases. It can be a waste of time if not done
appropriately. They can create a very stressful environment for everyone involved. Assessment may
be inaccurate and, if the number of grades is small, jobs of a different character may have to be put in
the same grade. (Lotich P, (2014))
These reactions include decreased loyalty, reduced effort, increased absenteeism and a lack of
cooperation. Worst of all the employees may start seeking other jobs. This is something to be avoided
as they may influence other employees to leave as well.

11.0 MAKE PERFORMANCE APPRAISAL LEGALLY GEFENSIVE


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Keeping in mind that it is always the courts that decide, and they decide on the merits of a particular
case, and that this should not be construed as legal advice, what are the characteristics of
performance appraisal systems that are legally defensible? (Bhattacharya S, Subramanian J & Bhopte
B (2012))
11.1 employees are involved in establishing performance standards for their position
11.2 standards used are relevant to the essential elements of the job, and are clearly
documented in writing
11.3 employees are informed of, understand, and sign off on critical job requirements and
expectations before the appraisal
11.4 the system should not be based on comparisons between employees (eg. curve)
11.5 the performance appraisal is done annually and documentation of performance
discussions is done properly
11.6 employees are allowed and encouraged to add their comments and responses any
performance appraisal documentation managers who do performance appraisals must
be provided with training
11.7 employees are informed of any performance problems and issues way in advance of
the formal performance reviews, and given an opportunity to rectify the problems.

12.0 THE PERORMANCE APPRAISAL FORM


There are different type of performance appraisal form depends on organization’s mission and vision.
It also shall be different for the position of employee. For example production worker’s key factor
shall be more focus on productivity and competency of technical skill rather than supervising skills
and other management skills. Key factor for supervisors shall be more on management and planning
skills rather than technical skills. Key factors in manager shall be more focus on vision and strategic
planning and leadership skills. (Cheung A.(HPH-HRD 18-04-2015))
This form not only includes an appraisal of the staff’s past performance. It also focuses on the future
development of the staff with a section on Training and Development. This form is to be signed by
both the appraiser and appraise and to be endorsed by the department managers or above.
Below are the standard factors to be considered to include in standard appraisal form. The following
factors are in the appraisal form.
-Customer Service
-Job Knowledge
-Productivity
-Occupational Safety
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-Attendance
-Cooperation
-Reliability
-Initiative
-Communication
-Presentation
-Innovativeness
-Problem Solving
-Supervisory Skill
-Training & Development of Subordinates
-Work Delegation and Follow Up
-Planning & Organizing Ability (Cheung A.(HPH-HRD 18-04-2015))

13.0 TRAINING AND DEVELOPMET


The training should develop knowledge, skills and attitudes, through various methods of instruction,
demonstration and experience. The main objective is to improve current performance and provide a
suitably trained staff to meet present and future needs. A person’s knowledge and skills have to be
improved and his attitude and behavior modified by training and development. An appraisal system
does not guarantee properly trained and developed employees. However, determining needs is more
precise when appraisal data are available. (Appleby, RC. (2017))

13.1 DEVELOPMENT OF SUBORDINATES


Training and development of subordinates the ability to recognize the weaknesses,
strengths & potentials of subordinates and make adequate provision for their training and
development. Arrange subordinates to attend training programs. An effective training
program can improve efficiency and morale; introduce new technique; provide for
succession, enabling qualified replacement to be available; raise the standard of unskilled
personnel, thus helping overcome labor shortages; develop supervisors and decrease the
amount of supervision needed; lead to a reduction in scrap rates and improve machine
utilization. (Appleby, RC. (2017))
Manager need to improve performance the conduct training sessions to inform employees of the
antecedents, behaviors, and consequences of the program. Identify a time frame and feedback
methods. Managers give employees regular and helpful feedback as they embark on the process of
behavior change. At the time specified, measure the target behaviors again and implement the
program of rewards. The manager needs to work with these underperforming employees to help them
see what they are doing wrong and what they should be doing instead. The poor behavior needs to be

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specifically identified and the employee needs to be redirected to another, more desirable behavior.
(Appleby, RC. (2017))

