2.0 Introduction
Literature available indicates that a lot of researches have been conducted on performance appraisal. However, for this study, this literature review is focused on performance management, performance appraisal in general, the history of performance appraisal, consequences of appraisal, design of appraisal system, effective appraisal system, training of appraisers, appraisal feedback and motivation.
2.1 Performance management
Maximizing performance is a priority for most organizations today, (Mathis et al, 2004). Every employer desires that his employee does his or her job well and this can be achieved through managing performance.
According to Aguinis (2007), performance management is a continuous process of setting goals and
…show more content…
2.2 Performance appraisal
It is always important for managers and supervisors to get the best performance from their workforce in terms of levels of production and quality of output (Foot and Hook, 2005). In order to achieve this, certain systems or programmes such as performance appraisal need to be put in place.
The success or failure of performance appraisal programmes depends on the philosophy underlying it, its connection with business goal, and the attributes and skills of those responsible for its administration. According to Dessler (2005), performance appraisal means evaluating employees ' current and or past performance relative to his or her performance standards. That is employees will be assessed after a given period of time what they have been able to achieve by a target set. This will also help supervisors to know how well their subordinates are performing on their jobs.
Hodgetts and Kroeck (1992), hold the view that performance appraisal is the systematic observation, evaluation and description of work-related behavior. By this, an employee is observed from time to time by critically considering what knowledge, ability and skills he uses to accomplish
the
…show more content…
McBeath et al (1976), in discussing salary administration, commented that equitable salary surveys of competitive levels, employee appraisal and effective salary planning. For them, appraisal is part and parcel of an important personnel activity salary planning and administration. They are keen to accept, however, that, it is clearly essential to make some attempt at measurement of performance if the appraisal is to be taken seriously as a factor which will influence salaries.
Performance appraisal by nature requires that there is the need for goal setting and expectation of results. Goal setting theory claims that people work better when they have clear realizable and significant goals and argues that people will put more E’s (energy, effort, enthusiasm, excitement and so on) onto their work if they believe their effort will result in tangible achievements that will help them fulfill personal needs, Marbey and Salaman (1995).
Performance appraisal systems can provide organizations with valuable information to assist in the development of organizational strategies and planning. The information gained from this
When new competitors enter the market, they will have high costs of production due to the lack of economies of scale.... ... middle of paper ... ... The employees’ earnings and promotions were determined in direct proportion to their individual compensation towards the company’s success.
Assess achievements and collaborate with decisions made. The strength of the assessment depends on whether it is measurable towards the purpose of the performance criteria.
The performance appraisal system, In order to maintain productivity at its peak, employee performance and productivity were the keys to the company 's goal. Middle management (supervisors) maintained a "record-keeping duties". The employee performance evaluation was performed twice a year which focused on the criteria of quality, "dependability ideas and cooperation" and "output". Workers commitment to perform efficiently is highly practiced. Education policy has been a key to improved employees performance, thus, a welding school has been
...l is done, every employee knows whether or not they are on the right track and doing good. An original performance appraisal system for human service programs and organizations is something that helps a business to succeed (Peter M. Kettner, 2002).
Finally, the timing of appraisals could be rectified by implementing quarterly performance appraisal instead of annual ones. Having managers meet with employees more frequently may enhance individual performance by giving employees the feedback they need to improve. Also, increased appraisal may result in more accurate evaluations because it is easier to recall specific performance indicators after 3 months versus after 12
To mean that the management should not set goals that cannot be attained and targets that cannot be reached. Finally, these goals need to be time bound, in that they should be planned for within a given scope of time, to make them effective. References Allen Miller (2010). Focus, are performance reviews effective? New York times.
How employee & supervisor will work together to sustain, improve, or build on existing employee performance.
Performance appraisal is perceived by most as a tool to reward or penalize employees for their good or bad work respectively by the end of a year. This notion is a challenge in itself to deal with. The whole exercise becomes dull for both supervisors and their subordinates and they tend to look at it as an additional responsibility which they have to finish. In the end, there is little or no value addition for either the employee or the organization. There are, however, better ways of looking at and conducting performance appraisals. It can give much needed feedback to both performers and laggards to improve upon and if done properly can even boost their motivation. More importantly, they provide a chance to employees to have a say in their goal setting and thus aligning it with the departmental and organizational goals. Also, the process itself has a value in team making.
Banner, D. K., Graber, J. M. (1985). Critical issues in performances appraisal. Journal of Management Development. Issue 4. Pp. 27-35.
The manager communicates with the members of staff individually on a regular basis providing all the necessary information about the employee’s overall performance as it relates to their roles in the workplace. This performance appraisal is beneficial to employees as it allows them to create an outline for their goals with the greatest effort it should not be used to lower the employee’s level of motivation but seek to increase it.
Performance management is used for the basis of promotion, reduction in force purposes (talent management), gives transparency of what an organization is looking for, merit increases, and lastly it provides protection against lawsuits for unlawful termination by keeping written documentation. Performance evaluations are advantageous to both the organization and the employee. A leading advantage of performance evaluations is it gives the employee an opportunity to create and achieve smart goals. Although performance evaluations primary function is to measure whether an employee is a good fit or a bad fit for the organization, its function is so much a broader. Performance management is tool purposely used to motivate employees to examine themselves and determine if they have selected the profession that is best for them; consequently the feedback an employee receives from their superior supports them with increase their knowledge and
Furthermore, most organization used the performance to determine the abilities and productivity of the employees. In an organization, employees set their objectives for the year and they monitor it and develop the right skills to achieve the target (Vallerand, 1993).
Organization is a group of people brought to gather to achieve specific goals. Goals can be achieved if team member are performing well. Performance is the results of activities given to the employees in an organization to be achieved within specific period of time. Evaluating the current performance of employees against past performances and organizational standards is known as Performance Appraisal (Dessler, 2005). Furthermore performance appraisal helps the company know how individual employees are performing and how to improve their performance thus improving the performance of the company (Grubb, 2007). A performance appraisal is propose in which the performance management system in an organizations set work goals, determine performance standards, provide performance feedback, determine training and development needs and distribute rewards as well as evaluating an employee’s job performance during a period of time. The performance of team member is much more than appraising individuals’ works, it is managing the business, so the performance of an employee is influences by the performance of an organization. It is target to achieve the best results for the planned strategic by managing activities of employees. There are many different opinions on the performance appraisals, some organizations do performance appraisals without any aim just follow others., where some organizations do performance appraisals to make sure they have a record of a piece of paper in the employee’s file – they are careless about do corrective action. But successful organizations understand the importance of combining performance appraisals into their performance management process and strategy plan as the success of any organizatio...
The foundation for effective job performance and compensation system can be traced to effective job analysis process. Fundamentally, a job analysis should consist of a thorough examination of the job 's duties and knowledge, skills, abilities, and qualities that are required in order to be successful in a specific position, upon which appropriate rewards or compensation can be determined. For many perspectives, jobs are usually made up of requirements and rewards, where rewards may be regarded as a major recruitment strategy for motivating potential employees in order to influence them to stay the organization for a longer period as well as enhance their performance. The most common or basic form of rewards which attracts employees is extrinsic