Chapt 11
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Chapter 11
Appraising Performance of Office Employees
Administrative Office Management, 8/e by Zane Quible
1
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Current Uses of Performance Appraisal (1 of 2) Helps identify subordinates’ strengths and weaknesses. Provides input for making decisions about salary increases, promotions, and transfers. Provides input in workforce planning. Helps strengthen communication between supervisors and subordinates. Improves quality of communication between supervisors and subordinates. Administrative Office Management, 8/e by Zane Quible
2
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Current Uses of Performance Appraisal (2 of 2) Improves quality of supervision. Has a positive impact on career growth and development of employees.
Administrative Office Management, 8/e by Zane Quible
3
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Characteristics of Performance Appraisal Programs (1 of 2) 1. Must elicit a change in employee behavior. 2. Must provide a basis for making compensation 3. 4. 5. 6.
decisions. Must provide information for making decisions about promotion, transfer, or termination. Must enhance employee motivation. Must provide feedback for use in validating various phases of the personnel program. Must facilitate supervisor-subordinate communication.
Administrative Office Management, 8/e by Zane Quible
4
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Characteristics of Performance Appraisal Programs (2 of 2) 7. Must use appropriate evaluation base in relation to intended use of appraisal results. 8. Must use clearly stated, objective, and wellunderstood performance standards.
Administrative Office Management, 8/e by Zane Quible
5
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Performance Standards Are critical to the success of the program. Standards must be shared with employees at the time of hire. Appraisal criteria involving standards are determined by intended use of results.
Administrative Office Management, 8/e by Zane Quible
6
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Methods of Performance Appraisal (1 of 2) Graphic Rating Scale Paired Comparison Appraisal Checklist Simple Ranking Forced Choice Critical Incidents Peer Rating Group Rating Self-Appraisal Narrative Appraisal Administrative Office Management, 8/e by Zane Quible
7
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Methods of Performance Appraisal (2 of 2) Field Staff Review Results-oriented Appraisal Behaviorally Anchored Rating Scales Appraisal Mixed Standards Scale Computerized Appraisal
Administrative Office Management, 8/e by Zane Quible
8
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Graphic Rating Scale Is most widely used technique. Rater indicates degree to which ratee possesses each specific characteristic or trait found on the rating form. Forms Use Three Methods Descriptive Phrases Descriptive Words Numerical Scales Administrative Office Management, 8/e by Zane Quible
9
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Traits Must Be Measurable Shortcomings 1. All traits are of equal importance unless they are 2. 3. 4. 5.
weighted. Subject to certain errors. Rates past performance after it is too late to change. May not give employees incentive to overcome their weaknesses. Some forms contain too many traits; others, too few.
Administrative Office Management, 8/e by Zane Quible
10
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Paired Comparison Appraisal Technique involves comparing one individual with with each of the other individuals in a work group. Evaluation can be based on specific traits or overall performance. Uses a grid in the evaluation process. Shortcoming Is limited as to number of employees who can be effectively rated. Administrative Office Management, 8/e by Zane Quible
11
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Checklist Uses a form that contains a series of statements about various traits. Rater appraises ratee by responding to each statement. It rates specific items, not overall performance. Shortcoming It tends to treat all items of equal weight. Administrative Office Management, 8/e by Zane Quible
12
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Simple ranking Ranks individuals from the best to worst. Is simple and accommodates a fairly large number of employees. It tends to rate overall performance. Shortcoming Although all employees may be performing well, someone has to be rated the worst. Administrative Office Management, 8/e by Zane Quible
13
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Forced Choice Consists of 25-40 sets of statements. From a list of 5 statements, rater chooses statement most descriptive and least descriptive about person being rated; other 3 statements are neutral. Is an objective process because rater doesn’t know which statements affect the ratee’s performance.
Shortcomings Is costly to develop and install. Doesn’t lend itself to employee counseling. Administrative Office Management, 8/e by Zane Quible
14
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Critical Incidents Involves formulating a list of critical job requirements for each position. Supervisor then observes subordinates for favorable or unfavorable displays of these requirements. Requirements are recorded on a record sheet. Shortcoming Employee may have impression that supervisor keeps a “little black book.” Administrative Office Management, 8/e by Zane Quible
15
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Peer Rating Uses co-workers to evaluate the performance of an individual. Peers often see different things than does the supervisor.
