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Maricel M.

Macellones MPA Student

is

a review and discussion of an employee's performance of assigned duties and responsibilities. is based on results obtained by the employee in his/her job, not on the employee's personality characteristics. it measures skills and accomplishments with reasonable accuracy and uniformity. is a part of guiding and managing career development.

It

provides a way to help identify areas for performance enhancement and to help promote professional growth. It should not, however, be considered the supervisor's only communication tool. Open lines of communication throughout the year help to make effective working relationships. a method by which the job performance of an employee is evaluated (generally in terms of quality, quantity, cost, and time ) typically by the corresponding manager or supervisor.

Periodic

reviews help supervisors gain a better understanding of each employee's abilities. The goal of the review process is to recognize achievement, to evaluate job progress, and then to design training for the further development of skills and strengths.

careful review will stimulate employees interest and improve job performance. The review provides the employee, the supervisor, the Vice President, and Human Resources a critical, formal feedback mechanism on an annual basis, however these discussions should not be restricted solely to a formal annual review.

it

analyzes an employee's recent successes and failures, personal strengths and weaknesses, and suitability for promotion or further training. Give employees feedback on performance Form a basis for personnel decisions: salary increases, promotions, di sciplinary actions, bonuses, etc. Provide the opportunity for organizational diagnosis and development Facilitate communication between employee and employer

Validate

selection techniques and human resource policies to meet federal Equal Employment Opportunity requirements. To improve performance through counseling, coaching and development.

common approach to assessing performance is to use a numerical or scalar rating system whereby managers are asked to score an individual against a number of objectives/attributes. In some companies, employees receive assessments from their manager, peers, subordinates, and customers, while also performing a self assessment This is known as a 360-degree appraisal and forms good communication patterns.

The

most popular methods used in the performance appraisal process include the following: Management by objectives 360-degree appraisal Behavioral observation scale Behaviorally anchored rating scales

Management

by objectives (MBO) is a process of defining objectives within an organization so that management and employees agree to the objectives and understand what they need to do in the organization. The term "management by objectives" was first popularized by Peter Drucker in his 1954 book 'The Practice of Management'.

The

essence of MBO is participative goal setting, choosing course of actions and decision making. An important part of the MBO is the measurement and the comparison of the employees actual performance with the standards set. Ideally, when employees themselves have been involved with the goal setting and choosing the course of action to be followed by them, they are more likely to fulfill their responsibilities.

According

to George S. Odiorne, the system of management by objectives can be described as a process whereby the superior and subordinate managers of an organization jointly identify its common goals, define each individual's major areas of responsibility in terms of the results expected of him, and use these measures as guides for operating the unit and assessing the contribution of each of its members.[

The

principle behind Management by Objectives (MBO) is for employees to have a clear understanding of the roles and responsibilities expected of them. They can then understand how their activities relate to the achievement of the organization's goal. MBO also places importance on fulfilling the personal goals of each employee.

Involving employees in the whole process of goal setting and increasing employee empowerment. This increases employee job satisfaction and commitment. Better communication and Coordination Frequent reviews and interactions between superiors and subordinates helps to maintain harmonious relationships within the organization and also to solve many problems. Clarity of goals
Motivation

Subordinates

tend to have a higher commitment to objectives they set for themselves than those imposed on them by another person. Managers can ensure that objectives of the subordinates are linked to the organization's objectives.

In

human resources or Industrial psychology, 360-degree feedback, also known as multi-rater feedback, multisource feedback, or multisource assessment, is feedback that comes from all around an employee. "360" refers to the 360 degrees in a circle, with an individual figuratively in the centre of the circle. Feedback is provided by subordinates, peers, and supervisors. It also includes a selfassessment and, in some cases, feedback from external sources such as customers and suppliers or other interested stakeholders.

It may be contrasted with "upward feedback," where managers are given feedback by their direct reports, or a "traditional performance appraisal," where the employees are most often reviewed only by their managers. The results from 360-degree feedback are often used by the person receiving the feedback to plan training and development. Results are also used by some organizations in making administrative decisions, such as pay or promotion.

