Performance Appraisal

Presented to:
Mam Zainab

Definition
A performance appraisal is a method by which the job performance of an employee is evaluated by the corresponding manager or supervisor. A performance appraisal is a part of guiding and managing career development.

It is the process of obtaining, analyzing, and recording information about the relative worth of an employee to the organization. Performance appraisal is an analysis of an employee's recent successes and failures, personal strengths and weaknesses.

Characteristics
It examine the employee strengths and weaknesses Scientific and objective study Ongoing and continuous process Secure information for making correct decisions on employees

Needs and objectives

Provide feedback about employees Provide database Diagnose the strengths and weaknesses of individuals Provide coaching, counseling, career planning to subordinates

Cont...
Provide a basis for promotion ,transfer, termination Identify those employees who deserve promotion Develop inter-personal relationships: Relations between superior & subordinate

Methods
The most popular methods used in the performance appraisal process include the following: Management by objectives 360 degree appraisal Behaviorally anchored rating scale Check list method

Management by Objectives
The 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 important part of the MBO is the measurement and the comparison of the employees actual performance with the standards set.

360 degree appraisal

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 self-assessment.

Behaviorally anchored rating scale

It is a scales used to rate performance. 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

Check list method

Is employee regular Y/N Is employee respected by subordinate Y/N Is employee helpful Y/N Does he follow instructions Y/N Does he keep the equipments in order Y/N

Benefits
Direction Feedback Motivation Employee development Legal protection Input

Steps of PA
Preparation Assessment Review Appropriate place Deliver Encouragement

Process of PA
Taking corrective standards Setting performance standards Communicating standards Measuring standards Comparing standards Discussing results

Problems in performance appraisal

Bias and favouritism of raters based on social, religious economic, political and other factors. Most supervisors see the exercise or process as time consuming. Halo effect e.g. being influenced by a particular trait of an employee. Lack of management commitment to the system. Lack of objective target. Lack of feedback to appraisee e.g. post appraisal interview.

Conti
A superior officer and rater could be too lenient or strict with the appraisal of his\her subordinate. Incompetence Negative approach Multiple objectives Resistance Lack of knowledge

Essentials of an effective appraisal system

Mutual trust Clear objectives Standardizations Training Job relatedness Documentation Feedback and participation