Lecture #8: Performance Management (3pts)

Question 1

What are the steps to develop a performance appraisal rating system?

Answer 1

• Job analysis (describes work and personal requirements of a particular job)
• Performance standards (translate job requirements into levels of acceptable/unacceptable performance)
• Performance appraisal (document outlining the job-relevant strengths and weaknesses of each employee)

Question 2

What are the elements of a legally defensible performance appraisal process?

Answer 2

• Job-relevant & based on a job analysis.
• Criteria should represent important or critical work behaviors or outcomes.
• Specific rather than global evaluations.
• Based on outcomes or behaviors NOT traits.
• Document EVERYTHING (performance ratings)
• Conduct appraisal interviews indicating a fair system.

Question 3

How do you deliver performance feedback?

Answer 3

Deliver feedback with perceived fairness:
- Procedural: Managers must use accurate information and have lack of bias, the appraisal must be applied consistently across all employees. Employees have the right to voice and appeal the performance evaluation process if needed.

• Interactional: Managers should tailor feedback to each person’s specific needs, explaining and providing examples using behaviors while being polite and respectful. They must not share performance info with other employees.

Question 4

What are the major uses of performance appraisal?

Answer 4

Performance appraisal purposes:
- Administrative decisions (pay raises, promotions, terminations, etc)
- Feedback and performance improvement (communication tool)
- Employee development and career planning (IDP)
- Criteria for test validation (PA can become evidence in case of wrongful dismissal allegations)
- Training program objectives (know where to focus training efforts)
- Job redesign (improving job characteristics or work environment to improve performance)

Question 5

What are some ways to evaluate performance?

Answer 5

2 different performance measurements:
- Objective - verifiable by others & usually quantitative
- Subjective - based on rater’s opinions

2 different performance evaluation methods:
- Comparative - Managers compare each employee’s performance level relative to other employees
- Noncomparative - Managers compare each employee to a common set of performance standards and job expectations using rating scales, performance tests and observations.

Give specific examples: