Learning Objectives:

After studying this chapter, you should be able to:

1. Discuss the supervisor’s role in human resource management as it regards

staffing, training, and employee performance appraisal.

2. Explain how a supervisor achieves effective staffing and what tools are
available to facilitate this objective.

3. Outline the formats and structures used to interview job candidates.

4. Identify employment laws and practices that supervisors must follow to

ensure fair and unbiased hiring.

5. Describe the methods available to train employees and when each should be
used.

6. Discuss the tools and techniques used to evaluate employees and why
evaluation and feedback are important elements of performance
management.
Key Terms
The following key terms are present throughout chapter 5, and at the end of the chapter you
should have a basic comprehension of them.

360-degree Appraisal: A performance appraisal by peers, subordinates, superiors,

and sometimes clients who are in a position to evaluate a manager’s performance.

Aptitude Tests: Tests that measure a person’s capacity or potential ability to learn.

Board (Panel) Interview: An interview conducted by two or more people.

Coaching: Helping employees learn through supervisory observation,

demonstration, questioning, and timely feedback.

Employee Leasing Companies: Companies that provide permanent staff at

customer companies, issue the workers’ paychecks, take care of personnel matters,
ensure compliance with workplace regulations, and provide various employee
benefits.

Formal Appraisal: An appraisal conducted at a set time during the year and based
on performance dimensions and measures that were specified in advance.

Group Interview: Several interviewees are interviewed at once.

Halo Effect: Interviewer allowing a single prominent characteristics to dominate

judgment of all other traits.

Human Resource Forecasting: A process that attempts to determine the future

human resource needs of an organization in light of the organization’s objectives.

Human Resource Planning (HRP): Matching the internal and external supply of
people with the openings the organization expects to have for a given time frame.
Informal Appraisal: An unscheduled appraisal of ongoing progress and areas for
improvement.

Interest Tests: Tests that determine how a person’s interests compare with the
interests of successful people in a specific job.

Job Analysis: The process of determining the pertinent information relating to the
nature of a specific job.

Job Description: A written statement that identifies the tasks, duties, activities, and
performance results required in a particular job.

Job Knowledge Tests: Tests that measure the job-related knowledge possessed by
a job applicant.

Job Specification: A written statement that identifies the abilities, skills, traits, or
attributes necessary for successful performance in a particular job.

Modeling: The process in which a skilled co-worker or supervisor explains and

demonstrates the performance of a key job skill.

Objective Appraisal: An appraisal that is based on facts and is likely to be

numerical.

On-the-job Training: Training that takes place in the work setting as employees
perform their job tasks.

Performance Appraisal: The evaluation of employees’ job performance and

contributions to their organization.

Performance Feedback: The process through which managers share performance

appraisal information with subordinates, give subordinates an opportunity to
reflect on their own performance, and develop, with subordinates, plans for the
future.
Polygraph Tests: Tests that record physical changes in the body as the test subject
answers a series of questions.

Proficiency Tests: Tests that measure how well the applicant can do a sample of
the work to be performed.

Psychological Tests: Tests that measure personality characteristics.

Psychomotor Tests: Tests that measure a person’s strength, dexterity, and

coordination.

Recruitment: Process of seeking and attracting a supply of people from which

qualified candidates for job vacancies can be selected.

Resistance to Change: The tendency of some individuals to avoid learning new

ways of doing things.

Self-directed Learning: The process by which trainees learn at their own pace by
consulting resources and asking for guidance when they think it is needed.

Semistructured Interview: An interview in which the interviewer prepares the

major questions in advance buy has flexibility to use techniques, such as probing,
to help assess the applicant’s strengths and weaknesses.

Situational Interview: An interview in which the interviewer uses projective

techniques to put the prospective employee in action situation that might be
encountered on the job.

Skills Inventory: Consolidated information about an organization’s current human

resources.

Stress Interview: An interview during which the interviewee is placed under

pressure.

Structured Interview: An interview conducted using a predetermined outline.

Subjective Appraisal: An appraisal that is based on perceptions of traits,
behaviors, or results.

Teachable Moments: The specific times when employees are most likely to learn.

Temporary Help: Help that may augment the current staff or be laid off whenever
necessary; hired through an agency that pays the benefits and salary of the help,
while the organization pays the agency an agreed-on figure for its services.

