Performance Management Evaluation - Research Paper Example

Full topic and Section # of EXECUTIVE SUMMARY Performance management is the evaluation of the ongoing performance of individuals and their outcomes with the desired outcomes. By conducting this test, using reward systems and analyzing performance appraisals and improvements, it was observed that there is a sound relationship between performance outcomes and the factors that influence the performance. The task assigned to the control group was to make a set number of sandwiches in a calculated time. First, the control group was asked to complete the task without any incentive. This gave us a normal response from the control group with some people not interested in doing the task. Performance was evaluated keeping the standard appraisal in mind. The method used in this task to evaluate the individuals was peer rating. Peer rating is the method of appraisal in which the one individual is asked to rate the other peers on the basis of their performance. After the introduction of incentives, it was observed that the performance of individuals increased many folds and people were more eager to work on the task. TABLE OF CONTENTS 1. Introduction: Performance Management 4 2. Task Requirement 4 3. Performance Outcomes 5 3.1 Expected Outcomes 5 3.2 Perennial Outcomes 6 4. Method of Appraisal 7 5. Recommendations 8 5.1 Performance Improvement 8 5.2 Influence of Reward 9 5.3 Appraisal Improvement 9 6. Conclusion 9 7. References 10 PERFORMANCE MANAGEMENT INTRODUCTION Simply put, Performance management can be stated as the kind of management that keeps a check on the ongoing progress and ensures that goals are being met in an effective and efficient manner. Performance can be measured by evaluating the difference between the desired and actual outcomes of the tasks assigned to departments, individuals and organizations. The performance gap can be due to many external and internal factors. Evaluation of these factors can help us to decrease the performance gap. Meeting the required goals that individuals or groups have set up for themselves is of very high significance and studying the effect of the factors that hamper or catalyze the performance is equally important. By understanding to effect of the factors we come in a better position to control those factors according to our needs. To comprehend the significance of these factors, we were required to do a practical and were asked to design a 15 to 20 minute task to be administered in a controlled environment. By conducting this test, using reward systems and analyzing performance appraisals and improvements, we realized that there was a sound relationship between performance outcomes and the factors that influence them. 2. TASK REQUIREMENT The requirement for this task was to understand the importance of the environmental factors that are present to influence the outcomes of the performance of individuals. Individuals were kept under strict observation and every factor that might help or hamper the outcomes of the tasks is noted down. Observational research is conducted. In controlled environment, the class was taught how to make tomato, cheese and ham toast sandwiches by the invigilators ant their performance was monitored. They were asked to complete a required amount of sandwiches in a set time. This monitoring was first done under normal circumstances to measure the standard performance ability of the group. After this, introduction of reward incentives was done and appraisals were done after the introduction of environmental factors. 3. PERFORMANCE OUTCOMES Performance outcomes are the desired outcomes of the task. These standards specify how the individuals should achieve the preferred result. These outcomes are kept as standards because they are supposed to be met. Outcomes are very important for businesses because they encompass the strategic goals of the company. 3.1 EXPECTED OUTCOMES Performance was evaluated keeping the standard appraisal in mind. The standard appraisal was the one, which was conducted under normal circumstances without the introduction of any intruding factors. It is expected that most of the individuals from the control group will be interested in learning how to make those sandwiches as fast as they could. However, some of the people in the group were not as interested in learning the process of sandwich making which might be bizarre for them. After the introduction of incentives, it is expected that there will be a lot of change in the outcomes of the results. There are two incentives that are being used in this task. The first one is to provide monetary incentives to the people who learn to make the sandwiches in the same way acquiring the least time. This incentive will evaluate the importance of money in increasing the performance of people. The second incentive that was introduced was the one in which individuals from the control group were awarded the same sandwiches they made. There are two aspects of this incentive. The first one is that it was a great motivation for gluttons who love food. The second one is the fact that people were awarded the same sandwiches that they themselves made. Therefore, they tried to make them as scrumptious and as mouth watering as possible in the least time possible. 