Performance Management 389

Performance Management: Unit 1

PERFORMANCE MANAGEMENTUnit 1

Definition converns and scope PfM Process Features of an effective PfM

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What is work? Work involves anticipating and planning; and it involves adaptability to suit varying needs, rather than merely using what is accessible.It is something performed to meet

Basic physiological needs

Achievement needs Self-actualization

needs

Work may be mental or manual, blue collared or white collared…

More important is the way it is done, the commitment and effort that has been put in and the result/outcome. Mere enjoyment of the work would not translate to good work. There is always primary objective and multiple secondary objectives. Striking a perfect balance will be the factor responsible for the successful accomplishment of the work. What is performance?Means outcome achieved or accomplishment at work. Performance mainly consists of two aspects

Behavior Outcome

Iiccha jnana kriya

Carkhuff’s equation for human productivityProductivity = Responsiveness+ Initiative+ Processing

Excellence is not a skill. Its is an attitude (Amity Business School)

Efficacy = efficiency + effectivenesscapacity or power to produce a desired effectthe ratio of the output to the input of any systemAbility to achieve stated goals or objectives, judged in terms of both output and impact

Performance-Potential matrix (effort concentration matrix)

High

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Perf

or

man

ce

Low

Low HighPotential

What is performance management PfMPfM is a way of systematically managing the performance of individual, group and/or the organization based on the predetermined targets and measurable objectives. It is a holistic process which envisage setting performance targets, measuring performance, conduction gap analysis and root cause analysis and using the resultant leading and lagging indicators for the performance enhancements techniques like training, compensating management.

‘PfM is a means of getting better results from the organization, teams and individuals by understanding and managing performance with in an agreed framework of planned goals, standards and competencies requirements. It is a process of establishing shared understanding about what is to be achieved and an approach to managing and developing people in a way that increases the probability that it will be achieved in a short and longer term.’- Armstrong

Business performance management (BPM):Business performance management (BPM) is a set of processes that help organizations optimize business performance. BPM is seen as the next generation of business intelligence (BI). BPM is focused on business processes such as planning and forecasting. It helps businesses discover efficient use of their business units, financial, human, and material resources.

HistoryAn early reference to non-business performance management occurs in Sun Tzu's The Art of War. Sun Tzu claims that to succeed in war, one should have full knowledge of one's own strengths and weaknesses and full knowledge of one's enemy's strengths and weaknesses. Lack of either one might result in defeat. A certain school of thought draws parallels between the challenges in business and those of war, specifically:

Collecting data Discerning patterns and meaning in the data (generating

information) Responding to the resultant information

Prior to the start of the Information Age in the late 20th century, businesses sometimes took the trouble to struggle to collect data from

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non-automated sources. Businesses then lacked the computing resources to properly analyze the data, and often made commercial decisions primarily on the basis of intuition.

As businesses started automating more and more systems, more and more data became available. However, collection remained a challenge due to a lack of infrastructure for data exchange or to incompatibilities between systems. Reports on the data gathered sometimes took months to generate. Such reports allowed informed long-term strategic decision-making. However, short-term tactical decision-making continued to rely on intuition.

In modern businesses, increasing standards, automation, and technologies have led to vast amounts of data becoming available. Data warehouse technologies have set up repositories to store this data. Improved ETL and even recently Enterprise Application Integration tools have increased the speedy collecting of data. OLAP reporting technologies have allowed faster generation of new reports, which analyze the data. Business intelligence has now become the art of sieving through large amounts of data, extracting information and turning that information into actionable knowledge.

In 1989 Howard Dresner a research analyst at Gartner (until 2005, now Chief Strategy Officer at Hyperion Solutions Corporation), popularized "BPM" as an umbrella term to describe a set of concepts and methods to improve business decision-making by using fact-based support systems.

The term "BPM" is now becoming confused with "Business Process Management", and many are converting to the term "Corporate Performance Management" or "Enterprise Performance Management".

What is BPM?BPM involves consolidation of data from various sources, querying, and analysis of the data, and putting the results into practice.

BPM enhances processes by creating better feedback loops. Continuous and real-time reviews help to identify and eliminate problems before they grow. BPM's forecasting abilities help the company take corrective action in time to meet earnings projections. Forecasting is characterized by a high degree of predictability which is put into good use to answer what-if scenarios. BPM is useful in risk analysis and predicting outcomes of merger and acquisition scenarios and coming up with a plan to overcome potential problems. BPM provides key performance indicators (KPI) that help companies

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monitor efficiency of projects and employees against operational targets.

