2005 Prentice Hall Inc.All rights reserved.PowerPoint Presentation by Charlie CookThe University of West Alabamat e n t h e d i t i o nGary DesslerChapterChapter 9 9Part Part 3 3 Training and Development Training and DevelopmentPerformance Management and AppraisalAfter studying this chapter, After studying this chapter, you should be able to:you should be able to:1.1.Describe the appraisal process.Describe the appraisal process.2.2.Develop, evaluate, and administer at least four Develop, evaluate, and administer at least four performance appraisal tools.performance appraisal tools.3.3.Explain and illustrate to the problems avoid in Explain and illustrate to the problems avoid in appraising performance.appraising performance.4.4.List and discuss the pros and cons of six appraisal List and discuss the pros and cons of six appraisal methods.methods.5.5.Perform an effective appraisal interview.Perform an effective appraisal interview.6.6.Discuss the pros and cons of using different raters Discuss the pros and cons of using different raters to appraise a persons performance.to appraise a persons performance. 2005 Prentice Hall Inc. All rights reserved. 2005 Prentice Hall Inc. All rights reserved. 2005 Prentice Hall Inc. All rights reserved.9992 22Part 1: Basic conceptsPart 2: An Introduction to AppraisingPerformancePart 3: Potential Appraisal ProblemsPart 4: How to Avoid Appraisal ProblemsPart 5: The Appraisal Interview3 2005 Prentice Hall Inc. All rights reserved.Part 1: Basic conceptsPerformance appraisalEvaluating an employees current and/or past performance relative to his or her performance standards. 4 2005 Prentice Hall Inc. All rights reserved.Classroom Teaching Appraisal By StudentsFigure 91 Source: Richard I. Miller, Evaluating Faculty for Promotional and Tenure (San Francisco: Jossey-Bass Publishers, 1987), pp. 164165. Copyright 1987, Jossey-Bass Inc., Publishers. All rights reserved. Reprinted with permission.5 2005 Prentice Hall Inc. All rights reserved.Part 1: Basic conceptsPerformance managementThe process that consolidates goal setting, performance appraisal, and development into a single, common system in order to ensure that the employees performance is supporting the firms strategic goals. Includes practices:The manager defines the employees goals and work;Develops the employees capabilities;Evaluates and rewards the employees effort based on the performance standards. 6 2005 Prentice Hall Inc. All rights reserved.The Components of an Effective Performance Management ProcessDirection sharingCommunicating the organizations higher-level goals throughout the organization and then translating these into doable departmental goals.Role clarificationClarifying each employees role in terms of day-to-day work.Goal setting and planningTranslating organizational and departmental goals into specific goals for each employee.Goal alignmentHaving a process in place that allows any manager to see the link between an employees goals and those of the department and organization.Developmental goal settingEnsuring each employee understand his or her role.Figure 92 7 2005 Prentice Hall Inc. All rights reserved.The Components of an Effective Performance Management ProcessOngoing performance monitoringMonitoring the employees progress toward performance goals.Ongoing feedbackCoaching and supportPerformance assessment (appraisal)Rewards, recognition, and compensationWorkflow and process control and returnMaking sure that the employees performance is linked in a meaningful way via goal setting to the companys overall measurable performance.Figure 92 8 2005 Prentice Hall Inc. All rights reserved.Defining Goals and Work EffortsThe heart of performance management is the notion that the employees effort should be goal directed.Guidelines for effective goals Assign specific goalsAssign measurable goals goAssign challenging but doable goalsEncourage participationSMART goals are:Specific, and clearly state the desired results.Measurable in answering “how much.”Attainable, and not too tough or too easy.Relevant to whats to be achieved.Timely in reflecting deadlines