1. Part 3 Assessment and Development of HR

3. An Organizational Model of Performance Management 8-2 Organizational Strategy Long & Short term goals and values Individual Attributes (skills,abilities) Individual Behaviors Objective Results Situational Constraints - Culture - Economic conditions Irwin/McGraw-Hill

4. Purposes of Performance Management 8-3 The purposes are: • Strategic • Administrative • Developmental Irwin/McGraw-Hill

5. Performance Appraisal 8-4 Developmental Administrative Information for: pay increases promotions terminations PURPOSE: Improve Performance BASIS FOR COMPARISON : Absolute Standard Relative Standard APPRAISAL TECHNIQUE : Results - Oriented BARS Rating Scale ROLE OF MANAGER : Counselor Judge Irwin/McGraw-Hill

6. Performance Measures Criteria 8-5 • Strategic Congruence • Validity • Reliability • Acceptability • Specificity Irwin/McGraw-Hill

7. Job Performance Measure:Contamination, Validity and Deficiency 8-6 Actual Job Performance Job Performance Measure Contamination Validity Deficiency Irwin/McGraw-Hill

8. Acceptability 8-7 Affected by Three Categories of Perceived Fairness Procedural Interpersonal Outcome Irwin/McGraw-Hill

9. Performance Measurement Approaches 8-8 • Comparative • ranking • forced distribution • paired comparison • Attribute • graphic rating scales • mixed standard scales • Behavioral • critical incidents • BARS, BOS, and OBM • assessment centers • Results • MBO • ProMES • The Quality Approach Irwin/McGraw-Hill

10. Comparison of Approaches to Performance Measurement 8-9 Strategic Congruence Validity Reliability Acceptability Specificity Comparative Attribute Behavioral Results TQM Irwin/McGraw-Hill

11. Comparison of Approaches to Performance Measurement 8-10 Strategic Congruence Approach Validity Reliability Acceptability Specificity poor Modest Modest high very low Comparative low low low high very low Attribute good high high moderate very high Behavioral Results very high high high high high TQM very high high high high high Irwin/McGraw-Hill

12. WHO: Source for Performance Measures 8-11 • Supervisors • Peers • Subordinates • Self • Customers Irwin/McGraw-Hill

13. Errors in Performance Measurement 8-12 Rater Errors • Similar to me • Contrast • Distributional errors • Halos / Horns Irwin/McGraw-Hill

14. Reducing Rater Error 8-13 • Two Approaches: • Rater Error Training • Rater Accuracy Training Irwin/McGraw-Hill

15. Improving Performance Feedback 8-14 • Give feedback frequently • Create the right context for the discussion • Have employee do self-evaluation before session • Encourage participation during session • Praise effective performance • Focus on solving problems • Focus feedback on behavior or results • Minimize criticism • Set specific goals and a date to review progress Irwin/McGraw-Hill

16. Managing the Performance of Marginal Employees 8-15 • Solid Performers • high ability and motivation • managers should provide development opportunities • Misdirected Effort • lack of ability but high motivation • managers should provide skill development activities such as training • Underutilizers • high ability but lack motivation • managers need to consider actions that focus on interpersonal problems or incentives • Deadwood • low ability and motivation • managerial action, outplacement, demotion, firing. Irwin/McGraw-Hill

17. Legal Requirements ofPerformance Management Systems 8-16 • Conduct a valid job analysis related to performance • Base system on specific behaviors or results • Train raters to use system correctly • Review performance ratings and allow for employee appeal • Provide guidance / support for poor performers • Use multiple raters Irwin/McGraw-Hill