HRM REVIEWER - extent to which a performance

management system elicits job

MODULE 8 performance that is congruent with the
PERFORMANCE MANAGEMENT? organization's strategy, goals, and culture

 The process through which managers Specificity

ensure that employee activities and - The extent to which a performance
outputs are congruent with the measure tells employees what is expected
organization's goals. of them and how they can meet these
 It is about aligning individual effort to expectations
support organizational priorities.
 It is the central to gaining competitive Validity
advantage.
- the extent to which a performance
PERFORMANCE APPRAISAL measure assesses all the relevant—and
only the relevant—aspects of
 is the process of evaluating employee performance.
performance, usually done annually. It is
often used as primary method for Acceptability
evaluating employee performance and
productivity - refers to whether the people who use a
performance measure accept it
PARTS OF THE PERFORMANCE
MANAGEMENT Reliability

1. Defining Performance - the consistency of a performance measure

2. Measuring Performance APPROACHES TO MEASURING
3. Feeding back performance information PERFORMANCE
PURPOSES OF PERFORMANCE MANAGEMENT Comparative Approach
Administrative - the rater compare an individual’s
- using performance information to make performance with that of others.
administrative decisions
concerning salary administration (pay  Techniques use in Comparative approach
raises), promotions, retention 1. Ranking - can be simple or alternation
termination, layoffs, and recognition ranking
of individual performance 2. Forced Distribution – employees are
ranked in groups
Strategic 3. Paired Comparison - compare every
employee with every other employee in
- linking employee activities with the work group, giving an employee a
organizational goals by defining results score of 1 every time he or she is
and sets standards on behaviors and considered the higher performer.
employee characteristics necessary for
achieving goals Attribute Approach

Developmental - Focuses on the extent to which individuals

have certain attributes (characteristics or
- developing employee performance by traits) believed desirable for the
informing them of their performance company’s success
strengths and weaknesses and providing
suggestions to reducing performance  Techniques include the following:
deficiencies 1. Graphic rating scales - list of traits is
CRITERIA FOR EFFECTIVE PERFORMANCE evaluated by a five-point rating scale.
MANAGEMENT SYSTEMS 2. Mixed-standard scales - define relevant
performance dimensions and then develop
Five performance criteria: statements representing good, average,
and poor performance along each
Strategic congruence
dimension.
  Techniques used to improve processes to
attain quality:
Behavioral Approach  Process-flow analysis
- Attempts to define the behaviors an  Cause-and-effect diagrams
employee must exhibit to be effective in  Pareto chart
the job.  Control chart
 Histogram
 Techniques used are the following:  Scattergram
1. Behaviorally Anchored Rating Scales – USE OF TECHNOLOGY IN PERFORMANCE
performance dimension has a number of MEASUREMENT
examples of behaviors that indicate
specific levels of performance along the Technology in performance management
dimension could make big different in the process,
2. Behavioral Observation Scales - implementation, cost, and appraisal.
3. Competency Models - identifies and
provides descriptions of competencies that Social media tools are increasingly being used
are common for an entire occupation, to deliver timely feedback
organization, job family, or a specific job Gamification- game-based strategies that are
Results Approach applied to make it a fun, effective, transparent,
and inclusive process for employees and
- Focuses on managing the objective, managers
measurable results of a job or work group.
Management by objectives - top Companies are relying on electronic tracking
management passes down company’s and monitoring systems to ensure that
strategic goals to next layer of employees are working when and how they
management, and these managers define should be and to block access to visiting certain
the goals they must achieve. websites

