CHAPTER 7 Performance Management IRWIN a Times Mirror

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CHAPTER 7 Performance Management IRWIN ©a Times Mirror Higher Education Group, Inc. , company,

CHAPTER 7 Performance Management IRWIN ©a Times Mirror Higher Education Group, Inc. , company, 1997

An Organizational Model of Performance Management Organizational Strategy Long & Short term goals and

An Organizational Model of Performance Management Organizational Strategy Long & Short term goals and values Individual Attributes (skills, abilities) Individual Behaviors Situational Constraints - Culture - Economic conditions IRWIN ©a Times Mirror Higher Education Group, Inc. , company, 1997 Objective Results

Analyzing Performance Problems Desired Performance Actual Performance Is Difference Significant? What’s the Cause? Lack

Analyzing Performance Problems Desired Performance Actual Performance Is Difference Significant? What’s the Cause? Lack of Knowledge/Skill Lack of Execution - Feedback - Motivation - Task Interference How TO CORRECT?

Job Performance Measure: Contamination, Validity and Deficiency Job Performance Measure Contamination IRWIN ©a Times

Job Performance Measure: Contamination, Validity and Deficiency Job Performance Measure Contamination IRWIN ©a Times Mirror Higher Education Group, Inc. , company, 1997 Actual Job Performance Validity Deficiency

WHY Measure Performance? The purposes are: • Strategic • Administrative • Developmental IRWIN ©a

WHY Measure Performance? The purposes are: • Strategic • Administrative • Developmental IRWIN ©a Times Mirror Higher Education Group, Inc. , company, 1997

Performance Appraisal Developmental Administrative PURPOSE: Improve Performance Information for: pay increases promotions terminations BASIS

Performance Appraisal Developmental Administrative PURPOSE: Improve Performance Information for: pay increases promotions terminations BASIS FOR COMPARISON : Absolute Standard Relative Standard APPRAISAL TECHNIQUE : Results - Oriented BARS Rating Scale ROLE OF MANAGER : Counselor Judge IRWIN ©a Times Mirror Higher Education Group, Inc. , company, 1997

Performance Measurement Approaches WHAT & HOW ? • • IRWIN ©a Times Mirror Higher

Performance Measurement Approaches WHAT & HOW ? • • IRWIN ©a Times Mirror Higher Education Group, Inc. , company, 1997 • Comparative – ranking – forced distribution – paired comparison Attribute – graphic rating scales – mixed standard scales Behavioral – critical incidents – BARS – BOS – OBM – assessment centers Results – MBO – Pro. MES Total Quality Management

Comparison of Approaches to Performance Measurement Approach Strategic Congruence Validity Reliability Acceptability Specificity poor

Comparison of Approaches to Performance Measurement Approach Strategic Congruence Validity Reliability Acceptability Specificity poor Modest high very low Attribute low low high very low Behavioral good high moderate very high Results very high high TQM very high high Comparative IRWIN ©a Times Mirror Higher Education Group, Inc. , company, 1997

WHO? • • • IRWIN ©a Times Mirror Higher Education Group, Inc. , company,

WHO? • • • IRWIN ©a Times Mirror Higher Education Group, Inc. , company, 1997 Supervisors Peers Subordinates Self Customer

Errors in Performance Measurement Rater Errors • • Similar to me Contrast Distributional errors

Errors in Performance Measurement Rater Errors • • Similar to me Contrast Distributional errors Halos / Horns IRWIN ©a Times Mirror Higher Education Group, Inc. , company, 1997

Improving Performance Feedback • • Give feedback daily Have employee do self-evaluation before session

Improving Performance Feedback • • Give feedback daily Have employee do self-evaluation before session Encourage participation during session Praise effective performance Focus on solving problems Focus feedback on behavior or results Minimize criticism Set specific goals and a date to review progress IRWIN ©a Times Mirror Higher Education Group, Inc. , company, 1997

Legal Requirements of Performance Management Systems • • Conduct a valid job analysis related

Legal Requirements of Performance Management Systems • • Conduct a valid job analysis related to performance Base system on specific behaviors or results Train raters to use system correctly Review performance ratings and allow for employee appeal • Provide guidance / support for poor performers IRWIN ©a Times Mirror Higher Education Group, Inc. , company, 1997