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Performance

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Performance Appraisal By Naveed Chiragh – PowerPoint PPT presentation

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Title: Performance


1
Performance Appraisal
By Naveed Chiragh
2
Performance Appraisal
  • Performance Appraisal (PA) refers to all
    those procedures that are used to evaluate the
    personality, performance, potential, of its group
    members

3
Relationship between jab analysis and performance
appraisal
  • Job analysis performance performance
  • standards appraisal
  • Describes work
  • Personnel
  • Requirement
  • Of a particular
  • job

Translate job Into levels of To acceptable Or
unacceptable performance
Describes the Job relevant strengths and
weakness of Each individual
4
Question arises?
  • Why do we measure performance?
  • Effective performance appraisal systems
  • How do we measure performance?

5
Characteristics
  • It is a step by step process
  • It examine the employee strengths and weaknesses
  • Scientific and objective study
  • Ongoing and continuous process
  • Secure information for making correct decisions
    on employees

6
Needs and Objectives
  • Provide feedback about employees
  • Provide database
  • Diagnose the S W of individuals
  • Provide coaching, counseling, career planning to
    subordinates
  • Develop positive relation and reduce grievance
  • Facilitates research in personnel management

7
Appraisal Benefits (cont.)
  • Appraisals offer employees
  • Direction
  • Feedback
  • Input
  • Motivation

8
Appraisal Benefits
  • Appraisals offer the company
  • Documentation
  • Employee Development
  • Feedback
  • Legal protection
  • Motivation system

9
Why Appraisals Are Important
  • Recognize accomplishments
  • Guide progress
  • Improve performance

10
Why Important (cont.)
  • Review performance
  • Set goals
  • Identify problems
  • Discuss career advancement

11
Steps in performance appraisal
Establishing job standards Designing an
appraisal programme Appraise performance Perform
ance interview Use appraisal data For
appropriate purpose
12
Process of PA
Setting performance standards
Taking corrective standards
Communicating standards
Discussing results
Measuring standards
Comparing standards
13
Issues in appraisal system
Formal and informal
Appraisal Design?
What methods?
Whose performance?
Who are the raters?
When to evaluate?
What problems?
What to evaluate?
How to solve?
14
What to evaluate? (Philip Model)
Problem children
H
stars
Potential
Social citizen
Planned separation
L
L
H
Performance
15
How PA contribute to firms competitive advantages
Improving performance


Making correct decision
Values and behavior
Competitive advantage
Ensuring legal competence
Minimizing dissatisfaction And turnover
16
Problems in performance appraisal
  • Errors In rating
  • Halo effects
  • Stereotyping
  • Central tendency
  • Constant error
  • Personal bias
  • Spill over effect

17
Problems in performance appraisal (Contd)
  1. Incompetence
  2. Negative approach
  3. Multiple objectives
  4. Resistance
  5. Lack of knowledge

18
Essentials of an effective appraisal system
  • Mutual trust
  • Clear objectives
  • Standardizations
  • Training
  • Job relatedness
  • Documentation
  • Feedback and participation
  • Individual differences
  • Post appraisal review
  • Review and appeal

19
Appraisals and Discrimination
  • Title VII
  • ADA
  • Other fair employment
  • Laws

20
Discrimination (cont.)
  • Failure to communicate standards
  • Failure to give timely feedback
  • Failure to allow employees to correct performance
  • Inconsistency in measuring performance
  • Failure to document performance objectively

21
Appraisal Forms
  • Define performance expectations
  • Describe measurement tools
  • Use a rating system
  • Cover specific examples
  • Set measurable goals

22
Measure Performance
  • Measurement systems need to be
  • Specific
  • Fair
  • Consistent
  • Clear
  • Useful

23
Measure Performance (cont.)
  • Systems can be
  • Numerical
  • Textual
  • Management by Objective (MBO)
  • Behavior oriented

24
Document Performance
  • Make sure documentation is objective
  • Document performance of all employees
  • Provide complete and accurate information
  • Document performance on a regular basis

25
Set Goals.
  • Based on job requirements
  • Realistic
  • Measurable
  • Observable
  • Challenging
  • Prioritized

26
Employee Input
  • Employees take an active role
  • Setting goals
  • Designing action plans
  • Identifying strengths and weaknesses
  • Employees participate in the PA meeting

27
Preparation
  • Employees
  • Review performance
  • Think about new goals

28
Preparation (cont.)
  • Supervisors
  • Review performance
  • Complete written appraisal
  • Think about new goals
  • Schedule time and place

