Performance Management Techniques in Instrument

The instrument combines traditional and modern methods of appraisal, with a focus on Management by Objectives (MBO) technique for performance evaluation. The major strengths include result-oriented emphasis, employee commitment to objectives, and improved morale and communication. However, features that may compromise assessment, reliability, and fairness include pressure to set unrealistic goals, ignoring intangible goals, and short-term focus. To improve the instrument, top management involvement is crucial, along with realistic goal-setting, organizational climate consideration, proper training/coaching, and linking performance management with financial incentives.

What are the specific types or types of performance management technique(s)
present in the instrument? (150)
In the instrument provided for performance appraisal we see a combination of both
traditional and modern methods of appraisal to be used. Traditional methods like
Essay method, critical incident method have been used. But the whole instrument is
based on the principle of Management by Objectives which is a modern method of
performance management.
In the given instrument we see common 4-5 accountabilities are measured which
matches with the individual, team and organizational goal. In MBO technique KRAs
are identified jointly by the supervisor and the employee to define, establish and set
goals or objectives.(D.K.Bhattacharyya).Periodic evaluation of performance of
employees is done in terms of these goals. Corrective actions are taken when behavior
deviates from the standards established.
Techniques like critical incident method or essay writing have partially been used to
narrate the competencies shown in the organization. Essay is a narrative describing
the past performance of the employee where critical incident focuses on those critical
or key behaviors that make the difference between doing a job effectively and doing it
ineffectively. (Decenzo,Robbins).
What are the instrument’s major strengths? (250)
In this instrument we can see the use of Management by Objectives technique for
performance evaluation. The major advantage of MBO lies in its result oriented
emphasis. (Decenzo,Robbins). In MBO technique KRAs are identified jointly by the
supervisor and the employee to define, establish and set goals or objectives.
(D.K.Bhattacharyya). Employees know exactly what is expected of them. They know
the evaluation criteria. This evaluation leads to obtain their personal career and
organizational objectives because goals are mostly work related and career oriented
and are integrated with overall organizational objectives.
(D.K.Bhattacharyya).Additionally, employees should have greater commitment to
objectives they have participated in developing than to those unilaterally set by their
boss.(Decenzo,Robbins). When employees are integrated with the whole process they
feel motivated which is also the objective of such technique. The managers are also
aware of the objectives and the important areas of their work. Hence they can do
proper planning and no confusion or ambiguity remains between the manager and the
employee. Performance improves due to enhanced morale and better communication.
We get quite a considerable amount of information most of them are assimilated by
the employee himself. Specific behaviors are also cited. Employees are further
motivated because the instrument is linked with career planning and result in their
greater career prospects. Effective training programs can be organized based on the
evaluations. Training needs are identified for the instrument and employees get the
best training according to their need. Management also benefits as they can
concentrate on profit oriented goals and hence a win-win situation is created.

Are there any features in the instrument that may compromise assessment,
reliability and felt-fairness? (300)
The disadvantages of MBO techniques are also applicable to the given instrument.
MBO system lays more stress on tangible goals and hence intangible goals like
morale, good inter-personal relations, commitment to the job etc are often ignored.
(D.K.Bhattacharyya).The given instrument may be disliked by subordinates. While
setting the objectives the subordinates may feel the pressure of the management to set
unrealistic high goals and which are hard to achieve. These can lead to low morale
and lack of motivation among the employees. It may be believed to be a plan of
management to make the employees work harder and leave them with no quality time
for their own. Secondly the amount of time needed to implement and maintain MBO
process may also cause problems. (Decenzo, Robbins).Manager may feel the burden
of managing so much paper work which occupies plenty of their quality time. Their
responsibility and burden increase as there are a number of meetings and reports to be
made in given time. The goals are also based on short term basis which can affect the
process of planning by the managers for the long run. Interpersonal skills of the
managers may not be that good to constantly coach, counsel the employees in
achieving their goals. Due to the difference in status of the employees and the
managers, effective interpersonal relation which is highly desired may not be
achieved. The instrument is not linked to forecasting or budgeting which can make
the overall functioning of the system difficult. Attaining group goal may also become
difficult because goal of one department always depend on the attainment of goal by
the other department. For example in any educational institute the sales teams target
achievement would necessary depend on the good level of placement done by the
student placement team.
Are there any ways in which the instrument, and the approach to performance
management that it reveals, might be improved? (300)
Performance management goes beyond annual appraisal ratings and interviews, and
incorporates employee goal setting, feedback, coaching, rewards and individual
development. (Werner, Desimone).The instrument can become a better tool of
performance management if the top management is also integrated with the whole
process. The encouragement of the top management is required by the employees
to boost up their morale and motivation.
The objectives have to be more realistic and achievable by not pressurizing the
employees to set high goals according to their standards. Or else the whole system
may break down.
The instrument should not be used for any single division but it should be made for
the whole organization so that all the departments come under the evaluation
process.
Organizational climate, employee’s psychology, his orientation are to be taken into
consideration before implementing the instrument across all the departments in the
organization. Research conducted by the Harvard Business School demonstrates that
overall only one out of every ten companies that formulate strategy can effectively
implement it. (D.K.Bhattacharyya).Hence the implementation and execution of the

instrument properly and effectively will play vital role in the success of the
instrument in question.
Proper training/coaching is to be given to both the employees and the managers for
goal setting, inter personal skill development and understanding the objectives of
the organization as a whole. Coaching is a process used to encourage employees to
accept responsibilities for their own performance, to enable them to achieve and
sustain superior performance, and to treat them as partners in working towards
organizational goals and effectiveness. (Werner, Desimone).
Lastly if financial incentives are also linked with the whole process it may lead to
better result and effectiveness. The desired behavior of the employee must be
achieved through linking the performance management system with financial
rewards.
To get proper control of the employees their involvement with the whole process of
performance evaluation must be established with dedicated effort by the top
management.
References
1. Personnel/Human Resource Management: Author: DavidADeCenzo, Stephen
P.Robbins. Chapter: 14
2. Human Resource Development: Author: Dr.D.K.Bhattacharyya, Chapter : 14
3. Human Resource Development
Foundation, Framework and application
Author: Jon M.Werner, Randy L.Desimone
Chapter : 14