and milestones.9 2005 Prentice Hall Inc. All rights reserved.Part 2: Appraising PerformanceWhy appraise performance?Appraisals play an integral role in the employers performance management process.Appraisals help in planning for correcting deficiencies and reinforce things done correctly.Appraisals, in identifying employee strengths and weaknesses, are useful for career planningAppraisals affect the employers salary raise decisions.10 2005 Prentice Hall Inc. All rights reserved.Supervisors Performance Appraisal RolesUsually do the actual appraising.Must be familiar with basic appraisal techniques.Must understand and avoid problems that can cripple appraisals.Must know how to conduct appraisals fairly.11 2005 Prentice Hall Inc. All rights reserved.HR department Performance Appraisal RolesServes a policy-making and advisory role.Provides advice and assistance regarding the appraisal tool to use.Prepares forms and procedures and insists that all departments use them.Responsible for training supervisors to improve their appraisal skills.Responsible for monitoring the system to ensure that appraisal formats and criteria comply with EEO laws and are up to date.12 2005 Prentice Hall Inc. All rights reserved.Steps in Appraising PerformanceDefining the jobMaking sure that you and your subordinate agree on his or her duties and job standards. goAppraising performanceComparing your subordinates actual performance to the standards that have been set; this usually involves some type of rating form.Providing feedbackDiscussing the subordinates performance and progress, and making plans for any development required.13 2005 Prentice Hall Inc. All rights reserved.Steps in Appraising PerformanceDefine the JobAppraise PerformanceProvideFeedbackMake sure allagree on dutiesCompare performanceto the standardDiscussprogress &make plans14 2005 Prentice Hall Inc. All rights reserved.Designing the Appraisal ToolWhat to measure? To ensure the validityWhat performance to measureWork output (quality and quantity)Goal (objective) achievement: actual duties Personal competencies: competency-basedHow to measure?Graphic rating scalesAlternation ranking methodMBO And so on go15 2005 Prentice Hall Inc. All rights reserved.Portion of an Administrative Secretarys Sample Performance Appraisal FormFigure 94 Source: James Buford Jr., Bettye Burkhalter, and Grover Jacobs, “Link Job Description to Performance Appraisals,” Personnel Journal, June 1988, pp. 135136.16 2005 Prentice Hall Inc. All rights reserved.Performance Management OutlineFigure 95a Source: www.cwru.edu.17 2005 Prentice Hall Inc. All rights reserved.Figure 95b Performance Management Outline(contd)Source: www.cwru.edu.18 2005 Prentice Hall Inc. All rights reserved.Performance Management Outline (contd)Figure 95c Source: www.cwru.edu.19 2005 Prentice Hall Inc. All rights reserved.Performance Appraisal MethodsGraphic rating scaleAlternation ranking methodPaired comparison method Forced distribution methodNarrative FormsBehaviorally anchored rating scale (BARS)Management by Objectives (MBO)Computerized and Web-Based Performance Appraisal20 2005 Prentice Hall Inc. All rights reserved.Performance Appraisal MethodsGraphic rating scaleA scale that lists a number of traits and a range of performance for each that is used to identify the score that best describes an employees level of performance for each trait.Lists traits like quality and reliabilitya range of performance values (from unsatisfactory to outstanding)Each subordinate is rated for each qualityRatings total ranks appraisal21 2005 Prentice Hall Inc. All rights reserved.Graphic Rating Scale with Space for CommentsFigure 93 22 2005 Prentice Hall Inc. All rights reserved.Performance Appraisal Methods (contd)Alternation ranking methodRanking employees from best to worst on a particular trait, choosing highest, then lowest, until all are ranked. goPaired comparison method Ranking employees by making a chart of all possible pairs of the employees for each trait and indicating which is the better employee of the pair. go23 2005 Prentice Hall Inc. All rights reserved.Alternation