Performance Appraisal Management System|3 Phase Process and Procedure

PERFORMANCE APPRAISAL MANAGEMENT SYSTEM|3 PHASE PROCESS & PROCEDURE

PERFORMANCE APPRAISAL MANAGEMENT SYSTEM: PHASE 1: PLANNING

The first phase is a collective effort involving both managers and employees. In this phase they:

• Review that particular employee’s job description to determine if it reflects the work that the employee is currently doing. In case of new /additional responsibilities or job change, the job description is updated.

• Once the job description is finalized, employees work plan is reviewed to check if it takes him /her to the achievement of the organizations' goals and objectives.
• A work plan comprising of deliverables, expected results along with timelines to evaluate performance is finalized.

• Next, between 3 to 5 areas will be identified which will be the key objectives (goal sheet /key performance indicators - KPI’s) for the employee to achieve that year.

This area will be determined by -
The organization strategic plan,
The employee's aspirations to better performance in a particular area, or The need to highlight a particular aspect of the job at a particular time.

The employee should understand that these objectives are critical for his/ her overall success. If these critical objectives are not fulfilled, his/her overall performance will be evaluated as unsatisfactory.

• Identify training and career development objectives that will help the employee improve his/ her skills, knowledge, and competencies which are related to work and are a part of long term career planning.

Both, the employee and manager need to sign the proposed work assessment plan. One copy of the plan should be with the employee for his records and another should be filed in his /her personal file/ folder.

Photo by Christina Morillo from Pixels

Setting objectives and measurements of Performance Appraisal Management System

Managers need to ensure that the performance objectives and measures or indicators of success is representative of the full range of duties carried out by the employee, especially those everyday tasks that take time to complete but often overlooked as insignificant accomplishments.

Most Performance Appraisal Management System has weightages (%) allocated to each goal and an overall rating scale for final revaluation...

It is a commonly-known fact that objectives should be SMARTER i.e.

Specific

Specify clearly what, when, who and how much is to be accomplished

Measurable

Objectives need to be measurable so that they answer the questions how much? How many?  how will I know when it is accomplished? Various measures should be used if possible, for example, quantity, quality, time frame and cost.

Attainable

Assure yourself that objective is attainable

Realistic

The level of complexity of the objective should match the employee’s skills, experience and capability.

Time-bound

Remain clear about the time frame in which performance objectives are to be achieved.

Engaging

Objectives and goals should be appealing enough and has a connection with their job role

Reinforcing

Eventually it should strengthen the overall position of the employee in the organization

PERFORMANCE APPRAISAL MANAGEMENT SYSTEM: PHASE 2 MONITORING

It is not enough to just grow up plans. Monitoring day to day performance means managers must focus attention on results achieved by employees, individual behaviour and team dynamics. Regular meetings of the employee with the manager should take place to:

Evaluate progress towards objectives.

• Identify barriers and troubleshooting
• Share feedback on progress
• Identify the changes required to the work plan to factor in change in the organization priorities on new responsibilities of the employee
• Determine whether extra support or guidance is to be given to the employee.

Continuous coaching

Coaching is a requirement of performance management as it addresses concerns and performance-related issues. To coach is to provide direction, guidance and support whenever required by the employer. In order to coach employees, managers must identify the strengths and weaknesses of employees and work with them to leverage their strengths and improve upon the development areas.

Providing feedback

Timely, specific and frequent feedback can make a positive difference to an employee. Positive feedback for good work done will make a big difference to employee’s morale. constructive feedback alerts the employee to an area with performance needs to improve. It should be descriptive (give them a specific example) and be directed to the action, not the person. It helps people understand where they stand as compared to expected performance standards.

Positive feedback is easily shared, providing constructive feedback to address a performance issue can be tough. But it is necessary to do this, before it escalates into a bigger problem. 

Here are a few do’s while giving constructive feedback.

• Have a rational approach during the communication
• Refrain from getting personal.
• Give them clarity about the agreed goals and the gaps in performance
• Patiently listen to the other side of the story
• Get them to come up with their solutions
• Document the Action Plan
• Monitor results periodically, if the issue is not resolved, spell out the consequences/ corrective action.

Photo From Pixels.com

PERFORMANCE APPRAISAL MANAGEMENT SYSTEM: PHASE 3 REVIEWING

Performance assessment provides an opportunity to review, summarize and highlight employee performance over the course of the review period.

Self-assessment is an important part of most performance appraisals. Here, an employee uses the performance plan and assessment forms as a guide, and assess his /her own performance prior to the appraisal meeting.

The tasks successfully completed during the last financial year are reviewed against the previous year’s goals. Key achievements and shortfalls are identified. Areas of concern and those which require training coaching are highlighted.

In case there is this disagreement with the feedback shared or rating, the manager needs to resolve it at his level. Else, the employee may choose to escalate the same to his Boss or Super Boss. As an HR manager, you need to be closely involved in the whole process and need to ensure satisfactory resolution of the issue so that no grievances are carried forward into the new performance cycle.

The assessment form should be signed by both, the employee and the manager. Finally, it becomes part of the employees' personal file. Performance management is a continuous process and after completing the 3rd phase, the organization moves on to the next /next cycle of performance management

PERFORMANCE APPRAISAL MANAGEMENT SYSTEM: CONCLUSION

Employees are organizations most strategic resource. They put their Heart and Soul into the work they do which contributes towards achieving organizational goals.

Performance appraisals are not always easy or fun, but every performance discussions that fails to motivate is a lost opportunity for both the manager and the employer. A poorly handled review will decrease productivity and lower morale; it can even be counter-productive to building good relationships with your employees. If conducted properly by following these 3 phases, performance appraisals can be constructive, strengthen the company, and add value to you and your employees.

Remember: Continuous feedback is an effective management tool, so start talking.

Are you a new manager and struggling to learn - How to conduct & Performance Appraisal guidelines.
Do you know why it often leads to dissatisfaction among good performers