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Performance Appraisal
Performance Appraisal
A performance appraisal is a regular review of an employee's job performance and overall contribution to a company. Also known as an "annual review," "performance review or evaluation," or "employee appraisal," a performance appraisal evaluates an employee’s skills, achievements and growth, or lack thereof. Companies use performance appraisals to give employees big-picture feedback on their work and to justify pay increases and bonuses, as well as termination decisions
Why Companies Give Performance Appraisals?
Because companies have a limited pool of funds from which to award raises and bonuses, performance appraisals help determine how to allocate those funds. They provide a way for companies to determine which employees have contributed the most to the company’s growth so companies can reward their top-performing employees accordingly.
Performance appraisals also help employees and their managers create a plan for employee development through additional training and increased responsibilities, as well as to identify shortcomings the employee could work to resolve
Objectives of Performance Appraisal
1.To maintain records in order to determine compensation packages, wage structure, salaries raises, etc.
2.To identify the strengths and weaknesses of employees to place right men on right job.
3.To maintain and assess the potential present in a person for further growth and development.
4.To provide a feedback to employees regarding their performance and related status.
It serves as a basis for influencing working habits of the employees.
5.To review and retain the promotional and other training programmes
6. Boost up the morale:
Employee performance appraisal system is the best way of showing that you care for those who work for you. Thus it can boost up the morale of your employee
7 Alleviate the person if he is shy or coy:
When the shy person is the best in the organization, it breaks the shy barrier
8. Help them to overcome their intimidation:
have laid the line and you will be able to get some really good work then.
Performance Appraisal Types
Most performance appraisals are top-down, meaning supervisors evaluate their staff with no input from the subject. But there are other types:
• Self assessment: Individuals rate their job performance and behavior.
• Peer assessment: An individual's work group rates his performanc
Importance of Performance Appraisal in an Organization:
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a) Appreciating in person:
The boss can simply call the employee in office and offer praise to him or her. By offering that praise, you will have made sure you have reached the zenith of work or output level
b) Holiday packages:
It is the most amazing way of saying that yes, you are a part of our organization and you will be considered well
d) Calling for a meet and praising:
This can be yet another way of offering praise to your favorite employee. It is not easy to please your boss always but when you do, it is meant to be celebrated. Thus when the boss has acknowledged your efforts
e) Giving perks:
Everything today is judged but the value of money. When you give money or offer an extra amount of salary or services to your employees, they will be happy andmotivated to work better
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f) Incentives:
Bonuses in salaries are the happiest ways through which you will be able to impress your employees. Annual appraisal or hikes, extra income or may be introducing travel insurance are such good and stable ways to make you go ahead in life
g) Weekend off:
This may be the most indirect way through which you show your appreciation towards your team, but this is one of the valid methods. Show that you love your team the most and give them such weekend offs
Key Performance Indicators – Definition
kpi
A Key Performance Indicator is a measurable value that demonstrates how effectively a company is achieving key business objectives. Organizations use KPIs at multiple levels to evaluate their success at reaching targets
Being SMART about your KPIs
One way to evaluate the relevance of a KPI is to use the SMART criteria. The letters are typically taken to stand for specific, measurable, attainable, relevant, time-bound. In other words:
-Is your objective Specific?
-Can you Measure progress towards that goal?
-Is the goal realistically Attainable?
-How Relevant is the goal to your organization?
-What is the Time-frame for achieving this goal?
job analysis
job analysis
A job analysis is a process used to collect information about the duties, responsibilities, necessary skills, outcomes, and work environment of a particular job. You need as much data as possible to put together a job description, which is the frequent output result of the job analysis.
If you miss critical information, you could end up not paying an employee correctly, thus fostering employee discontent or hiring someone who lacks an essential skill needed for performing the job..
How to Perform a Job Analysis
1. Reviewing the job responsibilities of current employees. It is critical that you ask the actual employees who are doing the job what they do every day on the job. Frequently, HR and management (especially senior management) have no idea what encompasses the day to day functions of any particular job. They may see the output but they have no idea what work actions and behaviors go into the employee producing it.
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2. Doing internet research and viewing sample job descriptions online or offline highlighting similar jobs. While you never want to copy another company's job description, looking at several is helpful in writing your own job descriptions.
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3. Analyzing the work duties, tasks, and responsibilities that the employee filling the position needs to accomplish. Not every job within a company is optimized. You may find duties that are undone or projects that you should move from one department to another. You may discover tasks that another job would more successfully and easily accomplish.
4. Researching and sharing with other companies that have similar jobs. Sometimes companies will happily share information about their job descriptions. There are also salary survey companies, where you can match up your jobs to their descriptions and share salary information. But, they can also help you figure out what to include in your own job descriptions
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job descriptions
Develop job descriptions to help you articulate the most important outcomes you need from an employee performing a particular job. Job descriptions are also a communication tool that tells coworkers of the employee where their job leaves off and the job of another employee starts.
They tell an employee where their job fits within the overall department and the overall company. They help employees from other departments, who must work with the person hired, understand the boundaries of the person's responsibilities.
Finally, job descriptions are an integral piece of the performance development planning process. Without them as a guide, how would an employee talk about the expectations of their role with their manager at the periodic review and planning meetings?
job descriptions
Use the Job Description for Successful Employee Recruitment
- causes the manager of the position and any other employees already performing the job to agree on the responsibilities and scope of the position
- helps Human Resources know the knowledge, skills, education, experience, and capabilities you seek in your new employee, so an effective recruiting plan is formulated,
- informs candidates about the duties and responsibilities of the position for which they are applying,
- informs employees who are assisting with the interview process about the questions to ask candidates and what you seek in the new employee
Steps in Developing a Job Description
Use these steps to develop your job descriptions
- Perform a job analysis. You need as much data as possible to develop a job description. The job analysis may include
- the job responsibilities of current employees
- an analysis of the work duties, tasks, and responsibilities that need to be accomplished by the employee filling the position
- articulation of the most important outcomes or contributions needed from the position.
The Components of a Job Description
- Overall position description with general areas of responsibility listed,
- Essential functions of the job described with a couple of examples of each,
- Required knowledge, skills, and abilities
- Required education and experience,
- A description of the physical demands, and
- A description of the work environment.
Job Specification
job specification is a written statement of educational qualifications, specific qualities, level of experience, physical, emotional, technical and communication skills required to perform a job, responsibilities involved in a job and other unusual sensory demands. It also includes general health, mental health, intelligence, aptitude, memory, judgment, leadership skills, emotional ability, adaptability, flexibility, values and ethics, manners and creativity, etc
Job Specification
Purpose of Job Specification
- Described on the basis of job description, job specification helps candidates analyze whether are eligible to apply for a particular job vacancy or not.
- It helps recruiting team of an organization understand what level of qualifications, qualities and set of characteristics should be present in a candidate to make him or her eligible for the job opening.
- Job Specification gives detailed information about any job including job responsibilities, desired technical and physical skills, conversational ability and much more.
- It helps in selecting the most appropriate candidate for a particular job.