Test Reliability: The consistency or reproducibility of the results of a test.

Test Validity: The extent to which a test predicts a specific criterion.

Tests: Methods for obtaining a sample of behavior that is used to draw inferences
about the future behavior or performance of an individual.

Training Need: A demonstrated gap between expected and actual performance.

Transfer of Training: The process in which trainees effectively apply to their jobs
knowledge and skills gained in off-the-job training.

Unstructured Interviews: Interviews conducted without a predetermined checklist

of questions.

Virtual Classroom: The use of web-based electronic programs to provide just-in-

time training to employees.
Outline

I. Staffing

A. The staffing function of management involves securing and

developing people to perform the jobs created by the
organizing function.

B. The goal of staffing is to obtain the best available people for

the organization and to develop the skills and abilities of
those people.

C. Obtaining the best people generally involves forecasting

personnel requirements and recruiting and selecting new
employees.

D. Developing the skills and abilities of an organization’s

employees involves employee development as well as the
proper use of promotions, transfers, and separations.

II. Job Analysis

A. A job analysis is the process of determining the pertinent

information relating to the nature of a specific job.

B. The end products of a job analysis are a job description and

a job specification.

1. Job Description
 i. A written statement that identifies the tasks, duties, activities,
and performance results required in a particular job.

ii. A job description should be used to develop fair and

comprehensive compensation and reward systems.

2. Job Specification

i. A written statement that identifies the abilities, skills, traits,

or attributes necessary for successful performance in a
particular job.

ii. A job specification identifies the qualifications of an

individual who could perform the job.

C. Skills inventory

1. Consolidated information about an organization’s current human

resources.

2. The skills inventory contains basic information about each

employee of the organization, giving a comprehensive picture of
the individual.

3. Six categories typically included in a skills inventory include:

i. Skills: education, job experience, and training.

ii. Special Qualifications: memberships in professional groups,

and special achievements.

iii. Salary and Job History: present salary, past salary, dates of
raises, and various jobs held.
 iv. Company Data: benefit plan data, retirement information,
and seniority.

v. Capacity of Individual: scores on tests and health

information.

vi. Special Preferences of Individuals: location or job

preferences.

4. A computerized version of a skills inventory allows for a quick and

accurate evaluation of the skills available within the organization.

D. Human Resource Planning (HRP)

1. Matching the internal and external supply of people with the

openings the organization expects to have for a given time frame.

2. HRP involves applying the basic planning process to the human

resource needs of the organization.

3. Organizations must constantly anticipate changes in the current

workforce due to retirements, deaths, discharges, promotions,
transfers, and resignations.

E. Forecasting

1. Human Resource Forecasting

i. A process that attempts to determine the future human

resource needs of an organization in light of the
organization’s objectives.

ii. Some of the variables considered in human resource

forecasting include:
 a. Sales projections

b. Skills required in potential business ventures

c. Composition of the present workforce

d. Technological changes

e. General economic conditions

2. All levels of management should be involved in the forecasting

process.

3. Forecasting is presently conducted on the basis on intuition; the

experience and judgment of the manager are used to determine
future human resource needs.

F. Transition

1. The transition is the final phase of human resource planning.

2. During the transition phase the organization determines how it can

obtain the quantity and quality of human resources it needs to
meet its objectives as reflected by the human resources forecast.

3. An organization engages several transitional activities to bring its

current level of human resources in line with the forecast
requirements including:

i. Recruiting and selecting new employees

ii. Developing current or new employees

iii. Promoting or transferring employees

 iv. Laying off employees

v. Discharging employees

III. Recruitment

A. Recruitment is the process of seeking and attracting a

supply of people from which qualified candidates for job
vacancies can be selected.

B. The amount of recruitment an organization must do is

determined by the difference between the forecasted
human resource needs and the talent available within the
organization.

C. Internal Recruitment

1. Internal recruitment is one of the best ways for human resources

to fill job openings.

2. Promotion from within is very popular with growing and dynamic

organizations.

D. External Recruitment

1. External recruitment is usually costlier and time consuming to

pursue than internal recruitment.

