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eee ‘Thakur’s MBA Second Semester (Human Resource Management) {yy ee 100 2) Poor Appraisal Forms: Various factors related to appraisal forms affect the entire appraisal process like i) Ambiguous rating scale. ii) Vital dimensions of job performance may be ignored by rating form. iii) Various irrelevant performance dimensions are involved in rating forms. iv) Forms may be lengthy and complicated. F possible that raters may not be properly skilled to execute performance comes a great barrier for a rater having inadequate specialisation in g ies of a ratee, The raters may not have plenty time to execute old @ proper review session. At times, the raters may not be to bad self-image and poor self-confidence. Appraisers may 3) Lack of Rater Awareness: It is management exercises. Then it be particular area, to assess the technical capabil the appraisals in an organised manner and to hi skilled enough to perform the assessments due also get puzzled due to ambiguous objectives of appraisals. Raters get demotivated if they do not get correct 4) Ineffective Organisational Policies and Practices: appreciation for their evaluation. Often, low ratings assigned by raters are taken by management as « negative sign of malfunction on the part of rater or a signal of employee dissatisfaction. Thus, most of the employees obtain good ratings, inspite of their poor performance. Generally, the rater’s immediate senior must appreciate the ratings. However, practically, it does not occur. Consequently, the rater becomes upset and produces extensive harm to the rating process. 5) Inflationary Pressures: It is a particular case of low discriminatior decisions. These pressures are regular in occurreiice. Due to the growing importance of equality and fear of revenge from unhappy employees, who did not received good Teviews, the appraisal process has Become quite firm and Tenient. Harmful consequences from appraisal process can be minimised by usual inflating or modifying appraisals, Thus, inflating the assessments has created a tough situation for the organisations to defend their own actions while discharging an employee. 2. 360-DEGREE PERFORMANCE APPRAISAL ion in the upper limit of the rating principles obvious characteristic ofthe empha nee SeeUrS tritmess or Lenieney: Several magn Perms oar erase rates eT camino ‘wil put all hein Central Tendency Binge oar st torts to match yp wth the ating boing given to hem ens cod be pero MEE asa came by gig. vege. ing 0a si behind TRE Te Beh al tn averse tim ned of vl vari ates tw ens eee ee errata Sivialsylens want the meee os fhe {hey asign to high oetee een nt the manages f mention additional ears ings to employes. 4s the manager has taken into account only a sing igements should be carefully examined asa single employee, cee) Bit Rese ation bmn , foesg, et Soot sche nde napa he owl perma. Gol perl castor neon Fo ounten nal ees some nl ini fc et ow ees preter rat Sota spit Ee hi bdo he oat or cee pertussis pvr peformanc, Tiss eee ef ug mans end fi performance throughout the ey a y He revo th etn coy crc bee ee a Sterentping: Stretning tte t9making 9 seen nage roaring he characteris (hich i scaly rom) ofall membros Rnper ses ye ce Sos ny Mahesh i a itor a nee sent hs manger sr is peteance a compe veh’ arpass be feds at fn The nae Kreis portman sep ans nr ee viata et Consett su alain ihe ately dies ih oc owes) il oversiate the dfferenc. For example man anew when iis are huge mbes of oh applications, distortion in the evaluation of any candidate may occur on the basis of the place of his ‘lesion i bs plnonWpaessere ave weak adits any ene rp be Ri esee alpacas ary is osr nnn mcciame aetriine as Ree eee PR ea Ucn aac eee see eon eet isd setaoned pa sis ana can ts sopra tod lenin Gans ree eet ee ered eee eet Sg atl Bester rare ppm in) Tsp nimeieainicamin cas Od RL cl, ? tania cy pices so o is oolioc sca pols tings a rept of shin nha ming a a rn CS ee eis Ure runce voles ta weno ME cnc or aes vines eqs peal is that believe that young workers are more efficient than aged lower ating fo older worker as comperedto young worker Rete isspertrmmce rang afecing te ple Repeat sr eer her ratings to those employees whom hey Fon, For sample, tose caployees whose Bee ples performance ting as compared wo those ur of people according to esol fats isa manager heving both god and average is own adh oan lanes the of Performance Appraisal vii ofreromance appa ae OMS 1) Performance Enhancement: Perfomance april els organisation 1 nee wep ilrecogonen depen exes 2) Compensation Adjustment: Peromance apa is generally ike wan covplayees are evar to stimulate them for beter performance. On te provided with lesser pay due fo poor performance rerformance appraisal facilitates every employee and inating Informational Inacouraci expectations, Wih the help of With a-chanes to exchange information, ideas, necessities, views and exp. hoya rar gh ibang between. the mang andthe amps, an be cv ints tres the relation betwen the