Making Performance Appraisals work for you

Performance Appraisals do not work. That seems to be the conclusion of many authors including Deming and Drucker. They have proposed various alternatives around the concept to make it work.

During the last few years, we have studied the utilization of the various performance management programmes used by organizations and the software programmes available. There is little doubt that organizations struggle to implement a precise process which will best reflect their organization’s goals, culture, and desired management style. Most organizations have difficulty with the performance management programme or the software. This leads to organizations designing a process around the system features and capabilities.

The rapid growth of performance management off the shelf software is creating quite a bit of difficulty for organizations. Research organizations studying HR systems believe a major shift is taking place. While enterprise systems are being gradually edged out because of the availability of software as a service, the main focus today seems to hinge on making the performance appraisal relevant for an organization.

Seven core processes

Performance management software systems revolve around automating the seven core processes which organizations use: 

1.    Goal development (also known as key performance indicators or KPI; sometimes also confused with objectives),

2.    Goal alignment,

3.    Self-assessment,

4.    Superior assessment,

5.    360 assessment,

6.    Competency development, and

7.    Development planning. 

Unfortunately, they don’t really help organizations decide how the performance appraisal process itself will work. This is ultimately the most important issue of all.

We will discuss this in our next post.

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