Impact of training and development on performance

 

10. Impact of training and development on performance

 

For an organization to perform successfully its employees need to have the required skills, attitudes and competencies. The need to have well qualified, competent and proactive employees to meet the ever growing challenges of technological advancement, environmental factors and competitiveness due to market globalization has made training and development a vital element in human resource function which no manager can ignore( Nwaeke and Obiekwe, 2017).

10.1. What is training and development?

According to Nwaeke and Obiekwe (2017) training can be defined as an activity designed to help individuals gain knowledge and specific skills in order help them perform some designated tasks and functions, or to help them update the skills and knowledge already acquired. Development deals with the activities undertaken to expose an employee to perform additional duties and assume positions of importance in the organizational hierarchy. The employee performance depends on various factors like job satisfaction, knowledge and management. But the most important factor of employee performance is training (Khan et al., 2011).If there is a gap between the expected performance and actual performance training could be used to fill it hence it is essential for high performance of an organization.

10.2. Types of training

The training could be of two types; wiz on the job training and off the job training. On the job training is the training that is carried out while an employee is working while off the job training is separate training programmes distinct from usual work. Induction programmes, orientation and job rotation can be identified as examples for on the job training while lectures, seminars, and workshops are examples for off the job training.

10.3. Impact on productivity and performance

In this dynamic and competitive world it is important for any organization to train its employees continuously to face the evolving challenges from the environment. According to Hanif (2013) Employee training has been found to contribute to their performance effectiveness and productivity of organizations. Although training and development is directly linked to employees its ultimate benefit is for the organization (Khan et al., 2011). An effective training would increase efficiency and effectiveness of the employees ultimately leading to improved productivity. Increased productivity will lead to improved performance over competitors thus will provide competitive advantage to the organization

Conclusion

It is important for any organization to carryout successful training and development programmes. Yet they have to make sure such programmes are in line with the strategies of the organization and are cost beneficial. Because ineffective training programmes would only incur costs to the organization without providing desired results.

References

Hanif, F., 2013. Impact of training on employee's development and performance in hotel industry of lahore, pakistan. Journal of business studies quarterly, 4(4), p.68. Available from https://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.651.3402&rep=rep1&type=pdf [Accessed 07 May 2022]

 

Nwaeke, L.I. and Obiekwe, O., 2017. Impact of manpower training and development on organizational productivity and performance: A theoretical review. European Journal of Business and Management, 9(4), pp.153-159.Available from  https://d1wqtxts1xzle7.cloudfront.net/83386245/36795-with-cover-page-v2.pdf?Expires=1651921535&Signature=ZY6Qj23b80Z~ulC~9plfRBRsRdAdbtQNGZQZCCnzPIz2Jk2Vz931SrEbKbPyoqj00-AaR63n9x5Pw23Yj7-n5bEdCLQL-o8jqnabVdWxe7er6lnsrh172vP1Q~boDqGwAqkUSYkEfC0drzJdcl6lZ5UoMEs~ydbqsjhDTzFmfRSj95p1FSsw29eccUYK6CAT8t9W-aoCCYmXl43LnH2y95fedtxY0FrruY~TWdC5Btvvva80EbIss5cPo5Qb88-YBf-MXN4QjqZVQafakArnBwQTipcq2YWsH-0p7UaHum5UhijVOY68lkCS8ab7yE8FSS76jlTPCRUl60y0zx84rg__&Key-Pair-Id=APKAJLOHF5GGSLRBV4ZA [Accessed 07 May 2022]

 

