Bài giảng QUản trị nguồn nhân lực part 6 eng

Human Resource Management
Session 6
PERFORMANCE
MANAGEMENT AND
APPRAISAL

1


Performance Appraisal Defined
• Formal system of review and
evaluation of individual or
team task performance
• An effective appraisal system
evaluates accomplishments and
initiates plans for development,
goals and objectives

2


Performance Appraisal Process
External Environment
Internal Environment
Plan the Performance
Identify Performance Goals
Communicate Goals
Establish Performance Criteria
Determine:
Responsibility for Appraisal
Appraisal Period

Appraisal Method
Computer Software

Anticipate and Consider:
Problems in PA
Effective PA Systems

Examine Work Performed

Management Support
Coaching and T&D

Appraise the Results
Conduct Appraisal Interview
Discuss Goals for next Period
3


Establish Performance Criteria
(Standards)
Recent evidence suggests that even within the same
company managers often use different performance
criteria.
1.
2.
3.
4.
5.

Traits

Behaviors
Competencies
Goal Achievement
Improvement Potential
4


Responsibility for Appraisal
1. Immediate supervisor
2. Subordinates
3. Peers and team members
4. Self-appraisal
5. Customer appraisal
5


The Appraisal Period
• Prepared at specific intervals
• Usually annually or
semiannually
• Period may begin with
employee’s date of hire
• All employees may be
evaluated at same time

6


Performance Appraisal Methods
1. 360-Degree Evaluation 8. Forced Distribution

2. Rating Scales
3. Critical Incidents

9. Behaviorally Anchored
Rating Scales (BARS)

4. Essay

10. Result-Based Systems

5. Work Standards

11. Assessment Centres

6. Ranking
7. Paired Comparisons
7


Performance Appraisal Methods
2. Rating Scales
• Rates according to defined
factors
• Judgments are recorded on
a scale
• Many employees are
evaluated quickly
See Figure 8-2 in text book
8

Performance Appraisal Methods
4. Essay
• Brief narrative describing
performance
• Tends to focus on extreme
behavior
• Depends heavily on evaluator's
writing ability
• Comparing essay evaluations
might be difficult
9


Performance Appraisal Methods
5. Work Standards
• Compares performance to
predetermined standard
• Standards - Normal output of average
worker operating at normal pace
• Time study and work sampling used
• Workers need to know how standards
were set
10


Performance Appraisal Methods
9. Behaviorally Anchored Rating Scales
(BARS)
• Combines traditional rating

scales and critical incidents
methods
• Job behaviors derived from
critical incidents described more
objectively
11


Performance Appraisal Methods
10. Result-Based Systems
• Manager and subordinate
agree on objectives for next
appraisal
• Evaluation based on how
well objectives
accomplished
12


Use of Computer Software
• Available in recording
appraisal data
• Reduces required
paperwork

13


Problems in Performance Appraisal
1. Appraiser Discomfort

• Performance appraisal process
cuts into manager’s time
• Experience can be unpleasant
when employee has not
performed well

14


Problems in Performance Appraisal
2. Lack of Objectivity
• In rating scales method, commonly used factors
such as attitude, appearance, and personality are
difficult to measure
• Factors may have little to do with employee’s job
performance
• Employee appraisal based primarily on personal
characteristics may place evaluator and company
in untenable positions
15


Problems in Performance Appraisal
4. Leniency/Strictness
• Leniency - Giving undeserved
high ratings
• Strictness - Being unduly critical
of employee’s work performance
• Worst situation is when firm has
both lenient and strict managers

and does nothing to level
inequities
16


Problems in Performance Appraisal
5. Central Tendency
• Error occurs when employees are incorrectly
rated near average or middle of scale
• May be encouraged by some rating scale
systems requiring evaluator to justify in
writing extremely high or extremely low
ratings

17


Problems in Performance Appraisal
9. Employee Anxiety
• Evaluation process may create
anxiety for appraised
employee
• Opportunities for promotion,
better work assignments, and
increased compensation may
hinge on results
18


Characteristics of an Effective

Appraisal System
1. Job-related criteria
2. Performance expectations
3. Standardization
4. Trained appraisers
5. Continuous open communication
6. Conduct performance reviews
7. Due process
19


Characteristics of an Effective Appraisal
System

3. Standardization
Firms should use same
evaluation instrument for
all employees in same job
category who work for
same supervisor

20


Characteristics of an Effective Appraisal
System

5. Continuous Open Communication
• Employees have strong need to
know how well they are

performing
• Good appraisal system provides
highly desired feedback on
continuing basis
• Should be few surprises in
performance review
21


Appraisal Interview
4. Use of Praise and Criticism
• Praise is appropriate when
warranted
• Criticism, even if warranted, is
especially difficult to give
• “Constructive” criticism is
often not perceived that way
22


Appraisal Interview
5. Employees’ Role
• Should go through diary or
files and make notes of every
project worked on, regardless
of whether they were
successful or not
• Information should be on
appraising manager’s desk
well before review

23