CH. 8: Performance Management and Appraisal

Rating vs. Ranking

Rating- giving an employee a numeric value to describe their performance Ranking- Comparing employee's to one another (stacking them from top to bottom)

How to set effective smart goals?

Specific (performance improves when goals are set), measurable (quantitative terms with target dates), achievable, relevant, time-bound

How to handle a defensive subordinate

-Recognize that defense behavior is normal -Never attack a person's defenses -Postpone action -Recognize your own limitations

What are the steps in the performance appraisal?

1) setting work standards; 2) assessing the employee's actual performance relative to the standards, appraising the employee's performance; 3) providing feedback to the employee with the aim of motivating that person to eliminate performance deficiencies or to continue the performance above par.

What are the appraisal methods

1. Alternation ranking (the best way to rank is to alternate, goes from top to bottom, "who's always my best/worst" 2. Paired Comparison Method (how is Bob related to June?) 3. Forced Distribution Method (I want 20% to exceed expectations "bell curve", drawbacks: it's forcing you to put people in areas that they don't deserve, have to justify it) 4. Critical incident method: record of good or bad incidents 5. Behaviorally Anchored Rating Scales: critical incident with quantified values (scale for each incident) 6. Appraisal forms in practice 7. Computerized and web-based appraisals

What are the four guidelines for setting performance goals?

1. Assign specific goals. Performance improves when goals are set. 2. Assign measurable goals. Putting goals into quantitative terms with target dates is desirable. 3. Assign challenging but doable goals. Goals should be challenging but not unrealistic. 4. Encourage participation. Both subordinates and managers should be engaged in collaboration processes.

What is performance management?

1. Direct sharing 2. Goal alignment 3. Ongoing performance monitoring 4. Ongoing feedback 5. Coaching and development support 6. Recognition and rewards

What is the three-step performance appraisal cycle?

1. Establishing goals and performance standards 2. Appraising the employee's performance 3. Feedback and to take corrective action (coach and council employee or other steps as required)

What are the steps the management by objectives method

1. Set the organization's goals 2. Set department goals 3. Discuss departmental goals 4. Define expected results 5. Conduct performance reviews 6. Provide feedback

How to conduct the appraisal interview

1. Talk in terms of objective work data 2. Don't get personal 3. Encourage the person to talk 4. Don't tiptoe around 5. How to criticize a subordinate 6. How to ensure the interview leads to Improved Performance 7. Stay focused on your positive intent

Why appraise performance?

Base pay, promotion, and retention decisions, central role in the employer's performance management process, correcting any issues, identify training and development

Who should do the appraising?

Peer appraisals, the employee's manager (it's usually/always the manager, "what you need to know"), self-ratings, appraisal by subordinates, 360-degree feedback, crowd appraisals

What are the performance appraisal problems and appraisal interview

-Clarify standard -Fair appraisals -Avoid halo effect ratings (everything they do is amazing, overlook bad things) -Avoid the middle (people think it's safer, but it's lazy) -Don't be lenient or strict -Avoid bias