Lets Practice Your Performance Appraisal SkillsSHRM 2009*
SHRM 2009
Discuss the learning objectives for this module. In light of the
negative reactions most managers and employees have to performance
appraisals, the most significant objective for this class may be
the last one listed here. At the end of this module, students will
have the skills to turn the negatives of performance appraisals
into a positive experience for managers and staff. **Performance
management is a goal-oriented system to ensure that organizational
processes exist to maximize the productivity of employees, teams
and, ultimately, the organization.
A performance appraisal is a formal system of review and
evaluation of individual or team performance.
Performance management is an ongoing organizational process that
is conducted to maximize the productivity of employees with the
overall intention of improving the organizations effectiveness. It
is strategic in nature and involves every person and all HR
processes in the organization. All are directly tied to achieving
the organizations goals.
The performance appraisal is a periodic event to reflect and
evaluate past performance with the intent to identify strengths and
weaknesses of an employees performance and to identify
developmental goals. A performance appraisal is just one part of a
performance management system.
Source: Mondy, R. (2008). Human resource management, 10th ed.
New Jersey: Pearson Prentice Hall, 224-225.The performance
management process involves all levels in an organization.
Strategic goals set by the organization filter through the
organization and affect the goals and activities of each employee.
In addition, the performance management process gathers and updates
current employee data to maintain the human resource information
system (HRIS). The HRIS contains a skill bank of employee
information that enables the HR department to determine if the
organization has the right mix of skills and people to achieve the
organizations goals in an ever-changing world. This information is
used in all areas of HR decision-making. Effective performance
management requires ongoing communication between supervisors and
staff. The assessment and review part of the process provides the
opportunity for documentation and formal communication. Its the
time for the supervisor and the employee to set developmental goals
that reinforce the organizations strategic plan and, if there are
areas of problem performance, action plans for improvement. There
should be discussion of the employees career progress and plans
made for training and long-term career growth. Many supervisors see
the appraisal process as a motivation tool to improve employee
performance. The employees main objective is to obtain feedback
from the supervisor on his or her work performance. Ideally,
employees receive feedback at all times and not just through the
review process. The employee will also expect organizational
support in his or her career growth. Together, the employee and the
supervisor should identify areas for improvement and set goals for
training and skill development. Anything the supervisor can do to
enhance the employees skills will benefit both the employee and the
organization.
If the organization links performance appraisal to compensation,
most employees will expect a raise as a result of a positive
review. Though supervisors generally conduct the review, they may
not have a say in the amount of compensation awarded because
compensation is normally determined by organizational policy. This
can be particularly problematic for supervisors who want to
motivate employees through the appraisal process but find the
organizations compensation to be a de-motivator when increases are
not as much as employees would like. For this reason, many
supervisors prefer that compensation increases are not linked to
the performance appraisal process.*Performance management is not a
one-time event but a continuous process. It should align with the
organizations strategic goals and require open communication among
managers and staff. It provides time for formal feedback, but
employees should receive continuous feedback from their supervisors
and not just at review time.
*HR plays a significant role in the performance management
process, from the prerequisites and through the entire process. In
the prerequisite stage, HR participates in goal setting during the
strategic planning process, conducts job analyses and ensures that
job analysis information is current. These are crucial steps in a
successful performance management system.
Throughout the system, HR supports and trains managers in the
skills necessary to execute their part of the process. HR designs
and implements the performance review system and makes sure
managers have the skills necessary to offer timely, unbiased
employee ratings. It is HRs responsibility to monitor the process
to ensure there is documentation that accurately represents
employee performance and can be used to make personnel decisions
without fear of discrimination and litigation.
HR supports employees as well as the managers throughout the
process by acting as an advocate for all employees. HR should
establish a due process system for employees who do not agree with
their performance ratings. HR acts as a sounding board for
employees, allowing their issues to be heard and addressed. HR
protects the integrity of the system by insisting on objective,
timely reviews and addressing employee concerns with due process.