Metrics / Key Performance IndicatorsBPM often uses Key performance indicators (KPIs) to assess the present state of business and to prescribe a course of action. More and more organizations have started to make data available more promptly. In the past, data only became available after a month or two, which did not help to suggest to managers to adjust activities in time to hit Wall Street targets. Recently, banks have tried make data available at shorter intervals and have reduced delays. For example, for businesses which have higher operational/credit risk loading (for example, credit cards and "wealth management"), A large multi-national bank makes KPI-related data available weekly, and sometimes offers a daily analysis of numbers. This means data usually becomes available within 24 hours, necessitating automation and the use of IT systems.

Most of the time, BPM simply means use of several financial/nonfinancial metrics/key performance indicators to assess the present state of business and to prescribe course of action. Some of the areas which top management analysis could gain knowledge from BPM:

Customer-related numbers: o New customers acquired o Status of existing customers o Attrition of customers (including breakup by reason for

attrition) Turnover generated by segments of the Customers - these could

be demographic filters. Outstanding balances held by segments of customers and terms

of payment - these could be demographic filters. Collection of bad debts within customer relationships. Demographic analysis of individuals (potential customers)

applying to become customers, and the levels of approval, rejections and pending numbers.

Delinquency analysis of customers behind on payments. Profitability of customers by demographic segments and

segmentation of customers by profitability.

This is more an inclusive list than an exclusive one. The above more or less describes what a bank would do, but could also refer to a telephone company or similar service sector company.

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Principles of PfM (Armstron)/ Features of an effective PfM System?

Transparency Managed development Mutual respect Fairness and equity Organizational climate Effective context management

Concerns and scope of Traditional PfM system… PA?Concerns

Remedying poor performers and performance Bridging gaps on performance expectations Securing equitable rewards and punishments decisions from the

management Softening performance pressures through appropriate planning,

scheduling and delegation.

ScopeScope is limited to performance measurement by means of time

and work-study.

A short history of Performance ManagementAppraisal systems have been around since the industrial revolution when they were used to measure the production of a workforce. There were clear definable objectives, produce x number of widgets by Friday, they were by default ‘SMART’ and very much tied reward as the workers salary was often based upon weekly production.

In today’s service economy the connection of objectives to production starts to look a little bizarre as often there is no direct connection between service delivery and effort required to produce it. For example software development is not based upon the number of lines of code produced but on the quality of the finished product, sales are rarely based upon the number of calls made but more likely on the relationship between the salesman and the customer, and the quality of material produced by a marketing professional will be almost impossible to quantify.

So Why Do We Still Have Goal Based Appraisal Systems?This is mostly due to work conducted in the 1950’s and 1960’s around the area of objectives. Research was done into the effectiveness of objectives on individual performance and it was found that by allowing individuals to set Specific, Measurable and Realistic goals

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that were possible to Achieve and had a Time limit imposed upon them then the chances are they would perform better than being given less defined sets of objectives.Much of this work was done in the Psychology lab and involved highly motivated research students. Although this work has been validated in real life the results are not as clear cut as were originally thought and a number of other variables were found that appear to have been left off of the list

Appraisal Systems – Where Does it All Go Wrong?So, we have a measurement system based upon 19th century innovation in mass production and a goal setting mechanism based upon 1950’s psychology research, not a particularly good start. So what’s left? There are a whole range of issues around the appraisal process which also need to be considered, the top concerns are:

1. Halo and Horns – This is something often mentioned in literature regarding job interviews but appears to be completely ignored when appraisal time comes around. The Halo and Horns effect is the appraisers personal view of the appraised based not upon cold hard facts but on the unconscious internal appraisal by the appraiser. Two individuals both with exactly the same production record can be given widely varying reviews based upon the perception of the reviewer skewing the results in favour of a particular personality type.

2. Good cop/Bad cop – The quality of an appraisal system depends heavily upon the consistency of the reviewers. In an ideal situation all individuals within an organisation will be reviewed by one individual, however in anything but the smallest business this is impractical and you are left with the impact of human variance.

