performance Appraisal

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Presentation Transcript

Slide 1: 

Performance Appraisal

Performance Appraisal : : 

Performance Appraisal : Performance Appraisal (PA) refers to all those procedures that are used to evaluate the personality, performance, potential, of its group members

Relationship between jab analysis and performance appraisal: : 

Relationship between jab analysis and performance appraisal: Job analysis performance performance standards appraisal Describes work & Personnel Requirement Of a particular job Translate job Into levels of To acceptable Or unacceptable performance Describes the Job relevant strengths and weakness of Each individual

Question arises? : 

Question arises? Why do we measure performance? Effective performance appraisal systems How do we measure performance?

Characteristics : 

Characteristics It is a step by step process It examine the employee strengths and weaknesses Scientific and objective study Ongoing and continuous process Secure information for making correct decisions on employees

Needs and Objectives: : 

Needs and Objectives: Provide feedback about employees Provide database Diagnose the S & W of individuals Provide coaching, counseling, career planning to subordinates Develop positive relation and reduce grievance Facilitates research in personnel management

Appraisal Benefits (cont.) : 

Appraisal Benefits (cont.) Appraisals offer employees: Direction Feedback Input Motivation

Appraisal Benefits : 

Appraisal Benefits Appraisals offer the company: Documentation Employee Development Feedback Legal protection Motivation system

Why Appraisals Are Important : 

Why Appraisals Are Important Recognize accomplishments Guide progress Improve performance

Why Important (cont.) : 

Why Important (cont.) Review performance Set goals Identify problems Discuss career advancement

Steps in performance appraisal : 

Steps in performance appraisal Establishing job standards Designing an appraisal programme Appraise performance Performance interview Use appraisal data For appropriate purpose

Process of PA : 

Process of PA Setting performance standards Taking corrective standards Discussing results Comparing standards Measuring standards Communicating standards

Issues in appraisal system : 

Issues in appraisal system Appraisal Design? Formal and informal Whose performance? Who are the raters? What problems? How to solve? What to evaluate? When to evaluate? What methods?

What to evaluate? (Philip Model) : 

What to evaluate? (Philip Model) Problem children Planned separation stars Social citizen H L H L Potential Performance

How PA contribute to firm’s competitive advantages : 

How PA contribute to firm’s competitive advantages Improving performance Making correct decision Ensuring legal competence Minimizing dissatisfaction And turnover Values and behavior Competitive advantage

Problems in performance appraisal : 

Problems in performance appraisal Errors In rating Halo effects Stereotyping Central tendency Constant error Personal bias Spill over effect

Problems in performance appraisal (Cont’d) : 

Incompetence Negative approach Multiple objectives Resistance Lack of knowledge Problems in performance appraisal (Cont’d)

Essentials of an effective appraisal system : 

Essentials of an effective appraisal system Mutual trust Clear objectives Standardizations Training Job relatedness Documentation Feedback and participation Individual differences Post appraisal review Review and appeal

Key Points to Remember : 

Key Points to Remember You must conduct objective appraisals on a scheduled basis. Appraisals tell employees how they’re doing and how they can improve. Appraisals help create a system of motivation and rewards based on performance.

Performance Appraisal Methods : 

Performance Appraisal Methods Individual Evaluation Methods Confidential report Essay evaluation Critical incidents Checklists Graphic rating scale Behaviorally anchored rating scale MBO

Critical Incident method : 

Critical Incident method Ex: A fire, sudden breakdown, accident Workers reaction scale A informed the supervisor immediately 5 B Become anxious on loss of output 4 C tried to repair the machine 3 D Complained for poor maintenance 2 E was happy to forced test 1

Checklist method : 

Checklist method Simple checklist method Weighted checklist method Forced choice method Simple checklist method: Is employee regular Y/N Is employee respected by subordinate Y/N Is employee helpful Y/N Does he follow instruction Y/N Does he keep the equipment in order Y/N

Weighted checklist method : 

Weighted checklist method weights performance rating (scale 1 to 5 ) Regularity 0.5 Loyalty 1.5 Willing to help 1.5 Quality of work 1.5 Relationship 2.0

Forced choice method : 

Forced choice method Criteria Rating 1.Regularity on the job Most Least Always regular Inform in advance for delay Never regular Remain absent Neither regular nor irregular

Graphic Rating Scale : 

Graphic Rating Scale Continuous Rating Scale Discontinuous Rating Scale Employee name_________ Deptt_______ Rater’s name ___________ Date________ ------------------------------------------------------------------------ Exc. Good Acceptable Fair Poor 5 4 3 2 1 _ Dependability Initiative Overall output Attendance Attitude Cooperation Total score Continuous Rating Scale

Discontinuous Rating Scale : 

Discontinuous Rating Scale Attitude No Interest Indifferent Interested Enthusiastic Very enthusiastic

BARS( behaviorally Anchored rating scale) : 

BARS( behaviorally Anchored rating scale) Step 1. Identify critical incidents Step 2. Select performance dimension Step 3. Retranslate the incidents Step 4. Assign scales to incidents Step 5. Develop final instrument

MBO Process : 

MBO Process Set organizational goals Defining performance target Performance review feedback

Performance Appraisal Methods : 

Group Appraisal Ranking Paired comparison Forced distribution Performance tests Field review technique Performance Appraisal Methods

Ranking method : 

Ranking method Employee Rank A 2 B 1 C 3 D 5 E 4

Paired comparison method : 

Paired comparison method A B C D E Final Rank A - - - + + 3 B + - - + + 2 C + + - + + 1 D - - - - + 4 E - - - - - 5 No of Positive evaluation Total no. of evaluation * 100 = employee superior evaluation

Forced Distribution method : 

Forced Distribution method 10% 20% 40% 20% 10% poor Below average average good Excellent No. of employees Force distribution curve

Field review method : 

Field review method Performance subordinate peers superior customer Dimension Leadership ^ ^ Communication ^ ^ Interpersonal skills ^ ^ Decision making ^ ^ ^ Technical skills ^ ^ ^ Motivation ^ ^ ^

Performance criteria for executives : 

Performance criteria for executives For top managers Return on capital employed Contribution to community development Degree of upward communication from middle-level executives Degree of growth and expansion of enterprise.

For middle level managers : 

For middle level managers Departmental performance Coordination among employees Degree of upward communication from supervisors Degree of clarity about corporate goals and policies

For supervisors : 

For supervisors Quality and quantity of output in a given period Labor cost per unit of output in a given period Material cost per unit in a given period Rate of absenteeism and turnover of employees No of accidents in a given period