6. Performance Appraisals– Why
are they so important?
- Performance reviews are an integral part of
the employee’s on the job experience.
- When fair, accurate and conducted on a
regular basis appraisals can stimulate
employee morale, which can lead to more
efficient business operations and discourage
litigation.
- When performance reviews are not fair
and reasonable, generating inaccurate or
incomplete appraisals, they can have the
opposite effect.
7. INTRODUCTION
Performance Evaluation
or Performance Appraisal
is the process of
assessing the
performance and
progress of an employee
or a group of employees
on a given job and his
potential for future
development.
8. As Flippo said:-
Performance appraisal is the
systematic , periodic and an imparting
rating of an employees excellence in
matters pertaining to his present job
and his potential for a better job. It is
the process of obtaining , analyzing
and recording information about the
relative worth of an employee.
9. Performance Appraisal Is
The Systematic
Evaluation Of The
Individual With Regard
To His Or Her
Performance On The Job
And His Potential For
Development. - By Beach
10. AIMS OF PERFORMANCE
APPRAISAL
• Give employees feedback on
performance
• To determine job competency
• To enhance staff development
and motivate personnel
towards higher achievement.
11. contd…..
• Document criteria used to
allocate
organizational rewards.
• Form a basis for personnel
decisions: salary increases,
promotions, disciplinary
actions, bonuses, etc.
12. • Facilitate communication between
employee and administration
• To improve performance through
counseling, coaching and
development.
• To determine training and
developmental needs of nursing.
contd…
14. • Review the performance of the
employees over a given period of time.
• Judge the gap between the actual and
the desired performance.
• Help the management in exercising
organizational control.
15. • Helps to strengthen the
relationship and communication
between superior subordinates
• Diagnose the strengths and
weaknesses of the individuals so
as to identify the training and
development needs of the future.
16. • To know the problem faced by
employees while doing various jobs.
• To provide a basis for comparison to
segregate efficient and inefficient
employees.
• To help management in fixing employees
according to their capacity, interest,
aptitude and qualifications.
• To help supervisors to know their
subordinates more closely.
17. Qualities most frequently
evaluated are
• Quality of performance
• Mental qualities
• Supervisory qualities
• Personal qualities
• Capacity for further development.
19. • COMPARING THE
ACTUAL WITH
STANDARDS.
• DISCUSSING THE
APPRAISAL.
• TAKING
CORRECTIVE
ACTIONS.
20. APPRAISAL INTERVIEW
• PROBATIONARY:- To determine if
the employee has meet the job
requirements
• ANNUAL:- To determine the current
competencies of the employee and
provide feed back and plan for
professional goals for the coming years
21. • ONGOING-CONTINOUS:- It should
not just occur once a year but
should be ongoing.
• TRANSFER:- Appraisal should take
place before changing the position
and after orientation to new
position.
22. • EXIT:- If an employee is leaving
an organization a terminal
performance appraisal should
be done. The results should be
documented in the employees
personal file.
23. PRACTICES OBSERVED FOR
ASSESSMENT OF PERSONNEL
• The assessment of each
employee should be made
by the person to whom the
employee is administratively
responsible and where ever possible,
by one another person.
• The assessment should be made in
relation to the job specification.
24. • The preparation of the
assessment should
include discussion
with the individual
concerned.
• The assessment
should be considered
confidential.
26. LIMITATIONS OF
PERFORMANCE APPRAISAL
• Bias in conducting appraisal - errors are
introduced in the appraisal because
of a defect or bias in the person
conducting appraisals.
27. CONTINUED….
• Clarity in standards - unless all raters
agree on what terms such as “good”
or “excellent” mean or on the
numerical evaluation of the different
characteristics, their final rating
cannot be compared.
30. TEN COMMANDMENTS OF
THE SYSTEM ARE
• Know the reason for appraisal before
expressing your opinion or
assessment.
• Appraise on the basis of representative
information.
• Appraise on the basis of sufficient
information.
• Appraise on the basis of relevant
information.
31. • Make an honest appraisal.
• Keep written and oral appraisals
consistent.
• Present appraisals as opinion.
• Give appraisal information to only
those who have a good reason to
have it.
32. • Do not imply the existence of an
appraisal that has not been made at all
implying you have information which
is just as misleading
• Do not accept others’ appraisal without
knowing the basis for it.
