Higher diploma in Business Management – Level 5

STUDENT NAME: W.H.SASHINDI NAYANATHARA JAYALAL

STUDENT REGISTRATION 2019/DL/HD/BUS/MGT/015
NO:

PROGRAMME: HIGHER DIPLOMA IN BUSINESS

MANAGEMENT – LEVEL 5
SUBJECT TITLE: HUMAN RESOURCE MANAGEMENT

ASSIGNMENT TYPE: INDIVIDUAL

DATE: 14 DECEMBER 2019
DUE DATE: 29 DECEMBER 2019
DATE SUBMITED: 31 DECEMBER 2019
ASSESSOR:
 Table of Contents
1 Discuss five key HR activities ................................................................................................ 1

1.1 Recruitment and selection ................................................................................................ 1

1.1.1 Recruitment ............................................................................................................... 1

1.1.2 Selection .................................................................................................................... 2

1.2 Training and development................................................................................................ 4

1.2.1 Training ..................................................................................................................... 4

1.2.2 Development ............................................................................................................. 4

1.3 Performance management ................................................................................................ 5

1.3.1 Role of performance management ............................................................................ 5

1.4 Reward management ........................................................................................................ 5

1.4.1 Best Ways to Reward Employees ............................................................................. 6

1.5 Employee relations ........................................................................................................... 7

1.5.1 Strategy for employee relation .................................................................................. 7

2 Selection .................................................................................................................................. 9

2.1 Selection Process .............................................................................................................. 9

2.2 Methods of selection ...................................................................................................... 12

2.2.1 Application forms and CV ...................................................................................... 12

2.2.2 Employment Interviews .......................................................................................... 13

2.2.3 Online screening and shortlisting............................................................................ 13

2.2.4 Psychometric testing ............................................................................................... 14

2.2.5 Presentations ........................................................................................................... 14

3 Performance Appraisal Systems ........................................................................................... 15

3.1 Appraisal systems ........................................................................................................... 15

3.1.1 Supervisor appraisal ................................................................................................ 15

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 3.1.2 Self-appraisal .......................................................................................................... 16

3.1.3 Subordinate appraisal .............................................................................................. 16

3.1.4 Peer appraisal .......................................................................................................... 17

3.1.5 360 degree appraisal ............................................................................................... 17

3.2 Effective performance appraisal systems ....................................................................... 18

3.2.1 Problems/ errors which come in the way of effective performance appraisal
systems 19

References ...................................................................................................................................... iii

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1 Discuss five key HR activities
Human Resource Management (HRM) is the practices intended to provide and organize an
organization's employees. These include, among others, assessing human resource needs of
organisations, assisting in the design of work programs, hiring, selecting, training and
development. HRM aims to build and maintain quality excellence environment in order to better
allow the workforce to meet the quality and organizational performance goals of the
company(Evans & Lindsay, 1999)

1.1 Recruitment and selection

Both recruiting and selection processes are considered important for the organizations to function
effectively and are performed concurrently. They are important for the organization's growth and
development.

1.1.1 Recruitment
Recruitment is the method of defining, interviewing, shortlisting and recruiting potential human
resources to fill the organizations’ vacancies. It is the core function of controlling human
resources. Recruitment is the selection process for the right person at the right time for the right
position. It is the method of recruiting, evaluating and nominating potential candidates to suit the
organizations ' needs and requirements (Kapur, 2018).

Recruitment is the HR department's main responsibility. While HR operates in many fields

including employee engagement, workforce growth, regulatory compliance, data management
and many others, recruiting, selecting and on-boarding suitable candidates for the company is
one of the main areas of focus for HR.

Recruiting goes beyond just trying to get people to apply for a vacancy. It also includes
identifying the existence of a vacancy, reviewing the job requirements, writing the job listing,
advertising the job listing to the right candidate pool and then gathering applications. The
selection part of the process involves evaluating candidates, conducting interviews, shortlisting
the most qualified candidate and eventually choosing the best person for the job.

