Why are PAs
Important?
In history
Performance appraisal had been used for administrative process such as
promotion, salary administration decision and retention (De Vries, Morrison,
Shullman and Gerlach1981)
In today’s world, organizations around the globe often use PAs to provide employees feedback on their contribution to achieve organizational goals and to make decisions like identifying training requirements in addition to traditions functionalities like salary increases, bonuses…etc. In most organizations, PAs are conducted on a quarterly, semi-annual or annual basis. Some of the top reasons to implement PA's includes the following:
- Measuring & Rewarding employees' performance
- Identify employee development needs
- Managing changing roles in an organization
- Allowing Employees to voice concerns or suggest new ideas
PA frameworks link organizational objectives to employee KPIs and ensures
employee work is in line with the organization's business plans. Further
employee reward frameworks require staff to be differentiated on some basis. PA
tools like bell curves facilitate this requirement and ensures organization
rewards the staff who has contributed most. This differentiation motivates that
staff who have contributed most.
Need of Modern
Methods of Appraisal
PA's have existed in
one way or another for many years. They have become more precise over time and,
for years, identical strategies that were originally developed worked. In
today's workplace, the types of jobs being performed are different than before.
Moreover, many people don't work onsite but work from home, coming in only
occasionally or not at all. With time and technology, new strategies had to be
developed that would accurately assess work performance.
It’s been observed
that modern methods of PA lay more emphasis on the evaluation of job
achievements, which is more objective-driven. The most modern methods of PA include
- Assessment center method
- Human Resource accounting method
- Behaviorally anchored rating scale method
- Management by objectives
- Psychological appraisal method
- 360-degree appraisal method
The main reason of
developing these modern performance management techniques was to overcome the
flaws in traditional methods. Most of
the earlier performance management methods depend on the judgments of one or
two raters, due to which sometimes the evaluation gets biased. Further the
softer aspects like ethical behavior, team working…are not captured. But it’s important to note that even these modern
methods of PAs have weaknesses and would not suitable in all situations. Therefore,
it’s important to select the most appropriate technique based on the situation and
context of the organization.
Reference
- K. Mankiewicz (2019) The Ultimate Performance Appraisal Guide. [Blog entry] 21 Nov. Available from https://www.jotform.com/what-is-performance-appraisal/ [Accessed 03 April 2021]
- De Vries,D.L., Morrison,A.M., Shullman,S.L and Gerlach,M.L. (1981). Performance Appraisal on the line. John Wiley & Sons, New york
Yes.I agree with you Tania. Each and every organisation needs to identify the correct PA method relevant to their organisation and they also need to provide correct KPI's to their employees to perform during their job.
ReplyDeleteOtherwise employees are not aware about the expectations of their employer.
PA has three basic functions such as
(1) To provide feedback to each employee on his or her performance.
(2) To to take bases for modifying or changing behavior towards productive working habits
(3) To provide data to managers to judge future job assignments and compensation of employees.
Performance Appraisal does not include the behaviour of the employee but on outcome of the behaviour.
I think performance management is better than the performance appraisal method and in the current scenario it creates a win win situation for both parties.
An employer too needs to be tricky when dealing with the employee since organisation too can take benefits from employee skills and knowledge to achieve the goal and strategic vision.
In addition to the points you have made, I think these should also be considered.
ReplyDeletePerformance appraisal is the process of evaluating and documenting an employee's performance with a view to improving work quality, output and efficiency. Different methods are used to do that and the commonly used future-oriented techniques are Management by Objectives (MBO), psychological appraisals, and assessment centers.
HR Managers care should be taken about;
-The key areas for performance evaluation in doing this.
1.Attitude and Behavior
2.Achievements
3.Productivity
4.Communication Skills
5.Problem Solving and creativity
6.Teamwork and collaboration
-Characteristics of an Effective Performance Appraisal System;
A good appraisal system satisfies these characteristics according to your requirements.
1.Clear Objectives
2.Well Defined Performance Criteria
3.Accuracy & Reliability in Results
4.Post Appraisal Interview
5.Time-Saving
6.Continuous Feedback
7.Focusing on What Matters
8.Match Your Goals
-Pros and Cons
Pros - know the True potential of the employee, Promotes employee development, Acts as a Motivator, Employee Training and Development, best Promotions and Transfers, Mentoring from superiors
Cons - Consuming Process, Personal Bias or Incorrect Ratings, Horn and Halo Effect, Spillover Effect
Coens and Jenkins (2002: 1) Throughout our work lives, most of us have struggled with performance appraisal. No matter how many times we redesign it, retrain the supervisors, or give it a new name, it never comes out right. Again and again, we see supervisors procrastinate or just go through the motions, with little taken to heart. And the supervisors who do take it to heart and give it their best mostly meet disappointment.
Coens, T and Jenkins, M (2002) Abolishing Performance Appraisals: Why they backfire and what to do instead, San Francisco, CA, BerrettKoehler
Appraisal systems always aim at improving the performance of employees. It helps to analyse and evaluate opportunity factors such as technology and social process.a. Performance appraisal plans help the management provide systematic judgments to back up salary increases, transfers, promotions, and demotions regarding the employees.
ReplyDeleteYes,a further evaluation of key interpersonal skills is required for appraisal systems to develop performance.The ideal performance appraisal is not a form but a format.Effective performance appraisal depends on transparent,quality performance standards.When employee performance found unsatisfied best thing is to address the issues then and there rather than leaving them behind.This will let an employee to rectify the issues before a formal appraisal.
ReplyDeleteThe concept of performance appraisal is one of the oldest concept. And the over the years it has been significantly developed. As an example it has shifted being based on personality and traits to goals. Presently performance appraisal is also conducted on the basis of results.
ReplyDeletePerformance appraisal serves as a motivation tool. Through evaluating performance of employees, a person’s efficiency can be determined if the targets are achieved. This very well motivates a person for better job and helps him to improve his performance in the future.
ReplyDelete