29
Start the Meeting
  • Lay out agenda
  • Talk about money
  • Encourage input
  • Give good news first

30
During the Meeting
  • Review performance
  • Based on previous goals
  • Noting strengths and accomplishments
  • Identifying areas for improvement

31
Presentation Tips
  • Focus on the professional
  • Give objective examples
  • Invite response
  • Listen actively
  • Create we mentality

32
During the Meeting (cont.)
  • Set goals Based on company goals
  • Building on areas that need improvement

33
End the Meeting
  • Encourage good performance
  • Lay out action plan
  • Communicate outcome of goals not met
  • Confirm understanding

34
Continuous Feedback
  • Formal appraisals
  • Informal appraisals
  • Open communication

35
Recognize Good Performance
  • Verbal
  • Public
  • Tangible
  • Monetary

36
Identify Poor Performance
  • Act early
  • Take the right approach
  • Deal with employee reaction
  • Handle continued poor performance

37
Discipline Poor Performance
  • Recognize problems
  • Talk with employee
  • Follow company policy

38
Handle Hard Cases
  • Reviewing highly emotional employees
  • Rating former peers

39
Key Points to Remember
  • You must conduct objective appraisals on a
    scheduled basis.
  • Appraisals tell employees how theyre doing and
    how they can improve.
  • Appraisals help create a system of motivation and
    rewards based on performance.

40
Performance Appraisal Methods
  • Individual Evaluation Methods
  • Confidential report
  • Essay evaluation
  • Critical incidents
  • Checklists
  • Graphic rating scale
  • Behaviorally anchored rating scale
  • MBO

41
Critical Incident method
Ex A fire, sudden breakdown, accident Workers re
action scale A informed the supervisor
immediately 5 B Become anxious on loss of
output 4 C tried to repair the machine
3 D Complained for poor maintenance 2 E was
happy to forced test 1
42
Checklist method
  • Simple checklist method
  • Weighted checklist method
  • Forced choice method

Simple checklist method Is employee regular
Y/N Is employee respected by
subordinate Y/N Is employee helpful Y/N Does
he follow instruction Y/N Does he keep the
equipment in order Y/N
43
Weighted checklist method
weights performance rating (scale 1 to 5
) Regularity 0.5 Loyalty 1.5 Willing to
help 1.5 Quality of work 1.5 Relationship 2.0
44
Forced choice method
  • Criteria Rating
  • 1.Regularity on the job Most Least
  • Always regular
  • Inform in advance for delay
  • Never regular
  • Remain absent
  • Neither regular nor irregular

45
Graphic Rating Scale
  • Continuous Rating Scale
  • Discontinuous Rating Scale

Employee name_________ Deptt_______ Raters
name ___________ Date________ -----------------
--------------------------------------------------
----- Exc. Good Acceptable Fair Poor 5
4 3 2 1 _ Dependability Initiativ
e Overall output Attendance Attitude Cooperation
Total score Continuous Rating Scale
46
Discontinuous Rating Scale
Indifferent
Enthusiastic
Attitude
No Interest
Very enthusiastic
Interested
47
BARS( behaviorally Anchored rating scale)
Step 1. Identify critical incidents Step
2. Select performance dimension Step
3. Retranslate the incidents Step 4. Assign
scales to incidents Step 5. Develop final
instrument
48
MBO Process
  • Set organizational goals
  • Defining performance target
  • Performance review
  • feedback

49
Performance Appraisal Methods
  • Group Appraisal
  • Ranking
  • Paired comparison
  • Forced distribution
  • Performance tests Field review technique

50
Ranking method
Employee Rank A 2 B 1 C 3 D 5 E 4
51
Paired comparison method
A B C D E Final Rank A - - - 3 B - -
2 C - 1 D - - - - 4 E - - - - -
5 No of Positive evaluation Total no. of
evaluation 100 employee superior
evaluation
52
Forced Distribution method
No. of employees
40
20
20
10
10
poor
Below average
average
good
Excellent
Force distribution curve
53
Field review method
Performance subordinate peers
superior customer Dimension Leadership
Communication
Interpersonal skills Decision
making Technical skills
Motivation
54
Performance criteria for executives
  • For top managers
  • Return on capital employed
  • Contribution to community development
  • Degree of upward communication from middle-level
    executives
  • Degree of growth and expansion of enterprise.

55
For middle level managers
  • Departmental performance
  • Coordination among employees
  • Degree of upward communication from supervisors
  • Degree of clarity about corporate goals and
    policies

56
For supervisors
  • Quality and quantity of output in a given period
  • Labor cost per unit of output in a given period
  • Material cost per unit in a given period
  • Rate of absenteeism and turnover of employees
  • No of accidents in a given period
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