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LEsson 4 PM III MBA

The document outlines a framework for measuring results and behaviors in the workplace, focusing on accountabilities, objectives, and performance standards. It details the characteristics of good objectives and performance standards, as well as methods for measuring employee competencies and behaviors. Additionally, it compares different measurement systems, highlighting their advantages and disadvantages.

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4 views35 pages

LEsson 4 PM III MBA

The document outlines a framework for measuring results and behaviors in the workplace, focusing on accountabilities, objectives, and performance standards. It details the characteristics of good objectives and performance standards, as well as methods for measuring employee competencies and behaviors. Additionally, it compares different measurement systems, highlighting their advantages and disadvantages.

Uploaded by

m7z5fdwdvj
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Lesson 4

Measuring Results
and
Behaviors
Key Questions

 Where should each individual focus


efforts?
 What are the expected objectives?
 How do we know how well the
results were achieved?
Measuring Results: Overview

 Accountabilities
 Objectives
 Performance Standards
Accountabilities
 Broad areas of a job for which
an employee is responsible for
producing results
Objectives

 Statements of important and


measurable outcomes
Performance Standards
 Yardstick used to evaluate how
well employees have achieved
objectives
Determining Accountabilities
 Collect information about the job (Job
Description)
 Determine importance of task or
cluster of tasks
• Percentage of employee’s time spent
performing tasks
• Impact on the unit’s mission if
performed inadequately
• Consequences of error
Determining Objectives

 Purpose: to identify outcomes


 Limited number
 Highly important
 When achieved
 Dramatic impact on overall
organization success
Ten Characteristics of Good
Objectives
1. Specific and Clear
2. Challenging
3. Agreed Upon
4. Significant
5. Prioritized
Ten Characteristics of Good
Objectives (Continued)
6. Bound by Time
7. Achievable
8. Fully Communicated
9. Flexible
10. Limited in Number
Determining Performance
Standards
 Standards refer to aspects of
performance objectives, such as:
 Quality
• How well the objective is achieved
 Quantity
• How much, how many, how often, and at
what cost?
 Time
• Due dates, schedule, cycle times, and how
quickly?
Good Performance Standards:
Six Characteristics
1. Related to the Position
2. Concrete, Specific, and Measurable
3. Practical to Measure
4. Meaningful
5. Realistic and Achievable
6. Reviewed Regularly
Measuring Behaviors: Overview

 Identify competencies
 Identify indicators
 Choose measurement system
Identify Competencies

 Measurable clusters of KSAs


• Knowledge
• Skills
• Abilities
 That are critical in determining how
results will be achieved
Types of Competencies
 Differentiating
• Distinguish between superior and
average performance
 Threshold
• Needed to perform to minimum
standard
Identify Indicators
 Observable behaviors
 Used to measure the extent to
which competencies are present or
not
Necessary Components for
Describing Competencies
 Definition
 Description of specific behaviors
• When competency is demonstrated
• When competency is not demonstrated
 Suggestions for developing the
competency
Choose a Measurement System

 Comparative system
• Compares employees with one another
 Absolute system
• Compares employees with prespecified
performance standards
Advantages of Comparative
Systems
 Easy to explain
 Straightforward
 Identifies top as well as underperformers
 Better control for biases and errors found in
absolute systems
• Leniency
• Severity
• Central tendency
Disadvantages of Comparative
Systems
 Rankings may not be specific enough for:
• Useful feedback
• Protection from legal challenge
 No information on relative distance
between employees
 Specific issues with forced distribution
method
Comparative Systems

 Simple rank order


 Alternation rank order
 Paired comparisons
 Relative percentile
 Forced distribution
Simple Rank Order
 Advantages:
• Simple and easy to do
• Results are clear
 Disadvantages:
• Judges performance based on one
dimension only
• May be difficult to rank similar performance
levels
Alternation Rank Order
 Advantages:
• Simple and easy to do
• Results are clear
• Uses two anchors (best and worst)
 Disadvantages:
• Judges performance based on one dimension
only
• May be difficult to rank similar performance
levels
• Does not specify threshold for acceptable
performance
Paired Comparisons
 Advantages:
• Thorough
• Final rankings are more accurate
 Disadvantages:
• Very time consuming
• May encounter problem of comparing
“apples and oranges”
Relative Percentile
 Advantages:
• Simple and easy to use
• Evaluates specific competencies or overall
performance
 Disadvantages:
• May be difficult to consider all ratees at the
same time
• Time consuming if using several scales for
different competencies
Forced Distribution
 Advantages:
• Categorizes employees into specific
performance groups
• Facilitates reward assessment
• Competition may be good for organizational
performance
 Disadvantages:
• Assumes performance scores are normally
distributed
• May discourage contextual performance and
teamwork
Absolute Systems

 Essays
 Behavior checklists
 Critical incidents
 Graphic rating scales
Advantages and Disadvantages of
Absolute Systems
 Advantages:
• Can be used in large and small organizations
• Evaluations more widely accepted by
employees
 Disadvantages:
• Higher risk of leniency, severity, and central
tendency biases
• Generally, more time consuming than
comparative systems
Behavior Checklists
 Advantages:
• Easy to use and understand
• Provides quantitative information
• Widespread use
• More objective than other systems
 Disadvantages:
• May feel impersonal and disconnected
• Scale points used are often arbitrary
• Difficult to get detailed and useful feedback
Essays
 Advantages:
• Simplest absolute method
• Individualized for each employee
• Can be done anytime
• Potential for detailed feedback
 Disadvantages:
• Unstructured and may lack detail
• Depends on supervisor’s writing skill
• Comparisons virtually impossible
• Lack of quantitative information; difficult to use in
personnel decisions
Critical Incidents
 Advantages:
• Focus on actual job behavior
• Provides specific examples
• Employees identify with rating
 Disadvantages:
• Collecting critical incidents can be very time
consuming
• Quantification is difficult
Graphic Rating Scales
 Advantages:
• Meanings, interpretations, and dimensions
being rated are clear
• Useful and accurate
• Most popular tool
 Disadvantages:
• Time consuming and resource-laden to
develop
• Lacks individualized feedback and
recommendations
Graphic Rating Scales:
BARS Improvement
 Behaviorally Anchored Rating Scales
(BARS)
 Uses critical incidents as anchors
 Involves multiple groups of employees in
development
• Identify important job elements
• Describe critical incidents at various levels of
performance
• Check for inter-rater reliability
Measuring Performance

 Several types of methods


 Differ in terms of:
• Practicality (time and effort)
• Usefulness (quantifiable)
Quick Review
 Measuring Results
• Identify accountabilities
• Set objectives
• Determine standards of performance
 Measuring Behaviors
• Identify competencies
• Identify indicators
• Choose measurement system

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