In addition, HR maintains employee records and ensures employee
privacy.
*These are the steps in the performance management process. An
important concept of performance management is that it is a
continuous process characterized by open communication between
employees and supervisors in which feedback is exchanged and
coaching is given if needed.
The second concept is a clear identification of the link between
employees contributions and organizations goals.
Source: Aguinis, H. (2007). Performance management. New Jersey:
Pearson Prentice Hall.
*Before we can begin the performance management process, two
important prerequisites must occur. First, strategic planning must
be completed because the performance management process builds on
an organizations goals. Once organizational goals are established,
employee goals cascade from there. Remember, an important objective
of the performance management process is to enhance employees
contributions to the organizations goals.
The second prerequisite is a thorough understanding of the job.
This is done through job analysis. If it has been some time since a
job analysis was conducted for a position, it may be necessary to
conduct a new analysis before starting the performance management
process. If you are working with job descriptions that read like
the last century, its time to update them if you expect to be
successful in todays highly competitive, technology-driven
workplace. Once strategic planning goals are established and the
job analysis information is current, the performance management
process can begin. *Once the prerequisites are in place, the next
step in the process is performance planning where the organization
establishes the criteria and expectations for employee performance.
Supervisors must communicate this to employees in such a way that
everyone understands the expectations. It would not be appropriate
to expect outstanding performance from employees if they had no
idea how the organization describes and measures outstanding. Clear
communication is a central part of the performance management
process.
In this step, the manager and employee together identify what
needs to be done and how it will be accomplished. This includes
consideration of results and appropriate behaviors to accomplish
tasks. The supervisor and the employee must agree on the objectives
to be accomplished. These are the specific outcomes the employee is
expected to achieve. Outcomes must include specific, measurable
performance standards.
Use the SMART acronym to write appropriate objectives. SMART
stands for specific, measurable, attainable, realistic and
timely.
Instructors Note: If students are not familiar with SMART goal
setting, some additional discussion may be needed here.
Remind students that goals set using SMART guidelines are more
likely to be achieved than those without SMART principles.
Example:Poorly written objective: Increase widget
production.This objective sounds like a good goal, but it is so
illusive that employees would not know how to accomplish the task
and certainly no way to measure its accomplishment.
SMART objective: Control product defects to increase annual
widget production by 5 percent while maintaining current budget and
specification levels.This objective fits the SMART formula. Its
specific. It tells employees what the end result should bea 5
percent increase in production. It tells employees what to work
onproduct defects. It identifies the time periodone year. Finally,
it gives measurable parameters for accomplishmentwithin budget and
specifications. The objective is specific, measurable, attainable,
realistic and timely.
Just as results are important to successful performance, so too
are behaviors.ResultsDid the employee accomplish the
tasks?BehaviorsHow did they do it?
Behaviors include competencies as well as traits like teamwork,
leadership and communication. If employees accomplish their tasks
but they are horrible to work with and have alienated their entire
departmentthats not a good outcome! Open communication, working
with a team and meeting deadlines so other staff members can
accomplish their parts of the process are all areas that should be
addressed in the performance review.
The last part of the performance plan is to establish employee
developmental goals. If there are areas that need improvement, they
should be identified and plans made to correct the deficiency. Even
without needed improvement, though, employees need an opportunity
to grow in their careers and to learn new skills. Improvement plans
should be identified and progress toward goals measured as part of
the review process. Employee growth adds value not only to the
employee personally but to the employees manager and to the
organization as a whole.
*Class activity.
Distribute the delivery driver job description provided in the
instructors manual and ask students to write SMART objectives for
the delivery driver job. If you prefer, you can use another job
description. The examples below are based on the delivery driver
position.
Examples from the Responsibilities and Duties Section of the Job
Description:6. Performs and schedules preventive maintenance.SMART
objective: By Oct. 31, complete an inventory of department vehicles
and create an Excel spreadsheet to schedule and track completion of
preventive maintenance, indicating due date, completion date and
responsible party.
