study material for management students

1. HRM UNIT 4
PERFORMANCE
APPARIASAL
PROF. KANCHAN KUMARI

2. Concept of Performance Appraisal
• Performance appraisal is the process by which organizations collect
information about how well employees are doing their jobs. Evaluation of
employee job performance is one component of the performance management
process. Organizations use performance appraisals to: Provide feedback to
employees in performance reviews.
• Appraisal is a cognitive response by an individual facing an event within a
given environment. When the individual has passed through a thought process
that gives the event meaning, the coping process is finally completed. Coping
heightens an individual's well-being.

3. PERFORMANCE APPRAISAL OBJECTIVES
• Improve productivity. ...
• Identify mistakes. ...
• Provide promotion opportunities. ...
• Set employee goals. ...
• Offer a chance for employee development. ...
• Boost confidence. ...
• Record employee progress. ...
• Provide insight into training needs.

4. Process of Performance Appraisal
• Develop an evaluation form.
• Identify performance measures.
• Set guidelines for feedback.
• Create disciplinary and termination procedures.
• Set an evaluation schedule.

5. KEY POINTS
• A performance evaluation system can motivate staff to do their best for
themselves and the practice by promoting staff recognition and improving
communication.
• Evaluations should be conducted fairly, consistently and objectively to protect
your employees and your practice.
• An effective performance evaluation system has standardized evaluation forms,
performance measures, feedback guidelines and disciplinary procedures.

6. Criteria for Performance Appraisal
• Your criteria for judging employee performance should include quantitative
elements such as their goals and target achievement. While much of a
performance appraisal is qualitative and subjective, the goals and achievement
element is objective and measurable in clear numbers.

7. BENEFITS OF PERFORMANCE APPRAISALS
• Creates career growth.
• Improves performance.
• Increases employee engagement.
• Helps determine training.
• Clarifies expectations.
• Allows for conversation.
• Evaluates goals.
• Provides documentation.

8. Limitation of performance appraisals
• Bias of Appraiser
• Ambiguity in Standards
• Insufficient Evidence
• Several Qualities Remain without Appraisal
• Leniency or Strictness Tenancy
• Average Rating Problem
• Influence of Man's Job

9. (a) 360 Degree Performance Appraisal
• process that allows an employee to understand their strengths and weaknesses.
In this feedback system, the employer and other staff members, like co-workers,
peers, subordinates, and people that share the same work environment, provide
feedback to an employee.
• Example- The CEO of General Electric, Jack Welsh was one of the first to use 360s
for appraisals, in which he used the results to justify firing the bottom 10% of
workers in every feedback cycle. Since then, the application of 360s has evolved
from Jack Welch's cutthroat streamlining process

10. PROMOTION-DEGREE
• Promotion is the appointment of existing members of staff to another post
or office at a higher grade than the one previously held. This may be the
result of either a successful application for an advertised vacancy, or, where
appropriate, personal promotion.

11. EMPLOYEE PROMOTION STRATEGY

12. TRANSFER AIR SEPARATION
• It is a form of internal mobility, in which the employee is shifted from one
job to another usually at a different location, department, or unit. Transfer
can either be temporary or permanent depending on the decision of the
organization, and it is initiated by any of the two, i.e. employer or employee.

13. PRINCIPLES OF PROMOTION
A sound promotion policy should be based on the following principles:
• Uniformity—A promotion policy must provide for a uniform distribution of promotional opportunities throughout
the organization.
• Consistency — A promotion policy should enjoy consistency i.e., it should be applied irrespective of the persons
concerned.
• Fair and Impartial — Promotion policy should be fair and impartial i.e., management should be able to remove all
suspicion of arbitrariness, adhocism to suit particular individuals, nepotism etc.
Planned Activity — Promotion should be a planned activity i.e., management should make a correct assessment of
the requirements or opportunities of promotion within the organisation so that there is no underestimation or
overestimation.
• Definite Basis—There should a definite criterion for promotion. In the absence of a contract to the contrary, the
employer has the right to establish any criteria for evaluation
• Sanction — All promotions should be finally sanctioned by the concerned line heads.
• Follow up — A sound promotion policy should provide for a suitable system of follow up, counseling and review.

14. TYPES OF PROMOTION

15. REASONS FOR TRANSFERRING JOBS
• Life change. ...
• Seeking growth. ...
• Improving chances for a promotion. ...
• Improving job security. ...
• Improving work-life balance.

16. TYPES OF TRANSFER

17. SEPARATION

18. TYPES OF SEPARATION

19. THANK YOU !
Prof. Kanchan Kumari