Performance Management and Appraisal

Question 1

Performance Appraisal

Answer 1

setting work standards, assessing performance, and providing feedback to employees to motivate, correct, and continue their performance

Question 2

Performance Management

Answer 2

an integrated approach to ensuring that an employee’s performance supports and contributes to the organization’s strategic aims

Question 3

Components of Performance Management

Answer 3

● Planning: Set specific, measurable, achievable, relevant, and time-bound (SMART) goals.

● Monitoring: Track progress regularly to ensure employees stay on course.

● Reviewing: Evaluate performance outcomes and provide constructive feedback.

● Rewarding: Recognize and reward good performance to motivate employees.

Question 4

The Performance Appraisal Process

Answer 4

● Establish Goals and Performance Standards: Define what is expected from employees in terms
of performance.

● Appraise the Employee’s Performance: Assess how well employees are meeting expectations through evaluations and feedback.

● Feedback and Take Corrective Action: Provide feedback, coaching, and, if necessary, corrective actions to improve performance.

Question 5

Traditional Tools for Appraising Performance

Answer 5

1. Graphic Rating Scale
2. Alternation Ranking Method
3. Paired Comparison Method
4. Narrative Forms
5. Forced Distribution (excellent, good, poor)
6. Critical Incidents (evaluation of specific, observable events or behaviors)

Question 6

Behaviourally Anchored Rating Scale

Answer 6

a method that compares employees’ behavior to behavior examples of what is considered good or not

Question 7

Potential Problems in Performance Appraisal

Answer 7

• Unclear standards
• Halo Effect Ratings
• Central Tendency
• Be Lenient or Strict
• Bias