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While it is possible to look at the recruitment and selection process as the whole process of
identifying and filling a role, every aspect is drastically different. Recruitment seeks to get a
wide pool of candidates to apply for the job so you have an ample number of applicants to
choose from, but selection tries to dig through this pool to find one person who is the best fit
from all applicants.

Recruitment process done within the organization and externally. Internal factors include
organizational size, recruitment policy, organizational identity and job description. External
factors include variables such as demographics, labor market, unemployment rate, labor law,
legal considerations and competitors.

Recruitment is considered a constructive method with its strategy to recruit as many applicants
for vacant positions as possible. It is the mechanism by which potential candidates are found and
allowed to apply for jobs. Selection, on the other hand, is considered a divisive process with as
many candidates as possible being excluded. There are numerous people applying for the jobs,
but only those people who are eligible and professional are chosen. Selection is crucial, as
recruiting good resources will help to improve the organization's overall performance.

1.1.2 Selection
Selection is the method of finding or selecting the right candidate that is ideally suited to the job.
It is the process of interviewing the candidates and evaluating their qualities that is necessary for
a particular job and then selecting the candidates for the right positions. Choosing the right
applicants for the right positions would help the company meet its desired goals and priorities. In
choosing the workers, it is important to ensure that they have the requisite credentials, experience
and abilities required to perform the duties in a well-organized manner.

Selection is known because it helps to find the most appropriate and eligible applicants who can
fulfill the organization's job requirements. It is essential to evaluate the different attributes of
each candidate, such as their qualifications, skills, abilities, experiences, personality, nature and
overall attitude, in order to meet the organization's goals and objectives. The other applicants
who have considered it unacceptable to perform the duties of the position are disqualified.

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1.1.2.1 Recruitment and selection Process
1. Job Vacancy
There is a vacancy within the company.
2. Job Analysis
Integrate job postings with job description done in this stage. Create a job posting
database and connect job vacancies to job descriptions and skills that are well described.
This makes the recruiter, the hiring manager and even the candidate easier to do.
3. Attracting Candidates
This stage internal recruitment and external recruitment, need to be taken into account.
Many applicants are replaced by a dynamic application process. The application process
will operate on all platforms including mobile devices, provide seamless experience, and
applicants should be able to register once and apply their resumes to multiple positions.
4. Screening Candidates
Large numbers of applications are submitted for vacancies, and not all applicants are
called for interviews, so it is important for employers to screen candidates and choose the
most suitable candidates for interviews.
5. Interviewing Candidates
Interviewing candidates include ensuring that the date and time of the interview is
adequately informed, ensuring that candidates are aware that they should arrive at the
premises on time, ensuring that they are sure where to go and who they should contact
when they arrive, and ensuring that they are aware of the documents that need to be
submitted during the interview.
6. Selecting and Appointing Candidates
The procedures usually include steps such as the candidate's identification, verbal
communication of his or her appointment, medical completion, if necessary, sending
letters of appointment and signing the contract. Candidates are chosen and named based
on the importance of filling the vacancy.

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1.2 Training and development
Many companies see training and development as an important part of the development process
of human resources. In organizations around the world, the turn of the century has seen increased
focus on the same.

1.2.1 Training
Technically training involves changing a person's attitude, skills or knowledge with the resulting
behavioral improvement. To be effective in training, a planned activity must be conducted after a
thorough need analysis and targeting certain skills, most importantly, it must be conducted in an
atmosphere of learning.

When planning the training program, it is important to bear in mind that both individual
objectives and organizational goals are being taken into account. Although sync may not be
entirely possible, skills are selected so that a win-win for the employee and the company is
created.

Usually, at the beginning of the financial year, companies schedule their training schedules
where training requirements for workers are defined. This need to be known as' training requires
review' is part of the process of performance evaluation. The number of training hours will be
decided after the need analysis along with the training intervention and the same will be
strategically spread over the next year.

1.2.2 Development
Lots of training time is confused with development, both are different in some respects, yet they
are components of the same system. Development involves creating opportunities to help
employees grow. In comparison to school, it is more of a long-term or futuristic aspect that
focuses on the current job. It is also not limited to the avenues of work in the current
organization, but can also concentrate on other aspects of development.

