PA is the method of evaluating the behavior of the employees in the workplace, normally including both quantitative and qualitative

aspect of the job.

How the performing ?

How the develop ?

employee
employee

is
can

What the superior can do to make it happen ? How the job is going ?

Raises, Merit pay, Bonus

Decisions like Promotions, transfer and dismissal. Identification of training needs. Research purposes (eg: assessing the worth of selection tests.)

Establish a more effective two way communication

Set performance objectives

Help improve current performance Assess past performance

Provide feedback on performance

Identify training & development needs Allocate rewards

Identify staff with promotional possibilities

Assist in career planning decisions

Regularity of the Attendance.

Ability to work individually or in group.

Leadership skills.
Initiative, Technical skills. Ability to grasp new things. Area of interest. Attitude.

Judgmental Skills. Area of improvement. Past Achievement. Honesty and sincerity. Innovativeness Cost & Time consciousness Communication

Job Knowledge.

Identify Specific Performance Appraisal Goals

Establish Performance Criteria (Standards) and Communicate Them To Employees

Examine Work Performed

Appraise Performance

Discuss Appraisal with Employee

Graphic Rating Scale: This is the oldest and most widely

method used for performance appraisal. The scales may specify five points, so a factor such as job knowledge might be rated 1 (poorly informed about work duties) to 5 (has complete mastery of all phases of the job).

Quantity of work: Volume of work under normal working conditions Quality of work: Neatness, thoroughness and accuracy of work Knowledge of job A clear understanding of the factors connected with the job Attitude: Exhibits enthusiasm and cooperativeness on the job

Unsatisfactory (1)

Fair (2)

Satisfactory (3)

Good (4)

Out Standing (5)

 This

is one of the oldest and simplest techniques of performance appraisal. In this method, the appraiser ranks the employees from the best to the poorest on the basis of their overall performance. It is quite useful for a comparative evaluation.

Performance
Extremely good

Points
7

Behavior
Can expect trainee to make valuable suggestions for increased sales and to have positive relationships with customers all over the country. Can expect to initiate creative ideas for improved sales. Can expect to keep throughout the year. in touch with the customers

Good Above average Average Below average Poor Extremely poor

6 5 4 3 2 1

Can manage, with difficulty, to deliver the goods in time. Can expect to unload the trucks when asked by the supervisor. Can expect to inform only a part of the customers. Can expect to take extended coffee breaks and roam around purposelessly.

PAIRED COMPARISON METHOD

Each worker is compared with all other employees in a

group. For several traits paired comparisons are made, tabulated and then rank is assigned to each worker. This method is not applicable when the group is large. FORCED CONTRIBUTION METHOD

The rater is asked to appraise the employee according to predetermined distribution scale.

The worker is placed between two extremes of good and bad performance.

Another simple type of individual evaluation method is the checklist.

Is the employee really interested in the task assigned? Is he respected by his colleagues (co-workers) Does he give respect to his superiors? Does he follow instructions properly? Does he make mistakes frequently?

Yes/No Yes/No Yes/No Yes/No Yes/No

Under this method, the manager prepares lists of statements of very effective and ineffective behavior of an employee. These critical incidents or events represent the outstanding or poor behavior of employees on the job .

July 20 Mr. Paul patiently attended to the major customers complaint. He is polite, prompt, enthusiastic in solving the customers problem. On the other hand the bad critical incident may appear as under: September 28 Mr. Paul stayed 45 minutes over on his break during the busiest part of the day. He failed to answer the store managers call thrice.

ESSAY METHOD :
This method asked managers / supervisors to describe strengths and weaknesses of an employees behavior. CONFIDENTIAL REPORT : It is mostly used in government organizations. It is a descriptive report prepared, generally at the end of every year, by the employees immediate superior. The report highlights the strengths and weaknesses of the subordinate.

Step 1. Step 2. Step 3. Step 4. Step 5.

Identify critical incidents Select performance dimension Retranslate the incidents Assign scales to incidents Develop final instrument

A process whereby the superior and subordinates of the organization jointly identify its common objectives, define each individuals major areas of responsibility. 1. Establishment of Goals 2. Setting the performance standard 3. Actual level of job attainment is compared with the goals agreed upon. 4. Establishing new goals and new strategies for goals not previously attained.

360 Degree Feedback is a multi - rater feedback system where an individual is assessed by a number of assessors including his boss, direct reports, colleagues, internal customers and external customers.

Feedback collected from

Using a specially designed tool Boss

Anonymously

Internal Customers

Peers

Self

External Customers

Team Members

1.

Halo/horn effect employees extreme competence in one area shines over all others. Conversely, employee does poorly in one area and this overshadows all areas.

2.

Bias own prejudices {race, national origin , gender, appearance, etc.} influence the appraisal Comparison Rating contrasting one employee with another

3.

4. 5.

Central Tendency rate everyone as average Recency Effect focusing on recent performance instead of entire year

6.

Personal Prejudice If the rater dislikes one group or employees, he may rate them at the lower end.
Favoritism evaluating friends or those who dont make waves, etc. more favorably than others

7.

TCS conducts 2 Appraisals: - At the end of the year - At the end of a project. It tracks the achievement of employees on the basis of four levels: - Financial - Customer - Internal - Learning and growth Based on their individual achievements, employees are rated on a scale of one to five (five = superstar).

If employees get a low rating (less than two) in two consecutive appraisals, the warning flags go up. Reason for decline in performance: boredom - Solution: employees shuffled in projects in projects every 18 months. TCS's performance appraisal system is supported by an online system called the Human Resource Management System- an Oracle Developer 2000 based tool. It contains employees performance history. It also encourages informal discussion between project leaders and team members.

The various ways in which TCS recognizes its people are : Project milestone parties to encourage efficient execution of projects. Recognition of star performers / high fliers to recognize outstanding talent. Nomination to covet training programmes to encourage selfdevelopment. Best project award to promote a spirit of internal competition across work groups. Best PIP award to encourage innovation and continuous improvement. Performance-based annual increments to recognize high performers Long-service awards to build organisational loyalty EVA-based increments to ensure to ensure performance-based salaries. On-the-spot recognition to guarantee immediate recognition of good performance.