Human Resouce Management Garry Dessler Human Resources Management in Canada Tenth Edition 07 Performance Appraisal: The Key to Effective Performance Management Human Resouce Management

Performance appraisal: Evaluating an employee’s performance relative to his or her performance standard. Performance Management The overall system of goals setting, guidance of employees, performance appraisal, pay for performance, training and development, career management and disciplinary actions. Human Resouce Management

Why Should Performance Be Appraised? Provides information for promotion and salary decisions. Provides opportunity for corrective action regarding performance. Human Resouce Management

Performance Appraisal Problems Similarity bias: The tendency to judge others more positively when they are like yourself. Leniency bias: Rating employees more favorably than their performances merit. Harshness bias: Rating employees more severely than their performances merit. Central tendency: The tendency to select employee ratings in the middle of a scale. Halo effect: rating attractive ones high and less attractive ones lower. The high-potential effect. We often judge the person’s credentials rather than what the person has actually done for the organization. Human Resouce Management

The Performance Appraisal Process Three steps: Setting work standards Assessing actual performance relative to standards Providing feedback to employee regarding performance Human Resouce Management

Performance appraisal methods Basic considerations in performance appraisal: What to measure How to measure Human Resouce Management

Graphic Rating Scale Trait:_____ Ratings ____ Outstanding 4 Method-1 Graphic Rating Scale: a scale that lists a number of performance traits, performance for each and rates. Graphic Rating Scale Trait:_____ Ratings ____ Outstanding 4 ____ Excellent 3 ____ Good 2 ____ Unsatisfactory 1 Human Resouce Management

Method-2 Alternation Ranking Scale Trait: ____________ Highest-ranking employee 1. ________________ 4. ____________ 2. _________________ 5. ____________ 3. _________________ 6. ____________ Lowest-ranking employee Human Resouce Management

Method-3 Paired Comparison Method Trait: ____________ Employee As Compared to: Art Bob Carl Diane Art + + - Bob - - - Carl - + + Diane + + - 1 3 1 1 Bob ranks highest Human Resouce Management

Method-4 Critical Incident Method keep a record of: uncommonly good Undesirable work-related behaviors Human Resouce Management

Method-5 Narrative Forms Writing essay on the performance of the employee. Human Resouce Management

Human Resouce Management

Human Resouce Management

Human Resouce Management