Administrative Office Management, 8/e by Zane Quible
16
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Group Rating Uses a group to appraise the performance of an individual. Tends to be fairly objective because of multiple individuals used.
Administrative Office Management, 8/e by Zane Quible
17
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Self-Appraisal Using a rating form, the employee rates himself/herself. Supervisor also rates the employee. During appraisal interview, results are compared, trait by trait. Employees feel they are more involved in the process because they rate themselves.
Administrative Office Management, 8/e by Zane Quible
18
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Narrative Appraisal Supervisor prepares a written report about the employee’s performance. Typically includes an improvement plan identifying how employee will improve his/her performance in deficient areas. Shortcoming Makes it impossible to compare performance of individuals. Administrative Office Management, 8/e by Zane Quible
19
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Field Staff Review Uses an objective outsider in the evaluation process. Employee being evaluated and his/her supervisor are questioned orally by the appraiser. Shortcoming Makes it difficult to provide appraisals as often as may be necessary. Administrative Office Management, 8/e by Zane Quible
20
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Results-Oriented Appraisal Is closely aligned with management by objectives. Is often used in conjunction with another appraisal technique. Is advantageous because it takes into consideration future, not past, performance. Shortcoming Some work cannot be quantified to make the process work well. Administrative Office Management, 8/e by Zane Quible
21
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Well-Defined Steps 1. Measurable performance goals are set jointly by the 2. 3. 4. 5.
supervisor and the subordinate. Specific courses of action are agreed upon to accomplish these goals. At interim intervals, supervisor and subordinate discuss progress made toward achieving goals. At end of rating period, supervisor and subordinate officially evaluate the extent to which goals are achieved. Goals for next evaluation period are set.
Administrative Office Management, 8/e by Zane Quible
22
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Behaviorally Anchored Rating Scales Technique uses a series of 5-10 scales. Each important job dimension is reflected in a separate scale. Within each scale, varying degrees of job performance are reflected. Produces objective results. Shortcoming Developing scales is a time-consuming process. Administrative Office Management, 8/e by Zane Quible
23
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Mixed Standard Scales Is tailored to specific positions. Regarding each standard, the rater indicates whether the employee’s performance is better than, comparable, or worse than the performance level expressed in the statement. Shortcoming Cannot determine how an employee’s performance compares to that of other employees. Administrative Office Management, 8/e by Zane Quible
24
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Computerized Appraisal Uses software programs to facilitate the appraisal process. Supervisor identifies important traits for each subordinate. Supervisors evaluate subordinate on the basis of these traits. Program contains a vast number of traits.
Shortcoming Many of the traits listed are likely to be irrelevant for a given position. Administrative Office Management, 8/e by Zane Quible
25
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Rating Errors (1 of 2)
Halo-Horns Effect Influence of Recent Performance Bias Administrative Office Management, 8/e by Zane Quible
Results when the rating on one trait influences an employee’s rating on all other traits. Supervisor’s objectivity is clouded by employee’s recent favorable or unfavorable performance. Involves allowing unconscious bias or prejudice to enter appraisal process. 26
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Rating Errors (2 of 2)
Extreme Ratings
Administrative Office Management, 8/e by Zane Quible
Tendency of some supervisors to rate their subordinates at the extremes (high or low).
27
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Analysis of Appraisal Results Involves determining the reliability and validity of appraisal results.
Administrative Office Management, 8/e by Zane Quible
28
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Appraisers of Employee Performance
Immediate Supervisor Self-rating Rating Committees Peer Ratings 360-degree Feedback
Administrative Office Management, 8/e by Zane Quible
29
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Appraisal Interviews Process involves discussing appraisal results with ratees. Helps ratees learn where they need to improve their performance.
Administrative Office Management, 8/e by Zane Quible
30
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Employee Promotion Is an effective technique for helping employees achieve their needs, especially esteem and self-actualization. Two Types of Promotion Major
Employee receives a new job title.
Minor
Employee moves from one level to another within the same job title.
