1. Performance Appraisal
Monica L. White
Facilitator

2. Performance Appraisal
Overview
Boss/Employee Exercise
Divide into 4 small groups
Each group needs to have a recorder to
record your desired results and we’ll get
back together as a large group in 3 minutes
and report back.

3. Performance Appraisal
Overview
Boss/Employee Exercise
Groups 1 and 2, pretend you are
employees about to go into your
performance review with your boss.
What do you want to happened in that
discussion? What results do you
want?

4. Performance Appraisal
Overview
Boss/Employee Exercise
Groups 3 and 4, pretend you are the
manager about to go into a
performance review discussion with
your employee. What do you want to
happen in that discussion? What
results do you want?

5. Performance Appraisal
Overview
Boss/Employee Exercise
Surprised? Why?
If you do get these outcomes, what
impact do you think it will have on
performance?

6. Performance Appraisal
Overview
Objectives
3. Be able to establish and write results
expected of your employees
5. Identify employee behavior that either
enhances or detracts from effective
performance.
7. Use effective listening and feedback
techniques.

7. Performance Appraisal
Overview
Objectives
3. Prepare for and conduct effective
performance reviews.
5. Use the Performance Appraisal System
effectively.
7. Assist employees in making
development plans.

8. Performance Appraisal
Overview
Benefits
3. Performance expectations and performance reviews
that focus on both what the employee does and how
the employee does it.
5. You will see improved competence, motivation,
results, performance, etc., from your employees.
8. Performance appraisal will be a two-way process.

9. Performance Appraisal
Overview
AGENDA
• Introductions
• Objectives
• The Performance Management Cycle
• Performance Planning
• Writing Objectives
• Providing Performance Feedback – KEYS
Practice
• The Rating Scale
• The SOLID Model

10. The Performance
Management System
Performance appraisal is one key
management and motivational tool.
An organization’s greatest resource is its
people. Without a solid and effective
system for developing this vital
resource, organizations cannot be
successful.

11. The Performance
Management System
STEPS OF CYCLE
Performance Planning
The cycle begins with Performance
Planning, or setting objectives, at the
beginning of the review period.
Performance planning involves
clarifying performance and results
expectations.

12. The Performance
Management System
STEPS OF CYCLE
Ongoing Feedback and Coaching
The cycle continues with ongoing feedback
between employee and manager
throughout the year. You all know
immediate feedback, positive and
negative, is most powerful. Giving
ongoing feedback will also ensure the
review is not a surprise.

13. The Performance
Management System
STEPS OF CYCLE
Performance Review
As time for the review approaches, you
prepare for the appraisal by reviewing
performance information collected
throughout the year and finalizing
what you will discuss during the
performance appraisal discussion.

14. The Performance
Management System
STEPS OF CYCLE
Performance Review
At the same time your employees have an
opportunity to review their own
performance, so that the discussion
can be a dialogue.

15. The Performance
Management System
STEPS OF CYCLE
Development Planning
The performance review is then held,
after which you and your employees
can capitalize on strengths and develop
weaker areas, through development
planning.

16. The Performance
Management System
BENEFITS OF THE CYCLE
The reviewer benefits by:
• Clearly translating organizational goals
into individual objectives and standards
• Communicating these objectives and
standards to employees

17. The Performance
Management System
BENEFITS OF THE CYCLE
• Providing feedback to help the
employee on how to achieve
expectations
• Coaching the employee on how to
achieve expectations

18. The Performance
Management System
BENEFITS OF THE CYCLE
• Working with the employee to develop
and improve performance and potential

19. The Performance
Management System
BENEFITS OF THE CYCLE
The reviewees benefits by:
• Knowing exactly what is expected
• Knowing how well they are doing
• Understanding where their strengths
and weaknesses are

20. The Performance
Management System
BENEFITS OF THE CYCLE
• Understanding how they can improve
job performance
• Developing strategies for becoming
more significant contributors

21. The Performance
Management System
BENEFITS OF THE CYCLE
Benefits to both the reviewer and reviewee are:
• A focus on results – what is actually achieved
• A focus on behaviors – how goals were
achieved or what kept them from being
achieved
• An emphasis on planning and seeing plans
through to completion

22. The Performance
Management System
BENEFITS OF THE CYCLE
• Promotion of constructive
communication between reviewers and
reviewees

23. The Performance
Management System
Phase One: Performance Planning
Performance Planning Exercise
Think about your expectations of a
manager. What activities and
responsibilities do you expect from a
manager during the year?

24. The Performance
Management System
Phase One: Performance Planning
Performance Planning Exercise
• What do you thing my rationale was for
putting some on the left and some on
the right?
• How is what on the left different from
what is on the right?

