Performance Appraisal: Critical Analysis of Traditional and Modern Approaches

Performance Appraisal

Critical Analysis of Performance Appraisal Module
Traditionally, in many companies, HR manager uses the classical approach
for measuring employee performance. Thus there are several methods to
perform this job, out of which two are discussed as follows:
•Ranking Method
•Rating Scale Method
Selden, S. and Sowa, J. E., 2011. Performance management and appraisal in human
service organizations: Management and staff perspectives. Public Personnel
Management. 40(3). pp.251-264.

Cont..
RANKING METHOD- HR manager compares the employee's performance
with that of other employees rather than measuring it with the set standard.
Here 5 parameters are set on which ranks are allotted that is Excellent, above
average, average, below average and poor. Based on this, groups are made
where top rankers are rewarded and low rankers are given punishment.
RATING SCALES METHOD- In this, manager gives rate on the 5 point or 10
point scales depending upon the job of employees under various traits that is
attitude, performance, regularity, accountability and sincerity. On this scale, 1
depicts negative feedback and 10 depicts positive feedback.
Moynihan, D. P. and Pandey, S. K., 2010. The big question for performance
management: why do managers use performance information?. Journal of public
administration research and theory. 20(4). pp.849-866.
Rating Scales in Performance Appraisal. 2010. [Online]. Available through <
http://performance-appraisal.com/ratings.htm>. [Accessed on 4 Jan 2016].
Job Evaluation: Methods: Ranking. 2000. [Online]. Available through <http://www.hr-
guide.com/data/G411.htm>. [Accessed on 4 Jan 2016].
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Cont...
Critically it can be explained that:
 Company will reain far more behind.
 They are not coping up with the modern approaches.
 However, classical approahes are highly adopted in every company.
 Better performance can be assessed.
 Modern approach has been adopted to meet out the present
requirement of the company.
 MNC's have adopted new measures but classical method are valued
more.
Halachmi, A., 2011. Imagined promises versus real challenges to public
performance management. International Journal of Productivity and
Performance Management. 60(1). pp.24-40.