9. Performance Mgt and Appraisal Ch09.ppt

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    2005 Prentice Hall Inc.All rights reserved.

    PowerPoint Presentation by Charlie CookThe University o !est Alaba"a

    t e n t h e d i t i o n

    GaryGary

    DesslerDessler

    Cha#terCha#ter$$ PartPart %% Training and &evelo#"entTraining and &evelo#"ent

    Performance ManagementPerformance Management

    and Appraisaland Appraisal

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    After studying this chapter,After studying this chapter,

    you should be able to:you should be able to:

    1. Describe the appraisal process.

    2. Develop, evaluate, and administer at least fourperformance appraisal tools.

    3. Explain and illustrate the problems to avoid inappraising performance.

    4. List and discuss the pros and cons of six appraisalmethods.

    5. erform an effective appraisal intervie!.

    ". Discuss the pros and cons of using different ratersto appraise a person#s performance.

    2005 Prentice Hall Inc. All rights reserved. 2005 Prentice Hall Inc. All rights reserved. $'$'22

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    Comparing Performance Appraisal

    and Performance Managementerformance appraisal Evaluating an employees current and/or

    past performance relative to his or her

    performance standards.erformance management

    The process employers use to make sureemployees are orking toard

    organi!ational goals. Employees individual goals point towards overall

    strategic direction

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    "hy Performance Management#

    $ncreasing use b% emplo%ers of performancemanagement reflects&

    The popularity of the total $ualitymanagement %T&M' concepts.

    The (elief that traditional performanceappraisals are often not )ust useless (utcounterproductive.

    The necessity in todays glo(ally

    competitive industrial environment for everyemployees e*orts to focus on helping thecompany to achieve its strategic goals.

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    Continuous improvement

    ' management philosoph% that re(uiresemplo%ers to continuousl% set and

    relentlessl% meet ever)higher (ualit%, cost,

    deliver%, and availabilit% goals b%&

    Eradicating the seven astes+

    overproduction, defective products, and unnecessary

    downtime, transportation, processing costs, motion, and

    inventory.

    ,e$uiring each employee to continuouslyimprove his or her on personalperformance- from one appraisal period tothe net.

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    An ntroduction to Appraising

    Performance*h% appraise performance+ Appraisals play an integral role in the

    employers performance managementprocess.

    Appraisals help in planning for correctingde0ciencies and reinforce things donecorrectly.

    Appraisals- in identifying employee strengthsand eaknesses- are useful for careerplanning

    Appraisals a*ect the employers salary raisedecisions.

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    ,ealistic Appraisals

    he tool !ill - matter if the appraisal isn#t

    accurate/otivations for soft 0less)than)candid appraisals

    The fear of having to hire and train someonene

    The unpleasant reaction of the appraisee A company appraisal process thats not

    conducive to candor

    aards of giving soft appraisals

    Employee loses the chance to improve (efore(eing forced to change )o(s.

    1asuits arising from dismissals involvinginaccurate performance appraisals.

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    2e0ning 3oals and "ork E*orts

    uidelines for effective goals Assign speci0c goals

    Assign measura(le goals

    Assign challenging (ut doa(le goals

    Encourage participation/'6 goals are&

    Speci0c- and clearly state the desired results.

    Measura(le in ansering 4ho much.5

    Attaina(le- and not too tough or too easy.

    Relevant to hats to (e achieved.

    Timely in re6ecting deadlines and milestones.

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    Performance Appraisal ,olesupervisors

    7sually do the actual appraising. Must (e familiar ith (asic appraisal

    techni$ues.

    Must understand and avoid pro(lems that can

    cripple appraisals. Must kno ho to conduct appraisals fairly. Give the employee advance notice

    Give the employee an advance copy of the appraisal

    Must 8E P,EPA,E2.

    Review prior performance appraisals Review any notes taen regarding employees performance

    !E "AM#$#AR with the employees %o&

    What r!"ects the# are $!r%ing !n& etc.

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    '0

    Performance Appraisal ,oles%contd'

    6 department 9erves a policy:making and advisory role.

    Provides advice and assistance regardingthe appraisal tool to use.

    Prepares forms and procedures and insiststhat all departments use them.

    ,esponsi(le for training supervisors toimprove their appraisal skills.

    ,esponsi(le for monitoring the system toensure that appraisal formats and criteriacomply ith EE; las and are up to date.

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    9teps in Appraising Performance

    Defining the 7ob Making sure that you and your su(ordinate

    agree on his or her duties and )o( standards. 'eres where that %o& description comes in handy..

    'ppraising performance Comparing your su(ordinates actualperformance to the standards that have (eenset< this usually involves some type of ratingform.

    roviding feedbac8

    2iscussing the su(ordinates performance andprogress- and making plans for anydevelopment re$uired.

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    2esigning the Appraisal Tool

    *hat to measure+ "ork output %$uality and $uantity'

    Personal competencies

    3oal %o()ective' achievemento! to measure+

    3raphic rating scales

    Alternation ranking method M8;

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    Performance Appraisal Methods

    raphic rating scale A scale that lists a num(er of traits and a

    range of performance for each that is usedto identify the score that (est descri(es an

    employees level of performance for eachtrait.

