Professional Documents
Culture Documents
©SHRM 2009 2
Performance Management and Performance Appraisal
• Performance management:
> Dynamic, continuous process.
> Improves organizational effectiveness.
> Strategic goals.
• Performance appraisal:
> Periodic (usually annual) event.
> Formal review.
> Last step in performance management process.
©SHRM 2009 3
Who’s Involved? What Are Their Needs?
• Organization:
> Information.
> Documentation.
• Supervisor:
> Documentation.
> Motivation.
• Employee:
> Feedback.
> Support for career growth.
> Increased compensation.
©SHRM 2009 4
Performance Management Goals
©SHRM 2009 5
HR’s Role in Performance Management
©SHRM 2009 6
Performance Management Process
1. Prerequisites.
2. Performance planning.
3. Performance execution.
4. Performance assessment.
5. Performance review.
6. Performance renewal and re-contracting.
Planning
Renewal Execution
Review Assessment
©SHRM 2009 7
1. Prerequisites
• Prerequisites:
> Strategic planning.
> Job analysis.
©SHRM 2009 8
2. Performance Planning
©SHRM 2009 9
Writing SMART Performance Objectives
©SHRM 2009 10
3. Performance Execution
• Shared responsibility
> Employee responsibility:
• Commitment to established goals.
• Communication and update with manager.
> Manager responsibility:
• Feedback, coaching and reinforcement.
• Resource support.
• Accurate observation and documentation.
©SHRM 2009 11
4. Performance Assessment and Appraisal
©SHRM 2009 12
What About the Employee?
©SHRM 2009 13
Performance Appraisal Methods
©SHRM 2009 14
Performance Appraisal Problems
• Appraiser discomfort.
• Strictness/leniency.
• Bias and lack of objectivity.
• Manipulating the evaluation.
• Halo/horns effect.
• Central tendency error.
• Recent behavior.
• Supervisor unable to observe behavior.
©SHRM 2009 15
Writing the Appraisal Review Document
©SHRM 2009 16
Performance Management and Appraisal
Session 2
Getting Ready for the Interview
©SHRM 2009
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5. Conducting the Performance Interview
©SHRM 2009 19
6. Performance Renewal and Re-Contracting
©SHRM 2009 20
Problems With Assessment/Appraisal
• Tied to compensation.
• Employees lack motivation.
• Manager and employee don’t agree on results.
• Management reluctance.
• No performance documentation.
©SHRM 2009 21
Issues With Performance Management
• Legal issues.
• Untrained raters.
• Rater errors.
• Rater distortion.
• No grievance procedure.
©SHRM 2009 22
Poorly Implemented PM Systems
©SHRM 2009 23
Performance Management Skills
• Communication.
• Coaching.
• Giving feedback.
• Empathy.
• Teamwork.
©SHRM 2009 24
Let’s Practice Your Performance Appraisal Skills
©SHRM 2009 25