© 2008 Prentice Hall, Inc. © 2008 Prentice Hall, Inc. All rights reserved.All rights reserved.

PowerPoint Presentation by Charlie CookPowerPoint Presentation by Charlie CookThe University of West AlabamaThe University of West Alabama

1

Human Resource Human Resource ManagementManagement

ELEVENTH EDITIONELEVENTH EDITION

G A R Y D E S S L E RG A R Y D E S S L E R

Performance Management and AppraisalPerformance Management and Appraisal

Chapter Chapter 99

Part 3 | Training and DevelopmentPart 3 | Training and Development

© 2008 Prentice Hall, Inc. All rights reserved. 9–2

After studying this chapter, you should be able to:After studying this chapter, you should be able to:

1.1. Evaluate and improve the appraisal form in Figure 9–1.Evaluate and improve the appraisal form in Figure 9–1.

2.2. Describe the appraisal process.Describe the appraisal process.

3.3. Develop, evaluate, and administer at least four Develop, evaluate, and administer at least four performance appraisal tools.performance appraisal tools.

4.4. Explain and illustrate the problems to avoid in Explain and illustrate the problems to avoid in appraising performance.appraising performance.

5.5. List and discuss the pros and cons of six appraisal List and discuss the pros and cons of six appraisal methods.methods.

6.6. Perform an effective appraisal interview.Perform an effective appraisal interview.

7.7. Discuss the pros and cons of using different raters to Discuss the pros and cons of using different raters to appraise a person’s performance.appraise a person’s performance.

© 2008 Prentice Hall, Inc. All rights reserved. 9–3

Basic Concepts in PerformanceBasic Concepts in PerformanceManagement and AppraisalManagement and Appraisal

Performance Appraisal:Setting work standards, assessing

performance, and providing feedback to employees to motivate,

correct, and continue their performance.

Performance Management:An integrated approach to

ensuring that an employee’s performance supports and

contributes to the organization’s strategic aims.

ComparingPerformance Appraisal

and Performance Management

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Why Performance Management?Why Performance Management?

Total Quality

Appraisal Issues

Strategic Focus

The Performance Management

Approach

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Defining the Employee’s Goals Defining the Employee’s Goals and Work Standardsand Work Standards

Assign Specific Goals

Encourage Participation

Assign Measurable

Goals

Assign Challenging but Doable

Goals

Guidelines for Effective Goal Setting

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Using MBOUsing MBO

Problems with MBO

Setting unclear objectives

Conflict with subordinates over

objectives

Time-consuming appraisal process

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Appraising Performance: Appraising Performance: Problems and SolutionsProblems and Solutions

Unclear Standards

Leniency or Strictness

Halo Effect

Potential Rating Scale Appraisal

Problems

Central Tendency

Bias

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Appraising Performance: Appraising Performance: Problems and Solutions (cont’d)Problems and Solutions (cont’d)

Know Problems

Control Outside

Influences

Use the Right Tool

How to Avoid Appraisal Problems

Train Supervisors

Keep a Diary

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Who Should Do the Appraising?Who Should Do the Appraising?

Self-Rating

Subordinates

360-Degree Feedback

Potential Appraisers

Immediate Supervisor

Peers

Rating Committee

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The Appraisal InterviewThe Appraisal Interview

Satisfactory—Promotable

Satisfactory—Not Promotable

Unsatisfactory—Correctable

Unsatisfactory—Uncorrectable

Types of Appraisal Interviews

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The Appraisal Interview (cont’d)The Appraisal Interview (cont’d)

Talk in terms of objective work data.

Don’t tiptoe around.

Don’t get personal.

Encourage the person to

talk.

Guidelines for Conducting an Interview

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K E Y T E R M SK E Y T E R M S

performance appraisalperformance appraisal

performance managementperformance management

graphic rating scalegraphic rating scale

alternation ranking methodalternation ranking method

paired comparison methodpaired comparison method

forced distribution methodforced distribution method

critical incident methodcritical incident method

behaviorally anchored rating behaviorally anchored rating scale (BARS)scale (BARS)

management by objectives (MBO)management by objectives (MBO)

electronic performance monitoring electronic performance monitoring (EPM)(EPM)

unclear standardsunclear standards

halo effecthalo effect

central tendencycentral tendency

strictness/leniencystrictness/leniency

biasbias

appraisal interviewappraisal interview