Certificate in Human Resource Management

Performance Management

What is Performance ?
The actual effort that the individual undertakes in order to carry out the work. Performance relates to the person's ability to perform all of the tasks and duties required for a specific job.

Measure Performance because

What you cannot measure you cannot improve. If you cannot improve you cannot grow. Measurement helps in objectively differentiating between performers and non performers. Pay for performance is possible only through metrics.

Why Performance Appraisal ?

People can & will perform better when they: Know & understand what is expected of them (goals) Have been able to take part in forming the goals (participation) Get supervision, supports, & resources (enabling conditions) Get feedback on their performance (appraisal) Are enable to achieve the goals (development) Have positive consequences for performance (rewards)

Objectives of PA system
To evaluate the worth of an employee in terms of the requirements of the job performed by him. To bring out improvement in the performance of work by each employee. To determine the areas where the employees need further training for better performance.

Objectives of

PA system

To identify the steps by which the grievance of the employees can be reduced. To help the management in long term man power planning. To reward employees who are performing well. To determine promotions and transfers of employees and increase in their remuneration.

Uses of PA system
Performance Appraisal

Administering Wages and Salaries

Giving Performance Feedback

Identifying Strengths and Weaknesses

Uses of PA system

Types of Appraisal Systems

Merit Rating Written Statement

MBO Target Setting

Merit Rating 1. 2. 3. 4. 5. Poor Fair Good Very Good Excellent

Dear Manager (HR),

Vivek, my assistant programmer, can always be found hard at work in his cubicle. Vivek works independently, without wasting company time talking to colleagues. Vivek never thinks twice about assisting fellow employees, and he always finishes given assignments on time. Often Vivek takes extended measures to complete his work, sometimes skipping coffee breaks. Vivek is a dedicated individual who has absolutely no vanity in spite of his high accomplishments and profound knowledge in his field. I firmly believe that Vivek can be classed as a high-calibre employee, the type which cannot be dispensed with. Consequently, I duly recommend that Vivek be promoted to executive management, and a proposal will be sent away as soon as possible.

Written Statement
NB: That stupid idiot was reading over my shoulder when I wrote the report sent to you earlier today. Kindly read only the odd lines (1, 3, 5, 7, 9,11, 13) for my true assessment of him

MBO
Job Review and Agreement

Development of Performance Standards

Guided Objective Setting

Continuing Performance Discussions

Attribute of a Performance Objective

S pecific M easurable A chievable R ealistic T ime bound

Structure of objectives

1. Performance (an observable action)

2. Conditions (a relevant condition)

3. Standards (a measure of performance)

At the end of the training you should be able to individually count money 100% accurately within 1 minute when given 100 notes
Action word Standard Condition

Target Setting

Set Goals/Objective in discussion with the Appraiser and subordinate

Multisource of Appraisal (360 )

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