Many companies preferentially select those workers to establish plans for future positions. This
is done on the basis of the employee's current attitude, skills and abilities, expertise and
efficiency. Many leadership programmers, with a vision of developing and cultivating leaders for
tomorrow, tend to be of this type.

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Therefore, the main difference between training and development is that while training mostly
focuses on the current needs of workers or ability deficiencies, development is concerned with
preparing people for future tasks and responsibilities

1.3 Performance management

Performance is known as the organization's success in relation to its goals. This requires
outcomes obtained or accomplished by contributing individuals or teams to the strategic goals of
the company. Performance management programs, for example, will help decisions, selection
decisions, growth of workers, and successful reductions. A performance management program
that tries to achieve too many targets will probably die from its own lack of focus and weight.

1.3.1 Role of performance management

1. Clarifying the roles and expectations of jobs.
2. Improving productivity for individuals and groups.
3. Improve employee skills by positive guidance and coaching to their fullest extent.
4. Moving actions to comply with the core values, priorities and strategy of the company.
5. Providing a framework for organizational decisions on human capital (e.g., pay).
6. Enhance contact between workers and managers.

1.4 Reward management

Reward management is a motivational technique that businesses use to reward workers for their
accomplishments and achievements. To achieve these goals, the company sets goals and sets
rules for its workers to obey. This ensures workers are clearly aware of these priorities,
guidelines, and the incentives for high performance that they will earn. All workers follow the
same scheme of incentives, and the program is just and structured. Using a platform to chart the
growth of workers helps employees and employers to monitor progress and easily identify when
goals are achieved and won bonuses.

The company spends money on hiring and training whenever a new employee is hired, which it
could have invested elsewhere. Having a good program of incentives helps to keep employees
happy, committed to the business and willing to move up the ladder. Rewards inspire workers to
work harder, such as public recognition and additional pay.

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1.4.1 Best Ways to Reward Employees
1. Offer Employee Benefits

A generous benefits package is one of the fastest ways to the hearts of workers, as well as an
excellent way to thank them for the time and energy they put into company. In offering a variety
of benefits such as health care, retirement, pension planning, and so on, should be able to
maintain more of top talent for longer.

2. Acknowledge Excellent Performance

Human beings have an innate desire to be valued. Knowing and satisfying this urge is of
paramount importance if you want to create long-lasting relationships and get your workers to
see their work as more than just a way to earn a paycheck.

• Constantly congratulate top performers and those who have made improvements
• Give a sincere word of thanks
• Post thank you notes
• showcasing employees ' achievements

3. give to Gift Certificates for best employees

Simple and fairly affordable way to express gratitude is to provide top employees with gift cards.
Ex: Grocery gift card, shopping gift card

4. Set Up a “Brag Board”

A brag board is essentially a poster or white board located in the center of office for the sole
purpose of showcasing employees ' accomplishments. Will notice their superior level of
performance whenever someone exceeds expectations and goes the extra mile. This not only
explicitly rewards workers for a well done job, it can have a significant impact on the morale of
the workforce.

5. Give a Token of Appreciation

These are usually reserved for the few elite who really stood out and went far beyond the status
quo. Such as tickets to a movie, concert or sporting event, day off with pay, free trip

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1.5 Employee relations
The word ' employee relationships ' applies to the attempts of an organization to maintain
employer-employee relationships. An organization with a good employee relations program
provides all employees with fair and consistent treatment in order to be committed to their jobs
and loyal to the company. These systems are also intended to prevent and address problems that
arise from working conditions.

Employee engagement programs typically form part of a human resource plan designed to ensure
that people are used most efficiently to fulfill the purpose of the organization. Human resource
approaches are systematic policies that businesses use to help them gain and hold the industry
competitive edge. Employee relations programs focus on issues that affect employees, such as
salaries and benefits, work-life balance support, and safe working conditions.

One of a company's most effective ways of maintaining good employee relationships is to follow
a human resource approach that places high importance on workers as business stakeholders.
Stakeholders are individuals who are financially or otherwise committed to a business and are
impacted by its success or failure.

