Peformance Appraisal System

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M11HRM – Human Resource Management

It is argued by Armstrong & Baron (2005) that “(performance) appraisal system should be seen as being transparent and equitable, providing reporting consistency and regular feedback on performance”. Incorporating examples from industry and appropriate academic underpinning critically discuss this statement from the perspective o the HRM function.

I. Introduction
Globalization is making the world looking more than ever smaller and mobility of skilled workforce across the globe has never been so predominant. The business world is getting definitely more competitive with pressure to increase productivity and at the same time cut down costs. Aligning all these factors, make the HRM functions more than ever daring and challenging. Today Performance appraisals have become more widespread. Performance appraisals contribute consequently to planning; assessing and delegating an organization’s operations of its services. HR department of organisation usually make policies and prepare detailed forms, questionnaires and procedures for appraisal process. They provide training to line managers and supervisors for learning important appraisal skills. HR department monitors the appraisal and make sure that format of appraisal matches with the company objectives. A worthy meaningful appraisal needs to be true, impartial, fair, transparent, purposefully, mutual, practical, specific, understandable, continuing, precise and equitable. It should be conducted without any discrimination like age, gender, colour, nationality, sexual orientation, race, religion, disability etc. (Chandellar and Grzyb, 2002) (Chapman, 2002)

Although Performance Appraisal system has many practical flaws but it is the only most decent system available to achieve true and fair reward outcomes on the basis of merits and hard work of employees. In this work document, performance appraisal methods from two departments of Compagnie Mauricienne de Textile Ltee – Textile Industry - shall be critically analysed.

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M11HRM – Human Resource Management

II. Literature Review
Typically Human Resource Management is the organisational function that deals with various issues linked to employee recruitment & selection, compensation and benefits, retention & motivation, performance management, training and development, safety & security, communication, wellness & welfare. A brief definition of HRM (Mathis, Jackson 2007) is “The design of formal systems in an organisation to ensure the effective and efficient use of human talent to accomplish organisational goals.”

Further down the line, HRM can be viewed as a function concerned with policies; practices and systems that influence employees’ workplace behaviour, attitude and performance. The core aim of all management is to increase predictability and reach better control of events is vital to HRM. In the first decade of 2000, there was a strong movement to see HR as a strategic partner to business rather than as support function system. However, HRM as a function in modern organisations need to face several challenges to justify its roles and importance as a strategic partner to the business. Challenges faced by Contemporary HR Managing employee performance and turnover High erosion of strategic talent and human capital Innovative training, skills deployment and retention methods Ways to make workforce more responsive to turbulent business markets Getting high employee performance through the right packaging of benefits and compensation in novel ways 2

M11HRM – Human Resource Management

Sustainable growth for both individual and the business Handling the sensitive relationship between employees and employer Environmental concern. E.g. A greener world; ecological mindset

Performance Management is one of the core functions of every HR manager. The aim of performance management is to establish superior performance culture in which each employee and teams take responsibility...
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