9. Complete hazardous chemical awareness program and
maintains.SMART objective: Attend and complete (with a minimum
grade of C ) a hazardous chemical awareness class at the community
college during spring semester of 2009.
10. Cross trains in other department operations as
assigned.SMART objective: Work with the safety manager three hours
per week between Sept. 1 and Nov. 30 to input safety record data
and to learn the process to maintain files of safety requirements
and certification.
*Accomplishing objectives is a shared responsibility between the
employee and manager. It requires both to be committed to achieving
the desired results. If the objectives are set by the manager only
and the employee doesnt agree, successful accomplishment is
unlikely. If there is disagreement on goals, negotiation and
compromise must occur; no progress can be made unless everyone is
on the same page.
Success also requires open, ongoing communication between the
manager and employee. A manager who sets goals for the employee and
then walks away and doesnt check to see if goals are being
accomplished until the next review period is setting the employee
and the organization up for failure. The manager is responsible for
giving feedback to the employee, coaching and encouragement when
needed and praise when things are going well. The employee is
responsible for communicating progress to the manager and keeping
the manager informed of any deviation from timelines, budgets or
other problem areas.
The manager is responsible for providing the employee with
resources needed to successfully complete the task. This is where
the R part of the SMART acronym comes into play. It is not
realistic to expect high-level performance from an employee if he
or she is not given the necessary resources to make it happen. If
resources are unavailablethere is simply not enough time, money or
suppliesthis must be taken into consideration when the objectives
are set.
Because the manager plays a key role in the assessment process,
the manager must be aware of the employees work. It is the managers
obligation to provide accurate observation and documentation of the
employees accomplishments. A manager should never review an
employee if that employees work is not known to the manager. *This
is a good time for class discussion. Ask students to suggest some
advantages and disadvantage of using multiple raters. What about
the possibility of skewed appraisals from co-workers? Sometimes
employees give high ratings to friends and poor ratings to those
they dislike. How would a manager know if peer ratings are
accurate? Under what circumstances are raters likely to provide
honest feedback? In the traditional appraisal process, employees
are appraised by their supervisors only. It is assumed that the
supervisor is the best person to know and assess the employees
work. This worked well when employees worked in the office with
their supervisor, allowing for easy observation of performance.
Technology now enables employees to work at various locations,
often at sites separate from their managers. This has increased the
need for evaluation from peers, customers and co-workers.
Consequently, many organizations have moved away from a
single-rater appraisal process to a multiple-appraisal system where
employees receive feedback from a variety of sources, although
supervisors are still likely to be key components of the process.
In many organizations, staff members conduct appraisals for
managers as well.
The most extensive appraisal results from a 360-degree feedback
process. In this system employees receive an appraisal from people
both in the organization and outside the organization as well. In
360-degree feedback process, a retail salesclerk would receive an
appraisal from his supervisor, peers (other salesclerks), managers
of other departments or inventory personnel in the organization, as
well as appraisals from customers and vendors employed outside the
organization. The advantage of this system is that employees
receive the widest possible range of feedback and the appraisal is
less likely to be skewed by one person in the event of a
personality clash or favoritism. One disadvantage of this system is
its scope. With many people involved, the system becomes costly and
time-consuming to administer.
Most organizations have settled with systems somewhere in the
middlenot as extensive as a 360-degree feedback but not simply one
appraisal from the supervisor.
*This is a good place to ask students to discuss whether
employees should do self-appraisals. Ask if any of them have done a
self-appraisal where they work and if so, ask them to discuss their
experiences.
Performance management requires that managers and the employees
take responsibility to evaluate the extent to which desired
behaviors have been demonstrated and whether the desired results
have been achieved. In the past, the performance appraisal was
simply a process of the supervisor passing judgment on the
employees work and then presenting the judgment to the
employee--much like a courtroom judge rendering a verdict and a
sentence. This was not a satisfying process for either the employee
or the manager.
