Staffing involves identifying, assessing, placing, evaluating, and developing individuals at work. It includes analyzing human resource needs, recruiting, selecting, placing, training, developing, appraising, career planning, and compensating employees. Performance appraisals are a key part of staffing and involve systematically evaluating employee job performance against set standards to provide feedback and determine eligibility for rewards, promotions, and compensation. The appraisal process includes laying out job expectations, designing the appraisal system, appraising performance, and using appraisal data to make decisions about employees.

1. StaffING

2. Staffing Staffing is the process that is involved in identifying, assessing, placing, evaluating and developing individuals at work.

4. Identifying human resource needs

5. Recruiting

6. Selecting

7. Placing

8. Training & Developing

10. Staffing Process Placement Putting the right candidate on the job; i.e. when he joins Also includes offering the candidate permanent employment after probation period Training and Development Imparting and developing specific skills for a particular purpose Performance Appraisal Systematic evaluation of employees w.r.t. to their job performance To ascertain their eligibility for promotions and compensate fairly

11. ENVIRONMENT No. & kinds of mgrs. reqd,. Appraisal Career strategy ----------------------- Training & Dev. Recruitment Selection Placement Promotion Separation Internal enviroment Personnel policies Reward system Systems Approach to Staffing Internal sources Analysis of present & future needs of managers External sources Mgrs inventory

12. Staffing – why is it needed? To fill organizational positions Optimum utilization of people Developing competencies & skills Retaining employees

13. Staffing – Demand & Supply Supply of Managers High Low Demand For Managers Low High

14. StaffING – Performance Appraisals

15. Performance Appraisal Refers to evaluating an employee’s current and /or past performance… … relative to his or her performance standards In effect appraising performance assumes that performance standards have been set the employee would be given feedback and incentives to help him/her remove performance deficiencies or continue to perform above par

16. Need for Assessing Performance Organisational Need Individual Need

17. Future Growth Financial Health Customer Perception Survival & Continuity Organisational Need PMS

18. Promotions Career Growth Organisation Culture/ Work Ethics Reward & Recognition Individual Need PMS

19. Components of a Performance Appraisal Job analysis What, Why, How and When of all jobs in the Co. Goal setting Defining KRAs, assessment criteria/measures of perf., levels of performance etc. Development plan Coaching, mentoring, PDP etc. Linkage to other processes Compensation, rewards, promotions, career planning, training needs etc.

20. LAYING DOWN JOB EXPECTATIONS DESIGNING THE APPRAISAL APPRAISING PERFORMANCE Appraisal Process USING THE APPRAISAL DATA FOR OTHER PURPOSES

21. Appraisal Process Laying down Job Expectations Informing employee about what is expected from him/her Discussion between superior and subordinate on duties, responsibilities, authority, organisational expectations etc. MBO…

22. MBO A Key Result Area is an area in which if you don’t act, there’ll be trouble. Drucker gave a good list of 7 KRAs Market Standing, Innovation, Profitability Productivity, Employee Development Physical & Financial Resources and Social Responsibility

23. Working with MBO Top mgmt. decides to adopt MBO Meets to identify KRAs Chooses KRAs and sets Objectives in each E.g. – KRA - Market Standing Objective – Increase Market Share by 2%

24. …then… Departmental Heads come back Convene a meeting of their reports And convert Organisational Objectives Into Departmental Objectives E.g. – Increase Market Share [Org. Objective] Increase product visibility – Deptl. Objective

25. …next…. Departmental Objectives are converted to Individual Objectives E.g. – Increase Product Visibility [Dept. Obj.] Launch Ad campaign in North [Individual Obj.*] * for the Sales Promotion Manager Identify Ad Agencies [Individual Obj.**] ** for the Sales Promotion Executive

26. …BUT AT EACH STEP Objectives are set in consultation with Juniors and Objectives always specify Time, Cost and Quantity For example

27. Objectives Increase Market Share by 2% by 31.3.2011 With a budget of Rs. 2 crores Increase Product Visibility by 5% By 31.11.2010 @ Rs. 25 Lakhs Complete 3 Ad Campaigns in North India By 15.10. 2010 @ Rs. 14 Lakhs

28. …one more example… KRA – Innovation O.O. – Launch two new products by Mar. ‘11 D.O. – Complete proto-tests- Nov. ‘10 R&D D.O. – Customer Feedback – Jan. ‘11 MR I.O. - Approved Design–Sept ‘10–Dsn.Engr I.O. – Focus Group Interviews – Dec ‘10 - MR

29. Periodic Review And then, after each deadline Boss sits with Junior and checks How Many Objectives and How Much of Each, was achieved. This, is the idea of MBO. It is a whole system of managing.

30. In practice… Using MBO has come to mean Setting measurable goals to people And making them a part of the appraisals

31. So How Does an Org. go about Appraisals?

32. Appraisal Process Designing the Appraisal Answers to questions such as the following need to be arrived at: Formal approach or informal approach Whose performance is to be assessed? Who are the raters? What problems are encountered? What are the solutions to these problems? What should be evaluated? When to evaluate? What methods of appraisal are to be used?

33. Appraisal Process Appraising performance Skills Being able to achieve goals that were set Knowledge Additional / exceptional Attitude Behaviours Paying for performance

34. Paying for Performance Commonest is Annual Increment tied to Performance Appraisal This is usually a rise in the Salary Variable Pay Anything that ‘varies’ and hence not ‘fixed’. Skill Pay / Bonuses / Incentives Team Rewards Gain Sharing Profit Sharing Recognitions / Other Cash

35. Usage of Appraisal Data For Employee rewards - bonuses, incentives, increments etc. Recognition schemes for high performers and outstanding employees Training programmes Charting out career progression of employees Identifying high-potential employees

36. Usage of Appraisal Data Designing improvement plans for low performers For job rotation Designing and revising compensation strategy Deciding on promotion, transfer and lay-offs Validating company’s selection process