Performance Appraisal Measures
By means of HRD activities, the manager develops the technical, managerial, behavioral knowledge, skill ability and values, which are necessary to perform present and future role.
The process of performance appraisals helps the manager and management to know the actual performance level of manager when compared to standard level.
Performance appraisal is the basis of HRD, based on which promotions ,demotion, salary fixing etc. can be decided. It is the basis for the individual development
It is a method of evaluating the behaviour of the manager in work spot, both qualitative and quantitative aspect.
It is the degree of accomplishment of the task that makes up an individual job.
The performance of an employee is his resultant behavior on task which can be observed & evaluated
Performance is measured in degree of the result achieved.
Performance Appraisal :
Performance Appraisal (PA) refers to all those procedures that are used to evaluate the personality, performance, potential, of its group members
Purpose of PA-Remedial, maintenance, development
Characteristic feature of performance appraisal
Performance appraisal is the systematic description of the manager job relevant strength and weakness.
Basic purpose is to find out how well the manager is performing the job.
Appraisals are arranged periodically.
Performance appraisal is a continuous process.
Secure information for making correct decisions on employees
Performance appraisal is followed by corrective measures
NEED FOR PERFORMANCE APPRAISAL
ü Provides information about the performance rank.
ü Provide feedback information about the level of achievements and behaviours of subordinate.
ü Prevent grievances and maintains discipline
ü Creates and maintain satisfactory level of performance.
ü Contributes to manager growth and development through training programs.
ü Helps the superior to have proper understanding about their subordinates.
ü Helps to adopt job changes with the help of continuous ranking.
ü Facilitates fair and equitable compensation, based on performance.
ü Facilitates in testing and validating selection tests, interview techniques, by comparing their scores with performance standards.
ü Provides information for making decisions regarding layoff, retrenchment etc.
The Appraisal Model
The appraisal model consists of three kinds of appraisals:
Progress or periodic review
Continuous monitoring Formal Comprehensive Review
It is conducted at least once a year.
Performance is reviewed for the period.
Progress or Periodic review
Identifies the problems or barrier that hinder effective performance at regular intervals.
Open communication between superior and subordinate
Priorities can be rearranged and objectives can be reorganized
If the system deviates from the plan , one does not have to wait for the next periodic review to correct it. The superior and the subordinate discuss the situation such that corrective action can be taken immediately in order to prevent further deviation.
Process of PA
Performance appraisal methods
With the evolution and development of the appraisal system a number of methods or techniques of performance appraisal have been developed. They can be classified as
Graphic rating scales
Paired Comparison Method
Forced Distribution Method
Check List Method
Critical Incident Method
Essay Appraisal Form
BARS (Behaviourally Anchored Rating Scales)
Management By Objective
Problems of Performance Appraisal
Halo effect- one trait
The Error of Central tendency
Rating all in the middle – avoid both extremes of scale
The leniency and strictness – liberal rating
Personal prejudices - dislikes
Less reliability and validity
How to minimize the problems
The problems of performance appraisal can be minimized through the following means:
By covering an open meeting with the appraisers and discussing the performance of the manager before an after performance review discussions.
By encouraging every one to comment on each other‘s achievements and area requiring improvement.
The appraiser should be objective and speak the truth.
By conducting counselling meeting with the managers to appraise them of their performance and consequences.