Performance Appraisal

Performance Appraisal Appraisals! The times when employees look forward to a salary raise and a profile promotion and the bosses, may be, not quiet so. Most feel that for superiors, this is the real time to look own mistakes and plan for future’s projection. This day, your boss reminds you again for all the times you failed to deliver! On a more serious node, appraisals mean reviewing your past performance and providing you feedback comments for improvements; so that own could get improve own skills and capabilities. Appraisal measurement varies from company to company. The important thing that appraisal is as much about company’s future projection and your future performance as they are about your past performance. What is performance? I believe in Performance = (Required Skill for job)*Motivational Inputs*Dedication Motivational inputs: Pay Check Future Growth Prospects Learning Job Responsibility Power to take decision Guidance from superiors Corporate Enviourment Immediate Boss Team Culture Now the question arises – How can we design an ideal performance appraisal model that could help both parties for mutual growth? It’s acceptable globally that no company can grow with a consistent pace for long term until it don’t have satisfied work force. I believe in 2 categories of performance appraisal 1. First Performance Appraisal of an employee in a company 2. Following Performance Appraisal of an employee in a company First Performance Appraisal of an employee in a company This is most important and crucial for both; company as well as employee. This process may makeup employees mind dedicated for company or may de motivate him. It’s some thing like first impression of corporate dedication for employee satisfaction.Most un professional approach, I noticed in some small companies is to fix a appraisal range for different level in organization hierarchy. Its typical traditional centralized things which create a hurdle in growth of both employees and company. I met with number of service class professionals and found them to say “our company will appraise amount ‘a’ if we work extra ordinary but if we work average than we can easily get amount ‘b’ with out any tension”. I must say, if companies have such force, than it may grow but growth rate will be a question. In this competitive time; company should try to get 100% from an employee. Company should keep following points during appraisal; this is what I think – 1. If an employee is not satisfied with the appraisal given then there should be grievance resolution mechanisms to sort out the concerns. 2. The appraiser can be asked to list out specific details of performance appraisal with examples relating to why such a rating was given. Now the question comes what should be consider and how should calculate appraisal amount in first performance appraisal. I believe in following equation Pay Check after Appraisal = Current Salary + ‘X’ + ‘Y’ “X” -> Salary justification with performance from joining to till date. It should be on basis on returns, dedication, initiatives, capabilities and skill for assigned work “Y” -> Motivational amount for future projections; it should be on basis of involvement, profile, future projection and expectation from that candidate. Why we need ‘X’ and ‘Y’ components ‘X’ Component: This is competitive market and changing so frequently. One of the crucial processes for an organization is to get dedicated and smart work force. We usually see hire and fire in companies and un-satisfied work force all around. As a result complete loose – loose condition. Here we need a model that could give a space to both of them and could justify actual outcome. Generally we see, some of the capable candidates don’t get a job because of their relatively poor performance in 5 minutes interview fight. It’s really so difficult to judge a candidate, his vision, approach, attitude and aptitude in 5 minutes time. If some one tells this than sorry to say but I don’t believe him (honestly). Companies hire a candidate at a package at which responsible person thinks suitable for that candidate but more than 70% of times they internally believe its not correct, either they offered low to candidate or high. First performance appraisal is a platform when companies rectify re think its decision. ‘X’ factor gives them facility to do same. ‘X’ factor means to rectify individual’s pay check on his performance; it may be positive or negative by nature and puts that individual performance on track. For example; if company evaluated a candidate lesser in interview and hired at lesser package but that candidate proved him and his excellence by his performance than he deserve extra mileage and should not be treated or evaluated on traditional appraisal pattern. This practice may affect his performance and dedication for the company that is again not good for growth of both parties. Measurement Parameters of ‘X’ Component: Attitude towards job related responsibilities Attitude toward company and its growth Job related required capabilities, knowledge, experience and skills Involvement in job related problem its solutions Positive Involvement in non job related matters Willingness toward Initiatives Team Co-ordination Sensitivity toward professional corporate culture Sensitivity for required changes Dedication towards assigned work, its output and companies growth ‘Y’ Component: ‘Y’ component is same at which companies generally evaluate candidate in appraisal time. This factor should be evaluated on candidate’s role in future projections with addition to past performance and consistency. The difference between ‘X’ component and ‘Y’ component is “’X’ component justify his paycheck and ‘Y’ component motivates him for dedication and satisfaction.” 2. Following Performance Appraisal of an employee in a company Apart of first, in following appraisal ‘X’ factor replace by consistency in performance because this is a time when company has already justified his basic performance and should think now it’s the time to evaluate fluctuations in performance consistency or performance enhancement. Ideal phase is to look at performance growth rate rather than performance growth only. Central Idea: Satisfied work force is key to success in this highly competitive scenario. Employee retentions have been a headache for small and big both companies but smartly and transparent performance appraisal can remove your stress up to a large extent. Employee would be satisfied if they will get justice of their work performance and companies will be grow faster if they will have dedicated and satisfied work force. Evaluation of others needs; always support mutual coordination.