Topic 5 Managing Employee Performance and Appraisal
Performance Management? • Is about managing an employee’s output. • Focuses on what the employee does & how he does it. Other relevant terms; • Accountabilities / main tasks / main duties • Key result areas (KRAs) • Targets • Goals / objectives / work norms / performance standards • Competencies
What do you think are the benefits of a performance appraisal? • Encourage quality performance by rewarding those who do well. • Improve current performance by giving feedback to workers. • Identify training needs • Initiate fair disclipinary proceedings • Provide a channel of communication between managers and their subordinates.
The Appraisal Interview • Goals will be negotiated with the subordinate • Help will be given with actions plans • Counseling will be given
The Appraisal Interview • Opening: • Remind employee of purpose of discussion • Welcome input from employee • Begin discussion: • Discuss employee’s self-evaluation • Reach agreement on achievements in time period under discussion • Set objectives for next time period • Discuss action plan to overcome weaknesses, if any.
Counselling • When an employee is ‘problematic’ what can be done? • Disclipinary interviews • Retrenchment exercises • Career development interviews • Pre-retirement programs
Technology and Client/Customer Feedback Other examples: Amazon, eBay, Trip Advisor, iTunes
Other Examples of Internet-Based Performance Information Expedia That's the second time I stay in this hotel. The location is fantastic and the rooms, in general are very comfortable. The view from the top, at the breakfast place is superb. Rating: 4.0 The standard rooms are very, very small, I had only one bag and no place to put it. you could barely turnaround in the bathrooms. I love the decor/ art deco style but a little updating is definitely do. Rating: 2.0
Bias in the appraisal process • Recency effect • Managers take into consideration only the most recent performance, ignoring previous assignments. • Halo effect • Most people are more likely to appraise (rate highly) someone they like.
Bias in the appraisal process • Leniency / strictness tendency • The manager gives ‘high’ ratings to all subordinates • Or ‘low’ to all. • If ‘average’ to all = ‘central tendency’ • Prejudice / stereotyping • Fatigue