13.2 POSITIVE REINFORCEMENT


Positive reinforcement involves giving employees something they value, for example
praising them for a job well done. By contrast, negative reinforcement involves taking away
something that employees do not like, such as taking away probationary employment status.
When a manager praises an employee for an excellent presentation, for example, the
employee experiences this as a reward and will put time and attention into future
presentations. However, if the manager appears to be displeased with the presentation and
points out the information that was left out, the employee experiences this as a punishment
and will try to put more effort and information into future presentations. Employees respond
best to positive reinforcement. Rewards strengthen a behavior when employees see a strong
connection between a specific behavior and a certain reward. To get the best results,
managers need to clearly identify good performance in behavioral terms and reward those
employees who engage in these specific behaviors.
Performance appraisal is a method for encouraging employees to behave in ways that are considered
desirable and discouraging them from behaving in ways considered undesirable. It involves the
variation of consequences resulting from a target behavior. (Appleby, RC. (2017))

14.0 MAKE IT A DISCUSSION


Think about what the fundamental message is that we want the employee to take away from the
evaluation. Imagine that we had to sum up our take on the employee’s performance and what we
would like to see happening going forward in just one or two sentences. Being able to distill our core
message like that can help we ensure that it comes across because otherwise it is easy for the most
important takeaway to get lost. For instance, our overall theme might be, “We are doing a good job
on the basics, but we would like to see you doing more to drive the work forward without relying on
Manager,” or “We are operating at an outstanding level keep it up”. (Rockey E, Dr.Vidovic M &
Dr.Farndale E (2015))

15.0 COUNTER PRODUCTIVITY


These behaviors include stealing, damaging company property, behaving aggressively toward co-
workers, and taking avoidable absences. Most managers believe good performance means doing well
on the first two dimensions and avoiding the third. A person who does core job tasks very well but is
rude and aggressive toward co-workers is not going to be considered a good employee in most
organizations, and even the most pleasant and upbeat worker who can’t do the main job tasks well is
not going to be a good employee. (Rockey E, Dr.Vidovic M & Dr.Farndale E (2015))
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Managers do not like giving them and employees do not like receiving them. In fact, in one survey,
almost 80 percent of workers stated dissatisfaction. If this is so, why not just eliminate it? Actually,
some managers might do just that if they did not need to provide feedback, encourage performance
improvement, make valid decisions, justify terminations, identify training and development needs,
and defend personnel decisions. Performance appraisal serves many purposes, and improved results
and efficiency are increasingly critical in today’s globally competitive marketplace. Therefore,
abandoning the only program with performance in its name and employees as its focus would seem
to be an ill-advised over reaction. On top of these considerations, managers must be concerned about
legal ramifications. Developing an effective performance appraisal system has been and will
continue to be a high priority for management. (Rockey E, Dr.Vidovic M & Dr.Farndale E (2015))

16.0 RATING
At the beginning of the rating cycle employee must reach an understanding of how the appraisal
process is going to proceed. We should begin by reviewing the position description and determining
which Position Specific Factors will be used to evaluate the employee. Although you need to discuss
this information with the employee, you need to get their input and then make the final decision. We
might want to select the area with the greatest percentage of time assessed to it, or we may want to
select one that is very critical to the success of the employee. In any case, we should select the areas
that we want the employee to concentrate on during the cycle because “what gets measured gets
done.” (Robbins, S.P & Judge, T.A (2013)).
We also need to determine which of the Job Elements will be rated. We may want to rate all of the
elements or we may decide that up to two of the elements are not important for this job and leave
them out of the evaluation. Again, although we will discuss these factors with our employee, we
must make the final decision. We will need to do is determine and document goals for the employee.
Organizations find it useful to summarize employee performance. This helps with comparing
performance over time or across a set of employees. Organizations need to know who their best
performers are within the context of formal performance appraisal requirements, rating means eval-
uating employee or group performance against the elements and standards in an employee’s
performance plan and assigning a summary rating of record. The rating of record is assigned
according to procedures included in the organization’s appraisal program. It is based on work
performed during an entire appraisal period. The rating of record has a bearing on various other
personnel actions, such as granting within-grade pay increases and determining additional retention
service credit in a reduction in force. (Robbins, S.P & Judge, T.A (2013)).
The performance appraisal consists of ratings or comments for key criteria of behavior and
performance. For example, an employee might be rated on general qualities such as customer
services, job knowledge, productivity, attendance, cooperation, reliability, initiative, communication,
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presentation, problem solving, training and development of subordinates, work delegation and follow
up. (Robbins, S.P & Judge, T.A (2013)).

