Performance appraisals are a tool used in most organizations. In order to execute a high quality and effective process, two key questions must be answered; First, what is the purpose of this process in the organization, and what main organizational need does this process address? The second question deals with the level of managerial maturity that exists in the various management levels in the organization.
The Organizational Need
Organizational Monitoring – to enable a rating system of the employees to determine who may be a candidate for a promotion, salary increase, etc.
Manager Empowerment — to give direction and focus to employee performance and improve their management.
Employee Personal Development — A tool for mentoring and for building a professional and personal development plan for employees.
Strategy Alignment - A process that helps align employee performance according to the specific organizational strategy.
The management abilities of managers in the various life-cycles of an organization influence performance quality as well as the goals that may be determined for the process itself.
A Matrix for Defining the Solution
A matrix that can address both questions will enable effective planning and implementation of the process, and will prevent the frustration and "organizational noise" that this type of process can generate.
There are numerous variations of tools and procedures that must be adjusted to the specific needs and to the managerial maturity levels of the different management levels. Each solution requires a different set of capabilities from the managers.
For example, the appropriate tools to address the organizational need of employee personal development, require managerial competencies such as mentoring and coaching of employees, as well as the ability to give feedback that enables quality dialogue between a manager and his employees.
While the suitable solution for organizational monitoring only requires evaluation competencies and knowing how to deal with inconsistencies and bias in the evaluation feedback.
At the highest level of maturity it is possible to build a process that accommodates all four of the basic organizational needs.
In order to provide an organization with the most appropriate and effective solution, the consulting process includes:
An effective performance appraisal process also requires a customised web application that serves the need of the organizatinal process, its goals and the ensuing outcomes of the process.