gomez_mhr05_im_07 - Part Four Chapter 7 Appraising and...

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Part Four Chapter 7 Appraising and Managing Performance CHAPTER OVERVIEW (PPT 7.1-7.2) An important function of effective management is accurate measurement of employee performance. This chapter discusses the foundation, design, and implementation of performance measurement systems. In addition, it describes the principles of effective performance management so that the reader will have an understanding of how to create a positive appraisal environment. ANNOTATED OUTLINE I. What Is Performance Appraisal? (PPT 7.3- 7.4) Performance appraisal involves the identification, measurement, and management of human performance in organizations. Organizations usually conduct appraisals for administrative (a decision about an employee's working conditions, including promotions and rewards) and/ or developmental (a decision concerning strengthening the employee's job skills, including counseling and training) purposes. Dissatisfaction with appraisals is rampant. HR professionals, line managers, and employees voice dissatisfaction. Many workers have difficulty with appraisal, which may account for the short life span of the average appraisal system. II. Identifying Performance Dimension (PPT 7.5- 7.14) The first step in the performance appraisal process is identifying what is to be measured. Managers must identify the aspects or dimensions of performance that determine effective job performance. This process seems simple, but it can be quite complicated. If a significant dimension is missing, employee morale may suffer because employees who do well on that dimension will not be recognized or rewarded. If an irrelevant or trivial dimension is included, employees may perceive the whole appraisal process as meaningless. A. Measuring Performance 94
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Part Four Measuring employee performance involves assigning numbers or labels (e.g., excellent) to reflect an employee's performance on the identified characteristics or dimensions. B. Measurement Tools The formats that are most common, legally defensible, and promising can be classified in two ways: (a) by the type of judgment required , and (b) by the focus of the measure . First, appraisal systems based on relative judgment ask the supervisor to compare an employee's performance to the performance of other employees doing the same job. Absolute judgments ask the supervisor to make judgments about an employee's performance based solely on performance standards. Second, performance measurement systems can be classified by the type of performance data they focus on including trait data, behavioral data, or outcome data. There is no single best appraisal format. Each approach has positives and negatives concerning administration, development, and legal defensibility. The choice of appraisal system should rest largely on the appraisal's primary purpose. C.
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gomez_mhr05_im_07 - Part Four Chapter 7 Appraising and...

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