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    '4

    3raphic,ating

    9cale ith9pace for

    Comments

    (ig)re $'%

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    Portion of an Administrative 9ecretarys9ample Performance Appraisal =orm

    (ig)re $'*ource& (ames !uford (r., !ettye !urhalter, and Grover (aco&s, )$in (o&

    *escription to Performance Appraisals,+ ersonnel 9ournal, (une -, pp. /01/2.

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    Performance

    Management;utline

    (ig)re $'5aource& www.cwru.edu.

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    '7(ig)re $'5b

    PerformanceManagement

    ;utline

    %contd'

    ource& www.cwru.edu.

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    '8

    PerformanceManagement

    ;utline%contd'

    (ig)re $'5cource& www.cwru.edu.

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    Performance Appraisal Methods%contd'

    'lternation ran8ing method ,anking employees from (est to orst on a

    particular trait- choosing highest- thenloest- until all are ranked.

    aired comparison method ,anking employees (y making a chart of all

    possi(le pairs of the employees for eachtrait and indicating hich is the (etter

    employee of the pair.

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    Alternation ,anking 9cale

    (ig)re $'+

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    ,anking Employees (y thePaired Comparison Method

    (ig)re $',

    Note: + means better than. - means worse than. For each chart, add up

    the number of 1s in each column to get the highest-raned emplo!ee.

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    Performance Appraisal Methods%contd'

    :orced distribution method 9imilar to grading on a curvelenienc%The pro(lem that occurs hen a supervisor

    has a tendency to rate all su(ordinateseither high or lo.

    ;ias

    The tendency to allo individual di*erencessuch as age- race- and se to a*ect the

    appraisal ratings employees receive.

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    Do to Avoid Appraisal Pro(lems

    Learn and understand the potential problems,and the solutions for each.

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    "ho 9hould 2o the Appraising#

    he immediate supervisoreers

    6ating committees

    Employees supervisor and ?:@ other

    supervisors

    elf)ratings

    ubordinates

    3"@)Degree feedbac8

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    Advantages and 2isadvantages of AppraisalTools

    Table $'%

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    The Appraisal ntervie

    %pes of appraisal intervie!s 9atisfactoryPromota(le

    9atisfactoryFot promota(le

    7nsatisfactoryCorrecta(le

    #mmediately followed &y some form of a 8AP

    7nsatisfactory7ncorrecta(le

    o! to conduct the appraisal intervie!

    Talk in terms of o()ective ork data.

    2ont get personal.

    Encourage the person to talk.

    2ont tiptoe around.

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    The Appraisal ntervie %contd'

    o! to handle a defensive subordinate ,ecogni!e that defensive (ehavior isnormal.

    Fever attack a persons defenses.

    Postpone action. ,ecogni!e your on limitations.

    @ou are their &oss 1 not their shrin

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    The Appraisal ntervie %contd'

    o! to criticie a subordinate 2o it in a manner that lets the person

    maintain his or her dignity and sense oforth.

    Critici!e in private- and do it constructively.

    Avoid once:a:year 4critical (roadsides5 (ygiving feed(ack on a daily (asis- so that theformal revie contains no surprises.

    Fever say the person is 4alays5 rong

    Criticism should (e o()ective and free of anypersonal (iases on your part.

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    The Appraisal ntervie %contd'

    o! to ensure the intervie! leads toimproved performance

    2ont make the su(ordinate feel threatenedduring the intervie.

    3ive the su(ordinate the opportunity topresent his or her ideas and feelings and toin6uence the course of the intervie.

    Dave a helpful and constructive supervisor

    conduct the intervie.

    ;*er the su(ordinate the necessary supportfor development and change.

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    The Appraisal ntervie %contd'

    o! to handle a formal !ritten !arning Purposes of the ritten arning

    Purpose is to 8'AGE !E'AB#CR

    Do shae your employee out of &ad ha&its.

    'elp you defend your rating, &oth to your own &oss and

    9if needed: to the courts.

    "ritten arnings should+

    #dentify standards &y which employee is %udged.

    Mae clear that employee was aware of the standard.

    pecify deficiencies relative to the standard.

    #ndicates employees prior opportunity for correction.

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    Creating the Total PerformanceManagement Process A*hat is our strateg% and !hat are our

    goals+B

    A*hat does this mean for the goals !e set for

    our emplo%ees, and for ho! !e train,appraise, promote, and re!ard them+B

    *hat !ill be the technological support

    re(uirements+

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    Gey Terms

    #eror"ance a##raisal

    #eror"ance "anage"ent

    gra#hic rating scale

    alternation ranking "ethod

    #aired co"#arison "ethod

    orced distrib)tion "ethod

    critical incident "ethod

    behaviorally anchored rating

    scale /A1

    "anage"ent by ob3ectives4/

    electronic #eror"ance

    "onitoring 6P4

    )nclear standards

    halo eect

    central tendency

    strictness7leniency

    bias

    a##raisal interview