3. Hearsay or Heresy – One of the biggest issues in large organisations is history, not of the company although that is important, but of the individual and like all histories it is written by the winners and not the losers. In an appraisal situation the history created around an individual can be very destructive and will influence the Halo and Horns effect.

4. Voter Apathy – When the psychological work on objective setting was done in the 1950’s and 1960’s it was based upon the study of conscientious and motivated individuals. The later work on objectives in the organisations highlighted as one of the critical issues (and one that has been largely

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ignored) of the enthusiasm and motivation of the staff for the appraisal system itself. The concept of buy-in is an important one and one that is often overlooked by corporations introducing review systems. The staff being reviewed must agree with the process and accept it as useful otherwise the impact of any review will be of little use.

5. R.E.S.P.E.C.T – This is a reversal of the Halo and Horns effect in that this applies to the reviewer and not the reviewed. For any feedback to be accepted and effective it needs to come from a respected source, it needs to be consistent and it also needs to be timely.

6. Timing is everything – Perhaps the greatest failing of organisations when reviewing the performance of staff (whether it be good or bad) often the delay between the behaviour and the review for both good and bad behaviour often to a point where the issue is no longer relevant.

7. Feedback, the breakfast of champions – Feedback is always considered an important part of the review process however feedback, and it’s counter-part Constructive Criticism have been overused as ways of telling people how they got it wrong, rather than what they got right, and often the feedback process completely misses the point of only focusing on bad behaviour rather than reinforcing good behaviour which is a better use of the process.

So, is it all gloomy for the appraisal system? Should they be scrapped all together? Perhaps measuring staff production is not the way to go? Maybe there is a better approach.

Building a Better Mouse TrapThere are some simple steps that can revolutionise the way that staff are managed throughout the year but they do require some effort on the part of the business however it can pay real dividends in staff motivation and improving performance.

1. Catch people doing things right – this is old advice and yet in many organisations it has been ignored or just become management mantra without embracing the fundamental concepts. Not only is it about identifying when people do a good job but actually rewarding it. If your organisation values innovation, then reward the innovators even if you don’t like or agree with the innovation.

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2. No-one makes mistakes – if you really want to create an outstanding appraisal process then start with the premise that there are no mistakes just learning experiences. This can sound a little silly, however if you believe that people do the best they can then this ceases to be a stumbling block and if someone makes a ‘mistake’ it is probably a misunderstanding of their capability.

3. PRISM/SMART – Over the years much has been made of SMART (Specific, Measurable, Achievable, Realistic and Time bound) and these have worked for many however there are some things that are lacking from this and PRISM© objectives are much more effective

Personal – For any objective to be effective it needs to be set by and for the individual. Many organisations like to set corporate objectives that everyone signs up to, however in reality unless there is a real motivation to then most individuals will just pay lip service to the idea. Objectives set by and for the individual are automatically bought in to by that individual. Realistic – In the old SMART world objectives had to be Realistic and Achievable, in reality for something to be truly realistic it has to be achievable. In the PRISM© world for a goal to be realistic it must be achievable.Interesting – For anyone setting objectives for themselves or in the corporate space an objective that is interesting (and enjoyable) is far more likely to be fulfilled than something that an individual has to do.Specific – As has been found by all of the goal setting experiments of the past 50 years a goal needs to be specific for it to be really effective. For a goal to be truly specific it needs to include a completion date and is therefore time bound.Measurable – In PRISM© terms this means what will you be, do or have when the objective has been reached. What tangible thing can you wave in front of people to show you have achieved your goal.

4. Give real feedback – This means telling people when things have gone badly or that their behaviour is causing a problem but it is not ‘constructive criticism’. If someone does a good job 95% of the time and for 5% of their time they make a hash of it then focus on the 95% rather than the 5%. Appraisal processes and appraisers should think carefully before they focus on the 5%-10% of an individual that is

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‘under performing’ lest they undermine the 90% that is performing. Perfection is not something that should be aimed for - improvement is.

From a tactical role people management and PfM has gained a strategic role.

MERIT RATING

Merit is Any admirable quality or attribute; "work of great merit" Deservingness: the quality of being deserving (e.g., deserving

assistance); "there were many children whose deservingness he recognized and rewarded"

Deserve: be worthy or deserving; "You deserve a promotion after all the hard work you have done"

A method for appraising the performance of an employee with respect to his or her job. It frequently serves as a basis for making pay adjustments, promotion decisions, or work reassignments. A system for measuring the difference of an individual risk by some standard in order to reflect the difference in the rate.

