HRM200 Lecture Notes - Lecture 7: Rating Scale, Job Analysis, Performance Appraisal

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HRM 200 Chapter 10 – Performance Management
Performance Management: the process encompassing all activities related to improving employee
performance, productivity and effectiveness
1. Defining Performance Expectations
Job Performance is broken into:
-Task Performance: Direct contribution to job related processes (meeting sales target)
-Contextual Performance: Indirect contribution to organization’s social responsibility values
(more difficult to measure  positivity, morale)
-Legal considerations: correlate performance expectations to job activities
oWe need to legally define performance expectation in these two areas to do performance
management
2. Provide Ongoing Feedback and Coaching
Basically making sure two way communications
-Employee needs to monitor their own performance and ask for help when needed
-Managers need to keep employees posted on new strategies and objectives
If someone not performing well, they fill out a Performance Improvement Plan  basically a form that
tells the person they are not meeting expectations and what they can do to improve
3. Conduct Performance appraisal and evaluation discussions
Formal Appraisal Methods:
-Graphic Rating Scale – a scale that lists a number of traits and a range of performance for each
oThe employee is given a rating that best describes the level of performance for each trait
-Alternation ranking method – Ranking employees from best to worst on a particular trait
opicking best, then worst, then 2nd best, 2nd worse etc
-Paired comparison Method – ranking employees by making a chart of all possible pairs of
employees for each trait and indicating the better employee of the pair
oFor each trait, list all possible pairs of employees
oFor each pair, indicate + for the higher ranked employee and – for the lower ranked
oRank employees by trait based on the number of “+” scores
-Forced Distribution – Predetermined percentages of ratees are placed in various performance
categories (e.g. 15% high performers, 20% high-average performers)
oForce ranks employees into groups from high to low performance
oBad because even if you get good review, you can be in the lowest
-Critical Incident – Keeping track of very good or very bad work incidents and reviewing it
oKeeping a record of uncommonly good or undesirable examples of an employee’s work-
related behaviour and reviewing the list with the employee at predetermined times
-Narrative Forms – Any forms that describe performance. Can be Performance Improvement
Plan
-Behaviourally Anchored Rating Scales BARS: an appraisal method that aims to combine the
benefits of narratives, critical incidents, and quantified ratings by anchoring a quantified scale
with specific narrative examples of good and poor performance
oRubric, but each rating has a description
oAdvantages:
A more accurate measure
Clearer standards
Assists in providing feedback
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Independent dimensions
oDisadvantages:
Time consuming
-Management by Objective (MBO) – setting specific measurement goals with each employee
and then periodically reviewing the progress made
oSteps:
Set the organization’s goals
Set departmental goals
Discuss departmental goals
Define expected results (individual goals)
Performance reviews: measure results
Provide feedback
Notice all methods are based around task performance
-Performance appraisals are very oriented toward task performance
Use of Technology in Performance Appraisals
-Enables managers to automate record keeping and report writing
-Provides overall performance management process
-Provides employees with clear development path
-Advanced reporting capabilities
-Electronic performance monitoring (EPM): supervisors monitor amount of computerized data
an employee is processing per day and thereby his or her performance
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