34. TRADITIONAL METHODS
• Confidential report:- It is a report
prepared by the employees immediate
superiors it covers the strengths and
weaknesses main achievements and
failures personality and behaviour of the
employee. It is used for promotion and
transfers of employees.
35. ESSAY APPRAISAL: The appraiser is
asked to write an essay on the
employee’s strengths, weaknesses
and potentials
– This technique is more valid and
formal than complicated methods of
appraisal.
– The biggest drawback in this method
is that it is difficult to combine and
compare the essays as it may touch
upon various aspects of one’s
performance and qualifications.
Another drawback is the variability of
length and content in the essays.
36. RANKING METHODS: This method is
useful when it becomes necessary
to compare people who work for
different supervisors, when there
are several individual ratings an
when appraisal forms are not
particularly useful. This method is
also employed to compare people
in different units of an organization.
–
37. PAIRED COMPARISON: This is a method of
comparison where each employee is first
compared with the peers, one at a time,
and when all the comparisons are done,
the employees are given the final
rankings.
38. Critical Incidents Method: In this
traditional method of Performance
appraisal, the evaluator rates the
employee on the basis of critical
events and how the employee reacts
in such events - essentially their
behavioural patterns during those
incidents.
39. Field review: In this method, a senior
member of the HR department or a training
officer discusses and interviews the
supervisors to evaluate and rate their
respective subordinates. A major
drawback of this method is that it is a very
time consuming method. But this method
helps to reduce the superiors’ personal
bias.
40. CHECKLIST METHOD: This is
the simplest way of
evaluation where in the rater
is given a checklist
containing a description of
the employee behaviour on
the job. The duty of the
superior is to find out which
description best suits the
employee.
41. GRAPHIC RATING SCALE: This
is one of the oldest and the
most commonly used methods
for appraisal used alongside
Essay Appraisal Method. In
this method, a printed form is
used for measuring both the
quality and the quantity of
work done by an employee.
42. FORCED DISTRIBUTION: To eliminate
the element of bias from the rater’s
ratings, the evaluator is asked to
distribute the employees in some fixed
categories of ratings like on a normal
distribution curve. The rater chooses
the appropriate fit for the categories on
his own discretion
43. MODERN METHODS:
MANAGEMENT BY OBJECTIVES:
It is defined as a process whereby
the employees and the superiors
come together to identify common
goals, the employees set their goals
to be achieved, the standards to be
taken as the criteria for measurement
of their performance and contribution
and deciding the course of action to
be followed.
45. 360 DEGREE APPRAISAL
• 360 degree appraisal
has four integral
components:
1. Self appraisal
2. Superior’s appraisal
3. Subordinate’s
appraisal
4. Peer appraisal.
46. • ASSESSMENT CENTRES:
An assessment centre typically
involves the use of methods like
social/informal events, tests
and exercises, assignments
being given to a group of
employees to assess their
competencies to take higher
responsibilities in the future.
47. Generally, employees are given an
assignment similar to the job they
would be expected to perform if
promoted. The trained evaluators
observe and evaluate employees as
they perform the assigned jobs and are
evaluated on job related
characteristics.
58. 1.FAULTY ASSUMPTIONS
• Managers take a particular appraisal system as
perfect and feel that once they have launched a
programme that would continue forever.
• Managers sometimes assume that personal opinion
is better than formal appraisal and they find little use
of systematic appraisal and review procedures.
• Managers’ assumptions that employees want to
know frankly where they do stand and what their
superiors think about them are not valid.
59. 2. PSYCHOLOGICAL
BLOCKS
• Managers’ feeling of insecurity
• Appraisal as an extra burden
• Their being excessively modest of sceptical
• Their feeling to treat their subordinates’ failure as
their deficiency
• Disliking of resentment by subordinates
• Disliking of communicating poor performance to
subordinates
61. CRITERION PROBLEM –
a criterion is the standard of
performance the manager desires of
his subordinates and against which he
compares their actual
performance. Criteria are
hard to define in
measurable or even objective terms
62. DISTORTIONS –
Distortions occur in the form of biases
and errors in making the evaluation. An
appraisal system has the following
possible distortions:
• Halo effect
• Central tendency
• Constant errors
• Rater’s liking and disliking
63. CONCLUSION
• Performance appraisal is
necessary to ensure an
understanding between an
employees and the
supervisor on the goals of
the institution and progress
of the employees in reading
institutional and personal
goals.
