In the business world investment is made in machinery, equipment and services. Quite naturally time and money is spent ensuring that they provide what their suppliers claim. In other words the performance is constantly appraised against the results expected.
When it comes to one of the most expensive resources companies invest in, namely people, the job appraising performance against results is often carried out with the same objectivity. Each individual has a role to play and management has to ensure that the individual's objectives translate into overall corporate objectives of the company. Performance Management includes the performance appraisal process which in turn helps identifying the training needs and provides a direction for career and succession planning. Performance is synonymous with behavior; it is what people actually do. Performance includes those actions that are relevant to the organizational growth and can be measured in terms of each individual's proficiency (level of contribution). Effective Performance refers to the evaluation of results of performance that is beyond the influence or control of the individual.
[...] THE APPRAISAL OF PERFORMANCE SHOULD BE GEARED TO: Improving the ability of the jobholder; Identifying obstacles which are restricting performance Agreeing a plan of action, that will lead to improved performance. It is widely accepted that the most important factor in organization effectiveness is the effectiveness of the individuals who make up the organization. If every individual in the organization becomes more effective, then the organization itself will become more effective. The task of reviewing situations and improving individual performance must therefore be a key task for all managers. [...]
[...] Performance appraisal is designed to maximize effectiveness by bringing participation to more individual level in that it provides a forum for consultation about standards of work, potential, aspirations and concerns. It is an opportunity for employees to have significantly greater influence upon the quality of their working lives. In these times of emphasis on there is a natural equation: better quality goods and services from employees who enjoy better quality “goods and services” from their employers. Performance appraisal must be seen as an intrinsic part of a manager's responsibility and not an unwelcome and time-consuming addition to them. [...]
[...] Performance Appraisal system is designed by appraiser without consulting appraisee Performance Appraisal It is evident from the results that performance appraisal is conducted by the Immediate Supervisor in all the companies Understanding of Apprasiee's Job From this it is clearly seen that according to appraiser there is a clear and joint understanding of the appraisee's job Standards for Performance Appraisal From results it is evident that Performance appraisal standards are very well communicated to Appraisee before the Appraisal is carried out Self rating in Performance Appraisal From results it can be clearly seen that the Appraisee is not given a chance to rate his own performance Action after Performance Appraisal This shows that most of the companies act upon the results of their Performance Appraisal program. [...]
[...] None of the organisations use Peer Appraisals, Appraisals by subordinates and Self rating as a method of Performance Appraisal Clear understanding of Appraisee's job This shows that the performance Appraisal programs are successful in giving a clear understanding of the appraisee's job to both appraiser and appraisee Objectives of Appraisal System From the figure we can derive that the objective for conducting the Appraisal system is clear only to half of the employees. The remaining half are not clear about the objective for which the Performance Appraisal is carried out Good communication between top management and business goals This shows that the appraisal systems do not provide a good communication flow of the top-management plans and business goals to the staff below Comments and suggestions to be considered Almost all the employees expect that their comments and suggestions should be taken into consideration while conducting the Performance Appraisal Post Appraisal interview As per the response from the employees we can see that there is no interview conducted after the appraisal program for majority of the employees. [...]
[...] Only a meager 30% were dissatisfied with the Performance Appraisal programs Awareness about performance ratings : This clearly shows that majority of the employees are not aware about the performance ratings that are taken into account while conducting a performance appraisal Alowing Self ratings : From graph it can be seen that majority of respondents want self rating to be a method of conducting the appraisals Chance to rate your own performance From the graph we can see that majority of the employees are not given a chance to rate their own performance in the organization Timing of Appraisals This shows that most of the organisations conduct their Performance Appraisal programs annually. [...]
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