Performance Appraisal Hrm Absolute Standards

Topics: Human resource management, Performance appraisal, 360-degree feedback Pages: 13 (4401 words) Published: December 15, 2010
European Journal of Social Sciences – Volume 7, Number 3 (2009)

A New Framework for Selection of the Best Performance Appraisal Method Mostafa Jafari Industrial Engineering Department, Iran University of Science & Technology Narmak, Tehran, Iran E-mail: Tel: +98-912-1382658 Atieh Bourouni Industrial Engineering Department, Iran University of Science & Technology Narmak, Tehran, Iran E-mail: Tel: +98-912-5007402 Roozbeh Hesam Amiri Industrial Engineering Department, Iran University of Science & Technology Narmak, Tehran, Iran E-mail: Tel: +98-912-5356487; Fax: +98-21-88814576 Abstract Performance appraisal is one of the most important processes in human resource management, because it has a great effect on both the financial and program components of any organization. There is a verity of methods for the appraisal of employees' performance. Obviously, no method can claim that it has an integrated approach in performance appraisal. Therefore, human resource managers should select an appraisal method which is most efficient in their organizations. In this paper, we propose a framework for the selection of appraisal methods and compare some performance appraisal methods in order to facilitate the selection process for organizations. The value of this framework is that, with use of it, organisations can evaluate their performance appraisal method with respect to the key features of it before implementing any method as well as expending extra costs. This framework is theoretical in nature, and is build based on a review of related literature. Keywords: Human Resource Management, Absolute Standards, Relative Standards, Objectives Approach, Simple Additive Weighting (SAW), Personnel Psychology

1. Introduction
One of the basic and major needs in any organization is to evaluate its employee’s performance contiguously and continually to find out whether they improve or not and know their situation in organization. There are many methods for performance appraisal which are suitable for different situations and organization’s characteristics. the major focus of enquiry for several authors (e.g. Freeman, 2002; Seddon, 2001; Wilson and Western, 2000; Randell, 1994; Segall, 1989; Long, 1986) has been examining why, in such a volatile environment, performance appraisal systems tend not to 92

European Journal of Social Sciences – Volume 7, Number 3 (2009) incorporate goals and the direction or strategic needs of the business, or the personal aspirations of the employees and their future development. The HR strategies adopted by an organization (Harris, 1994) may have an effect on the type of appraisal system adopted by an organization. The purpose of this paper is to present a framework for performance appraisal comparison and show how organization can use it. The purpose of this comparison can be summarized in two objects (Avison, 2006): 1. Academic purpose: for better understanding of nature of techniques in order to doing classifications and improving coming knowledge mapping 2. Practical purpose: to select a technique or part of one or more techniques for specific application or the whole of organization. There are many successful (Pettijohn et al., 2001b; Roberts & Reed, 1996; Pettijohn et al., 2001; Roberts, 2003; Shah & Murphy, 1995; Martey, 2002; Austin, 2008; Simmons, 2005; Ford, 2004; Khoury, 2004; Grifell-Tatjé, 2008) and unsuccessful (Blackmore, 2005; Shih, 2005; McAdam, 2005) cases because of suitable or unsuitable performance appraisal methods. In additional, Verbeeten (2008) argued that the definition of clear and measurable goals is positively associated with quantity and quality performance. The results suggest that the behavioral effects of performance management practices are as important as the economic effects in organizations. In this paper, in order to select an appropriate appraisal method, the Simple Additive Weighting (SAW) is...

