Performance Management and Appraisal - Bernardin - Review Notes

Human Resource Management Revision Article Series


Performance management is a critical component of a broader set of human resource practices that are linked to business objectives, personal and organizational development, and corporate strategy.

Performance is defined as the record of outcomes produced in specified job functions or activities during a specified time period.


Performance data are used for compensation, staffing purposes, training needs analysis and research and evaluation.

Appraisals are challenged in courts and there are regulation in place to protect rights of employees.

Bernardin emphasized that the effects of appraisal and performance management systems will be more positive if and when certain prescriptions are followed that have generally not been heeded by practitioners.

The prescriptions indicated by Bernarding are:

1. Precision in the definition and measurement.
2. The content and measurement of performance should derive from internal and external customers.
3. The system needs a formal process for investigating and correcting for the effects of situational constraints on performance.

Performance on the job as a whole of a person would be equal to the sum (average) performance on the major job functions or activities. It should not be confused with traits and competencies of the person.

What are the uses for Performance Data?



Performance data are used for compensation, staffing purposes, training needs analysis and research and evaluation.

Six primary Creteria of Performance

1. Quality 2. Quantity 3. Timeliness 4. Cost-effectivenss 5. Need for supervision
6. Interpersonal impact.

Designing an Appraisal System

The system is based on the decisions in the following dimensions:

Measurement content
Measurement process
Defining the rater
Defining the rateee

Measurement content

Effective performance appraisal focuses n the record of outcomes with major emphasis on outcomes directly related to an organization's mission and objectives.

Measurement process

The process can compare ratees.
Comparison of a person's performance to anchors of his job.
Comparison among anchors.

Defining the rater

Raters can be ratees themselves (self rating), supervisors, peers, clients or customers, or higher level managers.

Defining the ratee

The ratee may be defined at the individual, work group, division or organizationwide level.

Possible rating errors

1.Leniency/severity 2. Halo/Horn's effect 3. Central tendency 4. Fundamental attribution errors (actor - observer bias) 5. Representativeness 6. Availability 7. Anchoring

Appraisal feedback

Raters have a responsibility to give feedback and improve the performance of the ratee.

Raters should provide feedback that is clear, specific, descriptive, job related, constructive, frequent and timely.


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Chapter Learning Objectives

After reading this chapter, you should be able to

Understand the value and uses of performance appraisals in organizations and the prescriptions for effective appraisal.


Present a definition of performance and apply the definition to various job functions.


Discuss the legal implications of performance appraisal.


Explain the various errors in ratings and proven methods to reduce them.


Describe the necessary steps for implementing an effective appraisal feedback system.

Source:
H. John Bernardin, Human Resource Management

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