Administrative Office Management, 8/e by Zane Quible
31
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Practices that Help Assure Nondiscriminatory Promotion Practices 1. Allow employees to bid on job openings. 2. Base written performance appraisal on written job-related performance standards. 3. Discuss written performance appraisal results with subordinates. 4. Track promotions of employees categorized as members of a protected group. 5. Have supervisors keep a log of subordinates’ work performance. Administrative Office Management, 8/e by Zane Quible
32
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Appraising Performance of Office Employees
Administrative Office Management, 8/e by Zane Quible
1
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Current Uses of Performance Appraisal (1 of 2) Helps identify subordinates’ strengths and weaknesses. Provides input for making decisions about salary increases, promotions, and transfers. Provides input in workforce planning. Helps strengthen communication between supervisors and subordinates. Improves quality of communication between supervisors and subordinates. Administrative Office Management, 8/e by Zane Quible
2
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Current Uses of Performance Appraisal (2 of 2) Improves quality of supervision. Has a positive impact on career growth and development of employees.
Administrative Office Management, 8/e by Zane Quible
3
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Characteristics of Performance Appraisal Programs (1 of 2) 1. Must elicit a change in employee behavior. 2. Must provide a basis for making compensation 3. 4. 5. 6.
decisions. Must provide information for making decisions about promotion, transfer, or termination. Must enhance employee motivation. Must provide feedback for use in validating various phases of the personnel program. Must facilitate supervisor-subordinate communication.
Administrative Office Management, 8/e by Zane Quible
4
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Characteristics of Performance Appraisal Programs (2 of 2) 7. Must use appropriate evaluation base in relation to intended use of appraisal results. 8. Must use clearly stated, objective, and wellunderstood performance standards.
Administrative Office Management, 8/e by Zane Quible
5
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Performance Standards Are critical to the success of the program. Standards must be shared with employees at the time of hire. Appraisal criteria involving standards are determined by intended use of results.
Administrative Office Management, 8/e by Zane Quible
6
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Methods of Performance Appraisal (1 of 2) Graphic Rating Scale Paired Comparison Appraisal Checklist Simple Ranking Forced Choice Critical Incidents Peer Rating Group Rating Self-Appraisal Narrative Appraisal Administrative Office Management, 8/e by Zane Quible
7
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Methods of Performance Appraisal (2 of 2) Field Staff Review Results-oriented Appraisal Behaviorally Anchored Rating Scales Appraisal Mixed Standards Scale Computerized Appraisal
Administrative Office Management, 8/e by Zane Quible
8
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Graphic Rating Scale Is most widely used technique. Rater indicates degree to which ratee possesses each specific characteristic or trait found on the rating form. Forms Use Three Methods Descriptive Phrases Descriptive Words Numerical Scales Administrative Office Management, 8/e by Zane Quible
9
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Traits Must Be Measurable Shortcomings 1. All traits are of equal importance unless they are 2. 3. 4. 5.
weighted. Subject to certain errors. Rates past performance after it is too late to change. May not give employees incentive to overcome their weaknesses. Some forms contain too many traits; others, too few.
Administrative Office Management, 8/e by Zane Quible
10
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Paired Comparison Appraisal Technique involves comparing one individual with with each of the other individuals in a work group. Evaluation can be based on specific traits or overall performance. Uses a grid in the evaluation process. Shortcoming Is limited as to number of employees who can be effectively rated. Administrative Office Management, 8/e by Zane Quible
11
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Checklist Uses a form that contains a series of statements about various traits. Rater appraises ratee by responding to each statement. It rates specific items, not overall performance. Shortcoming It tends to treat all items of equal weight. Administrative Office Management, 8/e by Zane Quible
12
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Simple ranking Ranks individuals from the best to worst. Is simple and accommodates a fairly large number of employees. It tends to rate overall performance. Shortcoming Although all employees may be performing well, someone has to be rated the worst. Administrative Office Management, 8/e by Zane Quible
13
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Forced Choice Consists of 25-40 sets of statements. From a list of 5 statements, rater chooses statement most descriptive and least descriptive about person being rated; other 3 statements are neutral. Is an objective process because rater doesn’t know which statements affect the ratee’s performance.
Shortcomings Is costly to develop and install. Doesn’t lend itself to employee counseling. Administrative Office Management, 8/e by Zane Quible
14
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Critical Incidents Involves formulating a list of critical job requirements for each position. Supervisor then observes subordinates for favorable or unfavorable displays of these requirements. Requirements are recorded on a record sheet. Shortcoming Employee may have impression that supervisor keeps a “little black book.” Administrative Office Management, 8/e by Zane Quible
15
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Peer Rating Uses co-workers to evaluate the performance of an individual. Peers often see different things than does the supervisor.