Approaches used are: PERFORMANCE FEEDBACK

1. Balanced score card - employee Importance of Performance Feedback

performance is linked with the business 1. Increases motivation – through improved
strategy through communicating and employee observation, managers can gain a
educating employees on the elements of the full understanding of an individual’s strength
balanced scorecard, translating strategic and weaknesses and help them to grow and
objectives into measures for departments and develop and thus, increase their motivation to
employees, and linking rewards to succeed.
performance measures 2. Enhances performance – feedback is critical
 Financial Perspective to improving performance. Although it can be
 Customer Perspective often be mistaken as criticism, well-delivered
 Internal or Operations Perspective constructive criticism can help produce better
 Learning and Growth Perspective decisions and improve performance.
2. Productivity Measurement and 3. Feedback elevates engagement –
Evaluation System (ProMES) - goal is to consistent communication between
motivate employees to higher levels of employees and the manager is typically
productivity. connected to higher engagement.
Quality Approach 4. Feedback is a tool for career
development – an effective performance
- Fundamental characteristics of the quality management system empowers managers to
approach include a customer orientation, a set expectations, provide regular informal
prevention approach to errors, and feedback and support employee
continuous improvement. development. When done well, a performance
- Improving customer satisfaction is the management program along with consistent
primary goal of the quality approach. communication between employees and
Customers can be internal or external to managers, contributes to employee growth as
the organization. well as achieving the agency's mission.
 Feedback Should Be Given Frequently, Not A psychological contract is the set of
Once a Year expectations that employees and employers have
 Create the Right Context for the Discussion about each other.
 Ask the Employee to Rate His or Her
Performance before the Session psychological success is the feeling of pride
 Encourage the Employee to Participate in the and accomplishment that comes from achieving
Session life goals that are not limited to achievements at
 Focus on Solving Problems work.
 Recognize Effective Performance through APPROACHES TO EMPLOYEE DEVELOPMENT
Praise
 Minimize Criticism Formal education
 Focus Feedback on Behavior or Results, Not
Assessment
on the Person
 Agree to Specific Goals and Set a Date to  Myers-Briggs test
Review Progress  Assessment center
 Benchmarks
MANAGING PERFORMANCE OF MARGINAL
 Performance appraisals
PERFORMERS
Job experiences
1. Solid performers - High ability and
motivation; managers should provide Interpersonal relationships
development opportunities
2. Misdirected effort - Lack of ability but high
motivation; managers should focus on training
ASSESSMENT CENTERS
3. Underutilizers - High ability but lack
motivation; managers should focus on - At an assessment center, multiple raters
interpersonal abilities or evaluators evaluate employees’
4. Deadwood - Low ability and motivation; performance on a number of exercises.
managerial action, outplacement, demotion, - Usually off-site.
firing.
Types of exercises include:

 Leaderless group discussion

MODULE 9  Interviews
 In-baskets
EMPLOYEE DEVELOPMENT
 Role plays
Comparison between Training and
FEEDBACK SYSTEMS
Development
 Upward feedback is a performance
appraisal process for managers that
includes subordinates’ evaluations.
 360 Degree Feedback is a performance
appraisal system for managers that
includes evaluations from a wide range of
persons who interact with the manager.

JOB EXPERIENCES

 Job enlargement refers to adding

challenges and new responsibilities to
employees’ current jobs.
DEVELOPMENT AND CAREERS  Job rotation involves providing
employees with a series of job
A protean career is a career that is frequently assignments in various functional areas of
changing based on both changes in the person’s the company or movement among jobs in
interests, abilities, values, and changes in the a single functional area or department.
work environment.  A transfer is usually a lateral move in
which an employee is given a different job
 assignment in a different area of the  may involve providing resources such as
company. mentors, courses, or job experiences
 A downward move occurs when an
employee is given a reduced level of CAREER MANAGEMENT PROCESS
responsibility and authority.

TEMPORARY ASSIGNMENTS

 Externship refers to a company allowing

employees to take a full-time operational
role at another company.
 Temporary assignments can include a
sabbatical which is a leave of absence
from the company to renew or develop
skills.

CHARACTERISTICS OF SUCCESSFUL
MENTORING PROGRAMS SPECIAL ISSUES

1. Participation is voluntary Melting the glass ceiling

2. Matching process if flexible
3. Mentors are chosen on ability and willingness - The glass ceiling is a barrier to
4. Purpose is clearly understood advancement to higher-level jobs in the
5. Program length is specified company that adversely affects women
6. Minimum level of contact is specified and minorities.
7. Contact among participants is encouraged Succession planning
8. Program is evaluated
9. Employee development is rewarded - Identifying high-potential employees.

BENEFITS OF MENTORING RELATIONSHIPS Dysfunctional managers

FOR PROTÉGÉS

Career Support
MODULE 10
- Coaching, protection, sponsorship, and
Employee Separation and Retention
providing challenging assignments,
exposure, and visibility. To compete effectively, organizations must take
steps to ensure that good performers are
Psychological support
motivated to stay with the organization, whereas
- Serving as a friend and role model, chronically low performers are allowed,
providing positive regard and acceptance, encouraged, or if necessary, forced to leave.
and creating an outlet for a protégé to talk
The two types of turnover are:
about anxieties and fears.
1. Involuntary turnover—turnover initiated by
Additional benefits
the organization (often among people who
- Promotion, higher salaries, and greater would prefer to stay).
influence. 2. Voluntary turnover—turnover initiated by
employees
COACHING
MANAGING INVOLUNTARY TURNOVER
- is a peer or manager who works with an
employee to motivate him, help him  The employment-at-will doctrine is a
develop skills, and provide reinforcement policy that allows for termination of an
and feedback. employee with or without a “good or just
cause.”
Three roles a coach can play include:  Violence in the workplace caused by
 one-on-one involuntary turnover has become a major
 help employee learn for himself or herself organizational problem in recent years.
 A standardized, systematic approach to
discipline and discharge is necessary.
 MANAGING VOLUNTARY TURNOVER -JOB
WITHDRAWAL
PRINCIPLES OF JUSTICE
Progression of withdrawal is a theory that
 Outcome fairness refers to the dissatisfied individuals enact a set of behaviors in
judgement that people make with respect succession to avoid their work situation.
to the outcomes received relative to the
outcomes received by other people with Three categories include:
whom they identify.
 Procedural justice focuses specifically 1. behavior change
on the methods used to determine the 2. physical job withdraw
outcomes received. 3. psychological job withdraw
 Interactional justice refers to the Withdrawal behaviors are related to one
interpersonal nature of how the outcomes another, and they are all at least partially caused
were implemented. by job dissatisfaction.
PROGRESSIVE DISCIPLINE JOB DISSATISFACTION-JOB WITHDRAWAL
Effective discipline programs have two central PROCESS
components:

