Performance appraisal design
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I. Contents of getting performance appraisal design
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One of the most important things you can do to ensure the success of your employee
performance appraisal is to actively prepare for it. Whether your company includes a self-
evaluation step in their process or not, you don't have to play a passive role where you are merely
the recipient of feedback and direction from your manager. By properly preparing for your
appraisal meeting with your manager, you can ensure your manager has a broader picture of your
performance and career goals, foster dialogue, and take charge of your career progression. Here
are some tips to help you prepare for your performance appraisal.
1. Gather foundational information
Get out and review your job description and the goals, competencies and development plans set
out for you at your last appraisal. Use these as the foundation for preparing details on your
accomplishments, strengths and areas for development.
Gather any regular reports you've created (e.g. weekly reports, monthly highlights, project status
reports). They'll help you recall performance highlights and milestones, as well as any
challenges.
It can also be helpful to review your last appraisal and look at the feedback and ratings you were
given then. It will help give you a sense of how you've grown and developed over the last period.
2. Review your performance journal notes

If you've kept a journal of your performance over the last performance cycle, get it out now and
review your notes. Notice any trends or recurring themes that reveal things like: particular
strengths, challenging people or situations, knowledge or skills you need to develop, projects or
work you really enjoyed, etc.
If you didn't keep a journal, start today. Keeping a record of your activities, accomplishments,
successes and challenges as they happen helps you capture details while they're fresh in your
mind. Having all this detail at hand will help both you and your manager get a broader, more
objective view of your performance over the entire period, and avoid being biased by recent
events. It will also make your preparation for your next performance appraisal faster and easier.
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III. Performance appraisal methods
1.Ranking Method
The ranking system requires the rater to rank his
subordinates on overall performance. This consists in
simply putting a man in a rank order. Under this method,
the ranking of an employee in a work group is done
against that of another employee. The relative position of
each employee is tested in terms of his numerical rank. It
may also be done by ranking a person on his job
performance against another member of the competitive
group.
Advantages of Ranking Method
i. Employees are ranked according to their performance
levels.
ii. It is easier to rank the best and the worst employee.
Limitations of Ranking Method
i. The “whole man” is compared with another “whole man”
in this method. In practice, it is very difficult to compare
individuals possessing various individual traits.
ii. This method speaks only of the position where an
employee stands in his group. It does not test anything
about how much better or how much worse an employee
is when compared to another employee.
iii. When a large number of employees are working, ranking
of individuals become a difficult issue.
iv. There is no systematic procedure for ranking individuals
in the organization. The ranking system does not eliminate

the possibility of snap judgements.
2. Rating Scale
Rating scales consists of several numerical scales
representing job related performance criterions such as
dependability, initiative, output, attendance, attitude etc.
Each scales ranges from excellent to poor. The total
numerical scores are computed and final conclusions are
derived. Advantages – Adaptability, easy to use, low cost,
every type of job can be evaluated, large number of
employees covered, no formal training required.
Disadvantages – Rater’s biases
3. Checklist method
Under this method, checklist of statements of traits of
employee in the form of Yes or No based questions is
prepared. Here the rater only does the reporting or
checking and HR department does the actual evaluation.
Advantages – economy, ease of administration, limited
training required, standardization. Disadvantages – Raters
biases, use of improper weighs by HR, does not allow
rater to give relative ratings
4. Critical Incidents Method

The approach is focused on certain critical behaviors of
employee that makes all the difference in the
performance. Supervisors as and when they occur record
such incidents. Advantages – Evaluations are based on
actual job behaviors, ratings are supported by
descriptions, feedback is easy, reduces recency biases,
chances of subordinate improvement are high.
Disadvantages – Negative incidents can be prioritized,
forgetting incidents, overly close supervision; feedback
may be too much and may appear to be punishment.
5. Essay Method
In this method the rater writes down the employee
description in detail within a number of broad categories
like, overall impression of performance, promoteability
of employee, existing capabilities and qualifications of
performing jobs, strengths and weaknesses and training
needs of the employee. Advantage – It is extremely
useful in filing information gaps about the employees
that often occur in a better-structured checklist.
Disadvantages – It its highly dependent upon the writing
skills of rater and most of them are not good writers.
They may get confused success depends on the memory
power of raters.
6. Behaviorally Anchored Rating Scales
statements of effective and ineffective behaviors
determine the points. They are said to be
behaviorally anchored. The rater is supposed to
say, which behavior describes the employee
performance. Advantages – helps overcome rating
errors. Disadvantages – Suffers from distortions
inherent in most rating techniques.

III. Other topics related to Performance appraisal design (pdf download)
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