1.5.1 Strategy for employee relation

An effective strategy for employee relations would affect employee engagement, leading to
better performance of the company.

1. Adopting a conditional work culture

Employees want to feel good about what they do and where they do it. The organization should
determine what principles represent with staff and promote them in transparency. By describing
them in the organization with each person, they will lead to desired behavior.

2. Involve team members

Employees need to feel that company is important. Employees must be willing to accept new
responsibilities and challenges. Staff should be encouraged to share their work with one another.
In this way, employees tend to talk more with one another, discuss things with each other, and
increase the level of comfort. Let employees work together and make their own decisions.

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 3. proper communication

Employees need to know what is happening. Encourage effective communication with members
of the team. Cannot work in a vacuum and they need a forum where desires, expectations,
concerns and ambitions can be expressed. Poor communication leads to misunderstandings and
confusion. The correspondence must be accurate and relevant. For greater transparency, written
communication methods need to be promoted among employees.

4. Recognition

Commend the employee for the outstanding results and provide necessary incentives. Encourage
everyone to live up to the standards of the management team. Identify and thank people when
they live up to those standards.

5. Team meetings

Everyone should be allowed to come together on a common platform to discuss possible issues
in their minds. Meetings need not be too formal. Leaders should take a positive tone to start and
end the meeting, provide updates, and join the team.

6. Events

Celebrate birthdays, family celebrations and other occasions at the office. In fact, these small
initiatives go a long way toward strengthening employee engagement. Allow them to decorate
their office, workplace and do all the work themselves.

In general, strong and effective relationships between employees contribute to a better

performing organization. Employees want a community of being relaxed with each other, having
a good relationship and working towards a common goal in tight collaboration. A stable working
partnership encourages a productive environment and at work workers feel happy and satisfied.
They look forward to working and contributing to their employer's mission, vision and goals.

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 2 Selection
2.1 Selection Process
The process of selecting and shortlisting the right candidates with the necessary qualifications
and skills set to fill the vacancies in an organization can be described. The selection process
varies from industry to industry, business to business, and even among the same company's
divisions.

Figure 1: Selection process

Preliminary
Interview
Receiving
Application
Screening
Application

Employment Test

Interview
Rejectio
n if not
Reference suitable
checking
Medical examination

Final selection

Source : (toppr.com, 2019)

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 1. Preliminary Interview

This is a very general and simple interview to exclude applicants who are totally unfit for
organizational work. It leaves the company with a pool of workers ideally fit to fill their
vacancies.

2. Receiving Applications

Potential employees submit applications to the company to qualify for a position. The application
provides information about applicants such as their bio-data, work experience, hobbies and
interests to the interviewees.

3. Screening Applications

Once the applications are submitted, they are reviewed by a special screening committee that
chooses applicants to call for an interview from the applications. Applicants can be chosen on
specific criteria such as qualifications, work experience, etc.

4. Employment Tests

They have to evaluate their talents and skills before an organization decides a suitable job for any
individual. This is done through various job tests, such as intelligence tests, aptitude tests, skill
tests, personality tests, etc.

5. Employment Interview

The next step in the selection process is the interview with the employee. Employment
interviews are performed to determine the skill set and willingness of an applicant to operate in
depth in an organization. The aim of a job interview is to find out the candidate's suitability and
give him an idea of the job description and what the potential employee is expected to do. For
selecting the right people for the right jobs, an employment interview is critical.

6. Checking References

The next step in the selection process is the interview with the employee. Employment
interviews are performed to determine the skill set and willingness of an applicant to operate in
depth in an organization. The aim of a job interview is to find out the candidate's suitability and

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give him an idea of the job description and what the potential employee is expected to do. For
selecting the right people for the right jobs, an employment interview is critical.

7. Medical Examination

A very important step in the selection process is also the medical examination. Medical
examinations help employers know whether any of the potential candidates are physically and
mentally fit to do their job duties. A good medical check-up system ensures higher health
standards for employees and fewer cases of absenteeism, accidents, and turnover for employees.