Adding employee self-ratings to the process can help identify
discrepancies between the views of the manager and the employee and
can often point out areas for development opportunities. Some
believe the review process can be significantly improved by
employee participation throughout the process. There are a number
of reasons why employee participation is valuable.
1. Who knows the job better than the employee? Employees possess
relevant and unique insight into the job performance that may not
be observable by even the most astute evaluator. 2. Appraisal
participation gives employees input into the process, making them
more confident in the fairness of the process and more likely to
accept performance ratings, even adverse ones. 3. Employee
participation generates an atmosphere of cooperation and employee
support that may reduce tension for all involved.4. Participation
gives employees ownership of the process and a stake in the system.
It is a key element in intrinsic motivation that increases employee
growth and development (Roberts, 2003).
There are some drawbacks to the self-evaluation process.
Research indicates the self-appraisal has great appeal for managers
who are primarily concerned with employee participation and
development, but self-appraisal appears less useful as an
evaluative tool or for compensation purposes. (Campbell, 1988).
Sources:Roberts, G. E. (Spring, 2003). Employee performance
appraisal system participation: A technique that works. Public
Personnel Management.
Campbell, D. J. and Lee, C. (April 13, 1988). Self-appraisal in
performance evaluation: Development versus evaluation. Academy of
Management Review, 302-314.
*There are a variety of appraisal methods available to
organizations. The method selected by the organization should fit
well with the organizations goals and be appropriate to the job
being appraised. Some organizations use different methods for
different positions. Regardless of the system used, regular
communication and feedback from managers are more important than
the method used.
A graphic rating scale is the most commonly used appraisal
system. Evaluators record their judgments on a scale that includes
about 57 categories. Categories are defined by adjectives such as
outstanding, meets expectations or needs improvement. This method
is popular because it is easy to administer and can be quantified,
if desired, by adding a numeric value to each description.
In the ranking method, the evaluator places employees from a
particular group in the order of overall performance, starting with
the top performer--who is rated the highest--and moving down to the
poorest performer in the group who receives the lowest ranking.
Paired comparison is a variation of the ranking method in which the
performance of each employee is compared with every other employee.
The comparison is often based on a single criterion, such as
overall performance. The employee who receives the greatest number
of favorable comparisons is ranked the highest. This can be
difficult to administer if your work group consists of a large
number of employees.
The forced distribution method requires the evaluator to assign
individuals to a limited number of categories, much like a normal
frequency distribution curve. A few individuals will get very high
ratings and a few will get very low ratings, with the majority
averaging in the center of the curve. Generally, those with very
low ratings are subject to termination. As with the ranking method,
this system requires the evaluator to place some employees at the
bottom, even if their performance is acceptable, and some at the
top, even if performance may actually be less than outstanding. The
system makes the erroneous assumption that there must be some
outstanding workers and some poor workers, even when that may not
be the case. Forced distribution is unpopular among managers
because many believe it destroys teamwork and fosters cutthroat
competition among employees.
The critical incident method requires the evaluator to maintain
records of employees favorable and unfavorable performances. These
critical incidents become the basis for evaluation. The incident
log must be maintained over the entire evaluation period to
eliminate the problem of just evaluating an employees most recent
performance.
In the essay method, the evaluator writes a brief narrative of
the employees performance. The major criticism of this method is
that it is very subjective because the evaluation criteria left
entirely to the discretion of the evaluator and the results are
dependent on the writing skills of the evaluator. It can be
difficult to compare the results of employee evaluations that use
the essay method because there is no common criteria used for
evaluation.
BARS is a behaviorally anchored rating scale that combines
elements of a traditional rating scale and a critical incident
method. Various performance levels are described on a scale, and
the evaluator compares the employees performance to the levels
described. The descriptions provided reduce the amount of judgment
required of the evaluator and rely on the evaluators observations
of the employees work behavior.
