UNIT 5 APPRAISAL AND REWARD SYSTEMS Flashcards
helps the employee & the management to assess the level of employee’s performance compared to the standard/ pre-determined levels.
Performance appraisal
is a very essential element in any organization to understand & improve the employee’s performance.
Performance appraisal
used as a basis to decide promotions, increments, transfer etc.
Performance appraisal
is used as the basis for employee development.
Performance appraisal
is a method of evaluating the behavior & performance of employees in the workplace
It includes both the qualitative & quantitative aspects of performance
It indicates how well the employee is fulfilling the demands of the job
Performance appraisal
_____ should not be confused with effort. _____ is always measured in terms of results.
Performance
is the systematic description
The basic purpose is to find out how well the employee is performing the job and establish a plan of improvement
Performance appraisal
are arranged periodically according to a define plan
Appraisals
is not job evaluation. It refers to how well someone is doing the assigned job.
Performance appraisal
Performance appraisal
determines how much a job is worth to the organization and, therefore, what range of pay should be assigned to the job.
Job evaluation
CONTENTS OF PERFORMANCE APPRAISAL
Regularity of attendance
Ability to work with others
Leadership style & abilities
Initiative
Technical skill
Ability to grasp new things reasoning ability
Originality & resourcefulness
Integrity
Capability to assume responsibility
Knowledge of systems & procedures
Quality of suggestions offered for improvement
CHARACTERISTICS OF PERFORMANCE APPRAISAL
A step by step process
Examines the employee strengths, weaknesses and potentials
Scientific and objective study
An ongoing and continuous process
Secures information for making correct decisions on employees
Examines the HRs potentiality in the organization in micro, meso and macro levels
PURPOSE OF PERFORMANCE APPRAISAL
To create and maintain a satisfactory level of performance
To help the superiors to have a proper understanding
about their subordinates To contribute to the employee growth and development through training, self and management development
programmes
To facilitate fair and equitable compensation based on performance
Determine job competence
Enhance staff development
Discover employee’s aspirations
Recognize accomplishments
Improve communications
Aid in manager’s coaching and counseling Determine training and developmental needs
Make inventories of talents
Select for advancement of salary
Identify unsatisfactory employees
ADVANTAGES OF PERFORMANCE APPRAISAL
Performance improvement
Development of employees
Career planning
Corrective actions
Promotions
Motivation
Opportunity for an employee
Facilitation of communication
Enhancement of employee focus through promoting trust
Goal setting and desired performance reinforcement
Performance improvement
Determination of training needs
True potential of the employee
Promotes employee development
Acts as a motivator
Employee training & development
Promotion and transfers
DISADVANTAGE OF PERFORMANCE APPRAISAL
If not done appropriately, can be a negative experience
Very time consuming, especially for a manager Subject to rater errors and biases
If not done right can be a complete waste of time
Can be stressful for all involved
Consuming process
Personal bias or incorrect ratings
Horn & Halo Effect
Spillover Effect