A common method which has long been in existence for measuring performance of employees in organizations is Merit Rating, where performance levels are judged according to various criteria.

The performance management cycle is an ongoing process that includes:

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o establishing expectations and desired outcomes;o monitoring performance; o providing feedback and coaching; and o assessing an employee’s work continuously throughout the year.

The “final annual steps” in the performance management cycle include conducting performance evaluations, making merit pay determinations, and communicating with employees about their overall performance including their performance appraisal rating.

The Performance Appraisal Process

The performance appraisal process typically consists of four inter-related steps as follows:

1. Establish a common understanding between the manager (evaluator) and employee (evaluatee) regarding work expectations; mainly, the work to be accomplished and how that work is to be evaluated.

2. Ongoing assessment of performance and the progress against work expectation. Provisions should be made for the regular feedback of information to clarify and modify the goals and expectations, to correct unacceptable performance before it was too late, and to reward superior performance with proper praise and recognition.

3. Formal documentation of performance through the completion of a performance and development appraisal form appropriate to the job family.

4. The formal performance and development appraisal discussion, based on the completed appraisal form and ending in the construction of a Development Plan.

Merit Rating for Academic Faculty

Performance Categories and Merit Steps

Performance Evaluation Categories

ExcellentCommendableSatisfactoryUnsatisfactory

Merit Steps

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Steps

Excellent 3Commendable 2Satisfactory 1Unsatisfactory 0

1. EXCELLENT:

Met the requirements for “Commendable”: Significantly surpasses expectations in all aspects ofposition/responsibilities demonstrates highest knowledge and skills. Achieved the highest possible levels of excellence in achievements and competence in teaching, research and service.Examples are: National publications, major research achievement, national recognition, made exceptional contributions to the department, college or university; considered a leader among colleagues.

2. COMMENDABLE:

Met the requirements for “Satisfactory”: Successfully met, and in some areas, significantly exceeded established goals and objectives. Achieved high levels of achievements and competence in the areas of teaching, research and service.

3. SATISFACTORY:

Met the established goals and objectives for the evaluation period; in a few instances, may have missed some and exceeded others but, on balance performs competently.

4. UNSATISFACTORY:

Did not meet established goals and objectives for the evaluation period; has not performed competently or consistently. Experienced productivity and competence in one or more areas of teaching, research or service.

Suggested Standards of Performance

Outcome

Subject KnowledgeRating: Excellent Commendable Satisfactory Unsatisfactory

Demonstrates understanding of the subject Keeps informed about new information Learns new routines/assignments willingly

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ExperienceRating: Excellent Commendable Satisfactory Unsatisfactory

Has prior experience as a teaching faculty in reputed institutions The number of years of teaching experience

QualificationRating: Excellent Commendable Satisfactory Unsatisfactory

Has the desired qualification for the post from a recognized UniversityCommunicationRating: Excellent Commendable Satisfactory Unsatisfactory

Speaks effectively and clearly Writes in clear well organized manner Communicates the subject matter appropriately Communicates effectively when interacting with student population

BehaviorAttitude and Commitment

1. Relationship Rating: Excellent Commendable Satisfactory Unsatisfactory

Is accessible and approachable Establishes sound working relationships Courteous to the student population

2. CreativityRating: Excellent Commendable Satisfactory Unsatisfactory

Initiates creative and innovative skills

3. Keeping schedules

Rating: Excellent Commendable Satisfactory Unsatisfactory

Maintains agreed upon work schedule Readily available to students Follows through to complete projects and meet deadlines

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MANAGEMENT BY OBJECTIVE

What is MBO?Management by objectives (MBO) is a systematic and organized approach that allows management to focus on achievable goals and to attain the best possible results from available resources. It aims to increase organizational performance by aligning goals and subordinate objectives throughout the organization. Ideally, employees get strong input to identify their objectives, time lines for completion, etc. MBO includes ongoing tracking and feedback in the process to reach objectives.

MBO was first outlined by Peter Drucker in 1954 in his book 'The Practice of Management'. In the 90s, Peter Drucker himself decreased the significance of this organization management method, when he said: "It's just another tool. It is not the great cure for management inefficiency... Management by Objectives works if you know the objectives, 90% of the time you don't."

