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Gathering Performance Information: Overview. Appraisal Forms Characteristics of Appraisal Forms Determining Overall Rating Appraisal Period and Number of Meetings. Overview (continued). Who Should Provide Performance Information? A Model of Rater Motivation
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Gathering Performance Information:Overview • Appraisal Forms • Characteristics of Appraisal Forms • Determining Overall Rating • Appraisal Period and Number of Meetings
Overview (continued) • Who Should Provide Performance Information? • A Model of Rater Motivation • Preventing Rating Distortion through Rater Training Programs
Appraisal Forms:9 Major Components • Basic Employee Information • Signatures
Appraisal Forms: 9 Major Components (continued) • Accountabilities, Objectives, and Standards • Competencies and Indicators • Major Achievements and Contributions • Stakeholder Input • Employee Comments
Appraisal Forms: 9 Major Components (continued)(These could be included in a separate form) • Developmental Achievements • Developmental • Needs • Plans • Goals
Appraisal Forms: 8 Desirable Features • Simplicity • Relevancy • Descriptiveness • Adaptability
Appraisal Forms:8 Desirable Features (continued) • Comprehensiveness • Definitional Clarity • Communication • Time Orientation
Determining Overall Rating • Judgmental strategy • Mechanical strategy
Number of Meetings Annual Semi-annual Quarterly Appraisal period
When Review Is Completed • Anniversary date • Supervisor doesn’t have to fill out forms at same time • Can’t tie rewards to fiscal year • Fiscal year • Rewards tied to fiscal year • Goals tied to corporate goals • May be burden to supervisor, depending on implementation
6 Types of FormalMeetings (can be combined) • System Inauguration • Self-Appraisal • Classical Performance Review • Merit/Salary Review • Development Plan • Objective Setting
Who Should Provide Performance Information? Employees should be involved in selecting • Which sources evaluate • Which performance dimensions When employees are actively involved • Higher acceptance of results • Perception that system is fair
Who Should Provide Performance Information? Direct knowledge of employee performance • Supervisors • Peers • Subordinates • Self • Customers
Advantages Best position to evaluate performance vs. strategic goals Make decisions about rewards Able to differentiate among performance dimensions Disadvantages Supervisor may not be able to directly observe performance Evaluations may be biased Supervisors
Advantages Assess teamwork Disadvantages Possible friendship bias May be less discriminating Context effects Peers
Advantages Accurate when used for developmental purposes Good position to assess some competencies Disadvantages Inflated when used for administrative purposes May fear retaliation (confidentiality is key) Subordinates
Advantages Increased acceptance of decisions Decreased defensiveness during appraisal interview Good position to track activities during review period Disadvantages May be more lenient and biased Self
Advantages Employees become more focused on meeting customer expectations Disadvantages Time Money Customers (external and internal)
Disagreement Across Sources • Expect disagreement • Ensure employee receives feedback by source • Assign differential weights to scores by source, depending on importance • Ensure employees take active role in selecting which sources will rate which dimensions
Types of Rating Errors • Intentional errors • Rating inflation • Rating deflation • Unintentional errors • Due to complexity of task
A Model of Rater Motivation Expected Positive and Negative Consequences of Rating Accuracy Motivation to Provide Accurate Ratings Probability of Experiencing Positive and Negative Consequences Rating Behavior Expected Positive and Negative Consequences of Rating Distortion Motivation to Distort Ratings Probability of Experiencing Positive and Negative Consequences
Motivations for Rating Inflation • Maximize merit raise/rewards • Encourage employees • Avoid creating written record • Avoid confrontation with employees • Promote undesired employees out of unit • Make manager look good to his/her supervisor
Motivations for Rating Deflation • Shock employees • Teach a lesson • Send a message to employee • Build a written record of poor performance
Preventing Rating Distortion through Rater Training Programs
Rater Training Programs should cover: • Information • Motivation • Identifying, observing, recording and evaluating performance • How to interact with employees when they receive performance information
Information - how the system works • Reasons for implementing the performance management system • Information on the appraisal form and system mechanics
Motivation – What’s in it for me? • Benefits of providing accurate ratings • Tools for providing accurate ratings
Identifying, observing, recording, and evaluating performance • How to identify and rank job activities • How to observe, record, measure performance • How to minimize rating errors
How to interact with employees when they receive performance information • How to conduct an appraisal interview • How to train, counsel, and coach
Quick Review • Appraisal Forms • Characteristics of Appraisal Forms • Determining Overall Rating • Appraisal Period and Number of Meetings • Who Should Provide Performance Information? • A Model of Rater Motivation • Preventing Rating Distortion through Rater Training Programs