2. External sources of recruitment include:

i. Employment agencies
 ii. Consulting firms

iii. Employee referrals

iv. Employment advertisements

v. Temporary help

a. Help that may augment the current staff or be laid off

whenever necessary

b. Temporary help is usually hired through an agency that

pays the benefits and salary of the help, while the
organization pays the agency an agreed-on figure for its
services.

c. Temporary help is one of the fastest areas of recruitment.

vi. Employee leasing companies

a. Companies that provide permanent staff at customer

companies, issue the workers’ paychecks, take care of
personnel matters, ensure compliance with workplace
regulations, and provide various employee benefits.

IV. Selection

A. The selection process involves choosing from those available

the individuals most likely to succeed in the job.

B. The selection process depends on proper human resource

planning and recruitment.
C. The objective of the selection process is to match the
requirements of the job with the qualifications of the
individual.

D. Who makes the decision?

1. The responsibility of hiring is assigned to different levels of

management in different organizations.

2. Human resources typically handle the initial screening of recruits,

leaving the final selection to the manager of the department.

3. Involving key members of a department in the selection process,

not just the manager, has become a popular practice in many
organizations today.

E. Selection procedure

1. The selection procedure typically follows the following steps:

i. Preliminary Screening

a. Reviewing an individual’s application and resume to see if

they would be a good fit for the particular job.

ii. Preliminary Interview

a. Getting to know the individual through a series of

questions to determine their interest and qualifications in
the job.

iii. Testing
 a. Method used to determine how someone handles a
particular situation while on the job, or to determine their
knowledge and skills match the job requirements.

iv. Reference Checks

a. Checking the references listed by the applicant that can

attest to his/her ability to perform the job.

v. Employment Interview

a. Interview used to help determine how the individual will

fit in with the organization, or the rest of the team within
a department.

vi. Personal Judgement

a. Intuition and judgement used by the manager, or

selection committee in determining whether the
applicant will be a good fit for the position.

F. Testing

1. One of the most controversial areas of the staffing process.

2. Tests are methods for obtaining a sample of behavior that is used

to draw inferences about the future behavior or performance of an
individual.

3. Tests used by organizations can be grouped into the following

categories:

i. Aptitude Tests
 a. Tests that measure a person’s capacity or potential ability
to learn.

ii. Psychomotor Tests

a. Tests that measure a person’s strength, dexterity, and

coordination.

iii. Job Knowledge Tests

a. Tests that measure the job-related knowledge possessed

by a job applicant.

iv. Proficiency Tests

a. Tests that measure how well the applicant can do a

sample of the work to be performed.

v. Interest Tests

a. Test that determine how a person’s interests compare

with the interests of successful people in a specific job.

vi. Psychological Tests

a. Tests that measure personality characteristics.

vii. Polygraph Tests

a. Tests that record physical changes in the body as the test

subject answers a series of questions.

4. Employment testing is legally subject to the requirement of validity

and reliability.

i. Test Validity
 a. The extent to which a test predicts a specific criterion,
usually performance on the job.

ii. Test Reliability

a. The consistency or reproducibility of the results of a test.

b. Three methods are commonly used to determine the

reliability of a test.

• Test-Retest: involves testing a group of people and

then retesting them later. The degree of similarity
between the sets of scores determines the
reliability of the test.

• Parallel Forms: entails giving two separate but

similar forms of the test. The degree to which the
sets of scores coincide determines the reliability of
the test.

• Split Halves: divides the test into two halves to

determine whether performance is similar on both
halves. The degree of similarity between the tests
determines the reliability.

G. Background and Reference Checks

1. Background and reference checks usually fall into two categories:

i. Personal and academic references

a. These references are typically of limited value, because

few people list someone as a reference they feel would
give a negative recommendation.
 ii. Past employers

a. Previous employers are in the best position to supply the

most objective information.

b. Most previous employers will provide only the following

information:

• Yes or no to the question if the applicant worked

there.

• The employee’s dates of employment.

• The position he or she held.

2. Background checks

i. Job applicants that are rejected due to a background report

from an outside reporting service, must be given the name
and address of the organization the developed the report.

ii. The reporting service is not required by law to give the

person a copy of his or her file, but it must inform the person
of the nature and substance of the information.

