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Performance Appraisal

Performance Appraisal

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Published by Santhosh Soma

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Published by: Santhosh Soma on Feb 02, 2012
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05/13/2014

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CHAPTER -1INTRODUCTION
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PERFORMANCE APPRAISAL
INTRODUCTION 
The history of performance appraisal is quite brief. Appraisal techniques are saidto have been used for the first time during the First World War , when , at the instance of Walter dill Scott, the US army adopted the “ man – to – man” rating system for evaluatingmilitary personnel. During the 1920-30 period, relational wage structure for hourly paidworkers were adopted in industrial units. Under this system, the policy of giving grade wageincrements on the basis of merit was accepted. These early employee plans were called meritrating program, which continued to be so called up to the mid fifties. By, then most of these plans were of the rating –scale type, where emphasis was given to factors, degrees and points.In the early fifties, however, attention began to be devoted to the performance appraisal of technical, professional and managerial personnel.Since, then, as a result of experiments and as great deal of study, the philosophy of  performance appraisal has undergone tremendous changes. Consequently, a change has alsotaken place in the terminology used. Now, the older phrase merit rating is largely restricted tothe rating of hourly paid employees and is used frequently in developing criteria for salaryadjustments, promotions, transfers, etc. the later phrase, personal appraisal places emphasizeson the development of the individual as and widely used to evaluate technical, professionaland managerial personnel.The appraisal of individuals in an employment has been labeled and described byexperts over the years in different ways. Common descriptions include performanceappraisal, merit rating, behavioral assessment, employee evaluation, personal review progressreport, staff assessment, and service rating and fitness report. Some personnel authorities usesuch concepts interchangeably, while others interpret some of these appraisal phrasesdifferently. However, the term performance appraisal or evaluation is most widely used. 
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Employees want promotions, they want a raise in their salary, they want good workingconditions, they would like to be placed in prestigious positions and would like to betransferred to places of their choice and like jobs giving them maximum satisfaction, and soon. Therefore, if employees get what they want they should give their bosses what they ask.Performance Appraisal is one mechanism to make sure that people at every level dothings the way their bosses want them to do.Performance Appraisal is the step where the management finds out how effective ithas been at hiring and placing employees. If any problems are identified, steps are taken tocommunicate with the employees. If any problems are identified, steps are taken tocommunicate with the employees and to remedy them A “Performance Appraisal” is a process of evaluating an employeesperformance of job in terms of its requirements”.“Heyel” observes; it is the process of evaluating the performance and qualification of theemployees in terms of the requirements of the job for which he is employed, for purposes of administration including placement, selection for promotion, providing financial rewards andother actions which require differential treatment among the members of a group asdistinguished from actions affecting members equally. Others regard it as a “process of estimating or judging the value, excellence, quality or status of some object, person or thing.Individually and collectively, it is a part of all the other staffing processes viz., recruitment,selection, placement and induction Prof. Beach has provided a useful chart, showing the changes in the terminology of employeeappraisal, which have taken place since 1920.
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