StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

Challenges in Performance Appraisal - Assignment Example

Cite this document
Summary
From the paper "Challenges in Performance Appraisal" it is clear that employee retention and promotions have been based on skills and competencies. At the same time, the performance gap has been made the tenet of determining the training requirements and needs…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER98.8% of users find it useful
Challenges in Performance Appraisal
Read Text Preview

Extract of sample "Challenges in Performance Appraisal"

? Performance Appraisal Company’s needs to evaluate their performance to determine whether they are in the right track of realizing the organizational objective. Performance appraisal can be defined as the formal evaluation of employees’ performance by the immediate supervisor through constant interaction (Murphy & Cleveland 1995). The term is also referred to as performance evaluation, employee appraisal. For effective feedback and for positive improvements to be realized, those to be evaluated must be informed what will be evaluation and the parameters that the process would be based on should be disclosed for the employees (Schneier & Shaw 1995). Biasness must also be avoided and the necessary actions from the appraisal should be communicated effectively and efficiently to the concerned parties. Companies that have done appraisal well have always been associated with better performance and high employee motivation (Schuler 2006). To achieve the process, employees must be handled as rational people and should not be intimidated. Reasons for appraisal There are various reasons why organizations engage in employee performance. First, it is through evaluation that the organization and employees get to know of the feedback of their performance (Schermerhorn 1993). Research has shown that if employees obtain feedback on their performance, they get to feel appreciated and are therefore ready to continue with their positive performance or improve their efficiency through taking corrective actions. Appraisal also makes employees get motivated. Motivation is the urge of doing or not doing something. If appreciated through giving feedback and when employees are challenged of the gap that can be filled to increase efficiency, they get motivated and their commitment to the organization increases (Grote 1996). As a result, the employees’ turnover will reduce and organizational continuity will be enhanced. Another reason for appraisal s to help peg employee rewards. Organizations’ that undertake appraisal get to determine the rewards and bonus on performance. Promotions and retentions will always be based on the appraisal results (Smith & Hornsby 1966). Moreover, appraisals are aimed at identifying the employees training needs and the employees that need to be taken for further training. The employers will therefore be geared at matching the skills required in performance and those in possession by the employees. This will prevent organizations losses and breakages and increase output. In addition, employees’ appraisal is aimed at improving the interaction between the employee and the supervisor hence creating team building (Lingham 2007). The employees interaction will be enhanced and strong relationship will be created between the employees and supervisors. Appraisal also helps in the revision of employee policies (Smith & Hornsby 1966). Companies like PepsiCo and diamond international that have employed performance appraisal have realized improvements in their performance and high employee morale. In PepsiCo for instance, employees who have achieved exceptional performance are rewarded with bonus and their promotion guaranteed (Armstrong & Appelbaum 2003). These employees are always retained and preferred in cases where the company needs to improve their production of their staff. The same applies in Diamond international where employees, efforts are recognized and rewarded (Schermerhorn 1993). In these companies, there has been increaseproduction and low employee turnover. Through performance appraisal, corrective actions are made and company’s’ products improved (Alvi 2011). Performance appraisal is therefore value additive when properly done and implemented. Trends in Performance Appraisal Currently, the appraisal methods have tremendously changed to conform to the new organizational structures and objectives (Bhatia 1981). The first trend in employee evaluation is the linking of employees’ performance to the general organizational objectives (Lingham 2007). In this case, the organizations’ attempt is to review their employee appraisal ways to assist in the achievement of the general organizational goals (Schuler 2006). Performance measurements have also been largely affected by the changes in the use of technology in the executing of the organizational objectives. Smith & Hornsby (1966) asserts that with the use of computers and online performance, the appraisal is done throughout the year and at relatively lower costs. Appraisal method has also been made in almost