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Published by: sariika on Apr 14, 2011
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³Process by which an organization measures and evaluates an individual employee·s behavior and accomplishments for a defined period of employmentµ

(Dr. Anderson)


Performance appraisal is the process of obtaining, analyzing and recording information about the relative worth of an employee. The focus of the performance appraisal is measuring and improving the actual performance of the employee and also the future potential of the employee. Its aim is to measure what an employee does. ´performance appraisal is the systematic, periodic and an impartial rating of an employee·s excellence in the matters pertaining to his present job and his potential for a better job."


€ It is a powerful tool to calibrate. refine and reward the performance of the employee. It helps to analyze his achievements and evaluate his contribution towards the achievements of the overall organizational goals. .

€ To effectively evaluate the work done by an employee € To set a standard that can be used to judge future performance € Help a manager motivate employees and improve their performance € Strengthen communication .

people want to know how they are doing and this is a good way for them to learn € Let the employee know what is expected of them € Assist the employee in setting career goals € Help reward employees fairly € Most .

€ Provide .legal defensibility € To diagnose the strengths and weaknesses of the individuals so as to identify the training and development needs of the future.

Sincerity Morality.€ Technical Attributes Knowledge and Application Achievement of targets Other quantifiable results Technical Attributes (Technical competence) Soft Skills (Social Skills) € Soft Skills Leadership and goal clarity Relationship Management Communication € Personal Traits Honesty. Ethical standing Personal Traits (Emotional Quotient) pas/dar/sibichen/4/08 . Integrity.

The employer and the employee must have a clear idea of where the company is going € Employees understand how their job contributes to goals of the company € Employees and their supervisor agree on what is expected from the employee. € .

Employees are given the needed training to ensure they have the skills to perform their work € Supervisors give feedback to employees about their performance on a regular basis not just at formal appraisal times € Supervisors are trained on how to do performance appraisal € .

´judge the work. not the personµ .

* * * * * * Rating Scales Paired Comparison Method Critical Incident Technique Behavioral Checklists and Scales Management by Objective 360-Degree Feedback or Multirater Assessment .

This rating can be given on a graphic rating scale with the supervisor simply making a mark on the scale that rates the employee.€ In this system the employee is given a numerical rating. .

‡ Under this method the appraiser ranks the employees by comparing one employee with all other employees in the group. one at a time. .

€ Employee·s performance in specific situations are evaluated and a number of these incidents are used in the overall rating of the employee. .

€ The supervisor uses a list of descriptive statements and marks the statement that most closely describes the employee. Statements are for specifically defined aspects of a job. .

Employee and supervisor must agree on measurable objectives and how they will be met.€ The employee is appraised according to how well they have reached agreed to goals. .

subordinates. . and sometimes customers along with supervisors. team members. Mercer reports that more than 40% of companies will use this method by the end of 1997.€ Employees are rated by peers. A study by William M.

Superiors Peers Self Appraisal Citizens-Clients Subordinates .

not for supervisory level officers functionally not connected) (0% to 10%) € From customers/clients (Front-end work: 20% to 30%.From subordinates (10% to 20%) € From peer group (only when in a functional peer network. Back-end work : 0% to 10%) € From superior officers (50% to 70%) € .

‡ ‡ ‡ ‡ Rating Biases : Halo Effect : It is the tendency of the raters to depend excessively on the rating of one trait or behavioural consideration in rating all other traits. The Error of Central Tendency : Some raters follow play safe policy in rating by rating all the employees around the middle point of the rating scale and they avoid rating the people at both the extremes of the scale. The Leniency and Strictness: The leniency bias crops when some raters have a tendency to be liberal in their rating buy assigning higher rates consistently.rather than on the whole activities. . The Recency Effect : The raters generally remember the recent actions of the employee at the time of rating and rate them on the basis of these recent actionsfavourable or unfavourable.

Most part of the appraisal is based on subjectivity. Less reliability and validity of the performance appraisal techniques. . Absence of inter-rater reliability.Failure of the superiors in conducting performance appraisal and post performance appraisal interviews.

Supervisors were often confused due to too many objectives of performance appraisal. Some superiors completed appraisal reports within a few minutes. .Supervisors lack that tact of offering suggestions constructively to subordinates.

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