When this is the case, the 360 assessment is for evaluation purposes, and is sometimes called a "360-degree review." However, there is a great deal of controversy as to whether 360-degree feedback should be used exclusively for development purposes, or should be used for appraisal purposes as well (Waldman et al., 1998). A study on the patterns of rater accuracy shows that length of time that a rater has known the person being rated has the most significant effect on the accuracy of a 360-degree review.

qualitative based performance appraisal (PA) method. The rationale is simple. Good behavior will produce good performance, bad behavior will be a distortion. This method is applicable for productionemployees performance, too.

The

key factor of measurement in this method is determining the behaviors in workplace that related to the success or the failure, partially or generally, to the jobs. are some consideration in making an effective BOS: The behaviors on the job must be JOB EVALUATION based analysis. Critical Incident Technique (CIT) should be performed to minimize the bias of performance measurement BOS should be performed by better qualification of supervisor

There

also known as (BARS) are scales used to rate performance. BARS are normally presented vertically with scale points ranging from five to nine. It is an appraisal method that aims to combine the benefits of narratives, critical incidents, and quantified ratings by anchoring a quantified scale with specific narrative examples of good, moderate, and poor performance.

BARS

were developed in response to dissatisfaction with the subjectivity involved in using traditional rating scales such as the graphic rating scale. A review of BARS concluded that the strength of this rating format may lie primarily in the performance dimensions which are gathered rather than the distinction between behavioral and numerical scale anchors.

1.

Critical incident method This format of performance appraisal is a method which is involved identifying anddescribing specific incidents where employees did something really well or that needs improving during their performance period. 2. Weighted checklist method In this style, performance appraisal is made under a method where the jobs being evaluated based on descriptive statements about effective and ineffective behavior onjobs.

3.

Paired comparison analysis This form of performance appraisal is a good way to make full use of the methods of options. There will be a list of relevant options. Each option is in comparison with the others in the list. The results will be calculated and then such option with highest score will be mostly chosen.

4.

Graphic rating scales This format is considered the oldest and most popular method to assess the employees performance. In this style of performance appraisal, the management just simply does checks on the performance levels of their staff. Essay Evaluation method In this style of performance appraisal, managers/ supervisors are required to figure out the strong and weak points of staffs behaviors. Essay evaluation method is a nonquantitative technique. It is often mixed with the method the graphic rating scale.

5.

6.

Performance ranking method The performance appraisal of ranking is used to assess the working performance of employees from the highest to lowest levels. Managers will make comparisons of an employee with the others, instead of making comparison of each employee with some certain standards.

7.Forced

ranking (forced distribution) In this style of performance appraisal, employees are ranked in terms of forced allocations. For instance, it is vital that the proportions be shared in the way that 10 or 20 % will be the highest levels of performances, while 70 or 80% will be in the middle level and the rest will be in the lowest one.

is

a process for collecting and reporting information regarding the performance of an individual, group or organizations. It can involve looking at process/strategies in place, as well as whether outcomes are in line with what was intended or should have been achieved. Fundamental purpose behind measures is to improve performance. Measures that are not directly connected to improving performance (like measures that are directed at communicating better with the public to build trust) are measures that are means to achieving that ultimate purpose (Behn 2003).

1. To Evaluate how well a public agency is performing. To evaluate performance, managers need to determine what an agency is supposed to accomplish. 2. To Control How can managers ensure their subordinates are doing the right thing. Today managers do not control their workforce mechanically (measurement of time-and-motion for control as during Taylor) However managers still use measures to control, while allowing some space for freedom in the workforce. (Robert Kaplan & David Norton)

3. To Budget - Budgets are crude tools in improving performance. Poor performance not always may change after applying budgets cuts as a disciplinary action. Sometimes budgets increase could be the answer to improving performance. Efficiency is determined by observing performance- output and outcome achieved considering number of people involved in the process (productivity per person) and cost-data (capturing direct cost as well as indirect)

4. To Motivate - Giving people significant goals to achieve and then use performance measures- including interim targets- to focus peoples thinking and work, and to provide periodic sense of accomplishment. Performance targets may also encourage creativity in developing better ways to achieve the goal (Behn) Thus measure to motivate improvements may also motivate learning.

