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Research suggests that appraisals generally fail in improving employee performance. Rather than performance appraisal, organizations need a robust…
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Download file to see previous pages... The problem however is – how can the performance rating of employees be made accurate? It is hard to unanimously vouch for the accuracy of any one rating system. Rather than the actual accuracy of the rating system, as DeNisi (2011) argues, the perception of the employee as to the accuracy of the rating system is more important. The aim of performance management should be to motivate employees to change their behavior. Simply put, improved performance calls for behavioral changes on the part of the employees. If this is to occur, the employees need to see the need for the change, for this they need feedback and ratings. For this, the rating system needs to be transparent so that the employees perceive the accuracy of the performance ratings. This can be done by not only elaborating the rating mechanism to employees but also by giving them a chance to appeal or question the ratings. If employees trust the feedback and see that to achieve a certain goal, they need to change a behavior, they will do so. DeNisi (2011) argues that if employees can see how their behavior improves their performance at a higher level and how it will improve the performance of the firm itself, it will make it easier for them to change their behavior to improve individual as well as organizational performance.
This article is of high relevance to organizational development. It scrutinizes every aspect of performance management and how it can be implemented to encourage performance improvement through employee engagement and behavioral changes. The article stresses on the importance of introducing a transparent rating and feedback system so employees know what behavioral changes are required and how these changes will affect their as well as their organization’s performance.
Organizational leaders need to introduce a robust mechanism of performance management that goes beyond just training and coaching employees and ...Download file to see next pagesRead More
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