Khan, R.A.G., Khan, F.A. and Khan, M.A., 2011. Impact of training and development on organizational performance. Global journal of management and business research, 11(7).Available from https://d1wqtxts1xzle7.cloudfront.net/56926143/8-Impact-of-Training-and-Development-on-Organizational-Performance-with-cover-page-v2.pdf?Expires=1651921512&Signature=NoA0oS6KYJbUhkstcMUCbV~8PcuBr6tHH94nJrBqjxDbKj9jmiiYxhkkulpbiCBIXX69wtkNuyDRjD1ZX6RaFkwu7pcEMXbd1ltbuC9qcdNTS4b3i5kp0DB0YJtvL2oepIWcIRSDRKcOrCnVf3ysSW2lYzePSZ2MWzBYT3kpJE80kW1~nL-tSiB8xm9cJ8FxjtVvO0RNjt8JaG9St1T2WIzgeOiuUrzN6O0aLpEk6fidEblGc78vdMlVhkg6a3ynMK-s3BQuPKUK8~~5dR085vzaSkc-jqlSIg2KoT7cX-3S-qIAMPCHuI5gwrwjHvxkXLoAKrXTtPtdIxDtqfZNdA__&Key-Pair-Id=APKAJLOHF5GGSLRBV4ZA [Accessed 07 May 2022]

Employee Engagement and Performance

 

9. Employee Engagement and Performance

Shaw(2005, p. 26) defines employee engagement as emotional and intellectual commitment to the organization by an employee. For an organization to perform well it is important to have engaged employees.  Here it is vital to have the employees engaged to the organization rather than to the job. Because an employee engaged to the job would not necessarily be committed for the organization where as if the emotional connection is with the organization he/she would always try to give their maximum commitment for the organizational performance.

9.1 Employee engagement could be of 3 types.

9.1.1 Engaged Employees

Engaged employees are builders who consistently strive to give excellence within their roles.(Anitha, 2014) They are passionate about their job, committed to their work and the organization They bring a positive attitude to the organization while being creative and innovative. Engaged employees bring a positive attitude to the organization while being proactive about their job

9.1.2. Not Engaged Employees

Not engaged employees focus on the tasks spelled out to them rather than the goals of the organization. They do what they are told to do.(Anitha, 2014) These employees only put their time for their work but they are neutral about the organization. They are only working for the salary that is paid but not connected to the organization.

 

9.1.3. Actively Disengaged Employees

Actively disengaged employees are dangerous individuals who not only do not perform well but also demotivate the performer in the organization (Anitha, 2014).They are not only underperforming in the organization but also expressing their unhappiness with complaints and grievances. These employees could hinder the performance of engaged employees while they could influence not engaged employees to be Actively Disengaged.

For an organization to perform effectively employees need to be engaged. Engaged employees express their authentic selves through physical involvement, cognitive awareness and emotional connections while disengaged employees ‘uncouple’ themselves from their roles, suppressing personal involvement in physical, cognitive and emotional aspects of work.(Truss et al., 2013)

Conclusion

An organization should obtain best commitment from their engaged employees. Build relationships with other colleagues so that they motivate not engaged employees to be engaged. In addition management should focus on not engaged employees to motivate them to be engaged. They should also focus on disengaged employees since they could leave the organization and damage its reputation. Managers should also try to address their concerns so that to see if they can get them engaged.

References

Anitha, J., 2014. Determinants of employee engagement and their impact on employee performance. International journal of productivity and performance management. Available From https://doi.org/10.1108/IJPPM-01-2013-0008 [Accessed 06 May 2022]

Shaw, K., 2005. An engagement strategy process for communicators. Strategic Communication Management, 9(3), p.26. Available From https://www.proquest.com/openview/26b659ad323ddb4a59763ca3731684c7/1?pq-origsite=gscholar&cbl=44514 [Accessed 06 May 2022]

Truss, C., Shantz, A., Soane, E., Alfes, K. and Delbridge, R., 2013. Employee engagement, organisational performance and individual well-being: exploring the evidence, developing the theory. The international journal of human resource management, 24(14), pp.2657-2669.Available from https://www.tandfonline.com/doi/full/10.1080/09585192.2013.798921 [Accessed 06 May 2022]

Organizational Culture for Performance

 

8. Organizational Culture for Performance

“culture consists of some combination of artifacts (also called practices, expressive symbols, or forms), values and beliefs, and underlying assumptions that organizational members share about appropriate behavior” (Detert et al., 2000, p. 851). Organizational Culture affects every aspect within an organization from behavior of employees to the ways it faces external environmental forces).Culture will remain linked with superior performance only if the culture is able to adapt to changes in environmental conditions. Furthermore, the culture must not only be strong (widely shared), but it must also have unique qualities which cannot be imitated.

