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Chapter 10. Performance Appraisals. Part 1. Performance Appraisals. Evaluations. Job Evaluations How necessary or important a job is Employee Evaluations How well the employee is doing their job. Purpose Of Employee Evaluations. To encourage good behavior
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Chapter 10 Performance Appraisals
Part 1 • Performance Appraisals Chapter 10
Evaluations • Job Evaluations • How necessary or important a job is • Employee Evaluations • How well the employee is doing their job Chapter 10
Purpose Of Employee Evaluations • To encourage good behavior • Discourage or correct below-standard performance • Satisfy employee curiosity • Identify training needs • Provide foundation for promotion & raises Chapter 10
Performance Appraisals • Employee Performance appraisals are often used in determining merit pay Chapter 10
Job Appraisals • Formal appraisals should not be used, • If they are used, disguise the fact because: • Employees may think they are being evaluated • They may lie to try to get a higher bonus • You may get improper measurements • You want the measurements to reflect true performance, so you can plan future activities Chapter 10
Performance Appraisals • Due to legal considerations, performance appraisals should be specific & measurable • Have ranges of performance for each measure • For judgments, measures should be weighted by importance • Keep records Chapter 10
Appraisal Judgments • Objective factors • hard facts & measurable results • Subjective factors • Opinions • support with document Chapter 10
Creating Standards • Be objective when making & analyze standards Chapter 10
Incidents • Document critical incidents • Don’t let a single incident color your evaluation of an employee Chapter 10
Types of Employee Appraisals • Behaviorally anchored rating scale • Describes levels of expected behavior • Measures: quality, quantity, dependability, attitude, initiative, & attendance • Objective • Focuses on the activity Chapter 10
Types of Employee Appraisals • Trait format • Subjective • Focuses on traits like initiative, organization, & dependability Chapter 10
Types of Employee Appraisals • Results-oriented appraisal • Specific objectives with measurable results • Difficult when employees rely heavily on supervisor’s planning Chapter 10
Appraisal Interview • Purpose is to reinforce or correct performance • Prepare employee for interview • both parties should come in with notes Chapter 10
Appraisal Interview Steps • Compare accomplishments with specific targets • Give credit for accomplishments • Emphasize where, how, & why improvement is needed • Agree on targets to meet in the future • Review what you can do to help Chapter 10
Appraisal Interview • Stick to facts without interpretation • Share in the blame when appropriate • Never compare with other employees in the interview Chapter 10
Appraisal Interview • Conduct interview in private and in confidence • Sandwich unfavorable between favorable comments • Start & end on positive notes Chapter 10
Appraisal Interview • Give the employee an opportunity to respond • Listen without interrupting • Don’t get angry • Don’t take any criticism personally Chapter 10
Performance Appraisals • Document your reasoning for measurements you use & decisions you make • Be prepared for accusations of favoritism • Acknowledge top performance with high ratings Chapter 10
Performance Appraisals • Focus on improving performance of poor performers • Be firm, be specific, don’t rub it in • Appraise new employees as soon as a problem arises • Find cause of problem • Put in employee’s file Chapter 10
Self-Appraisals • Most employees fill them out fairly • Often are more critical of themselves than others would be Chapter 10
Legal Implications • Equal pay for equal work • Absence of discrimination • Accommodation of special-needs • Equal employment opportunities Chapter 10
To Comply With The Law • Base appraisal on the job the employee is doing • Be cautious making subjective judgments • Stick to documented facts • Avoid the appearance of discrimination or favoritism Chapter 10
If you suspect problems or lack of improvement, keep a written record of appraisal Chapter 10
Unsatisfactory Performance • Consider the reasons for unsatisfactory employee performance • Workers assigned to work that doesn’t match their capabilities • Improper training • Over-pressured by work group • Individuals may not be physically or emotionally up to job requirements • Supervisors may be at fault • Problems with operating systems & equipment • Lack of materials to work with Chapter 10
Appraisals In Short • Use measurable appraisal points • Appraisals based on specific jobs • Points are known in advance • Document • Be fair. Chapter 10
Managerial Issues Concerning Appraisals • Managers feel that little or no benefit will be derived from the time and energy spent in the process. • Managers dislike the face-to-face confrontation of appraisal interviews. • Managers are not sufficiently adept in providing appraisal feedback. • The judgmental role of appraisal conflicts with the helping role of developing employees. Chapter 10
Part 2 • Promoting Chapter 10
Promoting • Most employees are more motivated when they see a link between excellent performance and promotion. • More interesting work • Higher pay and status • Better working conditions Chapter 10
Promotion From Within Based On • Seniority • Length of service • Merit • Quality of job performance • Ability • Potential to perform higher-level tasks Chapter 10