Appraisal And Workorce Performance Flashcards
Appraisal
A formal assessment of an employee’s performance
What are the three things included in an appraisal form?
Strengths
Development areas
Performance targets
Purposes of an appraisal
Helps make the business more efficient and productive
Could make employees feel more valued
Give staff a focus
Motivate staff to work towards a reward
Managerial appraisal
A method of appraisal where a manager examines and evaluates an employee’s performance
Advantages of a managerial appraisal
Employees receive expert input from manager
Makes subsequent actions such as deciding about promotion, rewards, and disciplinary procedures seem fairer
Disadvantages of managerial appraisals
Manager may not work closely with employees to know their strengths and development areas
Input s limited to one point of view (the managers)
Self assessment
Employees assess their own performance, often using a tick sheet to grade aspects of their work.
This can be used as a stand along method or in advance of a managerial appraisal.
Benefit of using self assessment as a stand alone method
Individuals often feel in the best position to identify their strengths and development areas because a manager may not work closely enough
Drawbacks of using self assessment as a stand alone method
The employee may be biased when completing their assessment due to having a lack of objectivity
Why is a self assessment often used before a managerial appraisal?
The manager can prepare what to say to the employee
The employee can feel less anxious as they know what to expect
360 degree appraisal
Involves an employee receiving feedback from several people in the organisation.
This is more appropriate for staff who work in large businesses with multiple teams.
Peer assessment
This is when the appraisal is carried out by a work colleague.
Advantage of 360 degree appraisals
A broader picture of performance will be obtained
Disadvantage of 360 degree appraisals
Could end up with too much conflicting information to base targets upon
Advantage of peer assessments
Peers have a very clear idea on how the employee is contributing to the team
Disadvantage of peer assessments
Appraisals may end up being overly positive or negative depending on relationships.
This is an issue if the appraisal is linked to pay.
Labour turnover
A measure of the number of employees who have left the business (usually over the past year), relative to the number employed in that period.
A high percentage is an indicator of poor morale and motivation.
Labour turnover equation
(Number of employees leaving during the year ÷ average employed during the year) x 100
Absenteeism
Non-attendance in the short/long term or authorised/unauthorised
Absenteeism equation
(Total days absent in the month ÷ total available working days in the month) x 100
Lateness equation
(Number of late arrivals ÷ total number of scheduled arrivals) x 100
Productivity
A measure of output per employee in a particular period of time
Productivity equation
Output (per week/month/year) ÷ average number of employees
Benefits of improving workforce performance
Increased output / speed / efficiency
Reduced waste / training costs / recruitment and selection costs
Less resentment amongst the team
Limitations of using quantitative data
Averages can be misleading
Not all departments employ the same number of people
A single figure in isolation is of limited use
Numbers do not explain the situation
Ways performance can be related to pay
Piece rate
Bonuses
Commission
Pay scale
Piece rate equation
Number of products produced x amount paid to work per product produced
Commission equation
Sale value x commission rate
What is the UK statutory minimum holiday entitlement
28 days including Bank Holidays
Holiday entitlement equation
Number of days an employee works per week x 5.6
Employee contribution
What an employee gives to the business (eg their expertise and efforts)
Their contributions might be discussed during their appraisal.
Examples of employee contribution
Lowest absenteeism rate
Number of sales made
Commission earned
Number of positive customer reviews
Qualifications