25. The Performance
Management System
Phase One: Performance Planning
Performance Planning Exercise
• On the left are results – the what of
the job:
• Filing reports
• Solving problems
• Achieving goals

26. The Performance
Management System
Phase One: Performance Planning
Performance Planning Exercise
• On the right are skills or the how of
the job:
• Speaking clearly
• Being persistent
• Thinking clearly

27. The Performance
Management Cycle
Development
Performance Planning
Planning
Performance Ongoing Feedback and
Review Coaching

28. The Performance
Management System
Phase One: Performance Planning
Planning is the foundation upon which the
rest of the cycle is built.
An effective performance plan:
• Defines the major areas of
responsibility and performance
requirements for which the employee
will be held accountable

29. The Performance
Management System
Phase One: Performance Planning
Also, planning is a two-way, cooperative
process, and together with your
employees you should consider:
• Business objectives
• Job responsibilities
• Special projects
• Employee ability

30. The Performance
Management System
Phase One: Performance Planning
Also, planning is a two-way, cooperative
process, and together with your
employees you should consider:
• Previous results
• Employee goals and needs

31. The Performance
Management System
Steps to Performance Planning
There are three steps to the process:
5. Sit down with the employee to outline
the job. Discuss the key areas and
functions for which the person is
responsible

32. The Performance
Management System
Steps to Performance Planning
2. Set standards. Standards can be defined as
statements of conditions that will exist when
the job is done satisfactorily. Standards are
general and continuous (should not change
from year to year); are the same for all
employees for a given job; are maintenance-
oriented; may be quantitative and/or
qualitative.
• An example would be: To maintain strong
relationships with our customers.

33. The Performance
Management System
3. Define performance objectives, which do vary from
individual to individual, department to department,
and year to year.
Objectives are specific, both in terms of results and
time frame; should be agreed upon by the employee
and supervisor; can be short or long-term; can be of
a unique project nature; may be a job standard that
is currently not being met.
An example would be: Improve relationship with a
specific customer by contacting a certain number of
times per month and increasing the number of
orders by a specific amount.

34. The Performance
Management System
SMART Objectives – The What of the Job
• Specific – Stating exactly what the targeted
behavior or expected outcome is will result in
greater productivity than telling someone to “do
your best.”
• Measurable – If the objective is concretely and
objectively defined, it will be easier to measure
progress and provide feedback. Feedback keeps you
on track and tells how much more or less effort is
required for goal attainment. Giving feedback
around measurable objectives is less subjective or
opinion based, come performance review time.

35. The Performance
Management System
SMART Objectives – The What of the Job
• Accepted – An objective must be accepted before
someone will own it and be energized to work toward
it.
• Realistic – An objective must be realistic, but
challenging. To a point, the more difficult the
objectives you set, the greater the effort expended
to reach the objectives.
• Timebound – Setting a deadline for reaching an
objective increases specificity, difficulty, and
measurability. Deadlines assure on-track attention
to objectives.

36. The Performance
Management System
Providing Feedback
Observing and Recording Performance
Before you can give feedback, you first need to
observe behavior. After you have observed
an action or behavior it is a good idea to
record it so you have the information for
later use.

37. The Performance
Management System
Providing Feedback
Observation Techniques
• What are opportunities you have to gather
information?
Personal observation
• Specific examples
• Watch over time
• Work with directly
• Observe procedure or approach
• Record or documents
• Feedback from others

38. The Performance
Management System
Providing Feedback
Feedback is an extremely powerful tool. It can:
• Increase performance
• Be motivating. You should observe the 80/20
rule whenever possible. That rule means
that if you have a competent employee,
overall you should be giving 80% positive
feedback and 20% negative feedback.

39. The Performance
Management System
Providing Feedback
• Reduce stress
• What blocks us from giving the types of
feedback we need to give?
– Skills
– Time
– Fear
– Conflict

40. The Performance
Management System
Giving Feedback Using KEYS
KEYS MODEL
K Know The Focus – State the focus of the feedback
E Employee Perspective – The employee shares their
perspective
Y Your Perspective – The manager or coach shares
their perspective
S Specify Next Steps – The two of you agree to the
next steps

41. The Performance
Management System
Know The Focus – Give the person a specific example of
what you observed
Employee Perspective – Give the employee time to
express their feelings and thoughts about the
situation
Your Perspective – Express what you observed and why
it is important. Tell the employee what behavior or
performance you would like to see and why or tell
them to continue performing as they did
Specify Next Steps – Ask the employee for suggestions
and share ideas. Together with the employee decide
what the future course of action will be

42. The Performance
Management System
Human Relations Competencies
Human relations skills can be defined four our purpose as: Showing
awareness of, and consideration for, the opinion and feelings
of others; dealing and mediating constructively with conflict;
developing and maintaining positive working relationships.
Human Relations Competencies:
• Approachability Interpersonal Savvy
• Boss Relationships Listening
• Caring about Direct Reports Patience
• Compassion Peer Relationships
• Conflict Management Understanding Others

43. The Performance
Management System
Human Relations Competencies
Individual Characteristics and Competencies
Relevant to the Performance of Certain Jobs
Certain competencies and characteristics are
more critical in successful performance of
certain jobs than other characteristics. The
supervisor must emphasize the competencies
and characteristics that are of primary
importance to the specific job being
evaluated.