References: [1] [2] [3] [4] [5] [6] [7] [8] [9] [10] [11] [12] [13] [14] [15] [16] [17] [18] Armstrong, M. 1998. Performance management: The new realities. London: Institute of personnel and development. Austin, Manila S. & Harkins, Debra A. 2008. Assessing change: can organizational learning “work” for schools? Journal of The Learning Organization, Vol. 15, No. 2, pp. 105-125. Avison, D. and Fitzgerald, G. 2006. Information Systems Development Methodologies, Techniques & Tools. 4th Edition, McGraw Hill. Azar, Fred S. 2000. Multiattribute decision-making: Use of three scoring methods to compare the performance of imaging techniques for breast cancer detection. Department of BioEngineering, Technical report MS-BE-00-01. Balcomb, J. D. and Curtner, A. 2000. MCDM-23: A multi-criteria decision making tool for buildings. Proceedings of International Conference on Sustainable Building, Maastricht, The Netherlands, pp. 219–221. Blackmore, Jacqueline A. 2005. A critical evaluation of peer review via teaching observation within higher education. International Journal of Educational Management. Vol. 19, No. 3, pp. 218-232. Boswell, W. R. and Boudreau, J. W. 2000. Employee satisfaction with performance appraisals and appraisers: The role of perceived appraisal use. Human Resource Development Quarterly, Vol. 11 No.3, pp. 283. Boswell,W. R. and Boudreau, J.W. 2002. Separating the developmental and evaluative performance appraisal uses. Journal of Business & Psychology, Vol. 16 No.3, pp. 391-412. Ching-Lai, H. and Kwangsun, Y. 1981. Multiple attribute decision making. New York: Springer Verlang, Berlin-Heidelberg. Decenzo, D. A. and Robbins, Stephen P. 2002. Human resource management. John Wiley and sons, 7th edition. Dessler, Gary. 2000. Human Resource Management, Prentice Hall, 8th edition. Dowling, P.J. and Welch, D.E. and Schuler, R.S. 1999. International Human Resource management. South-Western, Cincinnati, OH. Fiala P. and Jablonský J. and Maňas M. 1997. Vícekriteriální rozhodování. VŠE, Praha. Ford, D. K. 2004. Development of a performance appraisal training program for the Rehabilitation Institute of Chicago. Journal of European Industrial Training, Vol. 28, No. 7, pp. 550-563. Freeman, J. 2002. How to improve the effectiveness of performance management and appraisal by overcoming the root cause of the problem. The HRM Guide Network, available from: Greguras, G. J. and Robie, C. and Schleicher, D. J. and Goff, M. 2003. A field study of the effects of rating purpose on the quality of multisource ratings. Personnel Psychology, Vol. 56 No.1, pp. 1–21. Grifell-Tatjé, E. and Marques-Gou, P. 2008. Internal performance evaluation: the case of bank branches. International Journal of Service Industry Management, Vol. 19, No. 3, pp. 302-324. Harris, M. M. 1994. Rater motivation in the performance appraisal context: A theoretical framework, Journal of Management, 20(4): 737. 98
European Journal of Social Sciences – Volume 7, Number 3 (2009)
[19] [20] [21] [22] [23] [24] [25] [26] [27] [28] [29] [30] [31] [32] [33] [34] [35] [36] [37] [38] [39] [40] [41] Harris, M. M. and Smith, D. E., and Champagne, D. 1995. A field study of performance appraisal purpose: Research versus administrative-based ratings, Personnel Psychology, Vol. 48 No.1, pp. 151. Hoffman. 1995. Ten reasons why you should be using 360-degree feedback. HR Magazine, Vol. 40 No.4, pp.82-6. Hwang, Ch. L. and Yoon, K. 1981. Multiple Attribute Decision Making. Springer-Verlag, Berlin Heidelberg, New York, pp. 260. Ingham, Terry. 1995. Management by objectives: a lesson in commitment and co-operation. Managing Service Quality, Vol. 5 No. 6, pp. 35-38. Jawahar, I. M. and Williams, C. R. 1997. Where all the children are above average: The performance appraisal purpose effect, Personnel Psychology, Vol. 50 No.4, pp. 905. Jones, J.E and Bearley, W.L. 1996. 360° Feedback: Strategies, Tactics and Techniques for Developing Leaders. HRD Press, Armhurst, MA. Kavanagh, M. 1997. I simply want to know how well I am doing! Group and Organization Management, Vol. 22 No.2, pp.147-148. Khoury, Grace C. and Analoui, Farhad. 