8. Final Selection and Appointment Letter

This is the final step in the process of choosing. After all written tests, interviews and medical
examination have been successfully passed by the candidate an appointment letter is sent to the
employee or emailed to confirm his selection for the job. The letter of appointment includes all
the job information, such as working hours, salaries, leave allowance, etc. Employees are often
employed on a conditional basis where they are permanently hired after their success satisfies the
employees.

Proper selection and recruitment of workers contributes to the company's growth and
development. Likewise, the company can only be as good as its employees ' capabilities. The
hiring of talented and skilled employees results in the company's goals being achieved quickly.
When the right technical staffs are employed for the right jobs, industrial accidents will
drastically decrease in numbers. This creates a sense of satisfaction with them when people get
jobs that they are good at, and thus their work performance and quality increases. Those who are
happy with their work tend to be highly moralized and driven to do more.

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2.2 Methods of selection
This section addresses the candidate selection process. There are a number of methods available,
and consideration must be given to which are suitable for a specific role. These include:
Application forms and CVs, Online screening and shortlisting, Interviews, Psychometric testing,
Presentations, Group exercises, Assessment centers and References (Graduate Recruitment
Bureau, 2019).

2.2.1 Application forms and CV

Completing a fairly long application form (online or hard copy) is the traditional approach to
applying for jobs. From the perspective of the organization, the advantage of using an application
form is that it ensures that all candidates obtain the same information, which helps to achieve a
level of consistency in the short listing process.

Application forms are a way of obtaining written information about past and present experiences
of an applicant's education, job and non-work. Nearly all organizations are requiring applicants
to complete some kind of application form. Application forms usually request information about
the applicant's home address, last employer, previous work experience, schooling, military
service, and other employment-related information such as reference names and addresses. The
application form is also used as a reference for the job interview.

CV usage is becoming less popular. A current application can be amended and modified. Even
so, the problem for the employer is that the details of how the applicant looks appropriate may
make the short listing less reliable. CVs are difficult to find if they present information in
different ways across multiple CVs.

However, if some positions are difficult to recruit and rivals usually request CVs instead of
applications, organizations may consider accepting CVs. Some precautions can be used, such as
eliminating sex and competition indexes, as well as more rigorous consideration of recruitment
decisions before giving CVS to shortlists. Recruitment processes should ensure that decisions are
made based on applications.

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2.2.2 Employment Interviews
The job interview is a medium for the exchange of information between candidate and
interviewer on the suitability and interest of a worker in a position that the employer wants to fill.
The documentation contained in the application for the employment of an applicant can be
explored more thoroughly in the interview and other documentation related to the qualifications
of an applicant can be collected. Because interviews can be rather versatile, it is possible at this
time to gather some missing pieces of information about a candidate.

The interview process is formed by identifying the job's key requirements and drawing up a list
of questions. An interviewer panel works with each candidate through each set of questions and
rates them on their responses. The total ratings are weighed at the conclusion of the interview
process and the best candidate is picked. When additional methods of selection are chosen, in the
end, this is fed into the overall process, and again the job is offered to the best-fit candidate.

2.2.3 Online screening and shortlisting

Online job applications can usually be divided into two types; an application form sent to a
prospective company email address, or an ATS (Applicant Tracking System). The latter
positions the application in a database that can be used to sort candidates and manage the
different application stage procedures.

Initial application screening is usually based on comparing the experience and qualifications of a
candidate against the requirements of the job. Online systems, such as an ATS, will
automatically filter applications against set criteria, such as keyword searches. This can also
provide a framework for scoring.

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2.2.4 Psychometric testing
Psychometric testing involves ability testing, aptitude testing and personality profiling. The word
' ability test' is widely used and will also include aptitude tests in this sense. ability test may
include: general intelligence, verbal skill, numerical ability, spatial ability, clerical ability,
diagrammatic ability, mechanical ability and sensory and motor ability.

The personality of an individual can affect their suitability for certain posts. Personality
profiling, however, does not have a' right' or' wrong' response, and individuals may be sifted by
recognizing specific behaviors that are better suited to the job than others. Therefore, the
selection process is important for those undertakings to be clear about the characteristics needed
to perform well in the job.