8.1. Aligned with strategic direction

For an organization to be successful it is important for its culture to align with the strategic direction of the organization. For example if an organization has an strategic direction to strive through innovation the organization should have an innovative culture which encourages unorthodox thinking and value creation (Prajogo and McDermott, 2011)

8.2. Prevents unexpected consequences

A strong and common culture among employees enables managers predict the response of the employees to different strategic decisions they take. Then they could be prepared for the results of such decisions so that unexpected results would not occur that will hinder organizational performance. (Ogbonna and Harris, 2000)

8.3. Creates sustainable competitive advantage

A culture which creates superior organizational competencies which are unique and not easily imitable to the competitors will create a sustainable competitive advantage which will in turn lead to better performance of the organization. (Ogbonna and Harris, 2000)

8.4. Helps attract and retain talented employees

A strong culture acts as a glue for attracting talented employees to the organization and to retain them in the long run. This is because employees feel secured and bonded for the culture which makes them attached to the organization.

8.5. Influences quality of service

The culture also affects the quality of the product or service provided by the organization. For example the service quality provided by HSBC Sri Lanka is different to the service provided by Bank of Ceylon. It will be different from the things such as the way of greeting a customer upon arrival, language used and dress code of employees. This is because the target market of HSBC is mostly the urban upper middle to high class individuals whereas Bank of Ceylon caters to a wider market from poor farmer to rich businessmen.

Conclusion

In conclusion it is evident that the culture of the organization influences its performance. Hence it is important for any organization to build and maintain a corporate culture which is aligned to its goals.

 References

Detert, J.R., Schroeder, R.G. and Mauriel, J.J., 2000. A framework for linking culture and improvement initiatives in organizations. Academy of management Review, 25(4), pp.850-863.

Ogbonna, E. and Harris, L.C., 2000. Leadership style, organizational culture and performance: empirical evidence from UK companies. international Journal of human resource management, 11(4), pp.766-788. Available From doi:10.1080/09585190050075114 [Accessed 05 May 2022]

Prajogo, D.I. and McDermott, C.M., 2011. The relationship between multidimensional organizational culture and performance. International Journal of Operations & Production Management. Available From doi:10.1108/01443571111144823 [Accessed 05 May 2022]

Transformational Leadership and performance

7. Transformational Leadership and performance

 

Leadership is the ability to influence others to achieve goals (Hughes et al.,1996). The style of leadership could impact employee satisfaction, commitment of employees to work and ultimately to the entire performance of an organization.

Although there are a number of leadership styles, transformational leadership could impact the performance of the employees most. Transformational leadership style concentrates on the development of followers as well as their needs.(Nanjundeswaraswamy and Swamy, 2014)  Through four behaviors (i.e. idealized influence, inspirational motivation, intellectual simulation and individualized consideration), transformational leaders can change members behaviors, encouraging them to exceed expectations.(Bass, 1985). Following qualities of transformational leaders help organizations;

7.1 Relationship oriented

 They encourage strong relationships with the other employees so that the employees feel a sense of security and bond towards the organization. This relationship conveys the employees the link among their individual performance on overall goals of the organization which makes the employees contribute more on achieving organizational goals.

7.2. Motivate employees

Transformational leaders could motivate employees to align them for achieving of organizational goals beyond their own self-interest. They make the followers have an increased degree of satisfaction and performance above the expected level (Imran et al., 2012).

7.3. Self-Confident

Transformational leaders are self-confident on what they believe that they can achieve for the organization and decisions they take for that. This confidence motivates employees to have a belief on what they are going to achieve.

7.4. Good Communicators

They can communicate their ideas, vision to the employees in all levels of the organization. A better communication makes employees understand what is expected of them in achieving the desired performance.

7.5. Create a performance driven culture

Transformational Leaders are the ones who articulate organization culture by setting the values and beliefs, guiding the appropriate employee behavior and reinforcing rewards and sanctions (Imran et al., 2012)

7.6. Encourage outside the box thinking

They encourage the followers to be creative when finding solutions for the obstacles that they face when achieving organizational goals. 

