Performance Appraisal: 2013

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Friday, November 15, 2013

Performance Management: The Felt Need

Use of performance management dates back to 1940. Originally it was developed and used to justify whether the remuneration paid to an employee was commensurate with his performance. Over the years many sophistications were brought into this system.

In more serious ways performance management took off as a result of ever increasing competitiveness in the local and global market spheres. Due to these competitive pressures organizations felt the need for a comprehensive performance management system that could improve overall productivity and performance effectiveness on an ongoing basis and thus a unified approach was conceived.

Organizations use many types of resources like land, machines, materials, money, information, time as well as human beings. Performance management that emphasizes performance management of human resources distinguishes itself as a more successful organization.

The performance management system integrates all the departments of an organization and steers them toward an organization’s ever increasing/changing goals year after year. The system uses processes resulting in a work environment where the employees of an organization are enabled and motivated to perform their best.

Armstrong and Baron (1998) defined it as a “strategic and integrated approach to increase the effectiveness of companies by improving the performance of the people who work in them and by developing the capabilities of teams and individual contributors.”

(Get your copies of the related book "Essentials of Performance Management and Performance Appraisal" from Amazon online in print as well as an eBook)

Books Authored by Shyam Bhatawdekar and Dr Kalpana Bhatawdekar (eBooks and printed books available online from Amazon)

Management, Business, Self-help & Personality Development Books

1. HSoftware (Human Software) (The Only Key to Higher Effectiveness)

2. Sensitive Stories of Corporate World (Management Case Studies)

3. Classic Management Games, Exercises, Energizers and Icebreakers

4. Classic Management Games, Exercises, Energizers and Icebreakers (Volume 2)

5. Classic Team Building Games, Exercises, Energizers and Icebreakers

6. 101 Classic Management Games, Exercises, Energizers and Icebreakers

7. Stress? No Way!! (Handbook on Stress Management)

8. HSoftware (Shyam Bhatawdekar’s Effectiveness Model)

9. Competency Management (Competency Matrix and Competencies)

10. Soft Skills You Can’t Do Without (Goal Setting, Time Management, Assertiveness and Anger Management)

11. Essentials of Work Study (Method Study and Work Measurement)

12. Essentials of Time Management (Taking Control of Your Life)

13. Essentials of 5S Housekeeping

14. Essentials of Quality Circles

15. Essentials of Goal Setting

16. Essentials of Anger Management

17. Essentials of Assertive Behavior

18. Essentials of Performance Management & Performance Appraisal

19. Health Essentials (Health Is Wealth)

20. The Romance of Intimacy (How to Enhance Intimacy in a Relationship?)

Novels, Stories, Biographies and Travelogues

21. The Peace Crusaders (Novel: how the peace crusaders established permanent peace on a war strewn planet?)

22. Love Knows No Bounds (Novel: a refreshingly different love story. Also available with the title “Good People”)

23. Funny (and Not So Funny) Short Stories

24. Stories Children Will Love (Volume 1: Bhanu-Shanu-Kaju-Biju and Dholu Ram Gadbad Singh)

25. My Father (Biography)

26. Travelogue: Scandinavia, Russia

Sunday, July 21, 2013

Performance Management: The Generic Model

Generic Performance Management Model

For achieving a complete integration, a generic performance management model is given below. However, every organization can customize it to its specific objectives and requirements.

The process steps are given in a logical sequence:

Step 1. Planning: Planning includes planning and deciding about:

1. Vision and mission

2. Objectives

3. Core competencies (of the organization)

4. Critical success factors

5. Key performance indicators

6. Strategies

7. Organizational structure

8. Skills and competencies (required of individuals working for the organization)

9. Position and job descriptions

10. Objectives/goals of each individual working for the organization

11. Plans of action

12. Induction, mentoring, training and developing the employees

Step 2. Measuring and Rating: This step relates to measuring actual performance of an organization, it’s departments and people against the planned performance. Evaluating and rating of the employees are important aspects. So it involves:

13. Achievement measurement as against planned

14. Performance review or performance appraisal of employees and rating them

15. Assessments of skill and competency gaps and gap analysis

Step 3. Developing: It emphasizes training and development of people based on the outcomes of earlier step of measuring and rating. It includes:

16. Individual development plans based on the organizational gaps in critical success factors of the organization (e.g. the gaps could be in quality or cost competitiveness or customer relations or enhancing team effort/communication etc)

17. Training and other developmental initiatives like job rotation, job enrichment, transfers, task force assignments, foreign assignments etc based on competency evaluation of the employees and organizational requirements

18. Individual counseling, coaching and mentoring

Step 4: Awards and Rewards: It is necessary to keep up the motivation and morale levels of the people at the highest levels. Therefore the performance management must include wholesome schemes of:

19. Recognition and rewards

20. Career plans and succession plans

Related Book

"Essentials of Performance Management and Performance Appraisal": available from Amazon online in printed version as well as an eBook.