Académique Documents
Professionnel Documents
Culture Documents
Employee Performance
6) PERFORMANCE
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2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as 1–1
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Performance Appraisal and Other
HRM Functions
Availability
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LaborRelations
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role for theunion
for the union facilitate training efforts
facilitate training efforts
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Performance Appraisal Programs
• Performance Appraisal
A process, typically performed annually by a
supervisor for a subordinate, designed to help
employees understand their roles, objectives,
expectations, and performance success.
• Performance Management
The process of creating a work environment in which
people can perform to the best of their abilities.
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Ongoing Performance Feedback
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Performance Appraisal Programs
Programs
Appraisal Programs
Appraisal
Administrative
Administrative Developmental
Developmental
Compensation
Compensation Ind.
Ind.Evaluation
Evaluation
Job
JobEvaluation
Evaluation Training
Training
EEO/AA
EEO/AASupport
Support Career
CareerPlanning
Planning
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Purposes of a Performance Appraisal
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Reasons Appraisal Programs
Sometimes Fail
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Managerial Issues Concerning Appraisals
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Managerial Issues Concerning Appraisals (cont.)
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Developing an Effective Appraisal Program
• Performance Standards
Must be based on job-related requirements derived
from job analysis and reflected in job description and
job specifications.
Help translate an organization’s goals and objectives
into job requirements that define acceptable and
unacceptable performance levels.
• Calibration
A process whereby managers meet to discuss the
performance of individual employees to ensure their
employee appraisals are in line with one another
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Establishing Performance Standards
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What Are the Performance Standards?
Performance Standards Characteristics
Strategic
Strategic Individual
Individualstandards
standardsdirectly
directly
Relevance
Relevance relate
relateto
tostrategic
strategicgoals.
goals.
Criterion
Criterion Standards
Standardscapture
captureall
allof
of an
an
Deficiency
Deficiency individual’s
individual’scontributions.
contributions.
Criterion
Criterion Performance
Performancecapability
capabilityis
isnot
not
Contamination
Contamination reduced
reducedby
byexternal
externalfactors.
factors.
Reliability
Reliability Standards
Standardsare
arequantifiable,
quantifiable,
(Consistency)
(Consistency) measurable,
measurable,and
andstable.
stable.
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Legal Guidelines for Appraisals
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Alternative Sources of Appraisal
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Sources of Performance Appraisal
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Sources of Performance Appraisal (cont.)
• Peer Appraisal
Appraisal by fellow employees, compiled into a single
profile for use in an interview conducted by the
employee’s manager.
Why peer appraisals are not used more often:
1. Peer ratings are simply a popularity contest.
2. Managers are reluctant to give up control over the
appraisal process.
3. Those receiving low ratings might retaliate against
their peers.
4. Peers rely on stereotypes in ratings.
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Sources of Performance Appraisal (cont.)
• Team Appraisal
Based on TQM concepts; recognizes team
accomplishment rather than individual performance
• Customer Appraisal
A performance appraisal that, like team appraisal, is
based on TQM concepts and seeks evaluation from
both external and internal customers
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Pros and Cons of 360-Degree Appraisal
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360-Degree Performance Appraisal System
Integrity Safeguards
• Assure anonymity
• Make respondents accountable
• Prevent “gaming” of the system
• Use statistical procedures
• Identify and quantify biases
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Training Appraisers
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Training Performance Appraisers
Common
Common rater-related
rater-related errors
errors
Error
Errorof
ofcentral
central tendency
tendency
Leniency
Leniencyor
or strictness
strictnesserrors
errors
Similar-to-me
Similar-to-meerrors
errors
Recency
Recencyerrors
errors
Contrast
Contrast and
and halo
halo errors
errors
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Rater Errors
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Rater Errors (cont.)
• Contrast Error
A rating error in which an employee’s evaluation is
biased either upward or downward because of
comparison with another employee just previously
evaluated.
