The developmental approach to performance appraisal has been related to employees as individuals. This approach has been concerned with the use of performance appraisal as a contributor to employee motivation, development, and human resources planning. The developmental approach contained all of the traditional overall organizational performance appraisal purposes and the following additional purposes:
- Provided employees the opportunity to formally indicate the direction and level of the employee’s ambition.
- Show organizational interest in employee development, which was cited to help the enterprise retain ambitious, capable employees instead of losing the employees to competitors.
- Provided a structure for communications between employees and management to help clarify expectations of the employee by management and the employee, and
- Provide satisfaction and encouragement to the employee who has been trying to perform well.
Who are Appraisers?
The appraiser may be any person who has thorough knowledge about the job content, contents to be appraised, standards of contents and who observes the employee while performing a job. The appraiser should be capable of determining what is more important and what is relatively less important. He/She should prepare reports and make judgments without bias. The typical appraisers are: supervisors/immediate officer, peers, subordinates, employees themselves, users of service and consultants. The systematic appraisals are conducted on a regular basis, say for example, every six months or annually, whereas the informal appraisals are conducted whenever the supervisor or concern authorities feel necessary.
The performance appraiser supposed to possess the following skills while involving in the performance appraisal system.
- Set specific goals for every job with due consultation of respective employee where appraisal is required.
- Identify paths to reach goals, analyze job and related problems.
- Continuously monitor and improve staff performance.
- Be trained in conducting effective performance appraiser in the areas of setting objectives, and giving feedback.
- Be aware of potential for bias and counteract tendencies- stereotype, halo, central tendency and so on.
- Need to have extensive information about jobber on whom the performance appraisal is made.
What should be rated?
The seven criteria for assessing performance are:
- Quality – The degree to which the process or result of carrying out an activity approaches perfection.
- Quantity – The amount produced, expressed in monetary terms, number of units, or number of completed activity cycles.
- Timeliness – The degree to which an activity or a result produced.
- Cost effectiveness – The degree to which the use of the organization’s resources – human, monetary, technological and material.
- Need for supervision – The degree to which a job performer can carry out a job function without supervisory assistance.
- Interpersonal impact – The degree to which a performer promotes feelings of self-esteem, goodwill and co-operation among co-worker and subordinates.
- Training – Need for training for improving his skills knowledge.
The above criteria relate to past performance and behavior of an employee. There is also a the need for assessing the potential of an employee for future performance, particularly when the employee is tipped for assuming greater responsibilities.