2.2.5 Presentations
Presentations, particularly in senior positions, are often used as a selection tool. The applicant is
given a subject and a time frame for a presentation on the topic. The subject of the presentation is
sent to certain organizations with the confirmation of the interview. On the day of the interview,
it is now also offered to candidates and the applicant has a set time to prepare the presentation
before the interview.

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 3 Performance Appraisal Systems
The appraisal is a summary of key expectations performance including objectives and core job
responsibilities. With a few examples and describing the overall rating, it should concentrate on
the effects of results.

3.1 Appraisal systems

3.1.1 Supervisor appraisal
Performance appraisal conducted by a manager of an employee and often evaluated by a higher
level manager. Supervisors roles in conducting appraisal can be categorized in to 3 parts.

1. Preparing for the appraisal:

• Writing or updating job descriptions
• Reviewing and revising appraisal instruments
• Making sure employees know what is expected of them and how they will be evaluated.
2. Doing the Appraisal:
• Completing the appraisal instrument
• Ensuring objectivity
• Preparing for the appraisal interview
• Listening and soliciting employee input
• Conducting the appraisal interview
• Ensuring against interruptions
• Ensuring privacy
3. Following up the Appraisal:
• Encouraging
• Assisting
• Monitoring

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3.1.2 Self-appraisal
A self- appraisal involves reviewing self-results and presenting your success input. Employees
are expected to conduct a self- appraisal to help with the annual employee performance review.
Performance appraisal performed by the employee being assessed, usually on an assessment
form completed by the employee prior to the performance review. Self-assessment involves
identifying own-self as an employee and reviewing all the things that an employee should have.
employee assess their work performance, how they implement rules, task management,
completion of the project, communication skills, etc.

This helps an employee to learn about their past achievements and mistakes they have made. An
employee gets a larger picture of his role in the job by carefully analyzing the success and
failures. This assessment will assist the employee in making plans accordingly and can be a
source of motivation.

This provides the basis for future planning of priorities and objectives. Once you've learned
about your shortcomings, you'll find out where to improve to become a better environment fit.

Perhaps a driving force for the motivation of one. By comparing the results of the last year and
this year, one can quickly realize that they are progressively improving. They'll come to know
they're doing their job much better than they knew before. We may be more inspired by such
self-assessments. Many people are looking for inspiration from their defeats.

Remind administrators of the successes and difficulties of the workers. For large companies,
monitoring the success of each employee is quite challenging for managers and team members. It
is likely that during the year one's success or hard work may not be heard.

3.1.3 Subordinate appraisal

An employee's performance appraisal of a supervisor is more suitable for educational purposes
than for administrative purposes. The subordinate appraisal is an assessment method whereby
workers evaluate their supervisor's performance.

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The purpose of the subordinate's assessment is to obtain a first-hand assessment of how
subordinates perceive their superior in terms of:

• Motivation of subordinates
• To guide and train subordinate
• Authority team
• Building current areas of leadership and improvement

3.1.4 Peer appraisal

Peer appraisal performed by one's fellow employees, usually on forms complied with in a
standardized profile for use in the quality interview conducted by the manager of the employee.
Peer appraisal refers to an employee performance assessment given in the immediate work
environment by the employee's peers who have witnessed the work performance of the employee
and are able to provide constructive feedback.

Importance of peer appraisal:

• Provides insight and knowledge because employees are often best placed to assess the
success of a colleague.
• Encourages a more cohesive dynamic team as colleagues develop a more in-depth
understanding of the challenges they face.
• Encourages shared goal development as workers realize that they need to include their
colleagues and respond to their ideas, concerns and needs.

3.1.5 360 degree appraisal

It includes individual staff, self-assessment, supervisor, other superiors, peers, teams, sub-
ordinates and customers. A 360 degree appraisal is a type of performance review of employees in
which supervisors, co-workers and superiors rate the employee anonymously. This information
is then included in the performance review of that person.