V. Employment Interview

A. The employment interview is used by virtually all

organizations, and is an important step in the selection
process.

B. All questions asked during an interview must be job-related.

C. Equal employment opportunity legislation has placed
limitations on the types of questions that can be asked
during an interview.

D. Types of interviews

1. Structured Interview

i. An interview conducted using a predetermined outline.

ii. Structured interviews provide the same type of information

on all interviewees and allow systematic coverage of all
questions deemed necessary by the organization.

iii. Structured interviews increase reliability and accuracy.

2. Semistructured Interview

i. An interview in which the interviewer prepares the major

questions in advance but has the flexibility to use
techniques, such as probing, to help assess the applicant’s
strengths and weaknesses.

3. Situational Interview

i. An interview in which the interviewer uses projective

techniques to put the prospective employee in action
situations that might be encountered on the job.

4. Unstructured Interview

i. Interviews conducted without a predetermined checklist of

questions.
 ii. While unstructured interviews provide a more relaxed
atmosphere, they are not as accurate or reliable.

5. Stress Interview

i. An interview during which the interviewee is placed under

pressure.

ii. The purpose of a stress interview is to detect whether a

person is highly emotional.

6. Board (Panel) Interview

i. An interview conducted by two or more people.

7. Group Interview

i. Several interviewees are interviewed at once.

E. Problems in conducting interviews

1. Interviews are subject to the same legal requirements of validity

and reliability as other steps in the selection process.

2. The validity and reliability of most interviews are questionable as it

is easy for the interviewer to become either favorably or
unfavorably impressed with the job applicant.

3. Interviewers can develop personal biases, and these biases can

play a role in the interviewing process.

4. Halo Effect

1. Interviewer allows a single prominent characteristic to dominate

judgment of all other traits.
 5. Overgeneralizing

1. The interviewer must remember that the interviewee is under

pressure during an interview and that some people naturally
become nervous during them.

F. Conducting effective interviews

1. Careful attention must be given to the selection and training of

interviewers.

i. Interviewers should be outgoing and emotionally well-

adjusted people.

ii. Interviewing skills can be learned and those conducting

interviews should be trained in those skills.

2. Plan for the interview should include an outline specifying the

information to be obtained, the questions to be asked, and the
location of the interview.

3. The interviewer should attempt to put the applicant at ease to help

calm any nerves the applicant might have.

4. The facts obtained in the interview should be recorded

immediately.

5. The effectiveness of the interviewing process should be evaluated.

G. Personal judgment

1. Is the final step in the selection process.

 2. A value judgment using all the data obtained in the previous steps
of the selection process must be made in selecting the best
individual for the job.

3. Caution should be taken against accepting the “best” applicant if

that person is not truly qualified to do the job.

VI. Training: Process and Purpose

A. How important is education and training today?

1. In organization’s training can hold the key to productivity gains and

improved customer service.

2. Employees in many companies are taking classes on quality,

customer service, just-in-time inventory, process reengineering,
and statistical process control.

3. Trained employees are the key to any company’s future.

B. Will employees learn without being trained?

1. Employees learn regardless if they are trained or not, however

untrained employees tend to learn how to do things only partially
correct, or entirely incorrect.

2. There are four ways to provide training:

i. Hit or miss

ii. Sink or swim

iii. Trial-and-error
 iv. Structured and systematic

a. Structured and systematic is the only dependable method

of training employees.

b. It is based on a careful study of what the job requires in

terms of knowledge and skills.

c. It involves a period of instruction provided by an

individual who is familiar with the job, followed up by
supervisory review.

C. What are the key steps in a systematic approach to training?

1. There are six steps in the systematic approach to training:

i. Determine whether training is needed at all.

ii. Specify exactly what the purpose (objective) of training will

be.

iii. Design the training, decide what the substance will be and
what training methods will be used.

iv. Evaluate the effectiveness of the training.

v. Implement an ongoing program for facilitating and

encouraging trainees to use their new skills and perform
well.

D. What is the primary purpose of training?

1. Training is conducted to improve employees’ present or potential

job performance.
 2. Good training is practical, efficiently presented, and directly
relevant to trainee jobs.

