Performance

Management

and

Appraisal
Learning

Objectives:

1. Define Performance Management

2. Define Performance Appraisal
3. Differentiate Performance Management and
Performance Appraisal
4. Know the Performance Appraisal Process
5. Enumerate 6 Performance Appraisal Method
" To win the

marketplace you

must first win the

workplace. "
Douglas Conant
PERFORMANCE MANAGEMENT
Performance Management

is the continuous communication and

FEEDBACK between a manager and
employee towards the achievement of
organizational objectives.
 organizational and

employee goal

P LA N N IN G setting.

give recognition and

reward good G
IN
performance
D PERFORMANCE establish process

G
R
MANAGEMENT
that determine

N
A

IR
W progress
E CYCLE

O
R

T
IN
O
M
evaluate process

and the

final result
DEVELOPING
PERFORMANCE

APPRAISAL
PERFORMANCE APPRAISAL

is the PERIODIC ASSESSMENT of

an employee's job performance
as measurement by the
competency expectations set
out by the organization.
PURPOSES:

1. Help the organization to

determine the value and
productivity that employees
contribute.
2. Helps the employee to develop in
their own roles.
 Performance Appraisal

Process

Establish performance Communicate standards Measure actual

standards and expectations performance

Implement personnel Identify gaps on

Compare actual

action (Rewarding) employee performance

and standard
Performance Management vs

Performance Appraisal

MANAGEMENT APPRAISAL
"help" employee to develop and evaluates actual performance
increase performance and
productivity
keeps in mind present and future immediate past
Strategic Operational
Dynamic Linear
Future Oriented Retrospective
Continuous ongoing process Once/Twice a year
Qualitative Quantitative
Flexible Rigid
 mance Appr
rfo ais
Pe al M
rn et
e h
d o
o d
M s
6
Modern Performance

Appraisal Methods

01
MANAGEMENT BY 02
360-DEGREE 03
ASSESSMENT
OBJECTIVES (MBO) FEEDBACK CENTRE METHOD

04
BEHAVIORALLY 05
PSYCHOLOGICAL 06
HUMAN RESOURCE
ANCHORED APPRAISALS (COST)
RATING SCALE ACCOUNTING
(BARS) METHOD
 Management By Objectives

(MBO)

MANAGER
Feedback Loop

and PLAN MONITOR REVIEW

EMPLOYEE
 360-Degree Feedback

COMPONENTS "MULTIDIMENSIONAL"
1. Self-appraisals Managers
2. Managerial Reviews Peers
3. Peer Reviews Customers
4. Subordinate Appraising Direct Reports
Manager (SAM)
5. Customer or Client Reviews
Assessment Centre Method

enables employees to get a clear picture of how

others observe them and the impact it has on their
performance.

INCLUDES:
Intelligence Test
Psychological Test
Role Playing
Behaviorally Anchored

Rating Scale (BARS)

compares employee
performance with
specific behavioral STEPS IN BARS CREATION:
examples that are 1. Generate critical
anchored to incidents
numerical ratings. 2. Edit critical incidents into
STATEMENTS = YARDSTICKS common format and
remove redundancy
Psychological Appraisals

determines hidden
potentials of employees.

USED TO ANALYZE:
1. Interpersonal Skills
2. Cognitive Skills
3. Intellectual Skills
4. Leadership Skills
5. Personality Traits
6. Emotional Quotient
7. Other Related Skills
Human-Resource (Cost)

Accounting Method

analyses an employee's performance through the

monetary benefits he/she yield to the company.

IMPLEMENTATION:
Identify gap between
market and current
package of an employee.
Determine monetary and
non-monetary value that
the employee brings.
List down the
achievements of the
employee.
Thank you!
Resources:

https://courses.lumenlearning.com/wmopen-
humanresourcesmgmt/chapter/steps-in-the-appraisal-process/

https://www.whatishumanresource.com/performance-appraisal-process

https://www.sagepub.com/sites/default/files/upm-binaries/45674_8.pdf

https://www.toolbox.com/hr/performance-management/articles/what-is-
performance-management/

https://www.personio.com/hr-lexicon/performance-management-cycles/

https://www.valamis.com/hub/performance-management-cycle