emplayees andthe manager and 05 i tion 40 enhance ts » rs the organisational gals and vision. " sont Macement Deshi: eterna apa i ul devise, which hls king in {fsisions related to employee placements lke transfer, demotion, promotion, pies tiara ence, iis considered asthe most ecient device fr taking decisions related to employee plccnn » Satoeeaanaing and. Development Petraes appl ffs aeewate infrmatin whe rerformance and capabilites of presen employees. This information helps In determining thee Panning and developmental needs © [dentfying Deficiencies in Staffing Proce Perfomance apprasil helps in evaluating the corre Ping decisions because it plays a major olin recognising employee's recent performance snd capa fe fatre development. Iasi in placing the right pereon forthe right job. Organisations con da, {Seardig relocation and separation ofemplayees who have been unfairly hie This functions canbe removed 7) Meatiping Training and Development Needs: Ineffective performance represents the retaining Snilay,efectve performance may india the hidden potential’ chanced. Organisations should review th ning and development needs iely, 8) Dlzznowe Job Design Errors: Its possible hat crain errs in job design may led to poor prt ‘The rors can be easily identified through perfomance appracel 9%) Hentitying Factors Affecting Performance: Performance ofan employee i affected by bot es, heath related mater, work sun d {xterial factors ofan organisation such as family matt ecognise these factors, human resource department ma performance appraisal fils to offering such suppor. 10) Kasaring- Equal Employment Opportunity: Proper perfomance appraisal ensures fair enc placeient of every employee in an organisation ion cAiitations and Constraints of Performance Appraisal Limitations and constraints of performance appraisal areas follows 1) Satins Exoms-Posive or negative deviations in ratings of performance appraisal which aff 2 : ed 110% methods of petformanee etd Methods {ls for achievement ang PP*sal fyereS Of Appraisal wi “define sang ras or gas Performance, These methods eral ESS and long-term performance vseiqaviourally Anchored Reagan's “PPA ae as ) Mite. The rating points in qye® Seales DAR ARS: Ban rious. They tre ting BARS are often known as behavioural expetal eY BE termed ag paje, He A esablshed by satanens ore oe ee vioural statements, ranging « O°!sVioural aes, ang rom wary tered bchse sls tow tae of ave FE ne tee pnae eA erm oi a wich aw eas ent by Objectives cm ee 3 ideal sprisl mainstage) Concept of do sepia method which gaCOME of MBO was fe given by Peer. Dracer isan (asaotrr a IBY Fouls. te mal aed Ul ater han behaviours atv. subordinates” ghent. als to improve the perormance of erga by lnking ie abut thls objectives, ages wet Employers oe provided wih varios pe odr‘o get Seatin an dnc rere Galan fr ong eho MB ser ar includes collective goat anes MOS pal. Str ent Whe ‘bot he tap id born be gir en eee trates foal arian Baa ORG eee eee Sec eer ely arenes eee ee Moines ate Concemed, fen giving feedback tout performance, bth the supers thd ‘Stomig thir dts, 40 lscss pon the sues and bas, ch took place fn psychological Appraisals: Big or a ra meats Dic oe soe pce Te mpl aly ee ea cae ae isations generally hte fulltime industrial psychologists. When they evaluate a person's future capability instead of their past includes psychologeal tess, in-depth interviews, conversation sith sessment. Afterwards, te psychologists complete the analysis ofthe ational and other job-related characters that determines individual the future perfomance of th employe. 4) Homan Resource Accounting: This method adds yp some monetary value tothe workfore of an aranstion. Tis process includes the assessment of goodwill value ofan organisation. I canbe enhanced ty establishing a system in order to carry out regular assessment of particular variables, These variables ae Gegurised in two forms i, key variables and intervening variables, Key variable are te sategi, ules sad regilations of an organisation, including its leadership polices, abilities and behaviour ofan employee, ce, Intervening variables include commitments, attitudes, encouragements, interpersonal relations, cemmusication and decision-making. This method isnot a welk-known msthd of performance asessment. Nevertheless, this method is mostly used for analysing the group performance, instead of individual perfomance §) S6-Degree Performance Apprais is used to evaluate the performance of employees and managers individuals who work alongwith them. It can be taken as an fon ora group extracted from a number of chance to review the manager, which is not ive and realistic method, which is free from 1d for the assessment of managerial or may appear jointly to contribute in job- isto assess managers periodically, say one ‘of their actions across a cycle of chosen in workgroups (without leaders), in-basket lel activities which require the same ‘work, Once recording of observations is take final decisions on the basis of these — A) AR