all the employees function without having to increase the duration for performance evaluation. The integration of the technology in work has also led to the increased interaction between the supervisors and the employees. Interaction does not have to involve the movement from workstation to another as employs can be monitored online. HR functions have been automated including application of jobs, filing of returns and the employees self-service (Bhatia 1981). There is also increased integration of HR functions. For example, many organizations have pegged their rewards on performance as a means of recognizing employees’ performance. The employee retentions and promotions has also been based on the skills and competencies. At the same time the performance gap has been made the tenet of determining the training requirements and need (Schuler 2006). The integration of these HR functions has therefore increased the need of appraisal and made appraisal worth. Team performance appraisal has also been adopted by many organizations that applies the use of teams in the achievement of the organizational objectives Challenges in Performance Appraisal Organizations face several challenges in the adoption and application of performance appraisal. Most of these challenges are the same for all companies. The first challenge that is faced in performance appraisal is the measuring of the results. There is always a tendency of supervisor to deflect from the work measurement and concentrates on the personality thus impairing the process (Armstrong & Appelbaum 2003). The process may also experience resistance from the employees making it difficult to achieve the objectives. Moreover, the discrimination in evaluation i.e. the top managers are not normally supervised or corrected hence biasness in the process. Other challenges include the inexperience of the appraiser, lack of rewarding good performance based on the evaluation outcome and the failure to communicate feedback to the employees (Murphy & Cleveland 1995). Where employees are not aware of the evaluation basis, there is likely to be a problem with the evaluation making it ineffective. Sui National Gas Pipeline Ltd which appraised their employees was also not left behind in experiencing the challenges. Some of the difficulties faced by the company the identification of the objectives of the appraisal process, determination of the changes to be incorporated in the current appraisal method, the problem of shifting to the grading system rather than the absolute appraisal and the problem of avoiding bias by becoming lenient or strict to other workers (Alvi 2011). In conclusion, performance appraisal must be undertaken with a lot of consideration on the need to make thee employees motivated and to improve the productivity of the company. Failure of companies to conduct this process appropriately will lead to the rebellion of workers and non-improvement of the results. Integration of stakeholders concerned is also paramount to the achievement of organizational objective. Reference List Alvi, S 2011, Performance Appraisal Challenges at Sui National Gas Pipelines Ltd (SNGPL), Asian Journal of Management Cases , 8 (1), 61-87. Armstrong, S & Appelbaum, M 2003, Stress-free performance appraisals: turn your most painful management duty into a powerful motivational tool, Career Press. Bhatia, S K 1981, Trends in Perfomance Appraisal, Indian Journal of Industrial Relations , 17, 11-120. Grote, R C 1996, The Complete Guide to Performance Appraisal, New York: AMACOM Div American Mgmt Assn. Lingham, L 2007, Human Resources/Performance appraisal, Retrieved November 17, 2011, from http://en.allexperts.com/q/Human-Resources-2866/Performance-appraisal.htm Murphy, K R & Cleveland, J 1995, Understanding performance appraisal: social, organizational, and goal-based perspectives, Carlifonia: SAGE. Schermerhorn, J R 1993, Management for productivity, Wiley. Schneier, C E & Shaw, D G 1995, Performance measurement, management, and appraisal sourcebook. Human Resource Development. Schuler, R S 2006, Strategic performance measurement and management in multinational corporations, Human Resource Management , 365-392. Smith, B N & Hornsby, J S 1966, Current Trends in Performance Appraisal: An Examination of Managerial Practice, SAM Advanced Management Journal , 61. Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Performance Apprasial Management Assignment Example | Topics and Well Written Essays - 1000 words”, n.d.)
Performance Apprasial Management Assignment Example | Topics and Well Written Essays - 1000 words. Retrieved from https://studentshare.org/management/1436796-performance-apprasial
(Performance Apprasial Management Assignment Example | Topics and Well Written Essays - 1000 Words)
Performance Apprasial Management Assignment Example | Topics and Well Written Essays - 1000 Words. https://studentshare.org/management/1436796-performance-apprasial.
“Performance Apprasial Management Assignment Example | Topics and Well Written Essays - 1000 Words”, n.d. https://studentshare.org/management/1436796-performance-apprasial.
  • Cited: 0 times