2004. Innovative management model for performance appraisal: the case of the Palestinian public universities, Journal of Management Research News, Vol. 27, No. 1/2. Long, P. 1986. Performance Appraisal Revised. London: Institute of Personnel Management. Martey, A.K. 2002. Appraising the performance of library staff in a Ghanaian academic library. Journal of Library Management, Vol. 23, No. 8/9, pp. 403- 416. McAdam, Rodney, Hazlett, Shirley-Ann and Casey, Ch. 2005. Performance management in the UK public sector. International Journal of Public Sector Management, Vol. 18, No. 3, pp. 256273. Mondy, W., and Noe, R. 2008. Human Resource Management. Prentice-Hall, 10th edition. Pettijohn, C. E., Pettijohn, L. S., and d’Amico, M. 2001. Characteristics of performance appraisals and their impact on sales force satisfaction. Journal of Human Resource Development Quarterly, 12(2): 127–146. Pettijohn, C., Pettijohn, L. S., Taylor, A. J., and Keillor, B. D. 2001. Are performance appraisals a bureaucratic exercise or can they be used to enhance sales-force satisfaction and commitment? Journal of Psychology & Marketing, 18(4): 337–364. Randell, G. 1994. Employee appraisal, in Sisson, K. (Ed.), Personnel Management: A Comprehensive Guide to Theory and Practice in Britain, Oxford: Blackwell Publishers Ltd. Robbins, S., Bergman, R., Stagg, I. and Coulter, M. 2000. Management, 2nd ed., Australia, Sydney: Prentice-Hall. Roberts, G. E. 2003. Employee performance appraisal system participation: A technique that works. Journal of Public Personnel Management, 32(1): 89. Roberts, G. E. and Reed, T. (1996). Performance appraisal participation, goal setting and feedback, Review of Public Personnel Administration, 16(4): 29. Seddon, J. 2001. Performance a miracle: praise the workers, The Observer, 11 March. Segella, L.J. 1989. Kiss appraisal woes goodbye. Journal of Supervisory Management, Vol. 34, December, p. 24. Shah, J. B., and Murphy, J. 1995. Performance appraisals for improved productivity. Journal of Management in Engineering, 11(2): 26 Shih, Hsi-An, Chiang, Yun-Hwa and Kim, 2005. Expatriate performance management from MNEs of different national origins. International Journal of Manpower, Vol. 26, No. 2, pp. 157-176. Shrestha, Shruti. 2007. Improving employee performance appraisal method through web-based appraisal support system: system development from the study on Thai companies. IEICE TRANS. INF. & SYST., Vol.E90–D, No.10, pp. 1621-1629. 99
European Journal of Social Sciences – Volume 7, Number 3 (2009)
[42] [43] [44] [45] [46] [47] [48] [49] [50] [51] [52] [53] [54] Simmons, John and Lovegrove, Ian. 2005. Bridging the conceptual divide: lessons from stakeholder analysis. Journal of Organizational Change Management, Vol. 18, No. 5, pp. 495513. Smith, P. N. 2006. Flexible aggregation in multiple attribute decision making: application to the kuranda range road upgrade, Cybernetics and systems: an international journal, Vol. 37, No. 1, pp. 1–22. Stone, R. 2002. Human Resource Management. 4th ed., Wiley, Brisbane. Taylor, E. K., and Wherry, R. J. 1951. A study of leniency in two rating systems, Personnel Psychology, Vol. 4, pp. 39–47. Tornow, W. 1993. Perceptions or reality: is multi-perspective measurement a means to an end? Human Resource Management, Vol. 32 No.2 and 3, pp. 221-229. Triantaphyllou, E. 2000. Multi-Criteria Decision Making Methods: A Comparative Study. Kluwer Academic Publishers, Dordrechet, pp. 290. Tyc O. and Holoubek J. 2004. Poznámky k problematice vícekriteriálního hodnocení konečného počtu variant. Proceedings of conference Kvantitativné metódy v ekonómii, SPU, Nitra. Verbeeten, Frank H.M. 2008. Performance management practices in public sector organizations. Accounting, Auditing & Accountability Journal, Vol. 21, No. 3, pp. 427-454. Wiese, Danielle S. and Buckley, M. Ronald. 1998. The evolution of the performance appraisal process. Journal of Management History, Vol. 4 No. 3, pp. 233-249. Wilson, J.P. and Western, S. 2000. Performance appraisal: an obstacle to training and development? Journal of European Industrial Training, Vol. 24 No. 7, pp. 384-91. Winston and Creamer, 1997. Performance Appraisal. Available from: Yukl, G and Lepsinger, R. 1995. How to get the most out of 360° feedback. Training, Vol. 32 No.12, pp.45-50. Zavadskas, E. K. and Kaklauskas, A. 1996. Systemotechnical evaluation of buildings (Pastatų sistemotechninis įvertinimas). Vilnius: Technika, pp. 280 (in Lithuanian).
Continue Reading

Please join StudyMode to read the full document

You May Also Find These Documents Helpful

  • performance appraisal process Essay
  • Performance Appraisal of Hrm Essay
  • Hrm Performance Appraisal Essay
  • Performance Appraisal Essay
  • Hrm Performance Appraisal Essay
  • Performance Appraisals Essay
  • Performance Appraisal Essay
  • Performance management & Performance appraisal Essay

Become a StudyMode Member

Sign Up - It's Free