3. Trainees learn best when the employer’s expectations are clearly

defined, relevant models are demonstrated, constructive feedback
is given, and useful materials are provided for later reference when
needed.

E. How do you know that training is needed?

1. There are two major ways to identify training needs:

i. Gaps between expected and actual employee behaviors.

ii. Gaps between current and desired levels of performance.

2. Both ways to identify training needs—informal and formal—are

potentially useful.

i. Informal Analysis

a. In an informal analysis of training needs, supervisors

should be on alert for any of the following conditions:

• Customer complaints

• High turnover

• Repeated mistakes

• Subpar production rates

• Out-of-line operating costs

 • High accident rate

• Excessive overtime

• Poor employee morale

b. Some of these conditions may be a sign of poor employee

selection, motivational problems, or job-related
conditions rather than training needs.

c. Informal analysis of training needs is often best

supplemented by a formal analysis of needs.

ii. Formal Analysis

a. In a formal analysis of training needs, supervisors should

attempt to identify the people who need training, the type
of training they need, and determine whether training is a
viable solution to performance problems.

b. Common methods of assessing training needs include:

• Surveys

• Interviews

• Skill tests

• Observation of employees at work

F. How can you keep track of an individual’s training needs and

achievements?
 1. Supervisors should keep records of what skills employees already
have, as well as identifying skills that will be needed in the future.

2. In record-keeping supervisors should:

i. Record what each worker can already do.

ii. Indicate what each worker doesn’t need to be able to do.

iii. Plan ahead for what each worker has to learn and how that
will be achieved.

iv. Set definite dates for completing training in each part of the
job.

G. Are employees likely to accept the results of a needs

analysis?

1. Nearly all employees will be resistant to any sort of change, even if

a needs analysis supports the change that is needed.

2. Resistance to Change

i. The tendency of some individuals to avoid learning new ways

of doing things.

3. Common reasons that employees resist change include:

i. Lack of perceived rewards for doing so.

ii. Fear of the unknown.

iii. Potential loss of status, control, or security.

iv. Disruption of one’s daily routine.

 v. Possibility of increased work expectations.

vi. Requirement of a substantial degree of behavioral change.

vii. Absence of trust between supervisors and employees.

4. Methods for making training programs less intimidating and

successful change more likely include:

i. Introducing change gradually while simultaneously

establishing an overall sense of urgency.

ii. Use open and honest communication to explain the need for
change.

iii. Involve employees in the process of analyzing the needs

analysis data and preparing recommendations.

VII. A Training Partnership

A. Why is a supervisor responsible for training employees?

1. Employees want to grow and take on new responsibilities, and

supervisors must be there to show them how.

2. Supervisors need to turn employees into lifelong learners who

grow and develop through a variety of non-traditional means.

3. Todays organizations need employees who know how to:

i. Analyze situations

ii. Engage in critical thinking

 iii. Solve problems

iv. Integrate new ideas

4. Coaching

i. Helping employees learn through supervisory observation,

demonstration, questioning, and timely feedback.

ii. Supervisors need to realize that coaching is one of their most

important concerns and should be part of their job
description.

iii. Some form of coaching should be done every day.

B. When does a good supervisor begin training an employee?

1. An employees training begins the moment they are hired, for two
reasons:

i. New employees who get started training and build solid

experience have a good chance of continued success in the
future.

ii. Teachable Moments

a. The specific times when employees are most likely to

learn.

C. Who should perform the training?

1. Two parties share the responsibility with the supervisor, which
includes the organization’s training department and the trainee.

i. Training Department

a. This department provides information to the subject-

matter expert on how to train.

b. Train-the-trainer courses help a new trainer identify

objectives, prepare appropriate course materials,
determine the best pace at which to proceed, and
improve presentation skills.

ii. Trainee

a. Many employees can take some responsibility for self-

directed learning

b. Self-directed Learning

• The process by which trainees learn at their own

pace by consulting resources and asking for
guidance when they think it is needed.

c. Employees who are capable of self-directed learning also

capitalize on the wealth of information and self-directed
courses available on the Internet.

d. Virtual Classrooms

• The use of web-based electronic programs to

provide just-in-time training to employees.

2. Supervisors, even with the help of designated trainers and self-

directed learners, must continue to supervise the training and the
trainees to be sure they are meeting expectations.
 D. If supervisors are responsible for training, what’s the role of
a company’s training department?

