Lesson 9 Pad214
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Transcript of Lesson 9 Pad214
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PAD214PAD214INTRODUCTION TO PUBLIC INTRODUCTION TO PUBLIC
PERSONNEL ADMINISTRATIONPERSONNEL ADMINISTRATION
LESSON 9PERFORMANCE APPRAISAL &
PROMOTION
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INTRODUCTION
One of the importance issue that normally faced by any organization is how to maintain and measure employees competencies. Developing an effective performance appraisal system has been a high priority for human resource management. Performance appraisal can be used for many purposes and the primary goal of an appraisal system is to improve individual employee and organizational performance.
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OBJECTIVES OF THIS LECTUREUpon completing this chapter student should be
able to:• Understand the concept performance appraisal• Describe the purpose of performance appraisal• Describe performance appraisal criteria• Describe the methods used to evaluate
employee performance• Understand the problems in evaluating
employee performance
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Definition
• Performance appraisal is the HRM activity that is used to determine the extent to which an employee is performing the job effectively
• Performance appraisal is a continuing assessment of an individual employee’s effectiveness or adequacy in the work performed and his potential for the future.
• Performance appraisal is the systematic, periodic evaluation of employee’s effectiveness or adequacy in the work performed and his potential for the future.
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The purposes of performance appraisal
• Development – used to determine which employee need training
• Compensation adjustment – used to decide who should receive pay raises and bonuses
• Motivation –used to develop a sense of responsibility and stimulate effort to performance better
• Placement decision – used to determine promotion, transfer and demotion decisions
• Employment planning – used to prepare HRP• Job design – used to restructuring the job
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Performance appraisal criteria• Quantity of work – volume of acceptable work• Quality of work – neatness and accuracy of work• Knowledge of job – clear understanding of the facts
pertinent to the job• Personal qualities – personality , leadership• Cooperation – ability and willingness to work with
associates• Dependability – ability to work independently • Initiative – extra effort • Earnestness in seeking increased responsibility
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The methods for evaluating employee performance
• The 360-degree evaluationA multi-rater evaluation that involves input from multiple levels within the firm and external sources as well.
• Graphic Rating ScaleGraphic Rating Scale requires the evaluator to provide an objective evaluation of individual’s performance along a scale from low to high. It uses standard format of appraisal form. The evaluator rates employee according to defined factors.
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• Narrative MethodSubjective evaluation and requires a long written analysis
• Ranking MethodIt is a job evaluation method in which the evaluator simply places all employees from a group in rank order of overall performance.
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The problems• Appraiser Errors
– Leniency and harshness– Central tendency errors– Halo effect– Personal bias– Bias and favouritism
• System design and Operating Problems– Poorly designed– Some evaluation techniques take a long time to carry out– Require extensive written analysis
• Employees’ problem– Employees do not understand the system – Employees are not work-oriented– Evaluation may be below the employees’ expectations
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TUTORIAL– Explain the objective of performance appraisal– Briefly describe each of the following methods
of performance appraisal• Rating scale• Critical incidents• Essay• Work standard• Ranking• Force distribution• Result-based system• 360-degree feedback
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PROMOTION
• Promotion is a process of upgrading of an employee from a job to another position that is higher in pay, responsibility and organizational level.Eg: from Assistant Manager to Manager
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The purposes of promotion
• As a recognition of an employee’s past performance
• As a reward of an employee’s achievement• As a method to motivate employee to strive
for excellent or a method of a career development program
• As a method to fill job vacancies ( higher post)
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The principles of promotion
• MERIT-BASED PROMOTIONMerit –based promotion is used when an employee is promoted because of superior performance in the current job. When promotion is mostly “reward” for past effort and success.
• The problem of merit-based promotion– Whether decision makers can objectively distinguish
strong performers and weak ones.– Peter Principle – in a hierarchy people to raise their
level of incompetence.– Difficulties in measuring the merits.
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• SENIORITY-BASED PROMOTIONSeniority-based promotions use the principle that the most senior employee or the employee who has the longest length of service with the employer gets the promotion
• The advantages of seniority-based promotion– Objective – compare the seniority records of the
candidates to determine who should be promoted– Eliminates biased promotions– Eliminates frustration among senior employees
• The disadvantage of seniority-based promotions is that it de-motivate new and active employees. “Waiting the dead men’s shoes”
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THAT ALL FOR TODAY
SEE YOU AGAIN NEXT LECTURE
LESSON 10 COMPENSATION