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Saturday, December 25, 2010

What is the motive or the theory behind Performance Appraisal?

Recently somebody asked me this question during an interview to be answered in just two sentences...............................Do you want to know what my answer was??????????

It is the methodology or the tool to motivate employees by appraising or recognizing their achievements.

His reaction was like NO. It is a tool just to assess the employees on their set goals and we should not link it with the monetary or designation appraisal.

I would like to have different opinions on this question.

5 comments:

  1. Yes! the starting point of a performance appraisal cycle is GOAL SETTING. It can be said to be the scale on which the performance can be measured but what can be the limitations of GOAL SETTING???

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  2. Going by the literal meaning of Performance Appraisal one must have no doubt that it stands for the judgment or evaluation of an employee’s deed at work. It ideally is supposed to be a positive term both for the organization and the workforce. After all by the law of nature “A diamond is a chunk of coal that is made good under pressure”.
    I believe it is the responsibility of the employer to coach, motivate and help provide feasible work-environment for the employee to achieve the positive goals set by the organization itself, and equally persistent should be the accountability of an employee to leave no stone unturned to be able to outshine the assigned role.
    Unquestionably human beings by nature seek positive regard all the time, be it from his/her family, friends or seniors in the organization. This positive regard brings self-esteem and respect which we all like and hence dedicate ourselves best to outperform in the next given job. It’s a cycle where if the start is good the end will be beautiful and satisfactory too, only if all the parties involved understand their responsibilities equally well.
    The factors that help this positive cycle of performance appraisal remain constructive and not loose its worth for both the employer and employee are Trust, Effective Coaching & Training, Timely Motivation and Appropriate Reward (Of course monitory reward is just one of the rewards)

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  3. I have perception of Performance Appraisal as an exercise where we get monetary hike or appraisal. I don't have much experience as just above 1 yr and it not only that I have this conception about Performance Appraisal but this has developed with time where almost - infact everybody who ever utters this word Appraisal or Performance Appraisal, all have meant the same.

    What I think is that this is what every appraise thinks no matter what an appraiser or HR thinks or justifies the motive or theory behind Performance Appraisal.

    My comment is solely based on my personal experience and there seems to be a GAP in the understanding of an appraise and an appraiser.

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  4. A very genuine comment by Jagjit from an HR, an appraiser and a business head's point of view and equally frank comment from Shyamali from appraise point of view.

    It is true that we as an HR, as a Manager and as a Business Head who is doing the appraisal understand the motive and the theory behind Performance Appraisal but it is also our duty to know and understand the view point of the of the appraise and as suggested by Mr. Jagjit in his comment about the responsibility of the employer to coach, motivate and help provide feasible work environment to achieve the goals and here I would like to also add that it is also the responsibility of the employer to bridge the GAP between the appraiser and the appraise that has been mentioned by Shyamali.

    It is like the same way where the common saying goes "for running a cart both wheels should be in tandem". Here the wheels of the company are the employer and the employees and their thoughts, their direction, their goals should be in the same direction for the organization to run smooth ahead. And Performance Appraisal is the axle between these two wheels.

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  5. Today lets run through the whole life cycle of performance appraisal and then analyze, where the approach is wrong - no not wrong but rather I would say outdated or can be updated or at least is debatable.

    As the common knowledge goes (mind I am not discussing any specific Performance Management Methodology) the Performance Appraisal Cycle starts as soon as the incumbent or the appraise in this case gets on board.

    Step 1. The appraise is given a proper induction/orientation where he/she is being made acquainted to the organization, its goals, its business, culture, the policies, the members, along with their job responsibility and what the new environment expects from them. (suggestions are invited)

    Step 2. The next step involves the goal setting for the appraise for next set time period. (suggestions are invited as this has always been a debatable step for me regarding - when the appraise should undergo this exercise after his/her joining and what and the goals that are measurable and justified can be set?)

    Step 3. The next step involves the Performance Assessment of the appraise in question. Here different methodologies of Performance Appraisal comes into play (360 degree etc). The Performance Assessment is done on the basis of different scale based rating on the Performance of the appraise by himself and by different levels of appraisers.(again suggestions are invited as this is also the most controversial and debatable step and the most important of all.)

    Step 4. Again Step 2 of goal setting is repeated for the next time period in question.(Now again will this step be effected by the Performance Assessment step and why?)

    Step 5. In the next step all the ratings are collated and checked for discrepancies, if any then being resolved and the final ratings are available on the overall performance and it is again normalized to give us a full and final Performance Assessment Rating (again here the technical specification are involved here where the Human Error/Human bias are negated to give out a Fair rating. Many researches and statistical methods are in place to do this but I see a very few people actually apply this so again this can be debated into as which is the best methodology and what all Human Errors can occur while rating the appraise)

    Step 6. This step gives meanings or say gives the actual result if viewed from the appraise point of view where the overall Performance Assessment Ratings are linked up with the rewards & recognition program and turns the rating digits to currency or and a higher responsibility.

    Step 7. This step involves around the aftermath of the whole exercise where the appraiser receives feedback on the whole exercise and faces good or bad consequences. (To me this is also a very important step where the most hazardous word of modern Human Resource - Attrition comes into play)

    WISE COMMENTS ARE INVITED FROM ALL WHO HAVE BEEN EITHER AN APPRAISER OR AN APPRAISE

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