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TitlePerformance Appraisal Literature Review
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Table of Contents
                            Literature Review
                        
Document Text Contents
Page 4

II. Introduction

Performance evaluations have been conducted since the times of Aristotle (Landy,Zedeck,
Cleveland, 1983). The earliest formal employee performance evaluation program is thought to
have originated in the United States military establishment shortly after the birth of the republic
(Lopez, 1968). The measurement of an employee’s performance allows for rational
administrative decisions at the individual employee level. It also provides for the raw data for the
evaluation of the effectiveness of such personnel- system components and processes as recruiting
policies, training programs, selection rules, promotional strategies, and reward allocations
(Landy,Zedeck, Cleveland, 1983). In addition, it provides the foundation for behaviorally based
employee counseling. In the counseling setting, performance information provides the vehicle
for increasing satisfaction, commitment, and motivation of the employee. Performance
measurement allows the organization to tell the employee something about their rates of growth,
their competencies, and their potentials. There is little disagreement that if well done,
performance measurements and feedback can play a valuable role in effecting the grand
compromise between the needs of the individual and the needs of the organization (Landy,
Zedeck, Cleveland, 1983).

III. Purpose

Performance appraisals should focus on three objectives: performance, not personalities; valid,
concrete, relevant issues, rather than subjective emotions and feelings; reaching agreement on
what the employee is going to improve in his performance and what you are going to do
(McKirchy, 1998). Both the supervisor and employee should recognize that a strong relationship
exists between training and performance evaluation (Barr, 1993). Each employee should be
allowed to participate in periodic sessions to review performance and clarify expectations. Both
the supervisor and the employee should recognize these sessions as constructive occasions for
two-way communication. Sessions should be scheduled ahead of time in a comfortable setting
and should include opportunities for self-assessment as well as supervisor feedback. These
sessions will be particularly important for new employees who will benefit from early
identification of performance problems. Once these observations have been shared, the
supervisor and employee should develop a mutual understanding about areas for improvement,
problems that need to be corrected, and additional responsibilities that might be undertaken.
When the goals are identified, a plan for their achievement should be developed. The plan may
call for resources or support from other staff members in order to meet desired outcomes. In
some cases, the plan might involve additional training. The supervisor should keep in contact
with the employee to assure the training experiences are producing desired impact (Barr, 1993).
A portion of the process should be devoted to an examination of potential opportunities to pursue
advancement of acceptance of more complex responsibilities. The employee development goals
should be recognized as legitimate, and plans should be made to reach the goals through
developmental experiences or education (Barr, 1993). Encouraging development is not only a
supervisor's professional responsibility, but it also motivates an employee to pursue additional
commitments. In addition, the pursuit of these objectives will also improve the prospect that
current employees will be qualified as candidates when positions become available. This
approach not only motivates current performance but also assists the recruitment of current
employees as qualified candidates for future positions (Barr, 1993). How to arrive? Reasons why

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