Administrative Office Management, 8/e by Zane Quible
16
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Group Rating Uses a group to appraise the performance of an individual. Tends to be fairly objective because of multiple individuals used.
Administrative Office Management, 8/e by Zane Quible
17
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Self-Appraisal Using a rating form, the employee rates himself/herself. Supervisor also rates the employee. During appraisal interview, results are compared, trait by trait. Employees feel they are more involved in the process because they rate themselves.
Administrative Office Management, 8/e by Zane Quible
18
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Narrative Appraisal Supervisor prepares a written report about the employee’s performance. Typically includes an improvement plan identifying how employee will improve his/her performance in deficient areas. Shortcoming Makes it impossible to compare performance of individuals. Administrative Office Management, 8/e by Zane Quible
19
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Field Staff Review Uses an objective outsider in the evaluation process. Employee being evaluated and his/her supervisor are questioned orally by the appraiser. Shortcoming Makes it difficult to provide appraisals as often as may be necessary. Administrative Office Management, 8/e by Zane Quible
20
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Results-Oriented Appraisal Is closely aligned with management by objectives. Is often used in conjunction with another appraisal technique. Is advantageous because it takes into consideration future, not past, performance. Shortcoming Some work cannot be quantified to make the process work well. Administrative Office Management, 8/e by Zane Quible
21
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Well-Defined Steps 1. Measurable performance goals are set jointly by the 2. 3. 4. 5.
supervisor and the subordinate. Specific courses of action are agreed upon to accomplish these goals. At interim intervals, supervisor and subordinate discuss progress made toward achieving goals. At end of rating period, supervisor and subordinate officially evaluate the extent to which goals are achieved. Goals for next evaluation period are set.
Administrative Office Management, 8/e by Zane Quible
22
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Behaviorally Anchored Rating Scales Technique uses a series of 5-10 scales. Each important job dimension is reflected in a separate scale. Within each scale, varying degrees of job performance are reflected. Produces objective results. Shortcoming Developing scales is a time-consuming process. Administrative Office Management, 8/e by Zane Quible
23
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Mixed Standard Scales Is tailored to specific positions. Regarding each standard, the rater indicates whether the employee’s performance is better than, comparable, or worse than the performance level expressed in the statement. Shortcoming Cannot determine how an employee’s performance compares to that of other employees. Administrative Office Management, 8/e by Zane Quible
24
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Computerized Appraisal Uses software programs to facilitate the appraisal process. Supervisor identifies important traits for each subordinate. Supervisors evaluate subordinate on the basis of these traits. Program contains a vast number of traits.
Shortcoming Many of the traits listed are likely to be irrelevant for a given position. Administrative Office Management, 8/e by Zane Quible
25
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Rating Errors (1 of 2)
Halo-Horns Effect Influence of Recent Performance Bias Administrative Office Management, 8/e by Zane Quible
Results when the rating on one trait influences an employee’s rating on all other traits. Supervisor’s objectivity is clouded by employee’s recent favorable or unfavorable performance. Involves allowing unconscious bias or prejudice to enter appraisal process. 26
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Rating Errors (2 of 2)
Extreme Ratings
Administrative Office Management, 8/e by Zane Quible
Tendency of some supervisors to rate their subordinates at the extremes (high or low).
27
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Analysis of Appraisal Results Involves determining the reliability and validity of appraisal results.
Administrative Office Management, 8/e by Zane Quible
28
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Appraisers of Employee Performance
Immediate Supervisor Self-rating Rating Committees Peer Ratings 360-degree Feedback
Administrative Office Management, 8/e by Zane Quible
29
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Appraisal Interviews Process involves discussing appraisal results with ratees. Helps ratees learn where they need to improve their performance.
Administrative Office Management, 8/e by Zane Quible
30
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Employee Promotion Is an effective technique for helping employees achieve their needs, especially esteem and self-actualization. Two Types of Promotion Major
Employee receives a new job title.
Minor
Employee moves from one level to another within the same job title.
Administrative Office Management, 8/e by Zane Quible
31
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Practices that Help Assure Nondiscriminatory Promotion Practices 1. Allow employees to bid on job openings. 2. Base written performance appraisal on written job-related performance standards. 3. Discuss written performance appraisal results with subordinates. 4. Track promotions of employees categorized as members of a protected group. 5. Have supervisors keep a log of subordinates’ work performance. Administrative Office Management, 8/e by Zane Quible
32
©2005 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
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