The Performance And Reward Management System

Helping performance raters avoid bias is an important factor in creating a legally sound performance management system (Aguinis, 2013). All people leaders will be required to attend yearly and bi-yearly training to help manage the performance of employees. They will also be required to justify their ratings to their direct leader. Once the leader approves the rating, the performance review will be made available to the employee. The employee will be able to leave feedback and sign the performance review. Once signatures have been received the performance review will not be

Jessica’s Urban medical Center should focus on training raters as the third priority of implementing a new performance management system. Participants in the performance management system should undergo a variety of training to develop skills needed to successfully implement the system (Aguinis, 2013). Participants should undertake rater error training, frame of reference training, behavioral observation training, self-leadership training and self-efficacy training. Once the training is complete, participants will be expected to incorporate a combination of techniques when performing ratings. These training will empower participants to avoid making errors during the

* Plan: need to clearly identify what performance is required and how it will be measured

“Performance appraisals can enhance employee performance as well as advance the mission and goals of an organization. There are many advantages of performance appraisals if they are applied fairly, consistently and objectively. Performance appraisals not applied fairly can be counterproductive and even destructive to

The Halo effect and Rater bias are two potential performance appraisal problems that can cause potential rating errors (Dessler, 2008). These errors in the evaluation render the appraisal, less valuable for the employee and for the company.

An effective performance appraisal system strives for as much precision in defining and measuring performance dimensions as is feasible. Some of the major problems with the Darby appraisal system are:

Performance Management Within the Workplace The basis of the mainstream of performance appraisals within the modern workplace is one person (a manager or executive) rating one more, an intrinsically individual process. There are distinction such as 360 degree appraisals that include the judgment of others such as clientele and peers/colleagues in the process but it is the action of one person transitory judgment upon another that is subjective in nature and the root cause of many of the problems encountered in the research associated with performance appraisals. Performance appraisals are of importance to the organisation, as they often provide the only measure of an individual's contribution and

360-degree feedback also known as multi-rater feedback is a performance evaluation test where employees get anonymous feedback from their co-workers. Employees can recognize their strengths and weaknesses though this method of assessment. The paper will look at the mistakes that people make in formulating a 360-degree feedback and appropriate use of the 360-degree performance evaluation test.

Indian organizations are increasingly going global. Also multinational corporations (MNCs) continue to proliferate in India. These forces have given rise to the increased use of expatriates for inbound and outbound assignments. As such, new ways of determining performance and compensation have been developed. Performance management systems are now commonplace in Indian organizations and MNCs operating in India. The most frequently used system is the Target Based Evaluation/MBO. Most organizations are now also linking performance to rewards.

Although Performance Management evolved from performance appraisals few decades ago, most literature still intensely focuses on performance appraisals when addressing performance management.

Being rewarded and recognised for their work or contribution is what keeps an employee motivated to work towards achieving the organisational as well as personal goals. When the employees is motivated by rewards, they will have job satisfaction consequently increasing the productivity of the organisation. It necessitates the need of managers to pay more attention in understanding their employees and come up with suitable types of reward systems for the organisation so that the employees are intrinsically and extrinsically motivated all the time. The hypotheses that I put forward here is to support this statement that effective reward management is critical to

a) As a manager what are the methods you will consider while assessing individual performance. (10marks)

The retail chain of RightNow! has recently come into a bit of trouble concerning their issues of pay secrecy and the discrepancies that came with it. In order for the company to move forward with the same productivity and employee motivation as before, with potential to further improve, Hank, the CEO of RightNow! must decide whether changes should be made concerning their pay model and performance review system. The implications of these changes and how they will effect the employee motivation, retention, attraction and development will be looked at. The recommendation of a new and improved reward management system can provide the answers to their pay discrepancy issues, as well as offer a logical and methodical approach to battle employee

In a typical and effective process of performance management, as demonstrated in Figure 2.1, performance appraisal is not the only but a vital element because it is the activity which evaluate the outcome of the work, recognize the achievement and weaknesses and give employees and managers a straightforward result on these(Armstrong, 2009, Hutchinson, 2013). From a modern perspective, performance appraisal covers more areas not only on what have been achieved but also on the attitude and contribution of the operator (Hutchinson, 2013), which enhance the functions of identifying training needs.

In my essay, I will critically assess the role of Performance Management and the reward system in organisations toward the employees and the business as a whole and outline the various types of reward and their advantages and disadvantages. I will support my essay with an examples of PM in the two very famous companies, Adidas and Dell, however, they are participating in a different market industries, both companies have the same target, to be on the top of sellers companies worldwide.