Core Concepts:According to Drucker managers should "avoid the activity trap", getting so involved in their day to day activities that they forget their

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main purpose or objective. Instead of just a few top-managers, all managers should:

Participate in the strategic planning process, in order to improve the implement ability of the plan, and

Implement a range of performance systems, designed to help the organization stay on the right track.

Main Principle:The principle behind MBO is to make sure that everybody within the organization has a clear understanding of the aims, or objectives, of that organization, as well as awareness of their own roles and responsibilities in achieving those aims. The complete MBO system is to get managers and empowered employees acting to implement and achieve their plans, which automatically achieve those of the organization.

Cascading of organizational goals and objectives Specific objectives for each member Participative decision making Explicit time period Performance evaluation and feedback

Where to Use MBO:The MBO style is appropriate for knowledge-based enterprises when your staff is competent. It is appropriate in situations where you wish to build employees' management and self-leadership skills and tap their creativity, tacit knowledge and initiative. MBO is also used by chief executives of multinational corporations (MNCs) for their country managers abroad.

Setting Objectives (SMART: Specific, Measurable, Attainable, Relevant, Timely):In MBO systems, objectives are written down for each level of the organization, and individuals are given specific aims and targets. "The principle behind this is to ensure that people know what the organization is trying to achieve, what their part of the organization must do to meet those aims, and how, as individuals, they are expected to help. This presupposes that organization's programs and methods have been fully considered. If they have not, start by constructing team objectives and ask team members to share in the process.

"The one thing an MBO system should provide is focus", says Andy Grove who ardently practiced MBO at Intel. So, have your objectives

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precise and keep their number small. Most people disobey this rule, try to focus on everything, and end up with no focus at all. For MBO to be effective, individual managers must understand the specific objectives of their job and how those objectives fit in with the overall company objectives set by the board of directors. "A manager's job should be based on a task to be performed in order to attain the company's objectives... the manager should be directed and controlled by the objectives of performance rather than by his boss."1

The managers of the various units or sub-units, or sections of an organization should know not only the objectives of their unit but should also actively participate in setting these objectives and make responsibility for them.

The review mechanism enables leaders to measure the performance of their managers, especially in the key result areas: marketing; innovation; human organization; financial resources; physical resources; productivity; social responsibility; and profit requirements.

However, in recent years opinion has moved away from the idea of placing managers into a formal, rigid system of objectives. Today, when maximum flexibility is essential, achieving the objective rightly is more important.

Balance between Management and Employee EmpowermentThe balance between management and employee empowerment has to be struck, not by thinkers, but by practicing managers. Turning their aims into successful actions, forces managers to master five basic operations:

Setting objectives, Organizing the group, Motivating and communicating, Measuring performance, and Developing people, including you.

These MBO operations are all compatible with empowerment, if you follow the main principle of decentralization: telling people what is to be done, but letting them achieve it their own way. To make the principle work well, people need to be able to develop personally. Further, different people have different hierarchy of needs and, thus, need to be managed differently if they are to perform well and achieve their potential.

Empowerment recognizes "the demise" of the command-and-control system, but remains a term of power and rank. A manager should view members of his or her team much as a conductor regards the

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players in the orchestra, as individuals whose particular skills contribute to the success of the enterprise. While people are still subordinates, the superior is increasingly dependent on the subordinates for getting results in their area of responsibility, where they have the requisite knowledge. In turn, these subordinates depend on their superior for direction and "above all, to define what the 'score' if for the entire organization, that is, what are standards and values, performance and results."

Managing for Results:The only place where meaningful management results can be won is the outside world. Managing for results is expansion of MBO into the marketplace. It is the theory and practice of how to produce results on the outside, in the market and economy.

To achieve these results, you should develop a solid, sound, customer-focused, and entrepreneurial strategy, aimed at market leadership, based on innovation, and tightly focused on decisive opportunities.

Individual Responsibility:MBO creates a link between top management's strategic thinking and the strategy's implementation lower down. Responsibility for objectives is passed from the organization to its individual members. It is especially important for knowledge-based organizations where all members have to be able to control their own work by feeding back from their results to their objectives.

Management by objectives is achieved through self-control, the tool of effectiveness. Today the worker is a self-manager, whose decisions are of decisive importance for results.

In such an organization, management has to ask each employee three questions:

What should we hold you accountable for? What information do you need? What information do you owe the rest of us?

