performance appraisal
TRANSCRIPT
Performance Appraisal
Presentation By,Aagam ShahMBA[ITBM]
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• It is the process by which organization evaluate employee job performance.
• It is a process that involves determining and communicating to an employee how he or she is performing the job and ideally establishing a plan of improvement.
• It is a systematic and objective way of evaluating both work-related behavior and potential of employees.
What is Performance Appraisal
Difference between PM and PA
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Processes used to identify,encourage, measure,evaluate, improve, and reward employee performance.
The process of evaluatinghowwell employees perform their jobs and then communicating that information to the employees.
Objectives
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Benefits of Performance Appraisal
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Who conducts appraisal?
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Appraisal Factors used in A.C.C. ltd
• Ability to take decisions
• Leadership• Employee relation -
ship• Delegation• Ability to run
meetings
• Organising ability• Loyalty• Initiative• Ability to
communicate• Judgement
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Performance Appraisal Process
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Performance Appraisal Methods
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Graphic Rating Scale
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Category Rating Method(contd..)
• Checklists– A performance appraisal tool that uses a list
of statements or work behaviors that are checked by raters.• Can be quantified by applying weights to individual
checklist items.– Drawbacks
• Interpretation of item meanings by raters• Weighting creates problems in appraisal
interpretation
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Comparative methods
• Ranking– A listing of all employees from highest to
lowest in performance.– Drawbacks
• Does not show size of differences in performance between employees
• Implies that lowest-ranked employees are unsatisfactory performers.
• Becomes an unwieldy process if the group to be ranked is large.
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Comparative methods(contd)
• Forced Distribution– Performance appraisal method in which
ratings of employees are distributed along a bell-shaped curve.
– Drawbacks• Assumes a normal distribution of performance.• Providing explanation for placement in a higher
or lower grouping can be difficult.• Is not readily applicable to small groups of
employees.
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Narrative Methods
• Critical Incident– Manager keeps a written record of
highly favorable and unfavorable employee actions.
– Drawbacks• Variations in how managers define a
“critical incident”• Time involved in documenting
employee actions• Most employee actions are not
observed and may become different if observed04/15/2023 18
Narrative Methods(contd..)
• Essay– Manager writes a short essay describing
an employee’s performance.– Drawback
• Depends on the managers’ writing skills and their ability to express themselves.
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Behavioral /Objective methods
• Behavioral Rating Approach– Assesses employees’ behaviors instead of other
characteristics– Consists of a series of scales created by:
• Identifying important job dimensions• Creating statements describing a range of desired and
undesirable behaviors (anchors)– Type of behavioral scale
• Behaviorally anchored rating scales (BARS)
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Behavioral /Objective methods
• Management by Objectives– Specifying the performance goals that an
individual and his or her manager agree the employee will to try to attain within an appropriate length of time.
• Key MBO Ideas– Employee involvement creates higher levels of
commitment and performance.– Encourages employees to work effectively toward
achieving desired results.– Performance measures should be measurable and
should define results.04/15/2023 22
360 Feed Back System
• A system of collecting performance information from multiple parties.
• Multiple parties include one’s subordinates peers,supervisors and customers
• It is also used to design promotion and reward.
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Problems with Performance Appraisal
• First impressions• Halo• Horn Effect• Leniency• Stereotyping• Recent Effect
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