PERFORMANCE MANAGEMENT Flashcards
Procedures and systems designed to improve employee outputs and performance, often through the use of economic incentive systems.
Performance Management
The process of systematic evaluation of an employee’s overall work performance.
Performance Evaluation
Involves his work outputs and how well he/she handles his duties and responsibilities.
Performance Evaluation
Functions of Performance Evaluation
●Validation and Selection Criteria ●Training Requirements ●Employee Improvement ●Promotions, Wages, and Transfers ●Reductions in Force
Categories of Performance Measure
●Performance Appraisal for Production Job
●Performance Appraisal for Non-production Jobs
Jobs that have an output
Production Job
office work, doctors
Non-production Jobs
number of units assembled or produced in a given period of time.
Quantity of Output
assessed through inspection standards to check on faulty units produced.
Quality of Output
based on accident records within the work environment.
Accidents
wage history, rates and frequency of increase
Salary
number of days lost from work.
Absenteeism
history and record of promotion
Rare of Advancement
Performance Appraisal for Production Job
●Quantity of Output ●Quality of Output ●Accidents ●Salary ●Absenteeism ●Rare of Advancement
Performance Appraisal for Non-production Jobs
●Assessment of Supervisors
●Assessment of Peers
●Self-Assessment.
assessing levels of proficiency base on supervisory assessment.
Assessment of Supervisors
assessing judgments and performance level by co-workers.
Assessment of Peers
Appraisal of one’s own performance.
Self-Assessment
Methods of Performance Appraisal
●Rating Technique ●Forced-Distribution ●Techniques ●Essay Appraisal ●Checklist ●Forced Choice ●Critical Incident ●Graphic Rating Scale ●Management by Objectives
Sources of Error in Performance Appraisal
●Halo Effect
●Distribution errors
●Recency error
●Personal bias error
a tendency to judge a person’s performance based on single attribute or characteristic
Halo Effect
leniency, central tendency and strictness error
Distribution errors
the rater’s tendency to allow more recent incidents of employee behavior to carry too much weight in evaluation of performance over an entire rating period.
Recency error
an error in judgment that can occur when a person allows their preformed biases to affect the evaluation of another.
Personal bias error