MBO Strategy: Three Basic Parts: All individuals within an organization are assigned a special set

of objectives that they try to reach during a normal operating period. These objectives are mutually set and agreed upon by individuals and their managers.

Performance reviews are conducted periodically to determine how close individuals are to attaining their objectives.

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Rewards are given to individuals on the basis of how close they come to reaching their goals.

Six MBO Stages: Define corporate objectives at board level Analyze management tasks and devise formal job specifications,

which allocate responsibilities and decisions to individual managers

Set performance standards Agree and set specific objectives Align individual targets with corporate objectives Establish a management information system to monitor

achievements against objectives

MBO: Key Advantages and DisadvantagesAdvantages

MBO programs continually emphasize what should be done in an organization to achieve organizational goals.

MBO process secures employee commitment to attaining organizational goals.

Disadvantages The development of objectives can be time consuming, leaving

both managers and employees less time in which to do their actual work.

The elaborate written goals, careful communication of goals, and detailed performance evaluation required in an MBO program increase the volume of paperwork in an organization.

CRITICAL INCIDENT TECHNIQUE (CIT)

The Critical Incident Technique (or CIT) is a set of procedures used for collecting direct observations of human behavior that have critical significance and meet methodically defined criteria. These observations are then kept track of as incidents, which are then used to solve practical problems and develop broad psychological principles.

CIT is a job analysis method by which critical job tasks are identified for job success. Critical job tasks are those important duties and job responsibilities performed by the jobholder that leads to success. CIT

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is also used as a method of appraisal. A critical incident is an unusual event that denotes superior or inferior performance in some part of the job. A favorable critical incident is illustrated by the janitor who observed that a file cabinet containing classified documents had been left unlocked at the close of business. The janitor called the security officer, who took necessary action to correct the problem. An unfavorable incident is illustrated by the mail clerk who failed to deliver an Express Mail package immediately, instead putting it in with regular mail to be routed two hours later. One advantage of the CIT is that it covers the entire appraisal period (and therefore may guard against recency error). And because the behavioral incidents are specific, they can facilitate feedback and development. However, unless both favorable and unfavorable incidents are discussed, employees who are appraised may have negative feelings about the method. Some employees have been known to refer to it as “little black book” approach. Perhaps its greatest contribution is in developing job specifications and in constructing other types of appraisal procedures.

CIT is a flexible method that usually relies on five major areas. The first is determining and reviewing the incident, then fact-finding, which involves collecting the details of the incident from the participants. When all of the facts are collected, the next step is to identify the issues. Afterwards a decision can be made on how to resolve the issues based on various possible solutions. The final and most important aspect is the evaluation, which will determine if the solution that was selected will solve the root cause of the situation and will cause no further problems.

HistoryThe studies of Sir Francis Galton (circia 1930) laid the foundation for the Critical Incident Technique. In its present form however, it can be accredited to the studies in the Aviation Psychology Program of the United States Army Air Forcess during World War II. From then it has spread as a method to identify job requirements, develop recommendations for effective practices, and determine competencies for a vast number of professionals in various disciplines.

Principal UseCIT can be used in a wide variety of areas. In general it is most useful in the early stages of development of large scale tasks and activity analysis within existing projects. This is mainly due to the method's ability to quickly separate out major problem areas that reside in a system.

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In healthcare CIT is used in situations where direct examination of clinical staff and researchers can help them better understand their roles and help them solve practical problems. CIT allows clinical staff to better understand their role in the clinical setting. Another advantage is that it helps them gain better knowledge about their interactions with patients and other clinicians. It also helps clinical staff better understand their practice from a variety of roles (e.g., physician, nurse, clinical educator, nurse informatician, faculty member). In healthcare research CIT can be a good resource in identifying the experiences of a patient in the health care setting, exploring the dimensions of patient-provider interactions and determining patient responses to illnesses and treatments.

Advantages & DisadvantagesBy identifying possible problems associated with major user-system or product complications CIT recommendations try to make it so that the same type of situations do not result in a similar loss. There are both advantages and disadvantages to using this method.

Advantages Flexible method that can be used to improve multi-user systems. Identifies even rare events that might be missed by other

methods which only focus on common and everyday events. Useful when problems occur but the cause and severity are not

known. Inexpensive and provides rich information. Emphasizes the features that will make a system particularly

vulnerable and can bring major benefits (e.g. safety). Can be applied using questionnaires or interviews.

