Some topics come to me automatically and some come about because of a trigger. The topic for this column, employee performance appraisals, was triggered by a recent UPN comedy Cuts episode. This Generation-X comedy is about two hair salon co-managers. They are young and this is their first foray into business. Her dad owns the salon franchise Cuts and he lets her be a co-manager along with the original young owner of the salon. To say they “feel their positions of power” would be an understatement.
This particular episode began when a package was hand-delivered to the salon co-managers from headquarters (dad). Their first “power” thought: it’s time for us bosses to rate you workers. The co-managers’ high-fiving, snickering and laughing came to an abrupt stop when they pulled the papers out of the envelope to discover: the appraisal forms were for the employees to give their opinion of the co-managers. The form asked about “all things management”. It covered questions and asked for opinions about the manager’s work performance and how well they felt the mangers were dealing with them. As soon as the two realized the “power was in the workers hands” their attitude and behavior changed. It’s amazing how the “respect for the Individual” and “people are our greatest assets” vision statements really kicks in to a manager’s behavior attitude as soon as it is determined the workers would rate them on their performance as a boss.
Performance appraisals involve observing workers’ behavior and measuring that behavior in accordance with certain standards. It is central to the staffing function. It provides feedback needed to evaluate the effectiveness of recruitment and selection. Lastly, it identifies individuals who are trainable and those who already have the skills to meet current and future job requirements.
Performance appraisal goals should be constructive and motivating. They should inform employees of the performance rating for review period. It sets targets for improvements, recognizes accomplishments, and informs employee of what is expected in the future.
An innovative approach at one of my clients was to establish a 3-D model of competency identification. In seeking to identify the competencies required in a particular role or throughout the organization, the following 3 questions identified the process.
(1) What activities or functions must the employee perform?
(2) What strengths, attributes, and qualities does the effective performer
display?
(3) What capabilities are important to develop?
Translating this 3-D model to a simple form and process, my client, an automotive company, uses a process asking all staff members to focus their efforts and feedback in three areas:
(1) 4 to 6 most important responsibilities and demands of the employee’s
role
(2) 6 organizational competencies that make or break performance and
enable focused feedback
(3) specific actions and timing for job and professional growth.
This straightforward outline provides candid information about what is important to discuss, track and assess together (managers and employees)
As the company moves towards a best-in-practice environment (team based management and coaching), multi-source feedback, named 360 degree feedback, is a critical link in the performance management process as employees engage more and more in team, cross-functional and process-based activities, making their work largely invisible to any single source. Three hundred sixty (360) degree performance provides a balanced, holistic view of contributions and competencies, while reducing the “my view, your view” tension often present when only team leaders and employee perspectives are involved.
Feedback from everyone you work with provides the optimal tool for enhancing leadership and management capabilities, particularly when a company is trying to develop a more open, communicative culture. When people receive honest, specific feedback from their bosses, colleagues, and associates, they often come to understand how their behaviors affect others – the need for change in some of those behaviors.
Organizations are taking varied approaches to transform the performance management process from an administrative burden to a business interaction that is inseparable from the work being done. There is no magic formula for success in performance management. The key is to harness the energy around what is important to the organization and apply it toward establishing an effective process deserving a top rating – one that “meets or exceeds expectations.”