Management by objectives, or MBO, is a results-based system that
relies on the manager and the employee to jointly agree on
objectives, the attainment of which becomes the basis of evaluation
for the next appraisal period.
Mondy, R. (2008). Human resource management, 10th ed. New
Jersey: Pearson Prentice Hall.
*Managers are not always comfortable being the appraiser. Some
simply dont like the idea of judging the work of others. Others may
have an inaccurate idea of what a manager is supposed to be. Some
assume that good managers are tough and may give harsh ratings
because they dont want to be seen as pushover. Others may give
lenient ratings, wanting to be liked by staff or fearing hostility
or backlash if ratings are less that outstanding. None of these
positions provide accurate ratings of the employees involved.
Of course, managers are human; there are some people they like
and some that may not like. Bias is a common problem in performance
appraisals, and managers must be reminded that performance
appraisals should be objective. It is NOT an affirmation of
friendship nor an opportunity to get even with someone you dislike.
It becomes a serious problem for the organization when a manager
manipulates the appraisal process to get a disliked employee fired
or a favored employee promoted. Remember, performance appraisals
can be subpoenaed as evidence in litigation, and the organization
may be asked to defend their accuracy.
There are other errors as well. There is the halo effect, when
there is one outstanding trait of an employee that overshadows all
other activities in the appraisal. Then there is the horns effect,
when one negative trait overshadows all the good an employee has
done and results in a negative appraisal.
Just as some managers give strict or lenient ratings, some are
too timid to give much of a rating either way. Instead of making a
judgment, they simply rate all employees right down the middle of
the scale. If it is a one-to-three scale, everyone gets a two. If
its a one-to-five scale, most everyone gets a three. This can also
occur when organizations ask managers to justify their ratings if
they are anywhere other than middle of the road. If its too
difficult to justify, managers will just stick to the middle. Or it
may simply be that the manager cant differentiate one way or the
other. Whatever the reason, some employees probably deserve middle
ratings, but it is likely not a true reflection of ALL staff.
Organizations can avoid this by using a scale with an even number
of ratings. Its hard to find the middle number between one and
six.
Recent behavior bias may occur when a manager fails to keep
records of employee performance. Rather than looking at all
behavior during the performance period, the manager rates only the
most recent employee behavior because it is all the manager can
remember. Appraisals must rate the entire performance period since
the last appraisal was done and not just the last 30 days. Good
managers keep records of employee performance--not just negative
performance but outstanding performance, too. If records are kept,
it is much easier to write the appraisal when the time comes.
Appraisals can be inaccurate when the supervisor is unable to
observe the employees performance. Even with good intentions, a
supervisor is unlikely to be able to observe all employee behavior,
and critical incidents can be missed. This is particularly a
problem when the supervisor and the employee work at different
locations. Sometimes a staffing change can result in the assignment
of a new supervisor who has had only a short time to observe
employee behavior. When observation is impossible, the supervisor
must rely on results for assessment instead of behaviors.
The possibility of error reminds HR how important it is to train
managers in the performance appraisal process and to be vigilant in
detecting appraisal patterns from managers that may signal
inaccurate ratings.
*Class activity: Ask students to rewrite the clichs (found in
the instructors manual) and discuss their answers. Students could
do this individually or in groups of two or three. Remind students
of the importance of appraising behavior and not personality. *This
is the second class of this two-session module on performance
management and appraisal.*Start the class with an activity; ask
students to make a list. As managers, what information do they need
before the performance interview? There is a checklist in the
instructors manual that can be distributed to the class after the
exercise.
Checklist items:
Do you know your employee?Length of service with the
organization.Date of last promotion.Experience and educational
level.Current projects employee is working on.Career goals.
