Traditional Appraisal
Methods
Traditional methods are comparatively older methods of performance appraisal. These methods were past oriented approaches which concentrated only on the past performance (Adnan and Mohamed, 2014)
Ranking Method
An alternative method to
graphic rating scales involves managers ranking their subordinates in order of
their performance effectiveness from best to worst (Fred, 2012, p.02). The
simplicity of this approach is masked by the negative impact of assigning
“worst” and “best” ratings to employees. This kind of differentiation can lead
to negative emotions within the group and negatively affect performance (Dessler
and Gray, 2011).
Paired Comparison
This form of performance
appraisal is a good way to make full use of the methods of options. There will
be a list of relevant options, further each option is in comparison with the others
in the list. The results will be calculated and then such option with highest score
will be mostly chosen (Manish K. and Rajneesh, 2014)
Checklist method
Checklist is a statement
of traits and performance of employee on his or her job. It includes two
columns “Yes” or “No”. It is then presented to the ratter to tick appropriate
answers relevant to appraise. Each question carries a weightage in relationship
of their importance (Rajitha, 2019)
Narrative Essays method
Evaluator writes an
explanation about employee’s strength and weakness points, previous
performance, positional and suggestion for his (her) improvement at the end of
evaluation time. This technique mainly attempts to focus on behavior (Ashima, 2013, p.618)
Modern Appraisal Methods
Modern Methods were formulated
to enhance the conventional methods. It tried to enhance the shortcomings of
the old methods such as biasness and subjectivity (Adnan and Mohamed, 2014). The following presents the typical modern methods.
Management by Objective
(MBO) method
Management by Objectives
(MBO) is a process whereby the superior and subordinate managers of an organization
jointly its common goals, define each individual’s major areas of
responsibility in terms of results expected of him and use these measures of
guides for operating the unit and assessing the contribution of its members (Jansirani et al, 2013)
360-Degree Feedback
It’s a feedback system
where an individual is assessed by several assessors this technique collects a
systematic performance data on an individual group. It is used to measure the
skills and abilities from various point of views (Yashashwi, 2016, p.127).
Unlike the traditional performance reviews, which provide employees with
feedback only from supervisors, the 360-degree feedback appraisal provides a
more objective performance from the full circle of daily contacts that an
employee may have (Mohammad, 2013)
Psychological Appraisals
As the name reflects,
during this methodology with the assistance of a scientist, the organizations
assess the employee’s potential for the long run performance rather than the
past performance (Tephillah, 2019). It is done using in-depth interviews,
psychological tests, and discussion with managers. This method focuses on
employee's emotional, intellectual, and motivational and other personal characteristics
affecting his/her performance (Punam, 2015,p.39)
Assessment Center Method
As described by Jenifur (2016) Assessment Center method Mainly used for executive hiring, assessment
centers are now being used for evaluating executive or supervisory potential, Jenifur, further describes Assesses are requested to participate in basket exercises,
work groups (without leaders), computer simulations, role playing and other
similar activities which require the same attributes for successful
performance, as in the actual job.
Behaviorally anchored
rating scales (BARS)
In this method, there is
a combination of techniques used in the weighted check list rating and critical
incident method further under BARS, effective and ineffective behaviors are
described more objectively also this method takes services of a person who is
quite familiar with a particular job to identify major components (Monisha, 2017, p.59)
In my organization, we
are having an annual 360-degree performance appraisal and self-assessment to
evaluate employees. All the appraisals will have full transparency of the evaluation
process and can disagree on any rating that has been received. Once employees meet
their expectations they were recognized and motivated through a rewarding
process carried out once every quarter of a year.
Reference List
Adnan, S. and Mohamed, K.
(2014) Performance Evaluation – Methods and Techniques Vol 03 Issue 05. International
Journal of Computer and Information Technology.
Ashima, A. (2013) Techniques
of Performance Appraisal Vol 02 Issue 03. International Journal of Engineering
and Advanced Technology (IJEAT).
Dessler and Gary, (2011) Human Resource Management,13th ed, Prentice-Hall.
Fred, C. (2012) Performance
Appraisal: Methods and Rating Errors Vol 1 4. Sam Houston State University
Jansirani, S.,
Hatrikrishnan, R., Jaya, D. and Saisathya, A. (2013) IOSR Journal of Business and
Management Vol 09, Issue 03. Department of Commerce, Vels College, Pallavaram,
Chennai.
Jenifur, M. (2016) International
Journal of Trend in Research and Development Vol 03(3). University of Kashmir,
Hazratbal.
Manish, K. and Rajneesh, K.
(2014) Employees Performance Appraisal and its techniques. Asian Journal of Advanced
Basic Sciences.
Mohammad, F. (2013) Role
of performance appraisal system on employee’s motivation. Journa of business
and management.
Monisha, G. (2017) An analytical
study of Performance Appraisal System Vol 07. International Journal of Business
Administration and Management.
Punam, S. (2015) Performance
Appraisal and its Effectiveness in Modern Business Scenarios Vol 03. Gujarat, India.
Rajitha, M. (2019)
Performance appraisal: Traditional and Modern approach Vol 08 Issue 11. Department
of Commerce Arignar Anna Government Arts College, Musiri.
Tephillah, V. (2019) International
Journal of Innovative Technology and Exploring Engineering (IJITEE) Vol 08. Blue
Eyes Intelligence Engineering & Sciences Publication.
Yashashwi, A. (2016) A
study on modern methodologies in performance appraisals Vol 01. International
Journal of Advanced Trends in Engineering and Technology (IJATET).
