Performance management

PERFORMANCE MANAGEMENT
R.ArunKumar,AP/Mech,RIT

PEFORMANCE MANAGEMENT:
 Performance management is defined as the process of
evaluating employee performance on the job in terms of job
requirements.

PEFORMANCE APPRAISAL:
 Performance appraisal is the systematic evaluation of the
individual with regard to his or her performance on the job
and his potential for development.

OBJECTIVE OF PERFORMANCE APPRAISAL:
 To improve employee’s performance.
 To review the performance of the employees over a given
period of time.
 To judge the gap between the actual and desired performance.

 To help management in exercising organizational control.
 Helps to strengthen the relationship and communication
between superior – subordinates and management – employees.
 To diagnose the strengths and weaknesses of the
individuals so as to identify the training and development needs
of the future.

 To improve employee’s performance.
 To provide feedback to the employees regarding their past
performance.
 Provide information to assist in the other personal decisions
in the organization.

 Provide clarity of the expectations and responsibilities of the
functions to be performed by the employees.
 To judge the effectiveness of the other human resource
functions of the organization such as recruitment, selection,
training and development.
 To reduce the grievances of the employees.

PROCESS OF PERFORMANCE APPRAISAL:

PERFORMANCE APPRAISAL METHODS:
1. Written Essay:
 An evaluator writes out a description of an employee's
strengths and weaknesses, past performance, and potential.
 The evaluator would also make suggestions for improvement.

PERFORMANCE APPRAISAL METHODS:
2. Critical incidents:
 An evaluator will be considering only specific behaviours, not
vaguely defined personality traits, are cited.

PEFORMANCE APPRAISAL METHODS:
3. Graphic Rating Scales:
 Employee will be evaluated on various criteria (especially on
his quality in all kind of job) on scale basis.

4. Behaviorally Anchored Rating Scales:
 The appraiser rates an employee according to items along a
numerical scale, but the items are examples of actual behaviour
on a single job rather than general descriptions or traits.

5. Multi person comparison:
 Employees are compared with work output of other fellow
employees.
 The three most popular approaches to multi person comparisons
includes:
1. Group order ranking
2. Individual ranking
3. Paired comparison.

6. MBO:
 Employees are evaluated by how well they contribute to the
organization.

7. 360° Appraisal:
 Feedback will be received from supervisors, employees and co-
workers, etc. peer

Performance management

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