Any procedure that involves:
1. Setting work standards
2. Assessing the employee’s actual performance
Relative to those standards:
3. Providing feedback to the employee with the aim of motivating him or her to eliminate performance deficiencies or to contribute and continue to perform above par
Why Assess/Appraise Performance?
1. To provide feedback about strengths and weaknesses
2. To distinguish between individuals in allocating rewards
3. To evaluate and profile the quality of employees
4. To create a paper trail in documenting the reason for certain decisions
What Performance to Asses/Appraise?
1. Skills/Abilities/Needs/Traits
a. Job knowledge
b. Strength
c. Eye-hand coordination
d. Business Knowledge
e. Desire to achieve
f. Leadership
g. Social needs
h. Dependability
i. Loyalty
j. Honesty
k. Creativity
2. Behavior
a. Performance of task
b. Obey instructions
c. Report problems
d. Maintain equipment
e. Maintain records
f. Follow rules
g. Attend regularly
h. Submit suggestions
i. Smoking abstinence
j. Drugs abstinence
3. Results
a. Sales
b. Production levels
c. Production quality
d. Wastage
e. Accidents
f. Equipment repairs
g. Customers served
h. Customer satisfaction
Who should assess/appraise performance?
1. Immediate supervisor or manager
2. Higher-level managers
3. Independent outside observers (more objective)
4. Peers
5. Customers
6. Subordinates
Performance Management
An integrated process that unites goal setting, performance appraisal and development into a single system, common system whose aim is to ensure that the employee’s performance is supporting the company’s strategic aims
Building blocks of an effective performance management process:
Decision Sharing
Means communicating the organization higher level goals through the organization and then translating these into doable departmental goals
Role Clarification
Means clarifying each employee’s role in terms of