For Example according to Lee and Liu (2008) in Electronic Information industry in Taiwan it has been observed that The leadership style has a positive relationship on organizational innovation performance, and the leadership style moderates the relationship between organizational innovation capability and organizational innovation performance

Conclusion

In conclusion it can be identified with all the above qualities Transformational leadership could positively impact the performance of an organization.

References

Bass, B.M.(1985).Leadership and performance beyond expectations(1^st ed.).Free Press

Hughes, R., Ginnett, R.C. and Curphy, G.J., 1996. Leadership. Chicago, Irwin. Available From https://web.archive.org/web/20180729100300id_/https://www.cambridge.org/core/services/aop-cambridge-core/content/view/3070679A8CC4979D43539D27815584F2/S1368980009990395a.pdf/div-class-title-time-for-leadership-development-interventions-in-the-public-health-nutrition-workforce-div.pdf [Accessed on  04 May 2022]

Imran, R., Zahoor, F. and Zaheer, A., 2012. Leadership and performance relationship: Culture matters. International Journal of Innovation, Management and Technology, 3(6), p.713. Available From http://www.ijimt.org/papers/325-CM314.pdf [Accessed on 04 May 2022]

Lee, H.C. and Liu, Y.W., 2008, October. Impacts of organizational innovation capability and leadership styles on innovation performance for electronics information industry in Taiwan. In 2008 IEEE international conference on service operations and logistics, and informatics (Vol. 2, pp. 1903-1907). IEEE. Available From 10.1109/SOLI.2008.4682841 [Accessed on  04 May 2022]

Nanjundeswaraswamy, T.S. and Swamy, D.R., 2014. Leadership styles. Advances in management, 7(2), p.57. Available From https://d1wqtxts1xzle7.cloudfront.net/51993044/leadership_styles-with-cover-page-v2.pdf?Expires=1651710510&Signature=hDR1neYOrNAZrEdF~5uBKFXiLUGNH0crEPlK63SK04jy3EAWNhNQpq-1sSv3vEm6sCfIygsmu-lkcIb~BFnVU9afzOsSPsnms~z-Q7Z4ihH41rmbc~RWebnhSCv~MBUliqEWr6~WClPwfAv-Sd1mEgJnHI~bguWDKuk0VEJq880HJ0130sskpPamir1FpZGrr5m9qvvZ9l2YED4GzkgcpX9v1Enrz3iJdYGwDbe1f0DAORcOsp7CDiKvPOuzlilN3F6dfgfcAFHPor3zNJHX90Rlwn3twJi70pFERNQ~svxmfLEDI3iBCSdliQb~b1cExRkO-qTO9kWqFHldHiL~PA__&Key-Pair-Id=APKAJLOHF5GGSLRBV4ZA [Accessed on 04 May 2022]

Maslow’s Hierarchy for employee performance

 6. Maslow’s Hierarchy for employee performance

Maslow's hierarchy of needs is a motivational theory in psychology comprising a five-tier model of human needs, depicted as hierarchical levels within a pyramid.(McLeod, 2007).The five stages of the theory are as follows.

 

Physiological Needs

They are the basic biological needs required for the survival of the humans. They include air, food, water, clothes and warmth. They need to be fulfilled first for satisfaction of the humans according to Maslow.

Safety Needs

When Physiological needs are fulfilled the need for security arises. While adults have little awareness of their security needs except in times of emergency or periods of disorganization in the social structure (such as widespread rioting), children often display the signs of insecurity and the need to be safe. (Upadhyaya, 2014)

Love and Belongingness Needs

When the needs for safety and for physiological well-being are satisfied, the next class of needs for love, affection and belongingness can emerge. Maslow states that people seek to overcome feelings of loneliness and alienation. This involves both giving and receiving love, affection and the sense of belonging. (Upadhyaya, 2014) Examples of Love and Belongingness needs include friendship, love and trust.

