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HRM 09 PerformanceManagementAndAppraisal

Performance Management and Appraisal

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21 views26 pages

HRM 09 PerformanceManagementAndAppraisal

Performance Management and Appraisal

Uploaded by

pranju_pr8
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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Human Resources Management

Module 9: Performance Management and Appraisal


Module Learning Outcomes

Performance Management and Appraisal

9.1: Discuss the purpose of performance management


9.2: Discuss the appraisal process
9.3: Discuss ways to improve appraisal effectiveness
The Purpose of Performance Management
Learning Outcomes: Purpose of Performance
Management
9.1: Discuss the purpose of performance management
9.1.1: Discuss the purpose of performance management
Understanding the purpose of performance
management
• Employee alignment
• Employee motivation
• Employee development
Giving Feedback

• Feedback should be . . .
• Specific
• Helpful
• Timely
• Ongoing
• Actionable
Performance Appraisals Serve an Administrative
Function…
• Supports employee disciplinary action
• Supports employee development
Practice Question 1

Sydelle, a relatively new manager, is preparing for her first employee


appraisal and asks you for perspective; specifically, what are the purposes
of performance management? Which of the following responses is most
accurate?
A. The purposes of performance management are to identify and reward
high-potential talent.
B. The purposes of performance management are to identify and remove
non-performing employees.
C. The purposes of performance management are employee alignment,
motivation and development.
D. The purposes of performance management are to achieve departmental
and organizational goals and objectives.
The Appraisal Process
Learning Outcomes: The Appraisal Process

9.2: Discuss the appraisal process


9.2.1: Describe the steps in the appraisal process
9.2.2: Evaluate absolute appraisal methods
9.2.3: Evaluate relative appraisal methods
9.2.4: Discuss management by objectives
9.2.5: Discuss how to present an appraisal
The steps of the appraisal process

1. Establish performance standards


• SMART goals
2. Communicate performance standards
3. Measure performance
4. Compare actual performance to performance standards
5. Discuss the appraisal with the employee
6. Personnel action
Appraisal methods

Absolute Appraisal Methods Relative Appraisal Methods


• Critical incident • Ranking
• Graphic rating scale • Paired comparison
• BARS (behaviorally anchored rating
scale)

…all ways of measuring a single …all ways of comparing one


employee’s performance employee’s performance to another’s
Management by Objective

• Organizational goals are cascaded down through the organization


• Performance objectives are discussed and agreed to by management and
employees
• Complex and time-consuming method, but results in a clearer
understanding of expectations and greater employee buy-in
Presenting an Appraisal

• Schedule an appraisal meeting


• Optionally, ask the employee to
complete and submit a self-
evaluation
• Decide on the desired outcome
and plan accordingly
• Develop your talking points
• Conduct the appraisal meeting
Practice Question 2

You’re a manager preparing to appraise your employees. Which of the


following should you keep in mind as you do so?

A. Only performance standards that you can observe should be considered.


B. Performance standards should be specific, measurable, achievable,
relevant and time-bound.
C. Only performance that can be expressed in numeric terms should be
factored into the appraisal.
D. To avoid conflict, appraisals should be delivered to employees via email.
Practice Question 3

Managers in your organization generally supervise a staff of 30–50 people.


Your CEO has asked Human Resource management to implement a relative
appraisal method that will eliminate the weakest performers. Which of the
following should you recommend?

A. Paired comparison
B. Critical incident rating
C. 20/70/10 rating
D. BARS
Appraisal Effectiveness
Learning Outcomes: Appraisal Effectiveness

9.3: Discuss ways to improve appraisal effectiveness


9.3.1: Discuss common performance management errors
9.3.2: Identify techniques for improving appraisal effectiveness
Errors in conducting performance appraisals

• The leniency error


• The central tendency error
• The recency error
• The halo effect error
• The horns effect error
• Contrast error
• Past performance error
• Biased rating error
• High potential error
• Similar to me error
• Guilt by association error
Class Activity: What’s your error?
The class should get together in groups of three. One person should be the
evaluator, one should be the employee, and one should be the observer.

Evaluator: Conduct a performance appraisal for the employee. In it, toss in


one “performance appraisal error.” Choose whether the assessment will be
favorable or tough news for the employee and stick with it.

Observer: Try to determine which of the eleven common appraisal mistakes


your evaluator made. What else could the evaluator have done to give a
better appraisal?

Switch positions two more times, so everyone has a turn at all three
positions. If one person has given a favorable appraisal, the next can try a
difficult one, and so on.
Present: What’s your error?
Avoid Errors!

• Cultivate awareness of potential errors


• Rely on data and documentation you’ve compiled, rather than your
perceptions. Focus on the performance, not the person!
Improving Appraisal Effectiveness

Kim Scott’s Radical Candor Lenny Rachitsky’s Performance


• Criticizing employees when they Management System
don’t perform isn’t just a • Set aside time for adequate
manager’s job, it’s a moral preparation
obligation • Development
• Be a caring but challenging • Summary
manager • Concrete examples
• Peer feedback
• Highlight an employee’s
“superpower”
Practice Question 4

You’re reviewing appraisal documentation to identify training gaps. Which of


the following scenarios does NOT suggest a perceptual error?

A. A manager who rates every person on the team as “exceeds


expectations.”
B. A manager who rates every person on the team as “meets
expectations.”
C. A manager who rates staff who are similar to him or her relatively
highly.
D. A manager who rates staff at different levels based on documented
performance relative to goals and standards.
Practice Question 5

You’re developing a management training program to improve appraisal


effectiveness. Which of the following points should you emphasize?

A. Giving your employees constructive feedback is not just your job, it’s
your moral obligation.
B. Say something nice or don’t say anything.
C. The single most important thing a boss can do is let employees figure
things out on their own.
D. Feedback should only cover development needs.
Quick Review

• The purpose of performance management is employee alignment,


motivation and development
• Feedback should be specific, actionable, helpful, timely and ongoing
• The steps of the appraisal process are
• Establish performance standards (using SMART goals)
• Communicate performance standards
• Measure performance
• Compare actual performance to performance standards
• Discuss the appraisal with the employee
• Personnel action
• Appraisals can be absolute, relative, or a hybrid formed from
management by objective situations
• Know common errors and strive to give an effective appraisal

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