Ranking Scale goFigure 96 24 2005 Prentice Hall Inc. All rights reserved.Ranking Employees by the Paired Comparison MethodFigure 97 Note: + means “better than.” means “worse than.” For each chart, add up the number of 1s in each column to get the highest-ranked employee.25 2005 Prentice Hall Inc. All rights reserved.Performance Appraisal Methods (contd)Forced distribution methodSimilar to grading on a curve; predetermined percentages of ratees are placed in various performance categories.Example:15% high performers20% high-average performers30% average performers20% low-average performers15% low performers26 2005 Prentice Hall Inc. All rights reserved.Forced Distribution Method High Performance InsightMerck began using this rating method for exempt employees when it found other methods resulted in 80% of employees rated a 4 or higher on a 5 point scale.27 2005 Prentice Hall Inc. All rights reserved.Performance Appraisal Methods (contd)Management by Objectives (MBO) Involves setting specific measurable goals with each employee and then periodically reviewing the progress made.Six stepsDiscussdevelopmentalgoalsDefineexpectedresultsPerformancereviewsProvidefeedbackSet theorganizationsgoalsSet thedepartmentalgoals28 2005 Prentice Hall Inc. All rights reserved.Performance Appraisal Methods (contd)Critical Incident Method Narrative FormsBehaviorally anchored rating scale (BARS) case Still to come!29 2005 Prentice Hall Inc. All rights reserved.Part 3: Potential Appraisal ProblemsUnclear standardsHalo effectCentral tendencyStrictness/leniencyBias30 2005 Prentice Hall Inc. All rights reserved.Potential Appraisal ProblemsUnclear standardsAn appraisal that is too open to interpretation. Halo effectOccurs when a supervisors rating of a subordinate on one trait biases the rating of that person on other traits. Central tendencyA tendency to rate all employees the same way, such as rating them all average. go31 2005 Prentice Hall Inc. All rights reserved.A Graphic Rating Scale with Unclear StandardsTable 92 Note: For example, what exactly is meant by “good,” “quantity of work,” and so forth?back32 2005 Prentice Hall Inc. All rights reserved.Potential Appraisal Problems (contd)Strictness/leniencyThe problem that occurs when a supervisor has a tendency to rate all subordinates either high or low.BiasThe tendency to allow individual differences such as age, race, and sex to affect the appraisal ratings employees receive.33 2005 Prentice Hall Inc. All rights reserved.Part 4: How to Avoid Appraisal ProblemsLearn and understand the potential problems, and the solutions for each.Use the right appraisal tool. Each tool has its own pros and cons. goTrain supervisors to reduce rating errors such as halo, leniency, and central tendency.Have raters compile positive and negative critical incidents as they occur. go34 2005 Prentice Hall Inc. All rights reserved.Advantages and Disadvantages of Appraisal ToolsTable 93 back35 2005 Prentice Hall Inc. All rights reserved.Who Should Do the Appraising?The immediate supervisorPeersRating committeesSelf-ratingsSubordinates360-Degree feedbackRatingCommitteePeersYouSubordinatesYourBoss36 2005 Prentice Hall Inc. All rights reserved.Part 5: The Appraisal Interview Appraisal interview an interview in which the supervisor and subordinate review the appraisal and make plans to remedy deficiencies and reinforce strengths.Types of appraisal interviewsSatisfactoryPromotableSatisfactoryNot promotableUnsatisfactoryCorrectable UnsatisfactoryUncorrectableDefinition37 2005 Prentice Hall Inc. All rights reserved.Three Appraisal Types/Objectives Appraisal Type The ObjectivePerformance is satisfactoryEmployee promotableSatisfactoryNot promotableUnsatisfactoryCorrectableMake developmentPlansMaintainPerformanceTake correctiveAction38 2005 Prentice Hall Inc. All rights reserved.The Appraisal InterviewHow to conduct the appraisal interviewTalk in terms of objective work data.Dont get personal.Encourage the person to talk.Dont tiptoe around.39 2005 Prentice Hall Inc. All rights reserved.case北电网络注重过程的考核北电网络注重过程的考核40 2005 Prentice Hall Inc. All rights reserved.