Managing Employee Performance and Appraisal

PLEASE SIT IN YOUR TEAMS. THERE’LL BE A 5% TEAM ACTIVITY TODAY

 A system to ensure employees work in a manner aligned with organisational goals & maximizes employees’ potential in a job.  Appraisal interview  a formal discussion held between a manager and his subordinates to discuss the performance of the employee in a specified period.

1. Encourage quality performance by rewarding those who do well. 2. Improve current performance by giving feedback to workers. 3. Identify training needs 4. Initiate fair disclipinary proceedings 5. Provide a channel of communication between managers and their subordinates.

Employees Performance Knowledge & skills Motivation Work Environment

Basic Performance Appraisal Process Conduct a Job Analysis (e.g., specify tasks and KSAs) Develop Performance Standards (e.g., define what is superior, acceptable, and poor job performance) Develop or Choose a Performance Appraisal Approach

1. Accountabilities / main tasks / main duties 2. Key result areas (KRAs) 3. Targets 4. Goals / objectives / work norms / performance standards 5. Competencies

The Employee The employee’s manager The employee’s company-workers The employee’s subordinates Customers/clients / other parties

 Goals will be negotiated with the subordinate  Help will be given with actions plans  Counseling will be given

 Opening: ◦ Remind employee of purpose of discussion ◦ Welcome input from employee  Begin discussion: ◦ Discuss employee’s self-evaluation ◦ Reach agreement on achievements in time period under discussion ◦ Set objectives for next time period ◦ Discuss action plan to overcome weaknesses, if any.

 When an employee is ‘problematic’ what can be done? ◦ Disclipinary interviews ◦ Retrenchment exercises ◦ Career development interviews ◦ Pre-retirement programs

Technology and Client/Customer Feedback Other examples: Amazon, eBay, Trip Advisor, iTunes

Technology and Client/Customer Feedback (cont.)

Amazon Other Examples of Internet-Based Performance Information

Expedia The standard rooms are very, very small, I had only one bag and no place to put it. you could barely turnaround in the bathrooms. I love the decor/ art deco style but a little updating is definitely do. Rating: 2.0 That's the second time I stay in this hotel. The location is fantastic and the rooms, in general are very comfortable. The view from the top, at the breakfast place is superb. Rating: 4.0

3. Problem Solving/Troubleshooting Definition: Uses a logical, step-by step approach to identify and solve process problems Well Below Expectations Below Meets Expectations Consistently Exceeds Outstanding Expectations Expectations  Fails to understand how equipment and processes interrelate  Does not complete checklists or other required forms  Is not able to identify root causes of process deviations  Does not consistently meet A2E expectations  Depends on others to solve problems  Uses available resources (e.g., drawings, checklists, forms, people—engineers, data historian) to determine the root cause of problems  Selects and interprets data to solve problems  Investigates the nature of equipment and process malfunctions on an ongoing basis  Participates in A2E efforts  Develops novel, safe and effective solutions to current problems  Anticipates problems before they occur and suggests solutions  Takes ownership in problem solving and sees it through to completion  Effectively leads problem solving efforts (e.g., A2E, handles complicated analysis requests on one’s own) Behavioral Examples of Rating:_____________________________________________________________________ ______________________________________________________________________________________________ ______________________________________________________________________________________________ ______________________________________________________________________________________________

4. Teamwork Definition: Strives to build and maintain a good working relationship with one’s work group; shares information with team members; accepts ideas and opinions of others Well Below Expectations Below Meets Expectations Consistently Exceeds Outstanding Expectations Expectations  Does not respond to work requests from other team members  Fails to share information and/or resources with others  Refuses to help co-workers  Conflicts with coworkers on 'yours not mine' work situations, or is known to say "that's not my job“  Frequently complains or makes negative or derogatory remarks about site initiatives, leadership, and/or fellow workers  Is slow to respond to work requests from other team members or management  Considers alternative solutions provided by team members  Accepts and provides feedback to others  Shares information (e.g., trends, status updates) and/or resources with others when asked  Readily offers to help other team members on tasks  Works with support services and other areas (e.g., maintenance) to resolve shift problems in a timely manner  Anticipates other team members’ needs (e.g., training, tools, equipment, information)  Resolves conflicts between team members  Supports company objectives and volunteers for work duties within and outside of one’s work area  Sacrifices one’s own needs for the need of the team  Initiates team building activities (e.g., organizing outside group activities, breakfasts) Behavioral Examples of Rating:_____________________________________________________________________ ______________________________________________________________________________________________ ______________________________________________________________________________________________ ______________________________________________________________________________________________

 Examples of biasness in appraisal systems; ◦ Recency effect  Managers take into consideration only the most recent performance, ignoring previous assignments. ◦ Halo effect  Most people are more likely to appraise (rate highly) someone they like. ◦ Leniency / strictness tendency  The manager gives ‘high’ ratings to all subordinates  Or ‘low’ to all.  If ‘average’ to all = ‘central tendency’