Some techniques for evaluating employee performance.
Employee performance evaluation is a key factor to inspire the employees, improve the quality of work, and keep them motivated. It is not only the best channel to understand how the employees are performing, but also a compelling measure to get feedback about how business is operating, whether the employees are working positively towards achieving the organizational goals, and what can do to improve employee engagement. It also provides a foundation for determining increments and succession plans for employees and the development of an organization.
A comprehensive employee performance evaluation process often consists of different evaluation methods to help judge an employee’s performance. Using multiple techniques can help you get a broader perspective of the areas where the staff needs to improve and the steps that can take to support the growth of the employees.
As opposed to the common belief, an employee engagement evaluation process is not only beneficial to the organization, but also for the employees.
Objectives of performance appraisal
The main objective of performance appraisal is to measure and improve the performance of employees and increase their future potential and value to the company. Performance Appraisal can be generally categorized into two groups: Traditional (Past oriented) methods and Modern (future oriented) methods. Other researchers have classified the existent methods to three groups; absolute standards, relative standards and objectives. But in this paper I include top 4 methods and techniques for evaluating employee performance.
A self-evaluation requires an employee to judge his or her own performance against predetermined criteria. Usually, the self-evaluation is taken into consideration during an official performance review to allow for a more thorough discussion and to ensure employees understand how they will be judged.
2. Quantitative evaluation
Quantitative evaluation is based upon statistics and uses various standards to track productivity. The process begins with the formulation of company standards against which employee’s data can be measured. It is critical to lay out standards in clear and precise terms without ambiguity, leaving no chance for misinterpretation.
3. 360-Degree Feedback
As the name suggests, a 360-degree feedback review provides a comprehensive look at an employee’s performance by pulling feedback from outside sources. The employee and his or her manager will still complete an assessment of the employee’s work performance and technical skill set, but this review method also includes feedback from peers, direct reports, and/or non-direct supervisors with whom the employee works regularly. Additionally, 360-degree feedback reviews can include an evaluation of the employee’s character and leadership skills.
4. Ratings Scale
A ratings scale/grading system is probably the most commonly used performance review method. This method is based on a set of employer-developed criteria which can include behaviors, traits, competencies, or completed projects against which employees are judged. The employer assigns each criterion a numerical value, usually on a ten- or five-point scale. A word of caution to employers using this method: be sure your employees fully understand where success and failure fall on the scale. Some employees will consider a three-out-of-five to be merely average, but you may consider it to be above satisfactory. So, be sure to properly set expectations, especially if you require a self-evaluation.
According to Adnan Shaout, in his Performance Evaluation- Methods and Techniques Survey; he said, Employee performance is related to job duties which are expected of a worker and how perfectly those duties were accomplished. Many managers assess the employee performance on an annual or quarterly basis in order to help them identify suggested areas for enhancement. Performance appraisal (PA) system depends on the type of the business for an organization. I deeply agreed with his statement. And also he said in his article performance appraisal aims to recognize current skills’ status of their work force also he explained 10 performance appraisal methods that we can use to evaluate employee performance; with great explanation. In his survey he concluded that there are several/many methods that were utilized for performance appraisal. He said, it is very hard to state which method is better to use than others since it depend on the type and size of business. Every method has its own pros and cons. In his survey he had covered and classified many multi criteria decision. I would like to say it totally true. The methods depend on the types of the business and size of the business also required.
Performance evaluations are one of the most important communication tools an organization can use. They need not be complicated; they just need to be done. Performance evaluations benefit both employee and employer. It is a time to provide feedback, recognize quality performance and set expectations for future job performance. It is also a time to have candid conversations about performance that is lacking and how performance can be improved. Ongoing performance discussions can assist in avoiding serious problems in the future.
A few basic tips make evaluations successful. Conduct evaluations on all employees on a regular schedule, at least annually, so employees know it is a regular part of their employment. Prepare in advance looking back at the employees’ performance over the entire review period so you can discuss their performance in a meaningful way. Give employee notice so they can also be prepared to discuss issues or concerns. Share the floor by allowing the employee equal time to talk. Don’t dread the process; enjoy the opportunity to talk with your employees about how both they and your organization can be successful.