Building an Ideal Performance Appraisal Process
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- Barnard Wright
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From this document you will learn the answers to the following questions:
What is one thing that is important to have a job appraisal form?
What type of organization is expected to have a high level of Organizational competencies?
What type of competencies are expected of Key Jobevery member Goals of the / organization?
Transcription
1 Building an Ideal Performance Appraisal Process A Special Presentation By Dick Grote For Dick Grote Grote Consulting Corporation 2591 Dallas Parkway, Suite 300 Frisco, TX November 3, 2015 DickGrote@GroteConsulting.com
2 About Dick Grote A consultant for over 25 years specializing exclusively in performance management. A regular commentator on NPR s Morning Edition program. Adjunct Professor of Management at the University of Dallas Graduate School. Author of: Discipline Without Punishment The Complete Guide to Performance Appraisal The Performance Appraisal Question and Answer Book Forced Ranking: Making Performance Management Work How To Be Good At Performance Appraisal Copyright Grote Consulting Corporation Our Issues for Today Is there an ideal performance appraisal form? How many rating levels should we use? What labels should we use for each level? Should we... ask the employee to write a self-appraisal? provide distribution guidelines? develop a calibration process? reuire a mid-year review? use 360-feedback results? Copyright Grote Consulting Corporation
3 What is Performance? What is a performance appraisal? Results Behaviors the individual achieved Key Job Responsibilities Achievement of goals Business results Measurable outcomes and accomplishments Adherence to schedules / deadlines / budgets the individual performed Demonstration of competencies Adherence to organizational values Personal style, manner, and approach Teamwork / team player KASH Knowledge/Attitudes/Skills/Habits A performance appraisal is a formal record of a supervisor s opinion of the uality of an employee s work. 4 5 Key Job Responsibilities Major Projects Organizational Key Job Responsibilities Organizational Major Projects Key Job Responsibilities are those tasks, duties, and accountabilities that would be spelled out in a well-written job description. 6 7
4 Key Job Responsibilities Organizational Major Projects While formal goal-setting may not be appropriate in every job, almost every employee spends some Major time Achievements working on projects. Organizational competencies are those skills/traits/attributes/ behaviors that are expected of Key Jobevery member Goals of the / organization, regardless of their specific position. Responsibilities Major Projects Organizational 8 9 Key Job Responsibilities are those skills/traits/attributes/ behaviors that are critical Organizational to success in a particular type of job, like: Operations Professional & Technical Administrative / Clerical Sales Managerial / Supervisory Major Projects Asking managers to identify Key an Job employee s specific successes and accomplishments as Responsibilities the final item on a performance appraisal form puts a positive focus on a process that is too often viewed as negative and discouraging. Organizational Major Projects 10 11
5 What s the problem with levels and labels? 1. People spend excessive time debating two issues: the number of rating levels. the labels to be used. Recommendation #1 (BEHAVIORS): Use a 3-level scale for assessing an employee s performance in the area of behaviors / values / competencies (the of job performance). 2. Whatever the final decision, no one s happy A 3-level rating scale for evaluating competencies/ behaviors: Recommendation # 2 (OVERALL): To determine the individual's overall / final Rating: Needs Attention Fully Successful Role Model performance appraisal rating, use a 7-level scale without any word labels
6 A better option for the final rating: A 7-level rating scale... What the numbers mean... Final rating: Final rating: Unacceptable Below Expectations Needs Improvement Substandard Performance Proficient Successful Good Solid Performer Fully Meets Expectations Superior Outstanding Exceeds Expectations Distinguished Performance In summary... Self-appraisal is a really bad idea When evaluating performance in the area of behaviors/values/competencies (the of the job), use a 3-level scale. Asking employees to write self-appraisals may make the performance management process more difficult and less accurate. When evaluating the individual's overall performance (the final rating), use a 7-level scale
7 Here s why: A more effective alternative... Individuals rarely know how well or poorly they are actually performing. The poorer the performer, the more inflated the self-appraisal is likely to be. A good stuff list The use of self-appraisal may generate significant misunderstanding about what a performance appraisal is Good stuff list advantages: Big Question # 4: Allows employee input into the performance appraisal process. Accommodates any employees who are uncomfortable with forced self-analysis. Puts an exclusively positive focus on what is too often seen as a negative process. Gives the supervisor an accurate preview of the employee s self-perception. Assures that no major accomplishment or achievement is overlooked. How do we make sure that performance appraisal ratings are accurate? 22 23
8 How to Drive the Truth into Performance Management 1. Reviewer Reuirement 2. Distribution Guidelines 3. Calibration Sessions Reviewer Reuirement The Policy: All performance appraisals and ratings must be reviewed and approved by the appraisal-writer s boss before any other action is taken Distribution Guidelines Calibration Sessions Procedure used to assure a pre-determined distribution of performance appraisal ratings. The distribution may either be reuired ( forced ) or recommended ( guidelines ). Process is used by a large number of organizations. Sample distribution reuirement: 1 / Unsatisfactory Minimum 5% 2 / Needs Improvement 10 15% 3 / Good Solid Performer 50 60% 4 / Superior 20 30% 5 / Distinguished Maximum 10% 1. Managers prepare preliminary performance appraisals, including proposed appraisal ratings. 2. Managers who supervise similar groups of employees meet and post names and ratings for all to review. 3. Participants review and discuss their proposed appraisal ratings for every employee. 4. Participants adjust ratings to assure accuracy and consistency. 5. Final performance appraisals are prepared
9 Should we reuire a mid-cycle review? Should we use 360-degree feedback data for performance appraisal purposes? Yes. No Time for Q&A For more information: Any remaining uestions? DickGrote@GroteConsulting.com Dick Grote Grote Consulting Corporation 2591 Dallas Parkway, Suite 300 Frisco, TX DickGrote@GroteConsulting.com 30 31
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