1. Organizational Design, Diagnosis, and Development Session 22 Human Resource Interventions, I Performance Management

2. Objectives Understanding the components of performance management Understanding the role of the performance appraisal interview Appreciating legal and strategic issues in performance appraisal Understanding the role of performance appraisal in motivation Understanding how performance appraisal links to continuous improvement

3. Performance Management & Appraisal Performance management –Defines performance –Facilitates Performance –Encourages performance Performance Appraisal –Measures performance –Evaluates performance –Feeds back the evaluation

4. Performance Feedback The appraisal interview –A conversation with a goal – Diminish defensive talking & listening Pre Interview The interview Post interview

5. Pre Interview Steps Communicate often Reflect on your own standards Encourage employee to prepare

6. The Interview and After Encourage participation, Judge performance, Be specific, Take a problem solving approach, Set goals Follow-up with feedback and communication

7. Legal & Strategic Issues Legal issues –Performance appraisal is open to adverse impact –Criteria must be applied equally Strategic issues –Organizations get what they reward –Need to align strategy with performance management system

8. Motivation & Performance Appraisal Motivational theories and appraisal –Expectancy theory –Equity theory Performance appraisal as an outcome

9. Who Should Diagnose Performance The supervisor Peers Self-appraisal Subordinates Customers 360 Degree Feedback

10. Performance Improvement Performance problems –Actor-observer bias –Direct attention to causes of performance Developing plans to improve workers –Action plans –Communicate on performance

11. Backwards & Forwards Summing up: We distinguished performance management from performance appraisal, considered issues in the evaluation interview, legal and strategic issues, the role of appraisal in motivating workers, and linking appraisal to continuous improvement. Looking ahead: Next time we conclude human resource interventions with a study of career development.