Interview checklist. Do you have?Employee job
description.Attendance records.Salary and job grade
information.Employee performance journal.History of employees
training.List of training courses available and appropriate for
employee.Previous performance appraisal.Completed performance
appraisal form.Employee self-appraisal.Recent examples of employees
work (if appropriate).Examples of work problems you want to discuss
(if appropriate).
Are you ready? Have you: Notified the employee of the interview
time? Given the employee at least one or two weeks notice?Reviewed
your ratings with a peer or with HR before the interview?
*After what may seem like endless amounts of preparation time,
everything is ready, and its time to sit down with your staff
member and discuss his or her appraisal. Start by creating the
proper climate for the appraisal interview. Conduct the interview
in a private, neutral location that has a friendly and informal
atmosphere. Be sure to allocate enough time to conclude the
interview without being rushed. You may be nervous at the prospect
of meeting with the employee to talk about performance, especially
if you have little experience conducting review interviews.
Remember, your staff member may also be nervous so its your job as
manager to set the stage, create a comfortable environment and
ensure a productive discussion.
Start by thanking the employee for setting aside time for your
meeting. No doubt your staff member has just as many time pressures
as you and you want him or her to know that the performance review
is important. Explain the purpose of the interview and what you
want to accomplish. Start by discussing the employees
self-appraisal. Ask him or her to comment on it and ask if there is
anything else that should be added. Then move on to the appraisal
you completed. If there are differences in ratings between you and
the staff member, this is the time to discuss those differences and
for you to explain your rationale for the ratings you gave.
The appraisal should be future-focused. Remind the employee the
purpose of the review is for goal-setting and growth. Be sensitive
to the employees feelingsalways begin by providing positive
feedback. Point out specific accomplishments and note how the
employee contributed to the teams efforts and to the organizations
success. If there are problems with performance, the purpose is not
to find fault but to address it and concentrate on what actions can
be taken for improvement. Avoid discussion of negative personal
issues. Instead, concentrate on the employees task-related behavior
and the consequences of that behavior. It may be important to
reinforce the requirements of the job. Give the employee a chance
to discuss his or her feelings and reactions to your input and
feedback. Listen and allow the employee to say what he or she needs
to say. Pay attention to verbal and nonverbal cues. If there are
areas that need improvement, encourage the employee to come up with
potential solutions. Individuals are always more likely to follow
through with solutions to a problem if they created the solution
themselves instead of having a solution mandated to them by
management.
If the employee has a satisfactory or better rating, focus your
discussion on setting objectives for the next period. If the
employee has unsatisfactory performance, work together to create a
developmental plan. Follow the guidelines your organization has for
performance improvement plans. Ask the employee to summarize the
plans you agreed on. This helps ensure that the employee
understands what is expected next. If compensation is a part of
your organizations review process, discuss the changes in the
employees compensation and share any rationale for the adjustment
or other information as necessary.
If follow-up meetings are needed after the appraisal interview,
schedule them at this time. If follow-up is more informal, let the
employee know when you will touch base again. Remember, it is
important that feedback and communication is ongoing with all
employees, not just with those who have problems.
Ask the employee to sign the appraisal form and give them a
copy. If the employee disagrees with his or her appraisal rating
and refuses to sign, note that the employee chose not to sign and
offer a copy of the document anyway. Summarize the results of the
meeting and recap any important information needed to carry out
future plans. Be sure to remind the employee of any follow-up
dates. If appropriate, discuss the process your organization has
established for employees who disagree with their performance
ratings. Make sure they know the appeals process and that they have
the information or documents needed to generate an appeal.
*This is the final stage in the performance management process.
It is essentially the reverse of the performance planning that
occurred at the outset. It is the time to assess the activities and
make adjustments to improve the process for the next cycle. For
example, if objectives were set unreasonably high, readjust
objectives and affirm where the process should be in the
future.
Remember, performance management is an ongoing cycle. Essential
to the re-contracting process is discussion of prerequisites and
planning for the next cycle. One cycle merges into the next as a
seamless continuing activity.*Many organizations tie compensation
to the appraisal process, believing good appraisal ratings deserve
reward and at the same time hoping that a compensation reward will
motivate employee productivity. It sounds like a win-win situation.
