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UH TELS 3345 - Chap08

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1PowerPoint Presentation by Charlie CookPowerPoint Presentation by Charlie CookThe University of West AlabamaThe University of West AlabamaManaging Human ResourcesManaging Human ResourcesBohlander Bohlander •• SnellSnell1414ththeditionedition© 2007 Thomson/South© 2007 Thomson/South--Western.Western.All rights reserved.All rights reserved.Appraising and Appraising and Improving PerformanceImproving Performance© 2007 Thomson/South-Western. All rights reserved. 8–2ObjectivesAfter studying this chapter, you should be able to:1. Explain the purposes of performance appraisals and the reasons they can sometimes fail.2. Identify the characteristics of an effective appraisal program.3. Describe the different sources of appraisal information.4. Explain the various methods used for performance evaluation.5. Outline the characteristics of an effective performance appraisal interview.© 2007 Thomson/South-Western. All rights reserved. 8–3Performance Appraisal and Other HRM FunctionsPerformance appraisal Performance appraisal validates selection functionvalidates selection functionSelectionSelectionSelection should produce Selection should produce workers best able to meet workers best able to meet job requirementsjob requirementsPerformance appraisal Performance appraisal determines training needsdetermines training needsTraining and Training and DevelopmentDevelopmentTraining and development Training and development aids achievement of aids achievement of performance standardsperformance standardsPerformance appraisal is a Performance appraisal is a factor in determining payfactor in determining payCompensation Compensation ManagementManagementCompensation can affect Compensation can affect appraisal of performanceappraisal of performancePerformance appraisal judges Performance appraisal judges effectiveness of recruitment effectiveness of recruitment effortseffortsRecruitmentRecruitmentQuality of applicants Quality of applicants determines feasible determines feasible performance standardsperformance standardsPerformance appraisal Performance appraisal justifies personnel actionsjustifies personnel actionsLabor RelationsLabor RelationsAppraisal standards and Appraisal standards and methods may be subject to methods may be subject to negotiationnegotiation© 2007 Thomson/South-Western. All rights reserved. 8–4Performance Appraisal Programs• Performance Appraisal A process, typically performed annually by a supervisor for a subordinate, designed to help employees understand their roles, objectives, expectations, and performance success.• Performance management The process of creating a work environment in which people can perform to the best of their abilities.© 2007 Thomson/South-Western. All rights reserved. 8–5Performance AppraisalAppraisal ProgramsAppraisal ProgramsAdministrativeAdministrative DevelopmentalDevelopmentalCompensationCompensation Ind. EvaluationInd. EvaluationJob EvaluationJob EvaluationEEO/AA SupportEEO/AA SupportTraining Training Career PlanningCareer Planning© 2007 Thomson/South-Western. All rights reserved. 8–6Figure 8Figure 8––1 1 Purposes for Performance AppraisalPurposes for Performance Appraisal2© 2007 Thomson/South-Western. All rights reserved. 8–7Reasons Appraisal Programs Sometimes Fail• Lack of top-management information and support• Unclear performance standards• Rater bias• Too many forms to complete• Use of the appraisal program for conflicting (political) purposes.© 2007 Thomson/South-Western. All rights reserved. 8–8Figure 8Figure 8––2 2 Let Me Count the Ways . . .Let Me Count the Ways . . .There are many reasons why performance appraisal systems might not be effective. Some of the most common problems include the following:Sources: Patricia Evres, “Problems to Avoid during Performance Evaluations,” Air Conditioning, Heating & Refrigeration News 216, no. 16 (August 19, 2002): 24–26; Clinton Longnecker and Dennis Gioia, “The Politics of Executive Appraisals,” Journal of Compensation and Benefits 10, no. 2 (1994): 5–11; “Seven Deadly Sins of Performance Appraisals,” Supervisory Management 39, no. 1 (1994): 7–8.• Inadequate preparation on the part of the manager.• Employee is not given clear objectives at the beginning of performance period.• Manager may not be able to observe performance or have all the information.• Performance standards may not be clear.• Inconsistency in ratings among supervisors or other raters.• Rating personality rather than performance.• The halo effect, contrast effect, or some other perceptual bias.© 2007 Thomson/South-Western. All rights reserved. 8–9Figure 8Figure 8––2 2 Let Me Count the Ways (cont’d) . . .Let Me Count the Ways (cont’d) . . .• Inappropriate time span (either too short or too long).• Overemphasis on uncharacteristic performance.• Inflated ratings because managers do not want to deal with “bad news.”• Subjective or vague language in written appraisals.• Organizational politics or personal relationships cloud judgments.• No thorough discussion of causes of performance problems.• Manager may not be trained at evaluation or giving feedback.• No follow-up and coaching after the evaluation.Sources: Patricia Evres, “Problems to Avoid during Performance Evaluations,” Air Conditioning, Heating & Refrigeration News 216, no. 16 (August 19, 2002): 24–26; Clinton Longnecker and Dennis Gioia, “The Politics of Executive Appraisals,” Journal of Compensation and Benefits 10, no. 2 (1994): 5–11; “Seven Deadly Sins of Performance Appraisals,” Supervisory Management 39, no. 1 (1994): 7–8.There are many reasons why performance appraisal systems might not be effective. Some of the most common problems include the following:© 2007 Thomson/South-Western. All rights reserved. 8–10Managerial Issues Concerning Appraisals1. There is little face-to-face discussion between the manager and the employee being appraised.2. The relationship between the employee’s job description and the criteria on the appraisal form isn’t clear.3. Managers feel that little or no benefit will be derived from the time and energy spent in the process, or they are concerned only with bad performances.4. Managers dislike the face-to-face confrontation of appraisal interviews.© 2007 Thomson/South-Western. All rights reserved. 8–11Managerial Issues Concerning Appraisals (cont’d)5. Managers are not sufficiently adept


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