44. The Performance
Management System
Human Relations Competencies
Competencies:
• Action Oriented Dealing with Paradox
• Dealing with Ambiguity Perseverance
• Composure Personal Disclosure
• Creativity Personal Learning
• Customer Focus Presentation Skills
• Decision Quality Problem Solving
• Timely Decision Making Self Development
• Ethics and Value Self Knowledge
• Integrity and Trust Time Management
• Intellectual Horsepower Work/Life Balance
• Learning on the Fly Written Communications

45. The Performance
Management System
Overall Performance Evaluation
This employee’s performance reflects initiative, and
results consistently exceed performance expectations
Consistently exceeds for the job’s requirements. Contributions are made to
the organization, which are significantly above those
expectations expected of the position and visible to other areas of the
4 company.
This employee consistently meets and often exceeds
Consistently meets and often the job’s requirements. All required tasks and job
exceeds expectations responsibilities are carried out in a competent manner
with a minimum amount of guidance and supervision.
3 Results often exceed performance expectations for the
job’s requirements.
This employee consistently meets for the job’s
Consistently meets expectations requirements. All required tasks and job responsibilities
2 are carried out in a competent manner with a minimum,
amount of guidance and supervision.
This employee achieves many but not all the job’s
Partially meets expectations requirements of the position and/or requires more than
1 normal guidance and supervision. Performance is
below expectations but still is considered contributory
to the organization. Specific performance areas need to
be addressed and corrected by the employee. A
follow-up review will take place within 6 months.
This employee’s performance does not meet the job’s
Unacceptable requirements. Immediate performance correction must
0 be accomplished in order to justify retention. A follow-
up review will take place within 3 months.

46. The Performance
Management System
A rating of 4 indicates that the employee
is performing at an exceptional level
that less than 5% of employees reach.
The employee is ready for new
challenges such as a promotion,
projects with greater scope and
responsibility or a developmental
transfer. They are considered a star
performer.

47. The Performance
Management System
A rating of 3 indicates that the employee is
meeting expectations and often exceeds
them. It is time to take a look at providing
additional challenges for the employee. The
supervisor should be aware of this when
setting goals and objectives for the
following year and when determining the
development plan for the employee. An
employee with a 3 rating is given a sufficient
challenge and afforded the opportunity for
growth and job satisfaction.

48. The Performance
Management System
A rating of 2 indicates that the employee is
fulfilling the role that their position was
intended for. While determining the goals,
objectives and development plan for the
following year it is important for an
employee with a 2 rating, the supervisor
must show the employee what it would take
to reach a 3. It is appropriate to set
expectations higher than the positions calls
for. Collaboration will provide significant
motivation for an employee to exceed
expectations.

49. The Performance
Management System
A rating of 1 indicates that the employee is not
fulfilling the role that their position was
intended for. A rating of 1 should not come
as a surprise to the employee, since some
form of training, improvement plan or
corrective action should have already been
initiated. If an employee has not meet
expectations, the organization cannot wait
until review time to address the issues since
all positions play a critical role in the
organization’s attempt to meet its goals.

50. The Performance
Management System
A rating of 0 indicates that the
employee’s performance is
unacceptable and must improve
immediately in order for the employee
to continue employment at the Frazer
Center. The corrective discipline
process will have already been
initiated, and the formal review
process will only serve as further
formal documentation in the process.

51. The Performance
Management System
The SOLID MODEL
S = Structure
O = Overall Evaluation
L = Listen
I = Inform
D = Develop

52. The Performance
Management System
The Structure Step
The reviewer tells the reviewee what
is going to be discussed during the
interview and how the discussion
will proceed. This establishes the
ground rules and lays the
foundation for a dialogue.

53. The Performance
Management System
The Overall Evaluation
Giving the rating at this point in the
discussion might be the biggest
change from what you already do.

54. The Performance
Management System
The Overall Evaluation
Giving the overall rating at this time
contributes to the reviewee really
listening to the reviewer when he
or she is talking about
performance. This process works
well as long as you follow up with
the next step.

55. The Performance
Management System
The Listen Step
After presenting the overall
evaluation, listen, be silent, or ask
open-ended questions to draw out
the reviewee’s reaction to the
evaluation and his or her
perceptions of strengths and
weaknesses.

56. The Performance
Management System
The Inform Step
Inform the reviewee about the reason for
the overall rating, including the results
achieved and his or her effectiveness
in each of the factor areas. The
results of the informing phase should
be that the person clearly understands
what his or her strengths and
weaknesses are, and you understand
the employee’s self-evaluation. This
step takes the most time.

57. The Performance
Management System
The Development Step
The reviewer and reviewee should
identify 1-3 areas for development
which are of interest to both of
them, and all must be important
for the job.
End the interview on a positive note!