pepe me cram a en seal rine a etl mse 1s standaeds eee easiest meshod of perl Straight Ranking Method: This i the most adtional and cases me? fears this method. It involves le 1 A naving fewer employees. Du ally central tendency aid hu nd, every employee is provided with ra heir overall performance, Simplicity is the key quality of assignment, this method encounters various appraisal fires, spe Soown a mantoman apa sl mao which te emponee sho inp with another on ie is counted on paper. The appraiser must set a standard as a basis for appraising Critical Incident Method: ‘This method focuses on diagnosing those particular happeni 5 (or 9 icumstnces) in which the employee tus performed rely go0d or those which necis Tuy Eahancement tis method aking fo naraton of happenings fut des 0 Delove Tn rovidng rao ‘tings Iissometinesconbined with sng pe syem™ 5) Group Appraisil Method: Ii usually seen that some appraisers use very high level of standards tporaing hr subordinates Honeer isnt nccuan seve theo perch High ston a is pneraly sen that where the aprasr hielo exellent he antepates is subordinates ss ty A the same level To overcome tis oblem,« group apprisal method is develope. This meine Considers the performance evaluation by group of people holding information att the jos Performance standards. The appraiser provides the requste awareness regarding his sibonivates the group members. Then, the group converses about te performance Sandeds of the eon ie actual performance ofthe subordees 6) Checklist Method: Under this method, rater doesnot assess performance of the employee, Rather he Prepares a report about his performance and final scores are given by HR department. A chain of questions ate given pertaining to the employee's actions. For the purpose of pointing out whether the once tog uestion regarding an employee is assertive orn, the rater examines it Its posible tat some questions inay be given more or equal weightage, Nomally, the questions are framed ina yes/no’ syle 7) Forced Choice Method: This method has an objective of rectifying the biasness ofthe rater to asi constantly high or low ratings to every employee, I ules some sets of combined pases or sleewones where two can be positive and two can be negative. The rater is requested to point ut the most ned en ‘narrative four phrases of a certain employee. In fact, the phrases ace prepared in such s marae thal dhe van Shel Simply evaluate as to which phrase is applicable tothe most efficent employee, Commonly uss phrases art }) Grasprapidly Works sincerely. ii) Dependable performance — Satsfctory performance, i) Generally ate ~ Usually slow at work. 4) Forced Distribution Method (Forced Ranking Method): Leniency is one of the major errors fang deo to which many employees are given high ting! This method aioa te moe ne protien Ey persuading the rater to evenly distribute the rates on the rating scale Tals cated rele ov he stuumption that level of employee performance validates to'a nemsal sintiewion force © bell, shaped curve, ihr from the commercial office ote HR deputnent.Extcnal een ‘employee's past errr aes minbrew ol theperrod un hs Fupcilot THitmed.od neaiiset ake deciatos regarding promotions at the executive level. ed 1 Be mie, employers 2 Ite denen a rgd ete) ozo seteious tha co si some behaviour. ec clam naa raat to Biases “PSY” ye” Ano Fer mle, one legchon nay ke oe tered SPOS, An pate Een ys uc a ea et iy rs Peformance of ge aM ones Oa tenes Se set i slr reaninonal go aaron. OF coun, Ite agen Hera ean Me consistent i ee” Mh served anne ait-Based: Result eres ives deemed to ertical to pase on-how ave accomplished « specific set, sae ch ot th enpanee 9 conan Far a eee 8 ican tr wgmatn ar iene ess pete Ste oes ees ‘vidual employee. Equipment break-donne ait to ne ee ee Results measures are therefore contaminated ‘by these extemal factors. Another probl Sedans me fra em ees ene si ele one a oe leamed to hang-up on customers calling to cancel orders or arrange returns because these cot ss Obviously, such a practice was not what the organisation intended and would hurt fee is that resul 4,7. Methods of Performance Appraisal Soe echniqus/methods of performance appraisal have been established o achieve te organisations gals Orpsistional culture, its objectives, size, products, technology, et, fects the sslestion cf methods fo be te Netods that are mostly used in organisation are follow Moderture called ‘linear or simple rating scale for effective performance like saphic rating scale includes exci thy information, Wi rs wil st he numberof inpt sources and prospets of collecting trustworthy information, Wha is cing measure! is more difficult to evaluate as compared to how it is being ng wrong rier may result in severe outcomes. What isto be measured indicates, what people ovder to excel in the organisation. sunrise crtrmance with Standards: Nec tp involves comparison of ih a ai ation of fluctuations between the standard performance and th 4) Compare Actu performance. This step includes identi scual