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Designing an appraisal system (continued)
May be used for evaluative purposes,
developmental, or both:
- evaluative ones related to activities
such as promotion, salary, and individual's performance compared
to others'
- developmental ones are to give
feedback on performance, isolate individual's strengths and weaknesses,
and then decide how to help them improve.
The latter are typically better
received by workers, because they often feel the evaluation isn't
fair.
Two aspects contribute to employees'
perception that evaluation is fair:
- Procedural justice:
This refers to workers' perception that the process is fair,
not biased. Important because research shows that people who
feel they were treated fairly will have higher levels of job
satisfaction even if they don't get good evaluations. Workers
will want to feel they have some degree of control over the process
-- what's called instrumental control. They also want to feel
they can present evidence that is relevant to their performance:
" Also known as process control.
This leads to what's called the
due-process model of performance appraisal:
- adequate notice
- fair hearing
- judgment based on evidence
- Distributive Justice:
this refers to how the company allocates rewards among employees.
"..rewards related to the outcomes of the PA process must
be allocated in accordance with the findings from the appraisal."
Link between performance and rewards must be clear and understandable.
To achieve distributive justice, workers should be involved in
the process' design and implementation.
Creating criteria:
important, because workers who feel they were evaluated on inappropriate
criteria are unlikely to be satisfied with job. Criteria
can fall into either:
- "activity control,"
which has to do with how you perform routine activities, and
is less likely to lead to employee satisfaction.
- "capability control,"
which deals with development of individual skills and abilities.
also a distinction between:
- "input-behavioral criteria,"
that relate to the person's behaviors, on the assumption that
the person's personality will influence their workplace performance.
Can lead to more motivation
- "output-based appraisals,"
which are more quantitative. These are the more common kind,
and less fair, since factors beyond the individual's control
can affect whether s/he meets those targets.
Frequency:
Most appraisals are only done once of twice a year, but doing
them more frequently could make workers feel the process is fairer.
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