Performance Measurement-Noe-Ch7

1

CHAPTER 7
Performance Management
IRWIN

• a Times Mirror Higher Education Group, Inc.,
  company, 1997

2
An Organizational Model of Performance Management
Organizational Strategy
Long Short term goals and values
Individual Attributes (skills,abilities)
Individual Behaviors
Objective Results
Situational Constraints - Culture - Economic
conditions
IRWIN

• a Times Mirror Higher Education Group, Inc.,
  company, 1997

3
Analyzing Performance Problems
Desired Performance
Actual Performance
Is Difference Significant?
Whats the Cause?
Lack of Knowledge/Skill
Lack of Execution
- Feedback - Motivation - Task Interference
How TO CORRECT?
4
Job Performance MeasureContamination, Validity
and Deficiency
Job Performance Measure
Actual Job Performance
Contamination
Deficiency
Validity
IRWIN

• a Times Mirror Higher Education Group, Inc.,
  company, 1997

5
WHY Measure Performance?
The purposes are

• Strategic
• Administrative
• Developmental

IRWIN

• a Times Mirror Higher Education Group, Inc.,
  company, 1997

6
Performance Appraisal
Developmental
Administrative
Information for pay increases promotions terminat
ions
PURPOSE
Improve Performance
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

7
WHAT HOW ?
Performance Measurement Approaches

• Comparative
• ranking
• forced distribution
• paired comparison
• Attribute
• graphic rating scales
• mixed standard scales
• Behavioral
• critical incidents
• BARS
• BOS
• OBM
• assessment centers
• Results
• MBO
• ProMES
• Total Quality Management

IRWIN

• a Times Mirror Higher Education Group, Inc.,
  company, 1997

8
Comparison of Approaches to Performance
Measurement
Strategic Congruence
Approach
Validity
Reliability
Acceptability
Specificity
poor
Modest
Modest
high
very low
Comparative
low
low
low
high
very low
Attribute
good
high
high
moderate
very high
Behavioral
very high
high
high
high
high
Results
very high
high
high
high
high
TQM
IRWIN

• a Times Mirror Higher Education Group, Inc.,
  company, 1997

9
WHO?

• Supervisors
• Peers
• Subordinates
• Self
• Customer

IRWIN

• a Times Mirror Higher Education Group, Inc.,
  company, 1997

10
Errors in Performance Measurement

• Rater Errors
• Similar to me
• Contrast
• Distributional errors
• Halos / Horns

IRWIN

• a Times Mirror Higher Education Group, Inc.,
  company, 1997

11
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

12
Legal Requirements ofPerformance 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