performance in order o proceed further ; ' discusses the aporaisal with Discuss the Appraisal with the Employee: During this phase, the appra i arash th employee. For managers, the mot dif job so provide precise appraisal hc sion. review of performance appraisal aflees employee's self-esteem and mest importantly bis performance Obviously, proving postive feedback is comparalively easier for both the apraser and the emplos ‘han providing negative Feedback. The appraisal may have both positive and negative outcome: ©) WNecessary, Take Corrective Actions: The lst phase of appraisal process involves taking remodel actions wherever needed. These actions could be immediate or baie, Immediate actions deal mosty with the symptoms. These actions ate frequently regarded as ‘putting out fires’ as they deal wit urgent problems. They rectify the problems immediately and smoothens the flow of work. On the other hand, basic actions deal with causes of problem. These actions cover the reasons of fluctuation and also aim at controling the differences permanently. They diagnose how and why the performance is Nuctusted. In some cases, appraisers may give reason that duc to shortage of time they did not take basic remedial actions. Hence, appraisers feel satisfied in putting out fires. Efficient managers know {hat spending a litle time in evaluating the problem today, may save their time in solving the proble 4.1.6. Criteria for Performance Appraisal ‘There are thre basic criteria for performance appraisal, which are as follows: 1). Teait-Based: Teat-based approach is used to assess the personality or personal characteristics (tats) of employees, such as thei ability to make decision, loyalty to the company, communication skills, or level of iiative, Ths type of assessment asks a lt about what a person is but relatively litle about what he or She actually does and, as such, concems “who” perfomis the job. Although tait-based assessments are easy to construct, the disadvantages of focusing on traits are significant Tiait-based approaches. have-questionabe validity, Traits assessed in this type of approach often do not ‘elate well to how employees really behave on the job because job behaviour is strongly influenced by situational and environmental factor. An employes wa is uially Bosterous and aggresive wih co ‘workers may act ina restrained, considerate manner when dealing with clients. Because the link betwen personal tits and actal job behaviour is weak, taicbased systems are potentially more susceptible to charges of unfsimess by minorities, women, and other protected groups. Trait-based systems are not a, likly tobe accepted by the cours. A further problem is thatthe inter-rater reliability of trait-based ratings is often low. The traits are difficult to define accurately and the different frames of reference used by diferent raters make agreement arrong tater unlikely. A final disadvantage i that trait based assessments are not helpful for providing feedbsck mployees. For example, telling an employee that he or she is too shy is not very useful. The inforsaten dls not indicate how the employee can be less shy. Also, the basic personality traits of individeals ne relatively wel-fixed by the time they ae hired by an organisation and are very difficult to alter 2) Behaviour-Based: Assessment can consider the behaviour of employees rather thant ei personal trait shit measres ar appropiate whe he poe sed accomplish the jis ves nena a ths alo neni ae ued a engi ow abe done Fer example salar hull eee ‘customers as they ent st ielp them to find what lookin, he ent promptly, and thank them for their business. Me ae as eaves pomp 1" is possible that a salesperson who did not greet or asst customers might compl ‘ lomers might complete sales, but th individual would not be representing the store inthe Way managers prckene Ase assessment would note the salespersons failure to follow the preferred process, Sound Uehaviowr-bassé asoce Appraisal (Un a 7 », supporting Manpower. Planning: Well-groor 8) Stfe that they have the ream see Soames erznisaons fequeily exter sense They so ned to feat he departments hing eel cmos na Fedomance spiel roves Sasa employes ‘ ee ee Stet tt ey we peering Trsaing aad Dea raining. Trail lopment Needs: With the help of dita obtained from peormanc ays ning and development expe cn str eid he ens whom ofan Sos ’ 0 Validating Hiring Decisions: Once the performance of newly selected employees is enlute, nly then 1 snorgansstion can determine that whethr ort hey have selected Werigivcenlida 1 Proving Legal Defeasbility for Personnel Deis {eminallor, denial ofa promotion or tansferoancer orthese decisions are challenged, More os every personal dean hts parma = pvene by ll nto 5) the organ cold aso be halen, Tern run mit Be capable of justifying tht the decison taken wer nt eqbhed os soy ronal nee yee feted aspect. A strong record of performance appraisal deeply att ee seta ig gs PSmplaint about biasness is made.

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