Esteem Needs

These involve both self-esteem (E.g. Independence, dignity) and esteem that a person gets from others. (E.g. Status, Prestige) Humans have a need for a stable, firmly based, high level of self-respect, and respect from others. When these needs are satisfied, the person feels self-confident and valuable. When these needs are frustrated, the person feels inferior, weak, helpless and worthless. (Upadhyaya, 2014)

Self-Actualization needs

Self-Actualization needs are arrived once all other needs are fulfilled. Maslow describes self-actualization as a person's need to be and do that which the person was "born to do” These needs make themselves felt in signs of restlessness. The person feels on edge, tense, lacking something, in short, restless. (Upadhyaya, 2014)

 

Impact on organizational performance

The benefits that organization provides to its employees can play a big role in employee performance. Organizations could provide bonuses and incentives to improve the performance which will help to satisfy physiological and safety needs of employees according to the Maslow’s Hierarchy. In addition they could provide special allowances to encourage participation to training programmes and also by communicating to the employees that there is a career development path which requires trainings could motivate the employees to participate. In addition recognizing highest performers of the organization during performance reviews and appreciating them could improve esteem of the employees. Carrying out non biased and regular performance reviews and giving proper feedback to employees could motivate them to perform more so that they can advance in their careers and also in the Maslow’s Hierarchy of needs.

References

McLeod, S., 2007. Maslow's hierarchy of needs. Simply psychology, 1(1-18).Available from https://canadacollege.edu/dreamers/docs/Maslows-Hierarchy-of-Needs.pdf [Accessed 03 May 2022]

Upadhyaya, C., 2014. Application of the Maslow's hierarchy of need theory; impacts and implications on organizational culture, human resource and employee's performance. International Journal of Education and Management Studies, 4(4), p.353.Available from https://d1wqtxts1xzle7.cloudfront.net/46837791/G233945-with-cover-page-v2.pdf?Expires=1651566719&Signature=eIwbki-ae-iRrNcLBJb--kYCpivpN0wACShCrqCjpuoORLAaaoRx3RfIaxaOWCzLdNy4IZS4JpmaxPG2AlmT4O8zkCGA-5afrbQbVLjdiP0iVUPxo6tTXskSs-Uf3ywK50wHqBIniJgw8rWKnLcXPKKFn0V3lb1jyEx3kbRjiPtoYyXy6MNkLQHgLazJETk5ZD~oly55h2ct0HLxrqQ32L4oE4aek8vvr7JAj7D-NQELxW5gihgWox~abBkqaAGnR49bF8DaUBWCGrf2QHTrSrHd~jtdu7~MXIVX4xG9BMsRUTnEmWdyUfYSpGG9Z0rAMIyPdw-Kdh0~BWg~JRdcQQ__&Key-Pair-Id=APKAJLOHF5GGSLRBV4ZA [Accessed 03 May 2022]

 

 

 

Performance Appraisal Techniques

5. Performance Appraisal Techniques

 

According to Decenzo and Robbins (1998) there are 3 approaches for performance appraisal. They are;

• ·         Absolute Standards
• ·         Relative Standards
• ·         Objectives

5.1 Absolute Standards

 

These are appraisal techniques where employees were compared against a standard and independent of other employees. Absolute standards include;

5.1.1. Essay Appraisal

Evaluator writes an explanation about employee’s strength and weakness points, previous performance, positional and suggestion for his (her) improvement at the end of evaluation time (Aggarwal and Thakur, 2013)

5.1.2. Critical Incident Appraisal

The manager maintains the logs of each employee to record the critical incidents to use them to evaluate the employee’s performance at the end of the rating period. (Turgut and Mert, 2014)

5.1.3. The Checklist

In this method a checklist that presented work related descriptive statements, is used for every work position. Manager chooses “Yes” or “No” option that represents the effective or ineffective behavior of the employee on the job, that is familiar with these work related descriptive statements. (Turgut and Mert, 2014)

5.1.4. The graphic rating scale

A checklist of work related statements is presented and managers tick “yes” or “no” that represent effectiveness or ineffectiveness of work.

