Performance Management and Appraisal - Case Study Example

Running head: PERFORMANCE MANAGEMENT AND APPRAISAL Performance Management and Appraisal [Writer’s Name] [Institution’s Name] Performance Management and Appraisal Introduction All organizations must face up to the challenge of how to evaluate, utilize and develop the skills and abilities of their employees to ensure that organizational are achieved, and also to ensure that individuals gain as much satisfaction as possible from their jobs while making effective contributions. As competition in many markets becomes more intense and global in nature, the importance of performance appraisal has been recognizing as a key element of strategic human resource management (Anderson, 1993). The essay shall give recommendation on how to improve Colbran Medical Institute’s performance appraisal method. Apart from this it may also pinpoint the advantages of such a method. Analysis Performance appraisal is according to Fletcher (2001) “common phrase for a variety of activities which organizations use to evaluate employees and develop their ability, improve performance and select employees for rewards. Research regarding this issue has always been something important for industrial and organizational psychologist as well as for Human resource management experts. Performance appraisal usually has a problem in over estimating the performance. Key Performance factors are apart of every job, apart from the duties employees are expected to even do a few other things. The supervisor is to assign the majority important of those factors as vital factors based on the employee’s past appraisals and performance. These vital factors extremely important for the employee. For examples of key performance factors may be communication, ability, obedience, dependability, growth, inventiveness, highly effective, and quality. key performance may also include factors like reliability, corporate citizenship, management, results orientated , and decision-making. Apart from feedback towards the employees whose performance is appraised, the committee must be prepared to write a report for the senior mangers in the institution executives if it is deemed necessary. The developmental function of appraisal is concerned with improving the performance of people by identifying areas for improvement, setting performance targets for the future, and agreeing plans for follow up action. This aspect also involves developing the capacity of people through formulation plans to develop their skills and careers, and helping individuals to reconcile their job and career aspirations with opportunities available in the organization. Colbran Medical Institute’s appraisal system Colbran Medical Institute should implement a 360-Degree appraisal system. This system includes internal and external information that all around an employee, from supervisors, subordinates, peers, and internal and external customers. Boss Peers Customers Feedback Self Team Members Staff (Dessler etal 1999) Benefits For Colbran Medical Institute For Using Such A System Organizations in business, industry, government and education use 360-degree feedback for a variety of applications including career development, succession planning and the identification of high achievers. There are some benefits with 360-Degree feedback system; first, it provides an opportunity to gain a more balanced view of individual's strengths and weaknesses. Second, it can get information from wide areas. Finally, it encourages feedback from a range of sources. But on the other hand, there are also some disadvantages to 360-degree, such as in the administration and collection of data. The criteria used in appraisals are: -         Goal Achievement -         Program Realization -         Protection of general interests of the organization -         Human Relations -         Training personnel for replacement -         Self-training for replacement -         Training Inferiors -         Work Delegation -         Intellectual Curiosity Towards Work -         Order -         Discipline -         Communication Abilities - Obedience to Procedure - Assurance of Company Future as much as possible Colbran Medical Institute: Easy Establishment of an Appraisal Plan Training programs are most effective when they follow a systematic process that begins with an explanation of the objectives of the performance appraisal system(Sherman etal 1998). It is vital for the rater to be acquainted with the rationale for which the appraisal is to be utilized. The rating system must also be clarified, such as who will conduct the appraisal system and what the standards of performance are. It is an Effective Appraisal Program The basic purpose of a performance appraisal system is to improve performance of individuals, teams, and the entire organization. As a human resource manager, we have the primary responsibility for overseeing and coordinating the appraisal program. The operating department managers and employees should also be involved, particularly in helping to establish the objectives for the program. Colbran Medical Institute Will Be Able To Establish Performance Standards and Training Appraisers by This System Organizational strategy reflects its strategic objectives. But organizational strategy must relevance. These objectives are translated into performance standards for their employees. Too high or low objectives both bad for establish performance standards. A second consideration in establishing performance standards is the extent to which the standards capture the entire range of an employee's responsibilities. When performance standards focus on a single criterion to the exclusion of other important but less quantifiable performance dimensions, then the appraisal system is said to suffer from criterion deficiency. There are factors outside an employee's control that can influence her or his performance. So, third, we should criterion contamination that how to influence employees' performance, and look for a way to solve them. When we establish performance standards, reliability also should be emphasized. Only with reliability, the performance should be effectively operated. I think reliability also includes continuity. It is because performance appraisal as a system not only focuses on short-term point but also on long term. Colbran Medical Institute Will Be Able To Eliminate Rater Error Rating error is present in Colbran Medical Institute’s present appraisal system. Os to eliminate it this system is the best option for them. The subjective errors usually have an effect on just and veracious evaluation. So, appraisal training is supposed to focus on getting rid of the subjective errors made via appraisers during the rating process. With any rating method, a few kinds of errors do take place which may hamper the appraisal. These errors such as halo error, leniency or strictness error, recency error and first impression error and so on. A Colbran Medical Institute should establish formal training programs to decrease the subjective errors commonly made during in the rating process. This may be beneficial, mostly when participant have the chance to observe other managers when they make a mistake, vigorously take part in discovering their own errors, and perform job-related tasks to decrease the errors they usually make. Feedback Training Involved In System Will