1. Gathering Performance Information: Overview
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
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2. Major Components of Appraisal Forms (1)
Basic Employee Information
Accountabilities, Objectives, and Standards
Competencies and Indicators
Major Achievements and Contributions
Stakeholder Input
Employee Comments
Signatures
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3. Major Components of Appraisal Forms (2) (could be included in a separate form)
Developmental Achievements
Developmental
Needs
Plans
Goals
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4. Desirable Features for All Appraisal Forms
Simplicity
Relevancy
Descriptiveness
Adaptability
Comprehensiveness
Definitional Clarity
Communication
Time Orientation
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5. Determining Overall Rating
Judgmental strategy
Mechanical strategy
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6. Appraisal period Number of Meetings Annual Semi-annual Quarterly
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7. 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
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8. 6 Types of Formal Meetings (can be combined)
System Inauguration
Self-Appraisal
Classical Performance Review
Merit/Salary Review
Development Plan
Objective Setting
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9. 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
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10. Who Should Provide Performance Information?
Direct knowledge of employee performance
Supervisors
Peers
Subordinates
Self
Customers
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11. Supervisors Advantages Disadvantages
Best position to evaluate performance vs. strategic goals
Make decisions about rewards
Disadvantages
Supervisor may not be able to directly observe performance
Evaluations may be biased
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12. Peers Advantages Disadvantages Assess teamwork
Possible friendship bias
May be less discriminating
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13. Subordinates Advantages Disadvantages
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)
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14. Self Advantages Disadvantages Increased acceptance of decisions
Decreased defensiveness during appraisal interview
Good position to track activities during review period
Disadvantages
May be more lenient and biased
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15. Customers (external and internal)
Advantages
Employees become more focused on meeting customer expectations
Disadvantages
Time
Money
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16. Disagreement Across Sources
Expect disagreement
Ensure employee receives feedback by source
Assign differential weights to scores by source, depending on importance
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17. Types of Rating Errors Intentional errors Unintentional errors
Rating inflation
Rating deflation
Unintentional errors
Due to complexity of task
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18. A Model of Rater Motivation
Expected Positive and Negative Consequences of Rating Accuracy
Motivation to Provide Accurate Ratings
Probability of Experiencing Positive & Negative Consequences
Rating Behavior
Expected Positive and Negative Consequences of Rating Distortion
Motivation to Distort Ratings
Probability of Experiencing Positive & Negative Consequences

19. 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
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20. Motivations for Rating Deflation
Shock employees
Teach a lesson
Send a message to employee
Build a written record of poor performance
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21. Prevent Rating Distortion through Rater Training Programs
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22. Rater Training Programs should cover:
Information
Motivation
Identifying, observing, recording and evaluating performance
How to interact with employees when they receive performance information
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23. Information - how the system works
Reasons for implementing the performance management system
Information on the appraisal form and system mechanics
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24. Motivation – What’s in it for me?
Benefits of providing accurate ratings
Tools for providing accurate ratings
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25. Identifying, observing, recording, and evaluating performance
How to identify and rank job activities
How to observe, record, measure performance
How to minimize rating errors
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26. How to interact with employees when they receive performance information
How to conduct an appraisal interview
How to train, counsel, and coach
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