Human Resource
Management
ELEVENTH EDITION
1
GARY DESSLER
Part 3 | Training and Development
Chapter 9
Performance Management and Appraisal
© 2008 Prentice Hall, Inc. PowerPoint Presentation by Charlie Cook
All rights reserved. The University of West Alabama
After studying this chapter, you should be able to:
1. Evaluate and improve the appraisal form in Figure 9–1.
2. Describe the appraisal process.
3. Develop, evaluate, and administer at least four
performance appraisal tools.
4. Explain and illustrate the problems to avoid in
appraising performance.
5. List and discuss the pros and cons of six appraisal
methods.
6. Perform an effective appraisal interview.
7. Discuss the pros and cons of using different raters to
appraise a person’s performance.
© 2008 Prentice Hall, Inc. All
rights reserved. 9–2
Basic Concepts in Performance
Management and Appraisal
Comparing
Performance Appraisal
and
Performance Management
Performance Appraisal: Performance Management:
Setting work standards, assessing An integrated approach to ensuring
performance, and providing that an employee’s performance
feedback to employees to motivate, supports and contributes to the
correct, and continue their organization’s strategic aims.
performance.
© 2008 Prentice Hall, Inc. All
rights reserved. 9–3
Why Performance Management?
Total Quality
The
Performance
Appraisal Issues
Management
Approach
Strategic Focus
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rights reserved. 9–4
Defining the Employee’s Goals
and Work Standards
Guidelines for
Effective Goal Setting
Assign
Assign Assign
Challenging Encourage
Specific Measurable
but Doable Participation
Goals Goals
Goals
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rights reserved. 9–5
Using MBO
Setting unclear Time-consuming
objectives appraisal process
Problems with
MBO
Conflict with
subordinates over
objectives
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rights reserved. 9–6
Appraising Performance:
Problems and Solutions
Potential Rating
Scale Appraisal
Problems
Unclear Halo Central Leniency or
Bias
Standards Effect Tendency Strictness
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rights reserved. 9–7
Appraising Performance:
Problems and Solutions (cont’d)
How to Avoid
Appraisal Problems
Control
Know Use the Train Keep
Outside
Problems Right Tool Supervisors a Diary
Influences
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Who Should Do the Appraising?
Immediate
Self-Rating
Supervisor
Peers
Potential Subordinates
Appraisers
Rating 360-Degree
Committee Feedback
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rights reserved. 9–9
The Appraisal Interview
Satisfactory—Promotable
Satisfactory—Not Promotable
Types of Appraisal
Interviews
Unsatisfactory—Correctable
Unsatisfactory—Uncorrectable
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rights reserved. 9–10
The Appraisal Interview (cont’d)
Guidelines for
Conducting an Interview
Talk in terms Encourage
Don’t get Don’t tiptoe
of objective the person to
personal. around.
work data. talk.
© 2008 Prentice Hall, Inc. All
rights reserved. 9–11
KEY TERMS
performance appraisal management by objectives (MBO)
performance management electronic performance monitoring
graphic rating scale (EPM)
alternation ranking method unclear standards
paired comparison method halo effect
forced distribution method central tendency
critical incident method strictness/leniency
behaviorally anchored rating bias
scale (BARS) appraisal interview
© 2008 Prentice Hall, Inc. All
rights reserved. 9–12