Advantages of performance evaluation.
• Improves performance through feedback.
• Compensation policies - can help determine who deserves raises.
• Placement decisions - Promotions, transfers and separations are based on past or anticipated performance.
• Training and development needs: underperformance may indicate a need for retraining, or untapped potential.
• Career planning and development: guides decisions about specific career possibilities.
• Information inaccuracy: Insufficient performance can indicate errors in the information about job analysis, human resources plans, or any other aspect of the personnel department information system.
• Errors in the design of the position: insufficient performance can indicate errors in the conception of the position.
• External challenges: sometimes, performance is influenced by external factors such as family, health, finances, etc., which can be identified in evaluations.
Preparation of performance evaluations.
The objective of the evaluation is to provide an accurate and reliable description of the way in which the employee carries out the position.
Assessment systems must be directly related to the position and be practical and reliable.
There are common elements to all approaches to performance evaluation:
• Performance standards: the evaluation requires performance standards, which are the parameters that allow more objective measurements.
• Performance measurements: these are the rating systems for each job. They must be user-friendly, reliable, and rate the essential elements that determine performance.
• Subjective rater elements: subjective measures of performance can lead to rating distortions.
Methods to reduce distortions: When subjective methods are required for performance measurement, staff specialists can reduce the potential for distortion through training, feedback, and an appropriate selection of evaluation techniques.
Cross-cultural elements: The member of a certain group tends to think that the practices, beliefs, traditions, etc., of his own group are the best, and that the practices and beliefs of other groups are "backward", "excessively noisy" or " dangerous ".
Evaluation methods based on past performance.
• Rating scales: the evaluator must grant a subjective evaluation of the employee's performance on a scale that goes from low to high.
• Checklist: requires the grader to select sentences that describe the employee's performance and characteristics.
Forced selection method: it forces the evaluator to select the most descriptive phrase of the employee's performance in each pair of statements found.
Critical events recording method: requires the evaluator to keep a daily log (or a computer file), the evaluator records the most prominent actions (positive or negative) carried out by the evaluated.
Behavioral rating scales: use the system of comparison of the employee's performance with certain specific behavioral parameters.
Feedback on human resource management and the personnel function.
The performance appraisal process provides vital information regarding how an organization's human resources are managed.
Performance evaluation serves as an indicator of the quality of the personnel department's work.
If the evaluation process indicates that low-level performance is frequent in the organization, many employees will be excluded from promotion and transfer plans, the percentage of personnel problems will be high and the level of dynamism of the entire company will be low in general. business.