17.0 INTERNATIONAL VARIATIONS IN PERFORMANCE APPRAISAL


Let’s examine performance evaluation globally in the context of four cultural dimensions:
individualism/collectivism, a person’s relationship to the environment, time orientation, and focus of
responsibility. Individual-oriented cultures such as the United States emphasize formal performance
evaluation systems more than informal systems. (Robbins, S.P & Judge, T.A (2013)).
They advocate written evaluations performed at regular intervals, the results of which managers
share with employees and use in the determination of rewards. On the other hand, the collectivist
cultures that dominate Asia and much of Latin America are characterized by more informal systems
downplaying formal feedback and disconnecting reward allocations from performance ratings. Some
of these differences may be narrowing, however. In Korea, Singapore, and even Japan, the use of
performance evaluation has increased dramatically in the past decade, though not always smoothly or
without controversy. (Ahmad, S.S., Zakaria, A & Zani, R.M (2014)).
One survey of Korean employees revealed that a majority questioned the validity of their
performance evaluation results. One recent study focused on the banking industry found significant
differences across countries in performance appraisal practices. Formal performance appraisals were
used more frequently in countries that were high in assertiveness, high in uncertainty avoidance, and
low in-group collectivism. (Appleby, RC. (2017)).
In other words, assertive countries that see performance as an individual responsibility, and that
desire certainty about where people stand, were more likely to use formal performance appraisals.
On the other hand, in high uncertainty avoidance cultures performance appraisals were also used
more frequently for communication and development purposes (as opposed to being used for
rewards and promotion). Another study found that individuals who were high in power distance and
high in collectivism tend to give more lenient performance appraisals. (Appleby, RC. (2017)).
17.1 360 DEGREE FEEDBACK

As organizations become more flatten, introducing more perspectives may provide richer
feedback to employees in question. Organizations using supervisors, peers, subordinates,
and sometimes even customers are using 360-degree feedback. In this system, feedback is
gathered from all these sources, and shared with the employee for developmental purposes.
It is important to note that 360-degree appraisals are not often used in determining pay or
promotion decisions and instead are treated as feedback tools. Using 360-degree feedback in
reward decisions may be problematic, because individuals may avoid giving objective
feedback if it means causing a peer to lose a bonus. Since not all feedback will necessarily be

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positive, if competition or jealousy exists among peers, some feedback may be retaliatory and
too negative. Keeping these problems in mind, organizations may benefit from using only
supervisor ratings in reward decisions and using feedback from other sources for
developmental purposes. (Mondy, R.W & Noe, R.M (2006)).
Performance appraisals involve observing and measuring an employee’s performance during
an appraisal period, recording these observations, communicating results to the employee,
and recognizing high performance while devising ways of improving deficiencies. Most
appraisals are conducted by the supervisor, but there are many advantages to using 360-
degree appraisals. Appraisals that are more effective give employees adequate notice, fair
hearing, and judgment based on evidence. Some companies use relative rankings in which
employees are compared to each other, but this system is not suitable to all companies.
Performance appraisal meeting should be planned and executed carefully, with the supervisor
demonstrating empathy and supportiveness. There are intentional and unintentional biases
inherent in appraisals and being aware of them, increasing rater accountability, and training
managers may be useful in dealing with some of their employee. (Appleby, RC. (2017)).

18.0 CONCLUSIONS
In conclusion, systematic and effective approach of appraisal can lead to steering control for
company mission and vision. From the all the above mentioned before to make effective appraisal it
may need to understand goal and procedure of appraisal. By doing appraisal People can get better
understand understanding of their jobs. Managers are appointed with their experience and ability.
People are encouraged to develop themselves and take higher qualifications, and some like the
opportunity to discuss their problems in performing their jobs with superiors. Constructive attitudes
by superior, and the outcome not predetermined. Participation in discussion and decision of the
subordinate should be of a high level. Employees are mutual approach to solving problems. Salary
review must be separated. During the performance appraisal, manager might ask employee if their
current duties and roles are effective in achieving their goals. (Cheung A.(HPH-HRD 18-04-2015))
It is important for a company to plan, manage and reward the performance. In doing so, company
productivity would be developed and profit would be increased as well through supervising the
whole process of performance management such as buildings objectives, checking feedback and
evaluating performance. Organization needs to figure out strategies for identifying, encouraging,
measuring, evaluating, improving and rewarding employees’ performance at work.
Therefore, performance appraisals need to be held transparently where employees are aware of the
process and areas in which he or she will be evaluated. (Cheung A.(HPH-HRD 18-04-2015))

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