Relationship Between Performance Appraisal and Organizational Performance
The first session discusses the performance management process and its link to overall organizational strategy. The second session looks at the performance. Modelling the Relationship between Performance Appraisal and Organizational .. An employee performance appraisal serves as a means for management to. management to performance appraisal is then studied. Next, we look at communicated. There is a close relationship between incentives and performance
The supervisors were expected to rate their employees on certain traits ranging between a scale of unsatisfactory to outstanding performance and these ratings were susceptible to various errors like central tendency, bias, halo effect, etc.
Performance appraisals were mostly carried out annually for measuring the degree of accomplishment of an individual and were implemented on a top down basis in which the supervisors had a major role to play in judging the performance of an employee without soliciting active involvement of the employee. Traditionally, the performance appraisals were organized in a bureaucratic manner and suffered from unnecessary delays in decisions and corruption.
Performance appraisals were mostly narrowly focused and functioned in isolation without bearing any linkage with the overall organizational vision or goals. The side effects of the performance appraisal system was it generated skepticism amongst the managers and the employees on any new initiative of the HR.
In the present scenario, the organizations have shifted their focus from performance appraisals to performance management as a result of internationalization of human resources and globalization of business.
The functions of HRM have become far more complicated as today the major focus of strategic HRM practices is on the management of talent by implementing such development programmes which enhance the competencies of the employees.
The performance management approach focuses more on observed behaviors and concrete results based on the previously established smart objectives.
Performance Appraisal and Performance Management
Studies from [ 19151726 ] have shown that the major and prevalent problem confronting personnel appraisal is always the mistake that the rater often commits. Some of the mistakes are halo effects this occurs when a manager appraises the performance of an employee based on a certain characteristicerror of contrast this occurs when the rating of an employee is dependent on the performance of another person doing similar workcentral tendency error this occurs when a rater award all employees average or above average ratingleniency or strictness error leniency occurs when the rater rate all employee high while strictness occurs when all employees are rated lowrecency effect error this occurs when rater allows recent occurrence to influence his judgement of an individual performance and the proximity error this occurs when a rater uses one technique to measure different traits in individual performance.
The failure of any of the subordinate to meet the organizational goal is a failure of the manager [ 2 ]. Posited that the manager account for every action of the subordinate [ 1 ]. Performance appraisal and related variables Acclaimed that through personnel research, appraisal of employees should be to discover the weakness of their employeeor why the target productivity levels is not being met and thus use the information to plan future developmental programme such as employee training, possession of better equipment or motivating their workers by providing appropriate leadership style [ 26 ].
Relationship Between Performance Evaluations & Employee Morale | sport-statistik.info
If a company is just developing its appraisal system without a baseline performance to reward accordingly, there is likely to be a problem from the side of the employee which will inturn affect the goal of the organization in general.
Appraisals are often developed mostly in the public sectors to reward or recognize employee s for a job well done. This kind of motivation for high performers also serve as a challenge for the low performers. Training Appraisals are done in order to identify the kind and level of employees that are low performers.
Training comes in when some employees are found to be deficient in the performance of their duties [ 13 ]. However, both managers and employees of high performance should be continually trained as to be able to provide objective input.
Several studies [ 20 ] indicated that employees are often satisfied with jobs only when it affords them the opportunity to apply their skills and abilities, freedom, as well as adequate training and seminars which creates avenues for their enhancement and self-development [ 21 ]. In Nigerian public sectors, employees are given feedback on their level of performance with a realistic period and support in improving their performance through adequate training and developmental programmes.
Promotion It has been a culture in Nigeria public sectors that when appraisal are done, they are often linked with bonuses and not to promotion.
Also, it was also observed that appraisal system in the Nigeria public sectors does not always ensure that high performer employees are treated fairly with regard to both the appraisal and resulting promotions.
In developing an appraisal system for organizations, management needs to think through pay increases and promotions [ 29 ]. Numerous studies like [ 30 ] pointed that employees get motivated to work when they get frequent promotions after appraisal system in their work place. While some also argued that that factors such as promotion, training and career development, and appreciation and improved work place environment gives employees greater opportunities and this will either directly or indirectly influence their satisfaction on the job.
When high performances are recorded for employees, it must be supported with a basis for pay increases and promotions. However, when developing an appraisal system, the management of the public sectors needs to consider the connection between the appraisal and pay increases or promotions.
Feedback An employee performance appraisal serves as a means for management to evaluate and provides feedback on employee job performance, including steps to improve on their deficiencies as needed. The study of and [ 27 ] have indicated that the feedback mechanism serves as a means of identifying their strengths and weaknesses.
This record of feedback in appraisal can be provided verbally but in many cases, legal experts counsel employers to maintain written records in order to provide themselves with greater legal protections. The use of degree feedback can also be adopted in evaluating the performance of individual. This degree affords the manager the opportunity to assess the performance of an individual employee through his interaction with different co-workers or departments, external customers, and the employee himself.
As a company increases its staff, a more formal system using a written appraisal form developed internally or externally should always be used, with the results of the appraisal being tied to salary feedback on a regular basis so that employees increases or bonuses. Whether the appraisal is provided verbally or in writing, organization needs to provide consistent can improve their work performance. Demotion, Termination, Redeployment, Transfer and Retrenchment A sound performance appraisal mechanism must be directed towards the achievement of every organizational goal [ 1 ].
Performance appraisal in public sectors bring uniformity in evaluation process so treat employees with the capabilities could secure the same rating.
In the same vein, it provides information for controlling and carrying out important manpower planning subsystems [ 9 ] like training, demotion, pay increases, termination of employment, redeployment, retrenchment, promotion, etc. Invariably, the waywardness of an individual in the organization could be contained or removed by helping him or her through performance appraisal to adjust or shoved out.
Performance appraisals PAs are conducted at least annually [ 24 ], and annual employee performance reviews appear to be the standard in most American organizations [ 8 ]. Methodology The study involves a survey research design and the cross sectional design which involves the observation of the sample subjects and variables as they are without making any attempt to control or manipulate them.
The sampling method adopted in this paper was simple random sampling method.
PA and Organizational Performance
The sample frame for this study is and out of which questionnaires were valid and filled completely. Your job as the manager is to provide a stimulus that triggers an employee's internal drive.
This stimulus often begins with goal-setting. At an evaluation, you can set goals for the employee's development. These goals include accomplishments you'd like to see as the manager as well as personal development objectives of the employee.
The employee may want to gain a promotion, for instance. Specific, quantified, realistic, challenging and measurable goals work best to motivate employees.
Strengths Reinforcement The specific methods of evaluation communication relate to morale as well. One thing you want to do in an evaluation is reinforce the strengths and positive attributes of the employee, recommends an October article by Drake University Associate Professor of Management Steven E.