1. Chapter 12 Evaluating Employee Performance Copyright © 1999 John Wiley & Sons Canada, Ltd. All rights reserved.

2. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd Performance Appraisals and the Motivation Process

3. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd Purposes of Performance Management Systems Feedback Development Documentation

4. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd Difficulties in Performance Management Systems Focus on the individual Focus on the process

5. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd Performance Appraisals and Employment Equity Must be bias-free, objective, and job- related Should be conducted at regular intervals by trained appraisers

6. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd The Appraisal Process

7. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd Appraisal Methods: Absolute Standards (Employees are measured against a set benchmark) Essay appraisal Critical incident appraisal Adjective rating appraisal Forced choice appraisal Behaviourally anchored rating scales (BARS)

8. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd Sample Checklist Items for Appraising Customer Service Representative

9. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd Sample of Adjective Rating Scale Items and Format

10. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd Sample BARS for an Employee Relations Specialist

11. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd Appraisal Methods: Relative Standards (Individuals compared to each other) Group order ranking Individual ranking Paired comparison

12. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd Appraisal Methods: Management by Objectives (Employees evaluated on how well they achieve specific objectives) Steps of MBO: 1. 1. Goal setting 2. 2. Action planning 3. 3. Self-control 4. 4. Periodic reviews

13. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd Factors Distorting Appraisals Leniency/harshness error Halo error Similarity error Low appraiser motivation Central tendency Inflationary pressures Inappropriate substitutes for performance Attribution errors

14. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd Factors Leading to More Effective Performance Management Systems Behaviour-based measures Combination of absolute and relative standards Ongoing feedback Multiple raters Selective rating Trained appraisers Rewards for accurate appraisers

15. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd Conducting the Performance Appraisal Interview Prepare for, and schedule, the appraisal in advance Create a supportive environment Describe the purpose of the appraisal to employees Have the employees complete a self-evaluation Focus discussion on work behaviour Support your evaluation with specific examples Give both positive and negative feedback Make sure the employees understand what was discussed Generate a development plan

16. HUMAN RESOURCES MANAGEMENT Templer Cattaneo De Cenzo Robbins John Wiley & Sons Canada, Ltd Issues in International Performance Appraisal Who performs the evaluation? Which evaluation format will be used?