Hi Ganith, agreed with your points and adding to this modern appraisal, it is automated system offered by several vendors provide common formats, integration with compensation, and development and succession planning. Further to the Mathis & Jackson (2007) Such systems may help a manager identify which of the company’s thousands of employees are its top performers, or a breakdown of workers with certain competencies and the best performers among them (Mathis & Jackson, 2007).
ReplyDeleteHi Lakshan, Best HR Practices comprises one of the important elements known as “Performance Appraisal” which is the most popular mantra for high organizational performance, which are believed to raise the morale and energy level of the employee. It becomes critical to every organization to improve the appraisal methods in order to increase the productivity. The present study focuses on modern methodologies of performance appraisal with special reference to the most recently introduced “720 Degree performance appraisal” (Ail, 2016).
DeleteYes Ganith, I agree with you. There are conventional and current ways of performance appraisal, according to the Strauss and Sayles (1980), classification. Traditional methods of performance appraisal are more work-oriented or goal-oriented, and do not pay attention to an employee's other qualities, whereas newer methods of performance review focus on personality traits such as creativity or leadership skills.
ReplyDeleteHi Isuru, further to your reply, Traditional Methods are relatively older methods of performance appraisals. This method is based on studying the personal qualities of the employees. It may include knowledge, initiative, loyalty, leadership and judgment. Traditional method involves ranking methods, graphic rating scales, critical incident method, and narrative essays (Nigatu, et al., 2017).
DeleteAgreed Ganith. There are many other techniques such as 180 degree, 90 degree, 270 degree, balanced score card, mixed standard scale, forced distribution method, behavioral observation scale, mixed standard scale, electronic performance monitoring, confidential reports are also used for performance appraisal (Flamholtz, 2012).
ReplyDeleteHi Dileep, also 180-degree performance appraisals mean that employees are appraised by two people (self and Boss/Manager). The time interval for performance appraisal is six months to one year. A performance appraisal system is a very important part of any successful organization. But the main problem occurs with this 180-degree performance appraisal is compilation, collation of data and it is time consuming process (SIPPY & NITIN , 2014)
DeleteWell said Ganith. Performance appraisal methods process of obtaining , analyzing, and recording information about an employee to evaluate and improve their performance (Yashashwi Ali,2016).
ReplyDeleteHi Upeksha, adding some points, Performance management involves the development of processes for establishing shared understanding about what is to be achieved, and an approach to managing and developing people in a way that increase the probability that it will be achieved in the short and longer term. Evaluating periodically the human resource inside the organization can increase the motivation and commitment of employees and enable individuals to develop their abilities, increase their job satisfaction and achieve their full potential to their own benefit and that of the organization as a whole (Radu, 2009)
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ReplyDeletehi ganith, agree with you, adding to your points, there is a Human-Resource (Cost) Accounting Method,When the employees Performance Evaluates Based on the cost accounting methords, factors like that Unit-wise average service value, Overhead cost, interpersonal relationships, quality and taken into account. this high-dependency on the cost, benefit analysis and memory power of an reviewer isthe drawback of human resources accounting method.(Johanson U. & Eklov G. & Holempren M. & Martensson M.( 1998).
ReplyDeleteHi Dineth, further to your point, The purpose of From Cost to Performance is to index the specific advantages and shortcomings of the most widely used cost and performance management methodologies practiced today. Using this relatively familiar foundation, a tested and proven scientific viewpoint layers on a lifelong learning and developmental perspective (Stenzel & Joe , 2003).
DeletePerformance appraisal needs to be agreed upon by the employee and the employer. For new employees, it may be during the contract negotiating; for the other employees, it is an ongoing process. The KPI`s must be SMART. The review of performance plans is critical to ensure that performance plans are adjusted according to the challenges being faced. With on the job training and employees` experiences, these plans need to be reviewed periodically, which helps employees for carrier progression (Plachy, 2021). However, for developing effective performance appraisal systems, understanding of the social context of the performance appraisal is important (Levy, 2018).
ReplyDeletePlachy, R.J. and Plachy, S.J., 2021. Performance management getting results from your performance planning and appraisal system.
Levy, P.E., Cavanaugh, C.M., Frantz, N.B., Borden, L.A. and Roberts, A., 2018. Revisiting the social context of performance management: Performance appraisal effectiveness.
Hi Ravi, further, KPIs are used to measure or evaluate the operational performance which the results are quantifiable measurements, agreed before that reflect the critical success factors of an organization. (Karunakaran, et al., 2019). Key Performance Indicator (KPI) is a set of measures that focus on the most critical aspects of organizational performance for current and future organizational success (Abdullah, 2014).
DeleteHi, New trends are emerging in Performance Appraisal like Regular one-to-one performance conversations, in-the-moment feedback from peers, Forward-looking performance reviews, online performance management Apps. The method of performance appraisal is an investment for the company (Yashashwi,2016)
ReplyDeleteHi Surangi, further Gardner (2008) describes performance appraisal as the evaluation of an individual ‘s work with the main aim of arriving at objective personnel decisions. It is also considered as the process of obtaining, analyzing as well as recording information that revolves about the relative worth of the employee to the organization (Armstrong, 2009).
DeleteHi Ganith, agreed,Each method of performance appraisal has its strengths and weaknesses may be suitable for one organisation and non-suitable for another one. As such, there is no single appraisal method accepted and used by all organisations to measure their employees’ performance (Ashima A. (2013)
ReplyDeleteHi Purnima, adding some points, Developmental functions include the identification of individual training needs, providing performance feedback, determining transfers and attachments, identification of individual strengths and weaknesses. For this developmental function the appraiser takes the role of a coach or mentor. Developmental functions focus primarily on within person analysis. (Chubb, et al., 2011)
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