 documentation
 progressive punitive measures

The organization determines responses for first,

second, third offenses, and so on.

ALTERNATIVE DISPUTE RESOLUTION

- This is a method of resolving disputes that BEHAVIOR CHANGE

does not rely on the legal system.
When employees are unionized, dissatisfaction
The four stages of ADR are: leads to an increased number of grievances.
1. Promote an open-door policy. Employees sometimes initiate change through
2. Perform peer reviews by individuals at the whistle-blowing - making grievances public by
same level in the organization. going to the media.
3. Mediation by a neutral third party.
4. Arbitration by a professional, from outside Employees can sue their employers when the
the organization. disputed policies relate to an aspect of
employment that is covered by legislation.
EMPLOYEE ASSISTANCE PROGRAMS
PHYSICAL WITHDRAWA
These are programs that attempt to ameliorate
problems encountered by workers who are drug There are several ways a dissatisfied worker can
dependent, alcoholic, or psychologically troubled. physically withdrawal from the organization:

 EAPs are usually identified in official  Leave the job

documents published by the employer.  Internal transfer
 There are several issues in controversy  Absenteeism
regarding EAPs.  Tardiness

OUTPLACEMENT COUNSELING PSYCHOLOGICAL WITHDRAWAL

 A form of counseling that tries to help  If the primary dissatisfaction has to do

displaced employees manage the with the job itself, the employee may
transition from one job to another. display a very low level of job
 Can be performed in-house or through an involvement, which is the degree to
outside source. which people identify themselves with
 It is aimed at helping people realize that their jobs.
losing a job is not the end of the world and  If the dissatisfaction is with the employer
that other opportunities exist. as a whole, the employee may display a
 low level of organizational Role-analysis technique - enables a role
commitment, which is the degree to occupant and other members of the role
which an employee identifies with the occupant’s role set to specify and examine their
organization and is willing to put forth expectations for the role occupant
effort on its behalf.
SUPERVISORS AND COWORKERS
JOB SATISFACTION AND JOB WITHDRAWAL
A person may be satisfied with his or her
Job satisfaction is a pleasurable feeling that supervisor and coworkers for one of three
results from the perception that one's job fulfills reasons:
or allows for the fulfillment of one's important job
values. 1. shared values, attitudes, and philosophies,
2. strong social support,
Three important aspects of job satisfaction 3. help in attaining some valued outcome.
are:
Pay and Benefits
1. values,
2. perceptions, and For many people, pay is a reflection of self-worth,
3. importance. so pay satisfaction takes on critical significance
when it comes to retention.
Frame of Reference is a standard point that
serves as a comparison for other points and thus SURVEY FEEDBACK INTERVENTIONS
provides meaning. Reasons for routinely surveying employee
 It usually reflects average past attitudes include the following:
experiences.  It allows the company to monitor trends
 It can also reflect perceptions or other over time.
peoples’ experiences.  It provides a means of assessing change
SOURCES OF JOB DISSATISFACTION impacts in policy.
 If a company uses a standardized scale, it
Personal Dispositions can compare itself with others in the same
industry.
Negative affectivity - a term used to describe a  If a company provides feedback and a
dispositional dimension that reflects pervasive corresponding action plan to deal with
individual differences in satisfaction with any and problems, dissatisfaction can become a
all aspects of life. plus.
Tasks and Roles Surveys:
Job enrichment - referring to a specific way to  emphasize overall satisfaction.
add complexity and meaningfulness to a person's  assess the impact of changes in policy.
work.  allow the company to compare itself with
Job rotation - the process of systematically others in the same industry.
moving a single individual from one job to  allow the company to check for differences
another over the course of time. between units and benchmark “best
practices” that might be generalized
Role - what an organization expects from an across units.
employee.  Give employees a constructive outlet for
voicing their concerns and frustrations.
Role ambiguity - the level of uncertainty about
Voicing is a formal opportunity to
what the organization expects from the employee
complain about one’s work situation.
in terms of what to do or how to do it.

Role conflict - the recognition of incompatible or

contradictory demands by the person who
occupies the role.

Role overload - a state in which too many

expectations or demands are placed on the
person.