1. MANA 4328 Dr. Jeanne Michalski michalski@uta.edu
Performance Feedback
MANA 4328
Dr. Jeanne Michalski 1

2. Performance Appraisal Challenges
Gender Bias
Managers tend to give women evaluations that are less critical and less straightforward.
Attribution Theory
People tend to overestimate the influence of individual factors (such as motivation) and underestimate the influence of environmental factors when assessing others behavior.
Frame of Reference

3. Attribution Theory
“Don't confuse luck with skill when judging others, and especially when judging yourself.”
Carl Icahn, billionaire investor

4. Conducting A Fair Appraisal
Collect appraisal data
Evaluate performance
Write the appraisal
Conduct an appraisal interview

5. Conducting A Fair Appraisal
1. Collect appraisal data
Objective data on job performance
Critical incidents (good and bad)
Behavioral observation
Stakeholder input
2. Evaluate performance
Before completing form – think about intended result
Avoid biases
Consider how the message will be viewed by employee
Consider circumstances beyond employee’s control
Consider past evaluations

6. How to Evaluate an Individual’s Performance
Determine your “core message”
Identify the key elements
Muster your courage to tell the truth
The research on performance appraisal consistently points out two major dilemmas. First, most people soon forget what they are told in a performance appraisal discussion. Second, what little they do remember, they usually misunderstand.
The solution to this problem is to determine a clear core message that you can continually communicate, and re-communicate, during the appraisal discussion.
Imagine that three weeks have passed since you gave Patty her performance appraisal. You see her walking down the hall. You say to her, “Hey, Patty, a couple of weeks ago we had a performance appraisal discussion. Tell me, what do you remember from our conversation?”
Patty will stumble and stammer and then say, “Well, one thing for sure that I remember that you told me was ”
What do you want her to remember? What’s the most important item for her to retain.

7. Identify the Key Elements
There are three key elements to determine before you write the individual’s appraisal:
Particular strengths demonstrated (most important item)
Most critical weaknesses and needs for improvement
Most important development needs

8. Muster your Courage to Tell the Truth
The most important requirement for writing performance appraisals is not skill – it is courage. Appraisers must have the courage to do tough-minded evaluations, the courage to rate performance according to demanding standards, and the courage to discuss performance honestly with their direct reports.

9. What Rating to Give?
This past year Mary did a fully competent job in every area. She displayed all of the Leadership Model behaviors and competencies (some at a mastery level) and completed her projects in a way that she could be proud of. There were no performance problems and there were several times when her performance was even a little better than you expected. Is Mary’s performance at the high end of “On Target” or is her performance actually over the line and into the higher category of “Exceeds Target”?

10. One Possibility - Resumeability
Ask yourself the question, “What results did Mary achieve over the past twelve months that were so significant that she had to update her résumé in order to include them?”
Likewise, ask the question, “What skills did Mary acquire in the past year that were so important that she needed to update her résumé in order to include them?”
“What people did Mary so influence this year that they demanded to be included as references on her résumé?”

11. Resumeability
Considering the individual’s résumé in making your decisions about the appraisal rating will not only help you make good decisions, it will also give you another basis to explain why you rated the person’s performance the way you did.

12. Conducting A Fair Appraisal
3. Write the appraisal
Have courage to address poor performers
Be specific and use examples
Avoid nitpicking
Additional evidence needed for high/low performers
Tied to specific goals
Prioritize development needs

13. The Appraisal Writing Checklist
1. Is my written description of performance clear and to the point? If this appraisal were given to me, would I understand exactly where I exceeded and where I fell short of expectations? 2. Have I analyzed and described overall performance honestly, factually and accurately? Did I tell it like it is? 3. Have I praised a solidly good job where appropriate and avoided nit-picking relatively insignificant items? 4. Have I had the courage to describe performance deficiencies honestly, avoiding leniency or indulgence? 5. Have I used actual examples to describe performance, especially when dealing with communications, managerial or interpersonal skills?

14. The Appraisal Writing Checklist
6. Is my performance assessment consistent with other feedback I provided the employee during the year? 7. Are the developmental plans I have outlined specifically tied to the individual’s most important development needs? 8. Have I reviewed the performance rating definitions to make sure that my ratings are consistent and accurate? 9. Have I outlined my plan for the discussion to make it a learning experience and not a one-sided judgment? 10. Have I developed a clear “core message”?

15. Providing Performance Feedback
Location and timing
Quiet and private
“Neutral” seating arrangement
Scheduled well in advance
Avoids unrelated events

16. The Performance Appraisal Discussion
Prepare yourself and your employee.
· schedule ample time and a private place for the discussion
· notify the employee in advance, in writing
· review documentation (notes, letters, files, etc.) before working on the review
· remember that performance management is a key service to your employees and unit
Make it “priority time.”
· create an agenda for the meeting
· minimize interruptions
Set a tone of collaboration.
· start the discussion on a positive note
· encourage your employee’s participation

17. The Performance Appraisal Discussion - continued
Be clear about your purpose.
· reinforce that the discussion will address strengths and areas for improvement
Review performance expectations.
· discuss the position description, units’ reasons for needing the position
· be clear about performance standards within your unit
Discuss performance that is below, meets, and exceeds expectations.
· use language that is clear and specific; use examples
· describe performance, not personality
Ask employee what he/she thinks.
· allow employee to speak freely
· actively listen to your employee
· clarify your employee’s concerns, then address them

18. The Performance Appraisal Discussion - continued
Set goals to:
· improve performance in targeted areas
· build on strengths
· develop the employee’s knowledge, skills, and abilities
· align the employee’s work with the needs of the unit
Agree to follow up.
· schedule at least one interim check-in on performance during the year
· ask how your employee prefers to receive feedback (written, verbal)
· discuss how your employee likes to be recognized for good work
Close with encouragement.
· offer your help and support
· end on a positive note by summarizing employee strengths and contributions

19. How to Open the Performance Meeting
You have two objectives at the beginning of the appraisal discussion: first, to get the meeting off to a good start and second, to put the conversational ball in the employee’s court as quickly as you can.
I’d like you to start by reviewing the year from your point of view. What were the things you did that really went well?
Now, what areas do you feel might have gone better?