Improve Colbran Medical Institute’s Appraisal Most employees have a strong need to know how well they are performing (Wayne, Robert & Shane 2002). A good appraisal system provides extremely desired feedback on a continuing basis. A feedback training program for raters should provide some general points to consider for planning and conducting the feedback interview (Sherman etal 1998.). It is because the interview not only provides employees with information of results of their evaluation, however it lets the manager and the worker discusses existing issues and set future goal. The feedback training includes three basic parts: how to improve communication efficiency, how to set common goals and objectives between managers and their subordinates, and how to diagnose the root causes of performance problems. How Colbran Medical Institute Can Improve the Appraisal Interview by Using 360 Degree Method of Appraisal The appraisal interview is defiantly the most vital part of the whole performance appraisal method. It provides the manager a chance to discuss employee’s performance record and to discover areas of probable improvement and growth. It moreover, provides an opportunity to indentify employee’s attitude and feelings more systematically and therefore enhances their communication between the employee and manger. In general, appraisal interview emphasize three topics: the employee's performance, setting employee's objectives and personal development plans, and help employee to achieving established objectives. Following the three topics, manager should prepare for the appraisal interview. There are three things must be prepared: collect the data, prepare the employee, and choose time and place. Collect data means study the job description, compare the employee's performance with the standards and so on. Prepare the employee means give your employees time to review their work, analyze problems, and gather their questions and comments. Right time and place also can provide an effective appraisal interview performance. When an appraisal interview is conducting, there are some factors must be regarded: first thing is direct and specific. Second thing is not gets personal, such as don not compare the employee's performance with his staffs (O'Reilly & Anderson 1980). We must focus on solving problems. Third thing is that encourage the person to talk. Although it is most difficult, this is an effective way to establish communication. By the time the managers of Colbran Medical Institute write the performance appraisal, they should have the resources needed to do an effective job. Colbran Medical Institute must have a clear and current job description and performance standards in place. They must also have a supportable basis for making your appraisals. After this giving feedback is something essential in the process. After Colbran Medical Institute will have provided the employee with opportunities to improve performance when necessary. There will be no surprises about performance problems. At the time of the performance appraisal, both Colbran Medical Institute and the employee will discuss what the process will involve and the managers of Colbran Medical Institute will invite the employee's input. Colbran Medical Institute‘s 360 Degree System Will Comply With The Law As a one basis for human resource management actions, performance management must meet certain legal requirements. Even though employees and managers are in a similar position , but a problems can raise which come due to reorganizations of performance appraisal process. In addition, appraisers' personnel bias should also cause legal troubles. So, as an appraiser, we must regard legal performance appraisal process. It may be said that performance ratings must be job-related is especially important to all managers. And work and appraisal process recording is also cannot be neglected. What Colbran Medical Institute’s New System Will Be Based On The appraisal for, system analysts and support staff should be conducted monthly as their performance can be measured in quantitative terms and the size of the organization is moderate. The appraisal for managers should be conducted quarterly as the performance of their subordinates dictates their performance. 3.Proper and Realistic Performance Standards should be set using the past data. This will motivate the employees to perform better and meet the standards. 4.The effectiveness of the appraisal system depends on the capability/authenticity of appraisers/raters. The raters rating can be made authentic by pursuing various training programs. The rater's training programs should involve proper understanding of the nature of the job. 5.The company should use 360 º approaches (multiple evaluative system) for the appraisal system. It reduces biasness as it considers viewpoints of all the concerned persons, via, colleagues, subordinates and superiors. 6.The appraisal system should encompass developmental aspects (as purpose) to improve deficiencies along with evaluative purposes. 7.The feedback should be provided on one on one basis. The HR manager and the supervisor should together provide the feedback. Conclusion Performance management forms part of the human resource management approach to managing people, and performance is basically a shared process between managers, individuals and teams in which objectives are agreed and jointly reviewed and which aims to integrate corporate, individual and team objectives. In general, performance management through discriminates, reward, communicate and improve employees to get organizational and individual objectives. In practice the use of the system enabled staff within the Division of Human Resource Management to recognize and accept their own performances and to use this information to improve their performances. While the purpose for the evaluation approach are pretty clear-cut, to enhance performance and reward the appropriate persons, the planning and feedback required must be planned before the system is put into practice. Performance appraisal should lead to the identification of the training and development needs of employees. Indeed, it can be argued that without an appraisal scheme, it would be only accidental if training and development efforts were aimed in the right direction. Performance appraisal, by providing feedback to employees on job performance, creates a basis for improvement and development. . Reference Anderson, Gordon C. (1993). Managing Performance Appraisal Systems. Oxford, UK; Cambridge, Mass.: Blackwell. Dessler, John Griggiths, Beverley Lioyd-Walker, and Andrew Williams, (1999), Human Resource Management p.459, Prentice Hall Australia. Fletcher, C. (2001), Performance appraisal and management: The developing research agenda. Journal of Occupational and Organization. O'Reilly, C. A., & Anderson, J. C. (1980). Trust and the communication of performance appraisal information: the effect of feedback on performance and job satisfaction. Human Communication Research, 6, 290-298 R. Wayne Mondy, Robert M. Noe, Shane R. Premeaux, 8th, 2002, Human Resource management p.289, Pearson Education, Inc. R. Wayne Mondy, Robert M. Noe, Shane R. Premeaux, 8th, 2002, Human Resource management p.296, Pearson Education, Inc. Sherman Arthur, Bohlander , and Snell Scott, 1998, Managing Human Resources 11th, p.323, South-Western College Publishing. Read More