3.2 PERENNIAL OUTCOMES Perennial outcomes are those outcomes, which will be expected under any circumstances. These outcomes will be the ones that will be present under standard environment as well as after the introduction of incentives. The standard environment was to make the set number of sandwiches in the required time. In this task, it is seen that people who were interested in making sandwiches were showing the same performance with or without the introduction of incentives. 4. METHOD OF APPRAISAL Appraisal means evaluation of the results to understand if the standards were met or not. The method of appraisal used in simple documentation of the results under different circumstances and then evaluating if the required results were met. The appraisal also lets us understand the reasons for the shortcomings of the results. "Systematic, periodic review and analysis of employees' performance. (p.263) It's important to be clear about how performance appraisal differs from performance management, i.e., "a means of maintaining and improving work behaviour...daily, year-round..."(p. 263) (W.R. Tracey, 1991) There is a very fine line present between performance appraisal and performance management, though they are confused as being the same things. Performance management is an on going process, however performance appraisal is not. It is the method used by management to help in the over all management of the on going process. The method used in this task was peer rating. Peer rating is the method of appraisal in which the one individual is asked to rate the other peers on the basis of their performance. The control group was studied by the controller group and they evaluated them on the basis of their performance. The ratings suggested that people were more keen to learn and comprehend if awarded incentives. Monetary incentive was more appealing to come while the 'the more you make the more you get' incentive were only appealing to people who loved eating food. There were a number of people who were willing to perform under all conditions. These people were high performance people who just had the vigor to complete any task provided to them. 5. RECOMMENDATIONS Recommendations are the alternatives provided by an analyst or a number of analysts after proper evaluation of performance results and the factors that changed manipulated those results. The analyst in this case was the controller group who was conducting the task on different people from the class. After proper studying the results of the different groups under different conditions and evaluations of the alternatives, we have come to the conclusion that under the reward system there is a higher chance that people in the control group will complete the task in an effective and efficient manner. The participants took active participation in the task when they were provided incentives of different kinds as compared to when they were just asked to follow the procedures. It was also observed that people were more motivated with the monetary incentive then any other. 5.1 PERFORMANCE IMPROVEMENT Performance improvement has two parts. Firstly, it is the concept for measuring the output of a procedure. It then involves modifying the procedure in order in influence the processes' efficiency and effectiveness. It is a concept that is applicable to both individual and group performances. Performance can be improved in this case by increasing the rewards; the better the rewards, the better will be the performance of the individuals. 5.2 INFLUENCE OF REWARD The change that occurs in the performance of individuals after the introduction of rewards is called the influence of that particular reward. The influence can be positive or negative. In our case, it was observed that there was a gigantic influence of the introduction of rewards on the performance of the control group. 5.3 APPRAISAL IMPROVEMENT Appraisal of the outcomes is done to improve the evaluations done so that developments in the improvements can me made. This means that the improvements that occurred due to the reward system can be improved even more by making certain changes in them. These changes can be introduction of a handsome amount of money but increasing the standard to making more sandwiches in the time allotted too. 6. CONCLUSION Introduction of reward system was exceptionally effective when introduced to the control group. Without incentives, they were not as eager to work hard, learn the technique and then use that technique in the required time. Individuals from the control group were more inclined to work harder when monetary incentives were introduced then others. This shows that money has a greater effect on people's performances. This can help had develop a positive relationship between performance and environmental factor such as money. However, there exists a broad category of people who are naturally driven to work hard with or without the incentive being provided to them. References 1. Aquinis, Herman (2006). Performance Management. 2. John West Burnham (2003) Performance Management Manual Pack. 3. Pam Jones, (2007) Managing for Performance. 4. Performance Management. Retrieved October 31, 2007, from web title Web site: http://www.opm.gov/perform/overview.asp Read More