1. The function of an organization’s training department is to:

i. Identify training needs.

ii. Specify and/or provide training programs and methods.

iii. Conduct evaluations of training.

iv. Assist or supplement supervisors and other managers in

meeting their training responsibilities.

2. Members of the training department are experts in teaching

methods, and they can help supervisors recognize and interpret
training needs.

VIII. Obtaining Results from Training

A. What are the direct and indirect costs of training?

1. Direct Costs

i. Preparation investment

ii. Materials distributed to each participant

iii. Visual aids

iv. Fees paid to outside instructors

 2. Indirect Costs

i. Time for both supervisors and trainees

ii. Effects of errors made or low performance if employees are

not trained properly and promptly

iii. Productivity lost during training

3. Not training an employee at all is more expensive than any direct

or indirect cost associated with training.

4. Training should be planned carefully and systematically to avoid

the need to repeat it later.

B. What benefit can a supervisor expect from training?

1. Effective employee training has the following benefits:

i. Improves the possibility of intradepartmental transfers.

ii. Allows supervisors more time for other tasks, such as

scheduling work and performance coaching.

iii. Provides a reserve of training personnel within departments

for expansion or emergencies.

iv. Wins the confidence and the cooperation of employees.

v. Makes supervisors prime candidates for promotion.

C. How will you know if training has been successful?

1. There are four indicators of the success of training:

i. Trainee Reactions

a. Did they stick it out to the end?

b. Did they feel something useful was being shared?

c. Were they satisfied with the time spent and the materials
received?

ii. Trainee Learning

a. Did they acquire new information?

b. Can they pass knowledge-based tests after training?

c. Can they now explain a process or procedure that they

were not aware of before training?

iii. Trainee Behavior

a. Did they acquire new skills?

b. Can they demonstrate specific skills at a higher level than

was previously possible?

c. Do they no interact with customers more effectively?

d. Can they now pass behavioral certification tests?

iv. Results

a. Do trainees perform their jobs in ways that produce

better products or services than before?

b. Has their speed increased?

 c. Has quality improved?

d. Have mistakes declined and customer complaints

decreased?

D. How can a supervisor increase the probability that training

will transfer to the job?

1. Transfer of Training

i. The process in which trainees effectively apply to their job

knowledge and skills gained in off-the-job training.

2. Supervisors can aid in the transfer of training by:

i. Discussing the objectives of training in advance so that

employees know what to expect.

ii. Point out effective workers to the trainees so they have

successful role models.

iii. Have skilled co-workers model, or demonstrate, the

performance of key job skills.

iv. Visibly monitor trainee performance.

v. Praise successful behaviors so trainees feel good about their

developing skills.

vi. Consider training an important supervisory function worth

attention.
E. How should you modify training for new entrants to the
workforce?

1. Training for new employees should follow these guidelines:

i. Make the training specific to the job or task.

ii. Rely on demonstrations and repeat the demonstrations until

the trainee has understood the task.

iii. Over-train rather than under-train.

iv. Offer personal aid to ensure the trainee understands the

task and can ask questions.

v. Provide lots of follow-up.

vi. Reassure and recognize the trainee frequently how well the
work is going.

vii. Use the buddy system by appointing a co-worker that can

provide the trainee with support.

viii. Individualize training by identifying the training needs of

each employee and develop individual development plans.

F. How do training and development relate to the idea of

performance management?

1. Training and Development

i. Focuses on the preparation of employees to perform specific

tasks or acquire skill sets.

2. Performance Management
 i. Much broader and longer term than training and
development, as it attempts to prepare employees for the
changing nature of work and the workplace in the years
ahead.

ii. Performance management attempts to examine and control

all the factors that make employees effective and ineffective.

G. Types of training

1. There are two types of training: classroom instruction and on-the-

job training.

2. Classroom Instruction

i. In classroom instruction, employees acquire knowledge and

skills in a classroom setting.

ii. Instruction may take place within the organization or outside

it.

iii. Some organizations establish their own formal instruction

divisions to provide needed classroom instruction.

iv. Classroom instruction uses videos, role-playing, simulations,

written materials, lectures, and group discussions.

