By. Juan Skavani Mahaganti Pasca Sarjana Universitas Klabat. DEFINITION According to Grote (2002), Performance Appraisal (PA) is a formal management system that provides for the evaluation of the quality of an individual s performance in an organization. Mostly are done by immediate supervisor (see also Nakervis and Leece, 1997). The procedure typically requires the supervisor to fill out a standardized assessment from that evaluates the individual on several different dimensions and the discusses the result of the evaluation with the employee (Grote, 2002). In narrow perspective, PA is a documentation, filling form, checking boxes, once-a-year drill, annual fiasco, meeting held between lower and higher worker, and they will meet again next year (Grote, 2002; DelPo, 2007; Tourish, 2004). It s a common misconception that performance appraisal entails simply filling out an evaluation form answering prefabricated questions and checking boxes. If this were the case, you wouldn t need an entire book to help you do it right, and your evaluation wouldn t be worth the paper you wrote it on. When done correctly, performance appraisal is a process, not a document it is a way of structuring your relationship with your employees. A good appraisal system includes observation, documentation, and communication. It envisions a workplace in which supervisors know what is happening in their departments (who is doing what and how well) and document employee performance as it occurs. Supervisors and their employees should have open lines of communication. Employees should know how they are doing so they can make adjustments when they veer off track. Supervisors should know what obstacles get in the way of their employees performance so they can remove those obstacles as they arise (DelPo, 2007).
PURPOSE Study shows that PA is commonly used by companies now, from every level or industrial background (Nakervis and Leece, 1997; Bach, 2003). Of course the phenomenon is not without cause, consider that sometimes PA is a hectic and hated job, time and cost consuming. Grote (2002) case in No. 14 is cited from DelPo (2007)- list the purpose of PA as follow: 1. Providing feedback to employees about their performance 2. Determining who gets promoted 3. Facilitating layoff or downsizing decisions 4. Encouraging performance improvement 5. Motivating superior performance 6. Setting and measuring goals 7. Counseling poor performers 8. Determining compensation changes
Encouraging coaching and mentoring Supporting manpower planning or succession planning Determining individual training and development needs Determining organizational training and development needs Confirming that good hiring decisions are being made Providing legal defensibility for personnel decisions Case : A hospital fires an African-American doctor. She does not have an employment contract, so the hospital does not need just cause to ire her. Nonetheless, the doctor files a wrongful termination lawsuit, claiming that she was fired because of her race. When she files her lawsuit, she has no real evidence of racial discrimination; her case is based on her belief that she was always treated more harshly than her coworkers, most of whom were white men. The hospital responds by asserting that she was fired because of her poor diagnostic skills and her inability to get along with her coworkers. Her attorney requests her performance evaluations. Well managed PA system can prevent this kind of situation. Further reading about the issue of legal practice and PA, read The Performance Appraisal Handbook; Legal & Practical Rules for Managers by Amy DelPo. 15. Improving overall organizational performance PROCESS Performance Appraisal is an integrated part of company s Performance Management Strategy (PMS). Performance Management is a set of regular, ongoing human resource activities carried out by managers and supervisors relative to their subordinates to enhance and maintain employee...
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