Welcomes, Introductions, Aims

Understanding the Appraisal Process

The purpose of staff appraisal is to improve the company or organisation's performance through better staff management. A good appraisal system is a major factor in producing well-motivated staff who will contribute either directly or indirectly to the organisation’s strategic objectives.

A manager operating a good appraisal system will be supported by well-motivated staff enabling the department to achieve targets and results, thereby enhancing his/her career prospects.

A good appraisal system will ensure that individual employees are developed to the best of their ability and are fully engaged in achieving their targets and aims.

Objectives: productivity or quality?

Every organisation is different in terms of its culture and strategic intent; hence the number of different appraisal methods currently employed in companies and organisations. For example: one organisation's objective may be to improve productivity. The emphasis of the appraisal scheme will be on employee productivity and measures of this. In another organisation the key objective may be to improve service quality. The appraisal scheme will focus on the quality of the employees' work and displays of initiative to improve service quality.

Most line managers will have to implement an organisation-wide scheme and will have little choice in the type of appraisal process.

Appraisal benefits

The aim of this course is to provide best practice guidance for managing and improving staff performance through an effective appraisal system.

The Appraisal Structure

The key aspects of implementation are:

1. Pre-Appraisal Preparation

• Pre-appraisal meeting explaining appraisal process and objectives.
• Issue appraisal form for both appraiser and appraisee to complete prior to meeting.

2. Appraisal Meeting

• Build rapport with appraisee and put them at their ease.
• Arrange the setting so you both can give the appraisal your undivided attention.
• Set and agree the agenda with the appraisee.

3. Review Previous Results

• Allow appraisee to present self assessment on past performance.
• Feedback from manager with further input from appraisee.

4. Set Future Objectives

• Set SMART with emphasis on joint agreement.

5. Agree Appraisal

• Both parties agree appraisal outcomes in writing.

6. Follow Up

• Regularly review set objectives to update, review, evaluate and refocus.

Appraisal Preparation

There are a number of stages to consider regarding the structure of the pre-appraisal:

1. Both you and the appraisee should be trained in appraisal techniques, e.g. interviewing, negotiation, counselling. It is crucial that you both have the appropriate skills, so that you can interact on a similar level in the interview.

2. You should decide why the appraisal is to be carried out. For example: to set performance objectives, assign rewards/punishments, determine training needs, promotion, transfer, selection, redundancy, vocational guidance, future potential, job redesign, or a combination of some of these factors in the form of a regular review.

3. You decide what data to collect for the appraisal, e.g. performance criteria, supervisor ratings, and consider how the data can be collected.

4. You talk to the appraisee to discuss the forthcoming appraisal and its purposes, and to let the appraisee make suggestions as to content. Any changes to the purposes of the appraisal can then be made. The appraisee should also be given a blank pre-appraisal form (and/or a copy of the appraisal form that will be used at the appraisal) which must be completed prior to the meeting.

5. The data is collected. It should be as relevant, objective and unbiased as possible. The data can take the form of a discussion document.

6. When the data has been collected, it is summarised in a report made available to both you and the appraisee. The information should be understandable to both parties. Any complex analyses should be fully explained.

7. The appraisee is given time to digest the report and come up with discussion points arising from it.

8. Design the interview carefully, planning it so that all relevant points can be discussed. These can arise from assessing the appraisee's previous objectives and success at attaining them, from the report, from discussion points the appraisee wishes to raise, and from negotiation, where the two parties agree on the appraisee’s future objectives.

9. The appraisal interview can now take place.

10. Appraisal report. This can be written up by you or by the appraisee and should include information on points discussed, conclusions reached and objectives set. It should be signed by both parties to say that they agree with the content.

There should also be space for the other party to add comments. This report ensures that no one can later dispute the agreements reached.

11. Follow up. It is important that whatever was promised in the appraisal interview is actually provided. This is the purpose of an appraisal system, e.g. if you promised a certain type of training, then that training should be given.