How to Make Performance Appraisal Measured Effectively

“If you can’t measure it,- how do you know how well it is being done or even if it’s being done at all?"

Determination of measurements is an integral part of effective performance appraisal. Once a manager and his subordinate have refined and verified the appropriate principal accountabilities, performance indicators and established priorities, the next step is to determine measures.

Measurement is something which requires imaginative thinking and thoughtful discussion between boss and subordinate to identify measures which are fair and relevant in the particular environment, business circumstances and individual situation under review.  Those measures which seem most attractive at first sight may constitute ‘overkill’ and much simpler monitoring may suffice.  The criteria are simplicity, acceptability, sensitivity.

In any sound management system, an important element is some index, preferably quantitative, to determine the degree to which planned results are being achieved.  For example, a budget is a plan for spending money over a period of time.

By establishing such measures for the accountabilities of each job, the incumbent and the supervisor can systematically, and objectively, review actual achievements against expected results.

Specific Goals and Objectives for the next cycle must be set with each Appraisee, based on corporate, department and section business plans. Each goal will include the target date, the measurement method and its relative weight/importance.

Characteristic of Measurement

All measures must be developed to show some form of quantifiable performance

• What are the concrete signs of outstanding performance in this key results area?
• What are the concrete things that would cause dissatisfaction with respect to achievement?
• What are the key competencies / behaviours that make for outstanding performance in the job?

Measures should be:

• Objective
• Simple
• Relevant
• Understandable

Typical measures that will lead to good objectives are:-

• Volume of sales
• Number of rejects
• Targets per month
• Accuracy
• Variances from budget

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