AN ANALYSIS OF THE EMPLOYEE PERFORMANCE
LECTURER: Dr. Hooi Lai Wan
TABLE OF CONTENTS
TABLE OF CONTENTS 2
LITERATURE REVIEW 3
What is Performance Appraisal 4
Purpose of Performance Appraisal 4
History of Performance Evaluation 4
Performance Appraisal Techniques 4
Throughout history, companies and organizations have been tried to be success in global competition. In this way, they used some strategic to change and adapt correctly. Little by little, companies and organizations used different tools and methodology (Banks and Roberson (1985), Bretz et al. ...view middle of the document...
According these methods, the results of this appraisal process are subjective and biased that lead to halo effect. Due to halo effect, some limitation involves every thing. (Kerr (1985), Latham and Wexley(1981).
Companies and organization failed to reach the goals during effective performance appraisal.
Organizations often fail to accomplish the goals that an effective performance appraisal should achieve, to establish what employees are supposed to do and to assess how well they do it. Too frequently employees do not know what is expected of them, their performance is ineffectively evaluated, or their rewards are not tied to performance.
This study examined the problem of effectiveness of the performance appraisal process. The literature on performance appraisal provides clear guiding principles on appropriate structures and procedures for effective personnel evaluation. But, many organizations have adopted performance appraisal systems which are based on accepted practices and procedures only to have them rejected by the users. From a practical point of view, having a sound rating format and well-defined policies and procedures is not always enough to achieve the desired outcomes of performance assessment and improvement. Preliminary investigation has shown that supervisors and staff have different perceptions of the existing performance appraisal process, its purpose, use, and results. There is a lack of clarity regarding how the employees' performance is evaluated, the objectivity of the ratings, as well as the actual use of the evaluation results in personnel decisions such as salary changes and promotion.
The results of the study will help the decision makers to take actions to narrow the gap between the supervisors and subordinates perceptions and understanding of the performance appraisal system. The study will identify the supervisors and subordinates attitudes toward the performance appraisal as well as any ambiguities regarding the importance, purpose, objectivity, uses and key aspects of the current performance appraisal.
Performance appraisal is one of the most widely used methods for measuring the value of employee performance. The success of performance appraisal depends on how effectively it is implemented in making decisions that can affect the performance of the employees.
This chapter defines performance appraisal as described in the literature. The purposes of performance appraisal and the different uses of the results obtained in organizations are then discussed. This is followed by showing the history of performance evaluation and how it evolved starting with the early adoption years, experimental years and ending with the integration years where the performance appraisal has reached its current recognized form in organizations. The next section discusses the problems of performance appraisal and suggested solutions. The final section explains benefits and drawbacks of the most widely used...