HUMAN RESOURCE

MANAGEMENT

HRM101
 Topic
Training and Development
Career Development
Performance Management system
Performance Appraisal Process
Performance Appraisal and Its challenges
Legal Issues associated with Performance Appraisal
Learning Outcome
• Students will understand performance appraisal process and its
challenges
• Students will understand Legal Issues associated with Performance
Appraisal
 Pedagogy
• News
• Article
• Video
• MCQ
• Activity
• Content
Models of Career Management

– Three models of career management are distinguished:

• Supported self-development: employees take primary
responsibility for their own career
• Corporate career management: organization driven, for senior
managers or high potential employees
• Career partnership: both individual and organization equal
responsible for carrer , best model

5
Challenges of Career Development
)

– Laissez-faire attitude of the management

– The assumption that job rotation or an overseas assignment is
itself a developmental experience
– Making promotions or lateral moves that stretch the person to the
point of breaking
– Moving the high potential individual from one role to another
too quickly
– Some individuals are too ambitious, impatient and greedy
 Activity
Class Discussion
News
Article
Black Friday for workers as Nokia shuts Chennai factory
Workers fret over future, over 30,000 people affected

•  For the around 30,000 workers, 31 October will forever be Black Friday as
Nokia officially shutdowns its plant in the state, nine years after it entered
India.
•  Joined the plant for its brand value, hoping that it will provide a secure life.
"Today we are left with nothing, no education, no job, no income and no
respect in the family
• http://www.business-standard.com/article/companies/black-friday-for-workers-
as-nokia-shuts-chennai-factory-114103100284_1.html
Activity
Design Strategic HR plan(career development) to help the existing
employees
 Few facts

• The eligibility criteria for joining the plant was 60% at the Higher Secondary
level and a transfer certificate
• Employees from a poor background and a majority are from rural areas,”
• Few of the employees shown interest for higher education
• state government did not come to the rescue of the factory, blaming the Centre
for its closure.
• Nor did the Central government despite several petitions from the workers.
Roles performed for Career Development
• Organisation: provide systems and structures at all levels, Strategy,
provides valuable information for career opportunities.
• Manager: support, guidance, encourage, design assignments, develop
risk-taking. 
• HR Manager: Design policies to support career development, align
with the vision of the organization, serve as strategic partners.
Roles performed for Career Development
• Employee: take active interest, know themselves, identify their own
knowledge, skills, abilities, interests and value, Seek information
about career options. Establish career goals. 
Performance Appraisal

It is an objective assessment of an individual’s

performance against well defined benchmarks.
Helps identify employees with potential ,reward
performance equitably
News: From Enterprise Times
Hybrid performance management is working

• Hybrid performance management is working

• In total, 104 organizations were contacted during the
research from US, Europe and South Africa.
• It found that 56% of companies, using a hybrid performance
management approach, scored above 65% on employee
engagement levels.
• In contrast 44% of companies using a more traditional
performance management process involving one or two
mandatory conversations every year alongside yearly
appraisals and a mid-year review scored low.
• https://www.enterprisetimes.co.uk/2020/01/30/hybrid-per
formance-management-is-working/
Hybrid performance
• This is a mixed method of combining the continuous
appraisal and conversations combined with goals.
• In 2016 Deloitte, have adopted the hybrid approach
• employees to give instant feedback using tools
• those using it for a hybrid performance model get
better results
 Global Performance Appraisal Software Market to Take on Robust
Growth by the End 2028

• Global Performance Appraisal Software Market to Take on Robust

Growth by the End 2028
• https://technews.mobi/all-news/2020/02/11/global-performance-ap
praisal-software-market-to-take-on-robust-growth-by-the-end-2028/
 Performance Appraisal – Nature
• Meaning : understood as the assessment of an Individual
performance in a systematic way , Performance being measured
against following factors:
• Such factors as
• Student need to answer
 Performance Appraisal – Nature
• Meaning : understood as the assessment of an Individual
performance in a systematic way , Performance being measured
against following factors:
• Such factors as
Job Knowledge
Quality and Quantity of output
Initiative
Leadership abilities
Supervision
Dependability
Co-operation
Judgment
Versatility (usefulness/ adaptability )
Health
Nature of Performance Appraisal
• Performance Appraisal is an objective assessment of an
individual’s performance against well defined benchmarks

Relationship of Performance Appraisal and Job Analysis

Paradigm Shift in Performance Management Outlook 21

Video
Video
Honk if You Love Performance Appraisals
• https://www.youtube.com/watch?v=m25LrJAH1D8
• 3 Minutes

• From evaluation to inspiration: Scott Barry Kaufman

• https://www.youtube.com/watch?v=HQ6fW_GDEpA
• 9 Minutes
Objectives of Performance Appraisal

To effect promotions based on competence and performance

To confirm the services of probationary employees upon their
completing the probationary period satisfactorily
To assess the training and development needs of employees
To decide upon a pay raise where (as in the unorganised sector)
regular pay scales have not been fixed
To let the employees know where they stand in so far as their
performance is concerned
To improve communication
Can be used to determine whether HR programmes such as
selection, training, and transfers have been effective or not
Performance Appraisal and Competitive advantage: firm strength

Source: Cynthia D. Fisher, et. al., Human Resource

Management, Houghton Mifflin, 1997, p. 455
Multiple Purposes of Performance Assessment

25
Performance Appraisal and Competitive advantage: help
firms in following ways by improving performance

How Performance Appraisal Can Contribute to Firm’s Competitive Advantage

26
Principles of PM

Corporate goals are translated into individual, team, departmental

and divisional goals
It should not be linked with only financial rewards
Performance improvement is an ongoing process and improves
over time
Consensus and co-operation needed, not control and coercion
Transparency is needed at every stage
Continuous feedback is essential
It should cover all employees
It is a system and not a piece of work
Make it simple and easy
Involvement of all stakeholders in designing formats, policies and
procedures is needed 27
 PMS( Performance Management System)

• Performance management is an objective assessment of an

individuals performance against well defined benchmarks
• Performance management refers to the entire process of appraising
performances, giving feedback to the employees and offering rewards
or punishments to them
Activity
• What should you keep in the mind for effective “Performance
Appraisal” in a bank
Performance appraisal process in Banking sector

• Banking sector is a fast growing sector of India

• Allahabad Bank has introduced a system that aims in helping officers to
identify their strengths and weaknesses and encourage improvement of
performance on the job
• Indian Overseas Bank has a system in which a branch manager gives a self-
appraisal on business growth, customer service, internal administration and
training requirements
• Union Bank of India has an appraisal system in which the reporting officer is
required to assess each of his appraise officers on technical skills, human
skills and conceptual skills

• https://
iul.ac.in/DepartmentalData/Management/JP/IRJM_Paper5_dec2012.pdf
Followings should keep in the mind for
effective “Performance Appraisal” in a bank
• During effective Performance appraisal in banking sectors following
steps should kept in the mind:
• 1. Select what performance data to collect
• 2. Determine who conducts the appraisal
• 3. Decide on a rating philosophy
• 4. Overcome rating deficiencies
• 5. Create a rating instrument
• 6. Deliver useful information to employees