Human Resource Development, Case Study Analysis

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Managing Learning and Knowledge Capital

Human Resource Development:

Chapter 5

Performance appraisal and career development

The importance of performance appraisal

One of the most misunderstood HRM functions
A process that everyone loves to hate
But is critical
PA must achieve outcomes areas, such as:
Basis of HRDNI
Encourage the development of staff
Cost effective
The most direct and dynamic link between on-the-job performance and human resource development

Performance management

Key elements of performance management :
normal interactive process between managers, individuals and teams
based on agreements, accountables, expectations and development plans
a continuous process
Performance management unites performance appraisal with the other organisational subsystems and strategies.
Performance appraisal (PA):
Concentrates on the individual
Provides a unique set of information for HRDNI

Performance appraisal – a natural process

Appraising something - measuring the extent of its value to us
We make hundreds of judgements each day
Appraisal has four stages
having some predetermined standard
observing some event or object
comparing this observation against the predetermined standard, and
taking some action

Performance appraisal – a unique process

Can play a unique role in engendering or destroying trust
Communication is the key – see Figure 5.1
Plays a pivotal role in HRD
Essential part of the evaluation of the investment of developmental activities.
Its need for trust and its complexity may be why some managers shy away from PA

Impact on the HR developer

Involved in PA in a variety of ways
In both the surveillance & investigatory stages of HRDNI
Design, develop and instigate a PA system
Develop both the managers and the appraisees in the reciprocal skills necessary to conduct PAs
ensure that the special interaction between managers and staff fulfils the fruitful opportunities offered
The appraisal interaction between manager and staff member is a dynamic developmental episode when handled correctly—but an absolute disaster when handled incorrectly
The results provide specific and indispensable information for the evaluation stage

Impact on the HR developer (cont)

Eight principles for a successful performance appraisal system
Two types —administrative and developmental
The use of a cascade process
Performance standards are based on a current job analysis
Observing the events using appropriate observation methods
Using realistic comparisons between the observed data and the predetermined standard
taking action through the use of appropriate feedback methods
creating action plans
The action plans must become the inputs for a developmental program

Types of performance appraisal

Administrative performance appraisal
making decisions for salary increments, promotions, retrenchments and succession plans
a critical part of the control function in an organisation
Developmental performance appraisals
identifying, honestly and accurately, the developmental needs of an individual
Are conflicting in nature
The main variable is trust
Both processes have commonalities

Basic process of PA

Job analysis
Gathering and recording information on a job
Research methods as used in the HRDNI
What are the tasks and duties of this particular position?
What are the expected outcomes of these tasks and duties?
Creating the two basic documents
Job description
Job specification
The predetermined standard

Basic process of PA (cont)

Observing the performance
The what
The who
The full period
The comparison
Visual record
Graphic rating scale and
Behaviourally anchored rating scale
See Figure 5.6

Basic process of PA (cont)

Feedback
tell-and-sell (Administrative ?)
tell-and-listen (Administrative ?)
problem solving (Developmental ?)
Also depends on job maturity
Action plans
Permanent and reliable record
For the administrative appraisal, the usual record is a report
For the developmental appraisal, an action plan
The what - e.g. the learning objectives
The who - person responsible for the action
The how - type of learning – formal? Informal?

Surveillance system

The developmental performance appraisal process is the key surveillance system for any HRDNI
the information on the action plans is used for two purposes:
to design learning programs for individuals
to investigate trends identified from the collation of several individual action plans for further hidden needs

Legal issues in PA

A PA holds weight in the legal environment
Either as a shield against legal proceedings
Or a distinct legal/ financial risk
Legal ramifications
Not having one poses an enormous risk
The job analysis needs to produce
job descriptions that are accurate
KPIs that are reasonable and achievable
job specifications that are logical
use measures that can be proven to be reliable and valid

Career management

The comparison between
the needs of the individual
the needs of the organisation
Critical because of the long lead times often needed for the development of people for new roles and responsibilities
The organisation matches
the needs of the staff
with the organisation’s requirements for flexibility
to achieve a balanced mix of primary, secondary and peripheral staff

Careers

Traditional vertical career
Within a single organisation
An orderly, predictable upward progression
The psychological contract
Protean career
Self-directed orientation
Implies independence from external career influences
Individual evaluates career goals using internal values
Greater mobility and a more whole-of-life perspective
Boundaryless career
crossing organisational and professional boundaries
job security is replaced by employability

Career development

On-going
Reciprocal interaction between employee and employer
Enhancing capabilities so that the individual is not restricted to a particular job/career/ organisation
The process contributes to organisational success
Being inclusive rather than exclusive to a few
Being formal and informal
Individual and work priorities influence choice about careers and developmental opportunities

Career counselling

Help to develop them reach their career goals
Career motivation
Career identity - personal values according to workplace
Career insight - ability to evaluate own strengths and weaknesses
Career resilience – how cope with the problems that arise at work

Career counselling (cont)

Career anchors
Pattern of talents, motives and values
that guide/constrain/stabilise/integrate career
A number of types, such as
Technical competence
Managerial competence
Wanting security
Wanting creativity
Preference for autonomy

Career counselling (cont)

Individual’s personal environment
Mix of work life, family life and leisure life
Balance
Role conflicts
Life-cycle model
Exploration stage
Establishment stage
Maintenance stage
Disengagement stage

Career counselling (cont)

Gather information on future careers
What qualifications are needed
How much supervised experience is required
Employment opportunities
Locations of employment
Expected working hours
Costs of gaining qualifications and experience
Effects of such a change on present lifestyle

Career counselling (cont)

Constructing action plans
Action plan to make the change happen
Plans usually include
Time line
Budget
Incorporate a reality check into the process
E.g., visiting a work site

Career counselling (cont)

Making the change
How will the specific change affect each member of the family?
Is the new employer financially stable?
Is the culture ‘fit’ of the new organisation appropriate?
Is the physical working environment be suitable?