A problem occurs, though, when the organization is not able or
willing to reward employees with compensation levels employees
believe they deserve. Managers find it problematic to praise an
employees good work and ask for continued or even increased
productivity and then reward the employee with a minimal increase
in compensation. Employees who are disappointed with their
compensation increase may be less motivated, less productive and,
worst case, find employment elsewhere. As a result, many managers
often prefer an appraisal system not linked to compensation.
Problems can result when managers and employees dont agree on
the appraisal ratings. When the manager rates the employee lower
than the employee expects, it can be a difficult interview and
employees may respond with decreased productivity. Managers must
ensure that the employee understands the rating criteria and the
rationale for the rating score. It is important to emphasize the
positive aspects of the appraisal processgoal setting, development
plans and the opportunity for better results next time around.
Many managers dont like to assess employee performance. Some say
it makes them feel like the judge and jury. Consequently,
procrastination is commonplace when its time to get the formal
paperwork done and schedule interviews with employees. It is
managements responsibility to complete performance appraisals in a
timely manner. When employee appraisals are due and managers put
them off, it sends a message to employees that their work is not
respected and their appraisals arent important. The HR department
needs to make sure there are no procrastinating managers.
Managers need to maintain records and documentation of each
employees performance. If performance appraisals are done once a
year and the manager has kept no records of employee performance,
it is difficult to remember what happened, and it is impossible to
appraise appropriately. Most likely, the manager will remember and
appraise only the most recent behavior, leading to an incomplete
and possibly inaccurate assessment of the employees work. If
information is maintained as a continuous process, the manager has
the information necessary when its time to write the appraisal
review. This makes the managers job easier and ensures that the
employee receives fair and valid appraisal.
*When completed, the appraisal becomes part of the employees
personnel record, and it is from these documents that many
employment decisions are made. An employees compensation level and
opportunities for training or job promotion are often made based on
performance appraisal ratings, as are organizationwide decisions on
retrenchment and layoffs. As a result, it is imperative that
performance management activities are nondiscriminatory and that
all employees receive a fair process with equal opportunity within
the organization.
Information in employee files can be skewed by untrained
managers who make errors or inadvertently distort information. It
is important that managers are trained in performance appraisal and
that the HR department monitors activities to ensure that
performance appraisal documents are consistent across departments.
For example, if one manager is especially harsh in ratings and
employees in that department are rated low and another manager is
especially lenient and gives staff high ratings, the result is
inaccurate appraisal documents that dont reflect employee
performance, giving an unfair advantage to staff whose appraisals
are written by the lenient manager.
It is important to have a grievance procedure in place for
employees who may not agree with their appraisal ratings. Due
process is vital. Employees need an unbiased ear where their issues
can be heard and addressed objectively.
*When performance management systems are poorly managed and dont
work as intended, there are a number of negative consequences. It
is impossible for HR to make accurate and equitable employment
decisions when employee files are littered with false and
misleading information. Employees know when a favored employee
receives an undeserved performance rating or when a supervisor
unfairly gives staff inappropriately high ratings. Decisions made
on such inaccuracies result in employee cynicism, distrust in
management and loss of morale. At the least we can expect lower
productivity, but worse yet, poorly managed performance management
systems will send the best people packing and may lead to claims of
discrimination and litigation. *Successful performance management
doesnt just happen. It requires a concentrated effort that includes
support from upper management and trained managers at all levels.
It is an ongoing process that requires open communication,
coaching, feedback and documentation of employees work that must be
a regular part of management activities and not just a once-a-year
paper-and-pencil process. Communication, encouragement and empathy
build successful relationships that enhance staff performance and
support organizational goals.
Students of management and human resources must learn these
communication and leadership skills to ensure their place in
successful organizations of the future.
* Student role play.*
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