Appraisals, Promotions

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• Appraisals, Promotions Dismissals
• TMB Ch. 9

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Warm Up..

• Why are appraisals, promotions and dismissals
  even studied in the context of team dynamics?
• What type of appraisal is the most difficult to
  conduct?
• How do you handle disciplinary action, demotion
  or dismissals?
• Can you name any legal implications for
  appraisals, promotions, and dismissals?
• What are some of the human errors in rating
  employees?
• How did you feel about your last performance
  eval? Was it good? Fair? Wrong? Demotivating?

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Appraisals and Evals of Performance

• Performance Appraisal is a way to
• Measure performance against a set of standards.
• Let workers know how they are doing.
• Looks at the potential promise for development.
• Looks at past performance as guides for
  improvement and successes.
• Tom Peters says this
• Appraisals must be constant, not just annually or
  semi-annually.
• An appraisal should be time consuming.
• Small number of performance categories.
• Make it simple.forms and procedures.
• Make them straightforward emphasizing what you
  want to happen.
• Make the pay decisions public.
• Make formal appraisal a small part of overall
  recognition.

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Why Even Rate People?

• Lets face itisnt it about the last
  page of the appraisal that you turn to first?
• Appraisals can be sorted into three purposes
• The Administrative Purpose
• Allocates the resources of the organization by
  deciding who will be promoted, transferred, or
  fired.
• Increases in salaries are often determined by
  appraisals.
• The Informative Purpose
• Lets the employee know whether or not management
  thinks that he/she is doing a good job.
• What the company expects and what the employee
  expects from the company.
• What aspects of the work the supervisor feels
  needs more improvement.
• Gets the employee ready for the next step,
  possible promotion, celebrates successes.
• The Developmental Purpose
• Most important aspect from the employees point
  of view.
• People need to know how theyre doing so they can
  develop strengths and work on weaknesses.
• This is the part of the appraisal that is often
  lacking..the developmental plan.

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Advantages of Performance Appraisals

• Provides a medium through which the employee
  knows that he/she will be evaluated.
• Motivates the employee by providing feedback on
  how he/she is doing.
• Gathers data for management decisions concerning
  merit increases, promotions, transfers, and
  dismissals.
• Provides constructive information.
• Allows for quicker discovery of good and bad
  performance.
• Forces the manage to recognize and deal with poor
  performance.
• Encourages superiors to communicate their
  judgments of employee performance to
  subordinates.

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Disadvantages of Performance Appraisals

• A great deal of time and work is demanded.
• Varying standards and ratings may be unfair.
• Replacement of organizational standards with
  personal values and biases may occur.
• Ratings may not be communicated to employees.
• There may be resistance and avoidance of making
  formal appraisals, particularly when critical
  judgments are involved.

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Take a Look at The Appraisal Interview

• Can be either unpleasant or satisfying for the
  manager, depending on how the employees
  performance has been.
• Also depends on how well the manager is prepared
  and how the interview is conducted.
• 4 parts to the appraisal interview
• Preparing for the Interview
• Opening the Interview
• Co-directing the Interview
• Ending the Interview

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Preparing for the Interview

• Get them advance notice.set the date, time,
  length needed, etc.
• Put a lot of detail into the eval.
• Be prepared to show your thoughts, break them
  down with the employee.
• Justify each item marked on the appraisal.
• Ask the employee to prepare ahead of time.
• Make the discussion flexible, lots of interaction
  and discussion.
• Schedule it for the morning, no distractions,
  comfortable, no barriers.
• Q What has been your organizations experience
  in these areas?

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Opening the Interview

• Open it up with some dialoguemake it a fun
  experience.
• Make sure they know the purpose of the appraisal.
• If performance has been outstanding, make it
  known right away!
• This also assists if you need to make
  constructive criticisms.
• Emphasize the future development needs of the
  employeewhat are their goals, plans, etc?
• If there needs to be serious development issues,
  address those as positives..after all, youve
  probably already discussed these earlier.
• Q Briefly describe a time when the opening of
  an eval for you wasnt as
• good as it could be. Not because of
  performancebut other reasons.

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Co-Directing The Interview

• Q Who directs the course of the appraisal?
• Not just a one-way street, both have something
  to contribute.
• The manager should encourage the employee to talk
  about him/herself.
• Self-evals are good ways to learn.why?
• You must let the employee know where they are
  falling short, and how to improve.
• Its a joint problem solving meeting..but
• Can the employee evaluate the manager?

