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A number of actions are recommended to address problems if a forced distributionsystem is used:Use specific, objective criteria and standards.Involve employees in planning and designing the programsEnsure that sufficient numbers of people are rated, so that statistical rankingsare relevant.Train managers, and review their ratings to ensure that they are job related, notbased on favoritism. LOGGING ON: Zigon Performance Group – provides resources to measure, manage, and improve employee performance – D.Narrative Methods- require documented written information. Documentation anddescription are the essence of the critical incident and the essay method.1.Critical Incident- is a system in which the manager prepares a record of theemployee's highly favorable and unfavorable actions during the entire rating period.This method can be used with other methods to document the reasons why acertain rating was given to an employee. 177
Chapter 10: Performance Management and Appraisal2.Essay– The essay method requires raters to write an essay describing eachemployee's performance during the rating period. Some essays are “free-form” andothers are more structured with prepared questions that must be answered. Theeffectiveness often depends on a supervisor’s writing skills. E.Management by Objectives (MBO)– Management by objectives (MBO)is aperformance appraisal method that specifies the performance goals that an individualand manager mutually identify. MBO requires joint effort by the employee and themanager to set the employee’s objectives to be accomplished within a designated timeframe. Other names for MBO include appraisal by results, target coaching, workplanning and review, performance objective setting,and mutual goal setting. 1.MBO Process– is a four-stage process:Job review and agreementDevelopment of performance standards.Setting of objectivesContinuing performance discussionsThe MBO process seems to be most useful with managerial personnel andemployees who have a fairly wide range of flexibility and control over their jobs.F.Combinations of Methods- There is no one best appraisal method for all situations. Aperformance measurement system that uses a combination of the preceding methodscan draw on the advantages of each while compensating for the disadvantages. VI. TRAINING MANAGERS AND EMPLOYEES IN PERFORMANCEAPPRAISALCourt decisions on the legality of performance appraisals and research on appraisaleffectiveness both stress the importance of training managers and employees onperformance management and conducting performance appraisals. For employees,performance appraisal training focuses on the purposes of appraisal, the appraisal processand timing, and how performance criteria and standards are linked to job duties andresponsibilities. Because supervisor training is critical, the training should center aroundminimizing rater errors and providing raters with details on documenting performanceinformation. Training is especially essential for those who have been recently promoted to