Performance Appraisal

Techniques

Dr. Suzy Iskandar

1
Introduction to Performance
Appraisal

2
What the Experts Say
About Performance
Appraisal ?

3
Experts Says, Performance
Appraisal is:

“One of those special human encounters

where the manager gets no sleep the night
before, and the employee gets no sleep the
night after”.
Thomas B. Wilson

4
What is Performance Appraisal?

Performance appraisal is:

the identification, measurement,
and management of human
performance in organizations.

5
Performance Appraisal

Identification Measurement

Performance
Appraisal

Management

6
 Identification

• Identification is determining what

areas of work should be examined
when measuring performance.
• Rational and legally defensible
identification requires a system
based on job analysis.
7
 Measurement

• Measurement is the centerpiece of

the appraisal system.
• It entails making judgments of how
“good” or “bad” performance is.
• Measurement must be consistent and
managers must maintain comparable
rating standards. 8
 Management

• Management is the overriding goal of

any appraisal system.
• Management should take a future-
oriented view of what workers can
do to achieve their potential in the
organization.
9
 Why Appraisals Are Important ?
 Recognize accomplishments
 Guide progress
 Improve performance
 Review performance
 Set goals
 Identify problems
 Discuss career
advancement

10
 Elements of Traditional
Appraisal Techniques
• Goal Setting: Supervisors set performance
objectives or standards for individual employees.
• Measures: Tasks or levels of performance are used to
gauge whether person has achieved his/her goals.
• Feedback: Comparison of performance to goals is
usually provided at end of performance period.
• Performance Rating: Supervisor judges overall
performance and gives numeric rating.
• Merit Pay: Pay increase based on performance rating
and market price for position. 11
 Alternative Performance
Appraisal Techniques

• Goal Setting - performance is typically

evaluated in terms of formal objectives set at an
earlier date
• Written essays - managers describe the
performance of employees in narrative form,
sometimes in response to predetermined
questions.
• Critical incidents - specific instances of
inferior and superior performance are
documented by the supervisor when they occur.
12
• Graphic rating scales – various traits or behavior
is rated on incremental scales
• Behaviorally Anchored Rating Scales
(BARS) performance appraisal scales with notations
about observable behavior
• Weighted checklists - evaluators check
appropriate adjectives or behavioral descriptions that
have predetermined weights
• Rankings/comparisons - co-workers in the
subunit are ranked or compared in head-to-head fashion
according to specified accomplishments or job behavior
• Multirater appraisals - general label for a diverse
array of nontraditional appraisal techniques involving
more than one rater for the focal persons performance 13