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Ending The Interview

• When the manager has said what they need to
  say/clarify.
• When the employee has had a chance to review the
  appraisal and issues of concern.
• Manager must also reassure the employee that it
  doesnt stop here. Why?

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Look at some Appraisal Techniques

• Biggest area of concern is to keep the appraisal
  goal oriented.
• Graphic Rating Scale
• Ideally use the same form so that everyone is
  being judged against the same criteria.
• However, it doesnt give a complete picture of
  the persons performance and development
  potential.
• Most popular..

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Appraisal Techniques

• Critical Incident Technique
• Manager records actual good or bad behavior,
  noting examples of judgment.
• Makes for a great deal of time.
• Perhaps a bit stressful on the person being
  appraised.
• Essay Appraisal
• Manager writes a paragraph or more about the
  employees strengths and
• weaknesses, quality/quantity of work, skill
  knowledge and value.
• But, who likes to write? Multiple employees?
• More negative written thoughts can distract from
  the rest of the appraisal.
• Ranking
• Compares the employee with other employees.
• Could be used for several employees all trying
  for the same promotion.
• Perhaps use for downsizing times.
• Creates jealousy, rivalry, low morale.

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Appraisal Techniques

• 360-Degree Feedback
• Solicits feedback from all stakeholders or a
  specific group.
• Could include info on peers, subordinates,
  supervisors, etc.
• Examples of 360s
• Field Reviews- Appraisal by a group rather than
  by an individual.
• Fair, but time consuming.
• Peer Appraisals- Opinions and factual
  information from peers regarding an
• individuals performance.
• (ex) New manager needs information on a certain
  employee for a review.
• This appraisal tends to drive home the point as
  its your peers doing the review.
• Upward Appraisals- Obtain feedback from
  subordinates about the boss.
• Must be a large degree of trust, so no
  retaliation.
• Self-Appraisals- Employees create a dialogue
  about their performance.
• Its timely information, they take more
  responsibility, gives the manager a tool.
• Q Do you have any experience with these
  concepts?

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Appraisal Techniques

• Management by Objectives (MBO)

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Appraisal Techniques

• Behaviorally Anchored Rating Scales (BARS)
• Identifies expectations of performance in
  specific behavioral terms
• Job Office Support Clerk
• Measurement Interpersonal Behaviors
• Performance Behavioral Anchor
• Unacceptable Clerk is rude, just a big meany.
• Very Poor Argues with customers, even insults
  them.
• Poor Doesnt answer the phone by two rings.
• Good Listens well..without being a big meany.
• Very Good High-quality treatment of customers.
• Outstanding Always polite, courteous, even when
  faced with a
• big meany customer.

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Appraisal Techniques

• Paperless Performance Reviews
• Log employee progress on-line, 24-hours, over an
  established time frame.
• Employee has even more ability to participate in
  the goal setting.
• All data is stored in the employees personnel
  file (performance history).
• Accessible by the manager or employee at any
  time.

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Lets Discuss.

• Groups of 5
• So, what kinds of performance appraisal
  techniques are used in the organization you work
  for or where someone you know works?
• How effective are these appraisal techniques?
• Discuss what type of appraisal you believe to be
  the most effective.
• Be Prepared To Share in class

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Avoid Biases When Rating Employees

• Halo Effect-
• Since an employee is above average in one area,
  they must be in all areas.
• Can also work in reverse, if a worker can
  sometimes be a big meany, we
• assume that he/she is an efficient worker.
• Personal Bias-
• Prejudices, preferences given to one particular
  race, same age.
• Intelligent or good looking employees may receive
  better ratings.
• Or, some managers, aware of their biases, or
  others biases, may give more
• merit that is deserved to those who really
  havent earned it.
• Central Tendency-
• Use similar ratings for all employees, treat
  everyone as average.
• Unfair to the outstanding performers as well as
  those who need criticism.
• I use the same form and ratings, but just change
  the name.
• Recency Bias-
• When an employee receives a higher or lower
  appraisal depending on his/her most recent
  performance.
• What happened in the past week or
  month?.....justifies the entire year.

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Promotions

• Q What does a promotion mean to you?
• Promotions usually result in
• More responsibility
• More authority
• More hours
• More communication
• More meetings
• More learning
• More development
• More management skills to acquire
• Does it mean more money? Not always..

