1. Human resource accounting method: It measures personnel management activities and the use of people in an organisation.

HR accounting tries to find the relative worth of human resource assets in the terms of cost and contribution of the employees. HRA method treats wages, salary and training expenses incurred for employees as cost of human resources where as total value added by these employees are treated as contributions of these employees. The difference between the cost and contribution are performance of the employees. 2. Behaviourally anchored rating scales (BARS): BARS combine the graphic rating scale and critical incidents method. Certain behavioural statement describing important job performance qualities are developed from the critical incidents. In this method, the employees actual behaviour is compared with the expected behaviour by recording and comparing the behaviour with BARS. In this appraisal system, raters can distinguish between successful and unsuccessful job performance by collecting and listing critical job factors. These critical behaviours are categorized and assigned some numerical value which helps in rating the performance of employees. Example: performance of employees during training session: Performance Extremely good Points 7 Behaviour Can expect trainee to make valuable suggestions for increasing sales Did not involve in training session

Extremely bad

Steps involved in constructing BARS: Identify critical incidents describing effective and ineffective job behaviour Select performance dimensions- smaller set of dimensions Retranslate the incidents assign each incident to the dimensions Assign scales to incidents rating on a seven or nine point scale on the basis of the behaviour described. Mean and SD are calculated on the basis of scales Develop final instrument incident is positioned on the scale on the basis of values calculated. Advantages: Accurate rating More reliable method

 Raters bias is reduced Helpful in setting developmental goals Helpful in providing feedback to the employee Disadvantages: Time consuming Expensive Concentrates more on activity oriented than result oriented.

3. MBO: This concept was developed by peter drucker in 1954. It is also known as work planning and review or goal setting approach to appraisal. MBO can be described as a process whereby the superior and subordinate managers of an organisation jointly identify its common goals, define each individuals major areas of responsibility in terms of the results expected of him and use these measures as guides for operating the unit and assessing the contribution of each of its members. STEPS INVOLVED IN PERFOMANCE APPRAISAL THROUGH MBO ARE AS FOLLOWS: As a first step, the members of the primary work group establish group goals and individual goals and they also establish action plans to achieve the same. Once the goal is determined, duties and responsibilities of the individuals are fixed; these duties and responsibilities are examined in the light of the interdependence with other groups. Subordinates frame action plans either in a meeting or on discussion with superior, the action plan reflects the individual style of the subordinate The next step is both superior and subordinate agree upon a common criteria at which success can be ensured. Periodically, the manager reviews work progress of the subordinate, either in the larger group or with the subordinate. ADVANTAGES: It concentrates on the result rather than merely planning activities. It also provides standards for control and thus it lead to better management. MBO clarifies the roles and responsibilities for achieving the goals , which leads to easy appraisal of employees performance It elicits peoples commitment for performance It furnishes objectivity than subjectivity Disadvantages:

 It is difficult to make comparative ratings of individuals because each individuals goal is different from others It is difficult to appraise and identify the potential of employees because it deals with only the present job It is more time consuming MBO presumes certain level of trust , but it inhibits the honesty and appropriate goal setting In case of routing kind of jobs, such as an assembly line, traditional performance appraisal is useful.

4. 360 degree performance appraisal: It was first developed by general electric , usa in1992. In india it is used by Crompton greaves, wipro, Infosys , reliance industries, etc. It is full circle system of obtaining information from peers, superiors, internal and external customers about the employees performance It is a multi source assessment, which includes, Self Superior Internal customers/peers/staffs External customers Self appraisal: In the self appraisal, a person evaluates his own performance; he should be honest in evaluating himself. This results in self development. Superior: The immediate superior is in a very good position to evaluate the subordinates performance, he have direct information about the work performance of their subordinate Peers/co-workers Peer evaluation is very important in case of team performance. Peers or co-workers they directly involve with each other and it is easy for them to identify each others performance. Subordinates: The subordinates can also evaluate the performance of the superiors Customers

Those customers who interact with the employees can also evaluate the performance of the employees. Organisations use customer appraisals to improve the strengths and remove the weaknesses of their employees.

MEHTHODS AND TECHNIQUES OF EXECUTIVE DEVELOPMENT On the job techniques 1. Coaching: Coaching is an important tool in an executive development, the superior guides the subordinate as a coach, both superior and trainee agree upon a common goal, the coach suggest the ways in which the goals can be achieved and he also reviews the trainees progress. The coach also guides the trainee to improve his performance and to change behaviour of the trainee if the trainee is not up to the expectation of the superior. The aim of coaching is to maximise performance. It analyses new strength and opportunities and there by addresses new skills needed and eliminates obstacles. Advantages: It is learning by doing As a part of the job executives can easily coach subordinate without organising any executive development programme Evaluation of the subordinates can be done simultaneously while coaching subordinates and immediate feedback can also be given It is useful for new executives and for those jobs which involve operative skill. Trainee and the boss can have close interactions which facilitates in depth learning of the subject matter. Disadvantages: It leads to continuation of current management style It requires the superior to be a good teacher Trainee get disturbed because of the daily routine work Trainee cannot learn comfortably by making mistakes because he have to learn on the job. Effectiveness of coaching wholly depends on the coacher. A coacher must be a good communicator, motivator, a role model for the trainee. At times a coach must appreciate, recognise and reward the trainees performance.

2. UNDERSTUDY An understudy makes the trainee to be an assistant to the current job holder. A person is specifically designated as the heir apparent (successor). This trainee will be succeeding the position of the current job holder. A person is identified and then trained to replace the manager in his absence. The trainee learns by experience, observation and limitation. The superior directs most of the department work through the junior, the superior makes the subordinate to get involved in decision making processes. Advantages: The training is conducted in a practical situation and also the trainee gets continuous guidance from the superior It is time saving as no extra time spent for training programmes This method motivates the junior to perform well. The trainee shares the work of the superior and lessens the work burden of the superior There will not be any time lag to fill the vacancy of the superior , as the subordinate is trained well to replace the superior. DISADVANTAGES: It leads to continuation of current management style It de-motivates other employees as one among them becomes their immediate superior The subordinates treat the trainee as an intruder and they may not obey his orders The trainee loses his freedom. The superior may not assist the trainee properly and even trainee may neglect the superiors assist, to make this method effective, the superior and subordinate must cooperate well in the interest of the organisation. 3. Position rotation/job rotation It is the systematic movement of employees from one job to another job within an organisation. It is the horizontal movement of employees. The main aim is to widen the knowledge of employees. Advantages: It reduces monotony and boredom trainee has a chance to get to know more about other jobs it facilitates interdepartmental cooperation and coordination