The Appraisal System. Concepts of Appraisal & Appraisal Methods

1. To insert your company logo on this slide • From the Insert Menu • Select “Picture” • Locate your logo file • Click OK • To resize the logo • Click anywhere inside the logo. The boxes that appear outside the logo are known as “resize handles.” • Use these to resize the object. • If you hold down the shift key before using the resize handles, you will maintain the proportions of the object you wish to resize. Human Resource Development Muhammad AdnanSarwar The Appraisal System. Concepts of Appraisal & Appraisal Methods

2. Aims of Appraisal Content of Appraisal Implementation Maintenance and Evaluation of Appraisal Appraisal and Performance Management (PRP) Performance Appraisal

3. ‘to enable some kind of assessment to be made on an employee - either against pre-set objectives or job competencies… as a basis for…’ • making equitable reward decisions • improving performance • motivating employees • succession planning and identifying potential • promoting manager-subordinate dialogue • formal assessment of unsatisfactory performance Perspectives on Appraisal :The Organisation

4. Want fair distribution of reward • Want performance feedback • Want constructive dialogue with ‘the organisation’ BUT, conditional on the extent to which - • the appraisal is perceived as fair • has a good working (social?) relationship with the appraiser • impact of the assessment on their rewards and well-being Perspectives on Appraisal :The Appraisee (Employee)

5. 1. Committee Method Personnel and Snr Mgr/Exec. determine by discussion of ‘key’ abilities. 2. Diary Method Job-holder keeps an hour-by-hour record 3. Direct Observation HR and/or Occupational Psychologist observes job holder at work Identification of Job-Related Abilities (Assessment & Comparison) Techniques (I)

6. 4. Questionnaire Methods (e.g. Position Analysis Questionnaire) : 187 items, 6 dimensions • Information Input • Mental Processes • Work Output • Relationships with Others • Job Context • Other Characteristics 5. Interviews with job holders & stakeholders (e.g.Critical Incident Technique) : Incidents of ‘very effective’ and ‘very ineffective’ performance. Identification of Job-Related Abilities (Assessment & Comparison) Techniques (II)

7. 4 common formats for ratings scales : 1. Scales with verbally described intervals 2. Numerical/Alphabetical, with ‘low’-’high’ (intervals specified, but not described) 3. Graphic rating scales : extremes and mid-point specified, with detailed description of dimension of behaviour 4. Comparative scales : behaviour described relative to others. Rating Scale Format(Assessment and Comparison)

8. Advantages • easily understood • encourage an analytic view of behaviour • provide quantitative data, so facilitates comparison Disadvantages • idiosyncratic rating errors (halo, restriction of range, leniency, central tendency, acquiesence) Why Use Rating Scales ?

9. Train appraisers Use forced distributions Increase the number of raters Use behaviourally based rating scales (e.g. BOS and BARS) How to reduce idiosyncratic rating errors

10. Short-Term Criteria • completion rate • action generated • quality of appraisal reports • attitudes and perceived value of the appraisal • equity Long-Term Criteria • organisational performance • quality of staff • retention of staff • levels of employee commitment Monitoring and Maintenance of Appraisals

11. ‘a shared vision of the direction of the organisation, in which each individual employee recognises and accepts their contribution’ The Process of PM • develop org. mission statement and objectives • develop a business plan • enhance communication within the organisation • clarify individuals’ responsibilities • define and measure individual performance • implement appropriate reward strategies • develop staff to improve performance further Appraisal and Performance Management