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Types of Promotions

• Merit Promotions-
• Based on past performance rather than on the
  ability to perform the duties.
• The best performing employee should be advanced
  if that person wants to.
• Q Is this a good idea? Why or why not?
• Ability Promotions-
• Based on the potential that an employee has to
  hold an advanced position.
• In giving these out, its important to look at
  the ability and the potential to
• perform well in advanced jobs.
• Are promotions for everyone? Can someone just be
  the systems operator?
• Avoid the Peter Principle
• The act of promoting someone out of his/her area
  of competency into a position of incompetence.
• High cost to the person and the organization.

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Lets Practice

• Turn to page 195 in TMB
• Groups of 5
• Read Case Study 9-1
• Promotion Based on Supervisory Characteristics
• Answer questions
• Be Prepared To Share in class

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Disciplinary Actions

• A method for achieving desired state of order for
  groups/organization.
• Several steps
• Oral warning, written warning, suspension/decision
  day, termination.
• Avoid disciplinary actions by
• Smart hiring
• Good performance appraisals that are clear and
  fair
• Training/Development programs
• Rewarding performance

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4 Worst Disciplinary Mistakes of a Supervisor

• 1. Being inconsistent.
• 2. Losing control of emotions allowing temper
  to flare.
• 3. Avoiding any disciplinary action entirely.
• 4. Playing the role of buddy instead of leader.
• Before moving onto disciplinary actions, be sure
  of the following
• Employees have been given advance notice of
  disciplinary action.
• Disciplinary rules are reasonable.
• Offenses have been properly investigated.
• Investigations are conducted objectively.
• Rules are enforced equally.
• Penalties are related to the severity of the
  offenses.

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Demotions and Dismissals

• Q Is it safe to say that an employee is usually
  aware that they are not
• performing to company expectations?
• No need to be verbally abusive, put up your dukes
  and be a big meany as a
• manager under these circumstances!
• Make clear statements about the poor performance
  using actual incidents.
• Remember, its the performance that is
  unacceptable, not the employee.
• A demotion is not a dismissal.
• Be honestready to care, support and re-build.
• Q What has been your experience in this area?

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Terminations.Consider This Before It Happens.

• Has HR been consulted?
• Is there an employment contract?
• What is the employees history with the company?
• Is the employee in any categories protected by
  fed/state/local law?
• How long has the employee worked for the
  organization?
• Does the employee have any disability issues?
• Has the employee made any complaints of
  discrimination or harassment to
• the organization or fed/state/local agencies?
• Has the employee recently complained about an
  illegal activity within the organization?
• Has the employee assisted another employee with a
  claim of discrimination or harassment?
• What reason(s) for termination will the
  organization articulate if a dispute or
  litigation arises?
• How strong is the evidence of the event that
  triggers the termination?
• How strong is the documentation of previous
  disciplinary warnings, if any?
• What do the employees performance
  evaluations/personnel file say?
• Has the organizations own performance management
  policy been reviewed?
• Would an objective outsider agree that there is
  enough documented cause for discharge?

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More To Consider Before Making The Final Decision

• Adverse Publicity-
• Organizational Failure-
• Impact on Employee Morale-
• Was it the Supervisor-
• Impact on Non-Job Factors-
• Employee Efforts to Address the Problem-

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Termination Do Nots..

• Do Not..mention protected class status. Why?
• Do Not..counsel the employee. Why?
• Do Not..apologize to the employee. Why?
• Do Not..argue with the employee. Why?

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Termination Meeting Dos.

• Do draft an outline of things to be covered.
• Do treat the employee with dignity. This meeting
  can be humiliating.
• Do have at least two employer representatives
  present.
• Do schedule at least 10 minutes for the meeting,
  no interruptions.
• Do explain briefly and clear.
• Do explain benefits continuation and have
  paycheck ready.
• Do collect all company property. Try to avoid a
  trip to the desk.
• Do arrange to block computer and building access.

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Workforce Reductions

• Several examples
• Attrition-
• Induced Retirements-
• Selective Dismissals-
• Layoffs-

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Ethical Legal Issues

• People want to be treated fairly.
• Guidelines to assist with keeping us in line
• Give clear instructions and warnings.
• Apply all personnel policies equally.
• Post job openings, and consider every qualified
  employee.
• Provide equal training opportunities and
  counseling.
• Take the employees viewpoint into consideration.
• Promote an open door policy.
• Establish a climate of trust!
• Let employees see that you treat people fairly!