Disadvantages Situations where you cannot observe behavior due to hazards,

security, or privacy make it difficult to implement CIT. Since critical incidents often rely on memory, incidents may be

imprecise or may even go unreported. It will emphasize only rare events; more common events will be

missed.

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BEHAVIORALLY-ANCHORED RATING SCALE (BARS)

Behaviorally-Anchored Rating Scale (BARS) - a type of rating assessment in which judgments about teacher performance are empirically linked to specific examples of incumbent performance at each level of effectiveness on the rating scale. See Behavior Summary Scale, Rating, Scale (Rating). It describe different behaviors that can be observed for a given work situation and anchors them at points on a scale.

Behaviorally Anchored Rating Scales (BARS) tool expands upon critical incidents. A group of experts, ideally the people performing the job, identify critical incidents in their performance. Afterwards these incidents are categorized into performance dimensions. The experts then agree upon the most salient incidents, and use these to represent a particular performance level. Similar to critical incidents, the evaluator must keep a journal of incidents about each employee.

How to construct BARS?

Collect Critical Incidents Identify Performance Dimensions Reclassification of Incidents Assigning Scale Value to the Incidents Producing the Final Instrument

StrengthsIf employees are incorporated into this process, then they will deem this process fair, as they have established the performance levels. In addition, the rating scale will generally lead to accurate ratings across evaluators, as the definitions for appropriate behavior are specific.

It is best to use this tool when…

On the job behavior is more important than results of the job. The organization plans significant strategic changes in the near future.

Weakness

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One disadvantage of this approach is that it can bias the performance behaviors that the evaluator reviews. In many cases, there is a tendency for the evaluator to focus on behaviors that are represented on the scale. A second difficulty with this tool is that it can be difficult to identify behavioral anchors for the middle portion of the scale, as it is easier to define exceptional and deficient behaviors.

It is best to avoid this tool when…

The organizational environment is in a constant state of flux (and thus the BARS will constantly change).

The organization has limited financial and human resources.

Constructing a BARS for a TeacherThe Critical Incidents or the key Performance Indicators for a teacher are

Sound Knowledge of the subject Experience Qualification Communication Attitude and Commitment

The first four critical incidents are attitude based while attitude & commitment are behavior based.

CRITICAL INCIDENTS

PERFORMANCE DIMENSIONS

RATING POINTS

Sound knowledge of the subject

Sound knowledge of the subject. Also has a knowledge regarding matters outside the usual textual curriculum.

Good Performance 3

Has a fairly sound knowledge of the subject.

Neither good nor poor performance

2

Sticks to the matters given in the text book and not beyond that

Poor performance 1

Experience

Has more than ten years of experience

Good Performance 3

Has 3-10 yrs of experience


2

No experience/1-2 yrs of experience

Poor performance 1

Qualification Highly qualified and a topper from a top most institute

Good Performance 3

Highly qualified from a good institute


2

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Only the needed qualification for the job.

Poor performance 1

Communication

Has a good command over the language and is able to express what he intends to say

Good Performance 3

Has a good language but at times finds it difficult to convey certain matters


2

Has a communication problem

Poor performance 1

Attitude & Commitment

Positive attitude and is highly committed and makes sure that he imparts this attitude to his students

Good Performance 3

Positive attitude but not deeply committed


2

Negative attitude and is not at all committed

Poor performance 1

Behavior Summary Scale (BSS) - a type of rating assessment in which judgments about teacher performance are related to general or abstract benchmarks representing various levels of performance.

Behaviorally Anchored Rating Scales : Similar to graphic rating scales, but uses specific behaviors to anchor the scale. The development of BARS requires extensive input from supervisors in order to determine which behaviors are task relevant and assess some important aspect of job performance. The care taken in developing the BARS helps to reduce across supervisor variability.

Behavioral Observation Scales (BOS) : The BOS was developed by Latham & Wexley (1977) who believed that both graphic rating scales and BARS require supervisors to make vague judgments. It is a type of rating assessment in which judgments about performance are related to a series of statements describing specific examples of observable behaviors. The BOS is a list of "critical" behaviors which the supervisor has to rate in terms of frequency. Items indicate either desired or undesireable aspects of work performance :

E.g.Worker never needs her/his work to be doublechecked _______Worker misses workdays ________

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Performance Management 389

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