• Similar-to-Me Error
An error in which an appraiser inflates the evaluation
of an employee because of a mutual personal
connection.
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Rater Errors: Training and Feedback
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Performance Appraisal Methods
Graphic
GraphicRating
Rating
Scale
Scale
Mixed
MixedStandard
Standard
Scale
Scale
Trait
Trait
Methods
Methods
Forced-Choice
Forced-Choice
Essay
Essay
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Trait Methods
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Trait Methods (cont.)
• Forced-Choice Method
Requires the rater to choose from statements
designed to distinguish between successful and
unsuccessful performance.
1. ______ a) Works hard _____ b) Works quickly
2. ______ a) Shows initiative _____ b) Is responsive to customers
3. ______ a) Produces poor quality _____ b) Lacks good work habits
• Essay Method
Requires the rater to compose a statement describing
employee behavior.
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Trait Methods
• Forced-Choice Method
Requires the rater to choose from statements
designed to distinguish between successful and
unsuccessful performance.
1. ______ a) Works hard _____ b) Works quickly
2. ______ a) Shows initiative _____ b) Is responsive to customers
3. ______ a) Produces poor quality _____ b) Lacks good work habits
• Essay Method
Requires the rater to compose a statement describing
employee behavior.
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Behavioral Methods
Critical
CriticalIncident
Incident
Behavioral
BehavioralChecklist
Checklist
Behavioral
Behavioral
Methods
Methods Behaviorally
BehaviorallyAnchored
Anchored
Rating
RatingScale
Scale(BARS)
(BARS)
Behavior
BehaviorObservation
Observation
Scale
Scale(BOS)
(BOS)
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Behavioral Methods (cont.)
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Behavioral Methods (cont.)
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Results Methods
• Productivity Measures
Appraisals based on quantitative measures
(e.g., sales volume) that directly link what employees
accomplish to results beneficial to the organization.
– Criterion contamination
– Focus on short-term results
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Performance Appraisal Under an MBO Program
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Creating an Effective MBO Program
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The Balanced Scorecard
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Summary of Appraisal Methods
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Appraisal Interviews
Types
Types of
ofAppraisal
Appraisal Interviews
Interviews
Tell
Tell and
and Sell
Sell -- persuasion
persuasion
Tell
Tell and
and Listen
Listen --nondirective
nondirective
Problem
Problem Solving
Solving -- focusing
focusing the
the
interview
interview on
onproblem
problem resolution
resolution
and
and employee
employeedevelopment
development
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Appraisal Interview Guidelines
Invite
Invite Participation
Participation Ask
Ask for
for aa Self-Assessment
Self-Assessment
Change
Change Behavior
Behavior Problem
Problem Solving
Solving Focus
Focus
Minimize
Minimize Criticism
Criticism Express
Express Appreciation
Appreciation
Establish
Establish Goals
Goals Be
Be Supportive
Supportive
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Factors That Affect an Employee’s Performance
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Performance Diagnosis
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Managing Ineffective Performance
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Learning Outcomes
1 Explain what performance management is and how the Does your school have a performance management system in place to help
establishment of goals, ongoing performance feedback, students succeed? If so, how do you think the system might be similar or
and the appraisal process are part of it. different to performance management systems in the workplace?
2 Explain the purposes of performance appraisals and the Have ever been given a formal performance appraisal? If you have not, what do
reasons they sometimes fail. you think your employer’s rationale was for not appraising you or other
employees?
3 Describe the different sources of appraisal information. Do you think as an employee you would be in a good position to
appraise your boss? What aspects of his or her performance might you
be in a good position to appraise?
4 Explain the various methods used to evaluate the As an employee, would you rather be evaluated on your personal traits
performance of employees. or characteristics, your on-the-job behaviors, or the results you get?
Would it depend upon the job you were doing?
5 Outline the characteristics of an effective performance As a manager, how might you get an employee who is reluctant to talk
appraisal interview. during an appraisal to share his or her thoughts?
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2013Cengage
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