The 360 degree performance evaluation framework is an innovative method of assessment that is
used by many organisations where employee performance is measured using a sample of
approximately 7 to 12 individuals. Other people work with the employee and share some of their
working environment. The feedback is collected in the form of reviews regarding the employee's

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skills. With the aid of self-assessment, the employee himself or herself always takes part in this
evaluation. With the aid of innovative feedback forms, the 360-degree performance management
method is a way to enhance employee strength and weakness comprehension.

Importance of 360 degree appraisal:

• This system offers a comprehensive view of employee performance.

• This strengthens the integrity of the performance appraisal system The colleagues ' input
helps strengthen the employee's self-development process and also increases the
employee's accountability and alertness to their clients.
• The different ideas coming together from different raters provide a more accurate
assessment of 360 degrees.
• It is possible to gather more compelling feedback from various participants.
• There, not only supervisors, but also peers are responsible for assessing the success of
workers that empowers them.
• Employees are encouraged to underestimate themselves in general.

3.2 Effective performance appraisal systems

Effective performance appraisal are those that enhance the employee's evaluation performance. It
is important to ensure that both the supervisor and the employee clearly understand what the job
entails before evaluating an employee's performance. In designing a well-written job description,
the best way to clearly delineate what a job entails is.

Characteristics of effective performance appraisal systems:

• Criteria should be explicit: the evaluation criteria should be clear and specific. As fit the
job description of the employee, an appropriate assessment program will always have
different evaluation attributes.
• Data should be valid and reliable: A credible, reliable and valid data is provided by an
appropriate performance evaluation method. It provides data based on the purpose of
performance assessment and succession planning.

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 • Performance criteria should be well defined: There are standard forms, rules and
evaluation procedures for effective performance assessment. It will have well-defined
requirements and expectations for results.
• Financial and less time consuming: Good performance management systems are designed
to be cost-effective and take less time to achieve maximum benefits.
• Follow-up should be initiated: a post-evaluation forum should be organized for workers
to seek input from their supervisors. It also allows the company to learn about the
challenges and difficulties that workers can face and to find appropriate preparation.

3.2.1 Problems/ errors which come in the way of effective performance appraisal systems
1. Poorly trained managers

Good performance evaluation is not just possible, and organisations should not believe that
managers know how to successfully execute them, even if they have several years of
experience as managers. Therefore, since the method can vary from organization to
organization, it is necessary to provide training to introduce managers to the organization's
performance management methodology, including a review of the methods, the rating
system, and how the data collected are used. Education should be performed periodically for
new and experienced administrators as a refresher.

2. Inconsistent Ratings

Reliability amongst managers at any organization is generally very low. In situations where
the criteria used are subjective and not based on any measurable performance outcomes, what
one manager considers to be "acceptable" performance, another may consider "not meeting
expectations."

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3. Lack of Outcome-Based Measures
Performance assessments that require managers to rate employees on subjective criteria
such as "customer service skills" or "leadership skills" lack specific results that can be
linked to measurable outcomes. Best performance assessments provide managers and
employees with the ability to judge performance based on objective measurable
outcomes; sales level, safety records and customer assessments are all measurable ways
to provide insight into the performance of an employee.
4. Not Used for Performance Improvement
The purpose of performance evaluation is not only to provide employees with feedback
on how they do it, but also to provide an indicator of employee strength areas and
opportunities for improvement to the organization. Sadly, for performance enhancement
programs, few companies actually compile and use performance assessment data.
Through evaluating outcomes and taking advantage of both best practices in areas where
workers perform well and opportunities to improve in areas where they are not,
companies will derive maximum value from their efforts to assess performance.

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 References
Graduate Recruitment Bureau. (2019). Retrieved from Selection Methods:
https://www.grb.uk.com/recruiter-research/selection-methods

Evans, J. R. & Lindsay, W. M. (1999). The management and control of quality.

Kapur, R. (2018, March). Recruitment and Selection. Retrieved 12 30, 2019, from
www.researchgate.net:
https://www.researchgate.net/publication/323829919_Recruitment_and_Selection

Pulakos, E. D. (2004). Performance management, A roadmap for developing,implementing and

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