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1. Employees performance appraisal
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I. Contents of getting employees performance appraisal
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Managing employee performance is an important function of managers. Employee performance
appraisals are designed to document the expectations of individual and organizational
performance, and provide a process by which employees can be rewarded for positive
contributions to the organization. To administer effective performance appraisals, managers and
employees need to identify organizational goals to be accomplished and set specific objectives to
accomplish these goals. Performance appraisals also provide communication to the employee
regarding work performance and identification of development opportunities.
Establish Performance Standards
Establishing performance standards and communicating these standards to employees may
prevent any misunderstanding of expectations down the road. They should be clearly defined and
focused on results. Some companies may use such standards as quality, quantity, timeliness and
return on investment (cost efficiency). Performance competencies, such as knowledge, skills, and
abilities, may also be included on the appraisal as well as some behaviors, such as teamwork and
flexibility. The standards should be in writing, clearly defined to the employee and consistently
applied across the company.
Determine Appropriate Measurements
Appropriate measurements for the standards must be determined. It is important that
measurements must be objective--based on data rather than interpretations or perceptions. For
example, if measuring safety, the number of accidents would be a valid measurement. If
measuring absenteeism, the number of days absent is objective as numbers are considered valid

2. measures. If decreasing errors 25 percent in typing documents is a standard, determining number
of typing errors would be an objective measure.
Solicit Feedback
Solicit feedback from the appraisers familiar with the employee's work. Ensure that the feedback
is relative to the job. For example, if feedback regarding a receptionist's skills in answering the
phone for a department is requested, criticism of the receptionist's filing skills would not be
appropriate if that is not part of the job description. Obtaining feedback from several persons
familiar with the employee's work is helpful in delivering fair and consistent feedback regarding
the employee's performance.
Prepare Appraisal Documentation
Review the company policy and prepare the appraisal documentation accordingly. Write short,
but to the point. information and have it reviewed by someone in human resources--the
department that handles employee business--for legal purposes. Be certain that the language is
written in an easy-to-understand manner and that the information pertains to performance and
behaviors rather than an attack on character. Beware of using such terminology as "bad attitude"
or "acts stupid." These terms are hard to define and could result in an angry response.
Performance appraisals are not counseling sessions, but rather an opportunity to have a two-way
discussion about performance and ways to improve in the future.
Conducting Appraisal Meeting
Performance appraisals are considered confidential and should be conducted in a private area. In
some cases, managers reserve a conference room or even take the employee off site to lunch if
appropriate. Some companies provide the employee with a self evaluation similar to the one
completed by the manager. Regardless of the format, the meeting should be a time for managers
and employees to discuss and ask questions. Managers should share the positives balanced with
the areas for improvement. Setting the goals for the next appraisal period is important, and
follow up to ensure the goals are met is equally important.
==================
III. Performance appraisal methods

3. 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

4. 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

5. 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.
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