5.1.5. The graphic rating scale

In this method the rater indicates on a numerical scale the degree to which the employee possesses certain personality traits. The performance dimensions are usually difficult to measure. The traits include leadership, initiative, cooperation, judgment, creativity, resourcefulness, innovativeness, and dependability [Wiese and Buckley, 1998]

5.1.6. Forced Choice                                             

Managers are given some pre-defined expressions to evaluate the performance of worker for each item. Managers indicate which items are most descriptive of the employee. Manager does not know the score equivalent of the expressions

5.1.7. Behaviorally anchored rating scales (BARS)

BARS combines elements from critical incident and graphic rating scale approaches. The supervisor rates employees according to items on a numerical scale (Aggarwal and Thakur, 2013)

5.2 Relative Standards

Here employees are compared against other employees rather than on set standards. Relative standards would include the following.

5.2.1. Group order ranking

The employees are ranked and categorized into groups. So that the highest ranked would in one group and lowest ranked would be in another group. There could be more groups in between.

5.2.2. Individual Ranking

Same as group order ranking but the difference is that the employees are not grouped.        

5.2.3. Paired Comparison

 In this method, employees are compared with all others in pairs. The number of comparison is followed as (N*(N-1) )/2 in which N shows the number of employees. (Jafari et al., 2009)

5.2.4. Assessment Centres

Evaluation process is performed objectively by specialists or Human Resources (HR) professionals in the center. In this center the employee is observed on some simulated incidents, tests similar to actual working environment. Additionally, some tests, social and unofficial events and exercises are used to support assessment. (Turgut and Mert, 2014)

 

5.3. Objectives

The third approach to appraisal makes use of objectives. Employees are evaluated on how well they accomplished a specific set of objectives that have been pre-determined. This approach includes Management by Objective technique.

5.3.1. Management by Objective (MBO)

This is a method necessitating the attainment of the pre-defined objectives. According to this method, managers and employees determine collectively the objectives for employees to meet during a specific period. Attainment of an objective is more important than “how it was attained”. Employees are then evaluated with a view to how they have achieved their determined goals. (Turgut and Mert, 2014)

 

5.4. 360 Degree and 720 Degree Appraisal

They are the latest approaches for performance appraisal.

360 Degree appraisal involves inputs from multiple parties within the organization as well as from outside the organization on appraising the performance of the employee. It involves feedback from colleagues, superiors, subordinates, sometimes customers, suppliers and/or spouses.

In 720 Degree appraisal, 360 degree appraisal method is practiced twice. When 360-degree appraisal is done, then the performance of the employee is evaluated and having a good feedback mechanism, the boss sits down with the employee again a second time and gives him feedback and tips on achieving the set targets (Aggarwal and Thakur, 2013)

Conclusion

Although there are number of performance appraisal techniques all of them have inherent benefits and drawbacks. Therefore it is important for an organization to determine a performance appraisal technique which best suits its goals, objectives and expectations and cost beneficial.

 

References

Aggarwal, A. and Thakur, G.S.M., 2013. Techniques of performance appraisal-a review. International Journal of Engineering and Advanced Technology (IJEAT), 2(3), pp.617-621. https://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.679.2130&rep=rep1&type=pdf [Accessed 2 May 2022]

Jafari, M., Bourouni, A. and Amiri, R.H., 2009. A new framework for selection of the best performance appraisal method. European Journal of Social Sciences, 7(3), pp.92-100. Available From https://www.researchgate.net/profile/Atieh-Bourouni/publication/228901398_A_new_framework_for_selection_of_the_best_performance_appraisal_method/links/0fcfd5101390753583000000/A-new-framework-for-selection-of-the-best-performance-appraisal-method.pdf  [Accessed 2 May 2022]

Majid, J., 2016. Effectiveness of performance appraisal methods–An empirical study of the Telecommunication Sector. International journal of trend in research and development, 3(3), pp.10-17. http://www.ijtrd.com/papers/IJTRD3747.pdf  [Accessed 2 May 2022]

Turgut, H. and Mert, I.S., 2014. Evaluation of performance appraisal methods through appraisal errors by using fuzzy VIKOR method. International Business Research, 7(10), p.170. https://www.researchgate.net/profile/Ibrahim-Mert-2/publication/314528073_Evaluation_of_Performance_Appraisal_Methods_through_Appraisal_Errors_by_Using_Fuzzy_VIKOR_Method/links/59c8dfcca6fdccc71929c632/Evaluation-of-Performance-Appraisal-Methods-through-Appraisal-Errors-by-Using-Fuzzy-VIKOR-Method.pdf [Accessed 2 May 2022]