20. Providing Performance Feedback
Avoid Defensive Reactions:
Describe performance, not personality.
Avoid questioning motives.
Use specific examples and quantify if possible.
Avoid vague statements or unsubstantiated claims.
Give the employee a chance to respond.

21. Dealing with Difficult Discussions - Excuses
Excuses are the most common discussion difficulty. We often foolishly argue with the merits of the excuse, and by doing so legitimatize it.
Our response needs to focus, not on the excuse, but on the issue of personal responsibility.
Agree with the fact of the excuse: “I agree, Mark. Having deadlines that frequently change in the middle of a project does make your work difficult.” Then put the responsibility back where it belongs: “As we have discussed before, changing deadlines is a fact of life in our business. How are you planning to handle that challenge so you can make sure that your projects are always ready when they’re needed?”

22. Dealing with Difficult Discussions - Excuses
The appraiser may increase the probability that the employee will change and resolve a problem if the manager discusses the need for change in terms of the choices the employee makes. We each have the capability for choice.
The responsibility for finding a solution is the employee's responsibility; not the manager's. While the manager may assist the employee by making suggestions or offering guidance, the burden of actually solving the problem and improving performance is always borne by the individual.

23. Providing Performance Feedback
Focus on Employee Development:
Limit plans for change, growth, and development to a few important items that are achievable.
Keep career discussions separate from performance feedback.
Create a development plan.

24. How Not to Provide Feedback
"I would not allow this employee to breed." "He would be out of his depth in a parking lot puddle." "This young lady has delusions of adequacy." "He sets low personal standards and then consistently fails to achieve them." "This employee should go far -- and the sooner he starts, the better." "Got a full six-pack, but lacks the plastic thing to hold it all together." "A gross ignoramus times worse than an ordinary ignoramus." "I would like to go hunting with him sometime." "He's been working with glue too much." "He brings a lot of joy whenever he leaves the room." "When his IQ reaches 50, he should sell." "If he were any more stupid, he'd have to be watered twice a week."

25. Diagnosing Performance Problems
Performance = f (Ability, Motivation, Environment)
Ability
Technical Skills
Analytical Skills
Interpersonal Skills
Physical Limitations
Business Knowledge
Motivation
Goals / Expectations
Career Motivation
Employee Conflict
Employee Satisfaction
Boredom / Frustration
Environment
Job Design
Equipment / Materials
Rules and Policies
Economic Conditions
Management Support

26. Diagnosing Performance Problems
Source: Scott Snell, Cornell University.

27. Dealing With Poor Performers
Avoiding problems usually makes them worse.
“Why didn’t you tell me this before?”
Approach the employee for mutual benefit – to solve the problem and maintain the relationship.
Threats and punishment increase compliance but....
Good intentions matter.

28. Identifying Performance Gap
Assume an employee says:
“I know you are not happy with something, but I am not sure what I am doing wrong. What exactly is it that concerns you?” OR
“I want to make sure that I’m doing the job the way you want it done. What exactly should I do so that you will say I am doing a good job?”

29. Dealing With Poor Performers
Identify a specific gap between performance and expectations.
Determine business reasons why the problem must be solved.
Determine consequences if the situation is not corrected.
Determine appropriate action.

30. Dealing With Poor Performers
Be prepared to answer questions like:
“What’s the big deal?”
“Why is this important?”
“That’s a dumb rule – you know I do a good job”
Determine consequences and action
Be specific – no vague threats
Give time for employee to change
How critical is the problem behavior?

31. Dealing With Poor Performers
Consider a range of action
Discuss during the appraisal without making a written reference.
Reference the issue in the appraisal narrative without lowering ratings.
Reference the issue and lower the performance rating for that particular area.
Reference the issue in performance summary and lower final appraisal rating.
Use progressively stronger sanctions

32. Leadership courage is required to assess performance and provide candid, constructive and positive feedback and get the truth into performance appraisal.
Quality discussions are honest discussions. Honest discussions can be hard. But they are necessary!
Without candid feedback, employees can not know that they have opportunities to improve – they can not know that their performance is not as good as they might believe. They are left to their own imaginations. Lacking evidence to the contrary, many people are prone to assume their performance is acceptable (or better!).
We have committed to a strategy that includes differentiation of performance as a driver of success for BNSF.
The fact is, there are differences in talent. Our job, and the job of those leaders who look to us for direction, is to demand that we identify and describe the differences, positive and constructive.
Candid, constructive -- and positive -- feedback will keep the truth in the Performance Management Process, critical for its credibility and critical for us to meet and beat our plan.
**Good leaders deliver the tough messages. Employees deserve it.