5. To Celebrate Organisations need to commemorate their accomplishmentssuch ritual tie their people together, give them a sense of their individual and collective relevance. More over, by achieving specific goals, people gain sense of personal accomplishment and selfworth (Locke & Latham 1984).

6.

To Promote How can public managers convince political superiors, legislators, stakeholders, journalists, and citizens that their agency is doing a good job. (National Academy of Public Administrations center for improving government performance- NAPA 1999) performance measures can be used to: validate success; justifying additional resources; earn customers, stakeholder, and staff loyalty by showing results; and win recognition inside and outside the organisation. Indirectly promote, competence and value of government in general.

7.

To Learn - Learning is involved with some process, of analysis information provided from evaluating corporate performance (identifying what works and what does not). By analysing that information, corporation able to learn resons behind its poor or good performance. However if there is too many performance measures, managers might not be able to learn anything. (Neves of National Academy of Public Administration 1986)

8.

To Improve What exactly should whodo differently to improve performance? In order for corporation to measure what it wants to improve it first need to identify what it will improve and develop processes to accomplish that.

discourages

teamwork evaluators are inconsistent or use different criteria and standards only valuable for very good or poor employees encourages employees to achieve short term goals managers has complete power over the employees too subjective produces emotional anguish

Make collaboration a criterion on which employees will be evaluated Provide training for managers; have the HR department look for patterns performing. Rate selectively(introduce different or various criteria and disclose better performance and coach for worst performer without disclosing the weakness of the candidate) or increase in frequency of performance evaluation. Include long term and short term goals in appraisal process Make criteria specific and test selectively{Evaluate specific behaviors or results} Focus on behaviors; do not criticize employees; conduct appraisal on time.

PURPOSE

OF PROCEDURE: Provide an opportunity for the manager and his/her supervisor to set mutual objectives. Provide a fair and effective means for making personnel decisions. Recognize the importance of the managers contribution to institutional success. Provide a forum for open discussion of the managers individual strengths and for the identification of areas where improvement is needed.

Improve the performance of the manager and, consequently, of the unit administered. Enhance the credibility of the management process, including the process by which decisions are made, in the eyes of those affected by the process.

1. Identify performance criteria: The number of appraisal criteria for each position is from 3 10 criteria. The standards set should be clear, easily understandable and in measurable terms The appraisal criteria can be changed but must be the authority for approval and must be implemented for the relevant level before applying. HR department and managers/ supervisor will set up weight of each criteria and must be approved directors.

2. Communicating performance criteria: HR department should inform this procedure to all level of management and employees. The employees should be informed and the standards should be clearly explained in order to help them understanding their roles and to know what exactly is expected from them. Performance criteria should also be communicated to the appraisers or the evaluators and if required.

3. Measuring performance Prepare. HR dept should prepare all materials, notes agreed tasks and records of performance, achievements, incidents, reports etc anything pertaining to performance and achievement. Inform the appraisee: To ensure the appraisee is informed of a suitable time and place and clarify purpose and type of appraisal. Give the appraisee the chance to assemble data and relevant performance and achievement records and materials.

Review

and measure HR dept and managers / supervisors review the activities, tasks, objectives and achievements one by one, keeping to distinct separate items one by one. Agree an action plan An overall plan should be agreed with the appraisee, which should take account of the job responsibilities and review strengths and weaknesses. The plan can be staged if necessary with short, medium and long term aspects, but importantly it must be agreed and realistic.

4.

Comparing with desired criteria The actual performance is compared with the desired or performance criteria. The result can show the actual performance being more than the desired performance or, the actual performance being less than the desired performance depicting a negative deviation in the organizational performance.

5. Discussing results The result of the appraisal should be communicated and discussed with the employees. The feedback should be given with a positive attitude as this can have an effect on the employees future performance. The purpose of the meeting should be to solve the problems faced and motivate the employees to perform better. The results, the problems and the possible solutions are discussed with the aim ofproblem solving and reaching consensus.

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