Wiese, D.S. and Buckley, M.R., 1998. The evolution of the performance appraisal process. Journal of management History. Available From https://doi.org/10.1108/13552529810231003 [Accessed 2 May 2022]

Performance Appraisal

4. Performance Appraisal

It is important for an organization in managing the performance to appraise the performance with the stated goals of the organization. Performance appraisal (PA) refers to the methods and processes used by organizations to assess the level of performance of their employees and to provide them with a feedback. (Dijk and Schodl, 2015).

The performance appraisal process could be beneficial both to the employer and employee. For the employer to identify the areas where improvements are required, encourage employee training and development needs, address the issues for low productivity are some benefits whereas for the employee ability to earn reward for better performance, identify areas where training is required, opportunities for career development are some benefits.

Traditionally performance appraisal starts as a process initiated by the HR department of the organization. Initially expectations of each employee is communicated then an assessment method needs to be decided. Then individual performance appraisal is conducted. The results of the appraisal needs to be communicated to the employee through an one on one interview. Finally future goals need to be agreed upon and training requirements are finalized. A signed off performance review is stored which is used for promotions, bonuses, trainings and planning.

However according to (Aggarwal and Thakur, 2013) there are various limitations of the traditional Performance Appraisal systems

• ·         Time Consuming and laborious
• ·         Supervisors could be biased
• ·         Difficult for employees to agree on goals
• ·         May damage self-esteem of employees if the feedback is brutal.
• ·         Prone to political and social games played by people.
• ·         Lack of rewards for good performance

Due to these limitations Performance Appraisal could affect following negative impacts on employees hence organizations such as Adobe, Microsoft, Deloitte and Gap have scrapped their annual performance review system. (Sarkar, 2016)

• ·         Employee Dissatisfaction
• ·         Discourages creativity of employees
• ·         Employee attrition
• ·         Excessive competition hinders team spirit

For performance appraisal to be successful following could be recommended (Daoanis, 2012)

1.      Effective reward system is strongly recommended in order to motivate the employees to work in the best interest of the organization.

2.      Proper feedback should also be done to employees so that they will be aware of their strengths and weaknesses for their improvements.

3.      An appraisal system should have a clear sense of direction, honest and meaningful feedback.

4.      There should be immediate and honest reinforcement and it should give an opportunity for employees to participate in setting the goals and standards for performance.

5.      Allow for continuous communication between management and teachers about job performance and should be geared for the total improvement of the organization as a whole.

6.      It is important that the appraisal system be consistent and that appraisal results be assessed, analyzed and reviewed to classify competencies and development needs across all departments.

 

References

Aggarwal, A. and Thakur, G.S.M., 2013. Techniques of performance appraisal-a review. International Journal of Engineering and Advanced Technology (IJEAT), 2(3), pp.617-621.Available from https://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.679.2130&rep=rep1&type=pdf [Accessed 02 May 2022]

Daoanis, L.E., 2012. Performance Appraisal System: It’s Implication to Employee Performance. International Journal of Economics and Management Sciences, 2(3), pp.55-62. Available from https://d1wqtxts1xzle7.cloudfront.net/56514249/802af3a90064ca0dc196578574e07b5e79df-with-cover-page [Accessed 01 May 2022]

Sarkar, A., 2016. Is it time to do away with Annual Performance Appraisal System? Benefits and challenges ahead. Human Resource Management International Digest. Available from https://www.emerald.com/insight/content/doi/10.1108/HRMID-07-2015-0136/full/html [Accessed 01 May 2022]

Van Dijk, D. and Schodl, M.M., 2015. Performance appraisal and evaluation. In International Encyclopedia of the Social & Behavioral Sciences: Second Edition (pp. 716-721). Elsevier Inc. Available from https://cris.bgu.ac.il/en/publications/performance-appraisal-and-evaluation  [Accessed 01 May 2022]