CHECK THESE SAMPLES OF Challenges in Performance Appraisal

Successful Performance Appraisal Management

The paper "Successful performance appraisal Management" discusses that various forms of organizations widely deploy performance appraisal systems to measure employee performance, align with overall organizational objectives, and assess the room for improvement.... The typical methodology for dealing with performance appraisal systems relies on a generalized approach where one performance appraisal system is used for several different hierarchical positions in an organization (Cascio, 2013)....
6 Pages (1500 words) Research Paper

Managing Employee Appraisals

ccording to DeNisi and Pritchard (2006), the research surrounding the topic of performance appraisal has attracted a lot of criticism because of the overemphasis placed on the psychometric issues.... It is equally important for the appraisal research to place emphasis on and explore the effective systems of performance appraisal that can inculcate the motivation in the employees to improve their performance.... Drawing a balance between employees of all kinds is one of the most fundamental requirements of an effective system of employee appraisal....
7 Pages (1750 words) Research Paper

HR Pay scale and benefits programs for HR Professional

As competition in many markets becomes more intense and global in nature, the importance f performance appraisal has been recognizing as a key element f strategic human resource management (Anderson, 1993). ... performance appraisal contains three steps: define the job, appraise performance, and provide feedback.... A wide range f methods are used to conduct performance appraisals, from the simplest f ranking schemes through objective-based, standard-based and competency-based system to complex behaviorally anchored rating schemes (Snape et al....
4 Pages (1000 words) Essay

The Use of Human Resource Service Centers

The later section of the project deals with the literature review of performance appraisal where previously conducted research has been taken into consideration in order generate to ideas and to make the base stronger.... The last two section deals with the problems as well as recommendations for performance appraisal.... In the year 1950, it was recognized that an appraisal is a useful tool for motivation as well as the development of employees....
10 Pages (2500 words) Term Paper

Risk of Failure of Performance Appraisal Schemes

The author of the paper 'Risk of Failure of performance appraisal Schemes in The Public Sector' aims to explore and explicate the possible ways in order to minimize the risk of failure of performance appraisal schemes in the public sector.... This paper begins with the statement that in many sectors and organizations—- but not all—- performance appraisal and its results are used, either directly or indirectly, to help determine reward outcomes....
9 Pages (2250 words) Coursework

Effective Functioning of the Performance Management System

This section reviews the literature on performance appraisal practices and policy options by looking at main approaches in performance appraisal, objectives of performance appraisal programs, issues surrounding performance appraisal systems, the managerial role and employee perceptions in performance appraisal, and performance appraisal practices in the entertainment/nightlife industry.... Various research studies have explored performance appraisal systems and the need for such systems to work effectively in organizations....
23 Pages (5750 words) Coursework

The Impact of Globalisation and Cultural Differences on the Application of PerformanceMeasurementand Management

The paper "The Impact of Globalisation and Cultural Differences on the Application of performance Measurement and Management" is an outstanding example of an essay on management.... The paper "The Impact of Globalisation and Cultural Differences on the Application of performance Measurement and Management" is an outstanding example of an essay on management.... The paper "The Impact of Globalisation and Cultural Differences on the Application of performance Measurement and Management" is an outstanding example of an essay on management....
16 Pages (4000 words) Essay

International Performance Management and Appraisal

Lastly, HR needs to be clear on the performance appraisal criterion that will be used in the assessment of both the expatriates and workers.... The paper 'International Performance Management and appraisal' is a comprehensive example of human resources literature review.... The paper 'International Performance Management and appraisal' is a comprehensive example of human resources literature review.... The paper 'International Performance Management and appraisal' is a comprehensive example of human resources literature review....
8 Pages (2000 words) Literature review
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us