3. On-the-job Training

i. Training that takes place in the work setting as employees

perform their job tasks.
 ii. Training can be performed by coworkers or supervisors or
can occur as the employee gains knowledge and experience
from doing the work.

iii. Supervisors use on-the-job training on a continuing basis to

ensure that employees keep up to date with changes in the
workplace.

H. Types of Development

1. Development includes additional activities outside of training which

include varied work experiences and formal education.

2. Varied Work Experiences

i. Supervisors frequently make sure that employees with high

potential have a wide variety of job experiences, some in line
positions and some in staff positions.

ii. Varied work experiences help broaden an employee’s

horizons and help them think about the big picture.

iii. Mentoring is another developmental approach that

organizations use.

a. Having mentors allows for employees to seek out work

experiences and assignments that will contribute to their
development.

b. Many organizations have found such a benefit in

mentoring that they have developed their own formal
mentoring programs.
 c. Formal mentoring programs help to ensure that all
members of an organization have mentoring available to
them.

3. Formal Education

i. Many large corporations reimburse employees for tuition

expenses they incur while taking college courses and
obtaining advance degrees.

ii. Some supervisors rely on long-distance learning or online

degree programs to formally educate and develop
employees.

iii. Some business schools customize their courses and degrees

to fit the development needs of employees in a particular
company and/or a particular geographic region.

IX. Performance Appraisal and Feedback

A. Performance Appraisal

1. The evaluation of employees’ job performance and contributions to

their organization.

B. Performance Feedback

1. The process through which managers share performance appraisal

information with subordinates, given subordinates an opportunity
to reflect on their own performance, and develop, with
subordinates, plans for the future.

2. A performance appraisal must take place before performance

feedback is given.
C. Performance appraisal and feedback contribute to effective
management of human resources in several ways:

1. Performance appraisal gives managers important information on

which to base human resource decisions.

2. Decisions about pay raises, bonuses, promotions, and job moves

rely on accurate appraisals of performance.

3. Performance appraisals help managers determine which workers

are candidates for training and development and in what areas.

4. Performance feedback encourages high levels of employee

motivation and performance.

D. Types of performance appraisal

1. Performance appraisal focuses on the evaluation of traits,

behaviors, and results.

2. Trait Appraisals

i. With trait appraisals supervisors assess employees on

personal characteristics that are relevant to job performance
such as skills, abilities and personality.
ii. Disadvantages of trait appraisals include:

a. Possessing a certain personal characteristic does not

ensure that the personal characteristic will actually be
used on the job and result in high performance.

b. Traits do not always show a direct association with

performance, workers and courts of law may view them
as unfair and potentially discriminatory.
 c. Trait appraisals often do not give employees feedback
they can use to improve performance.

3. Behavior Appraisals

i. With behavior appraisals supervisors assess how workers

perform their jobs.

ii. Behavior appraisals are useful when “how” workers perform

their jobs is important.

iii. Behavior appraisals give employees clear information about

what they are doing right and wrong and how they can
improve their performance.

4. Results Appraisals

i. With results appraisals supervisors assess performance by

the results or the actual outcomes of work behaviors.

5. Objective and Subjective Appraisals

i. Objective Appraisals

a. An appraisal that is based on facts and is likely to be

numerical.

b. Managers use objective appraisals when results are being

appraised because results tend to be easier to quantify
than traits or behaviors.

ii. Subjective Appraisals

a. An appraisal that is based on perceptions of traits,

behaviors, or results.
 b. Subjective appraisals rely on a managers’ perceptions,
which means there is a chance that they are inaccurate.

E. Who appraises performance?

1. Supervisors are the most common appraisers of performance and

is an important part of their job duties.

2. Through appraisals supervisors help make decisions on pay raises

and promotions for employees.

3. Other sources for appraising performance include:

i. Self, Peers, Subordinates, and Clients

a. In self-appraisals, supervisors supplement their

evaluations with an employee’s assessment of his or her
own performance.

b. Peer appraisals are provided by an employee’s co-

workers or team members.

c. Companies are beginning to have subordinates rate and

appraise their supervisors performance and leadership.

d. Client feedback is sometimes used through such things as

customer reviews, or customer complaints as a
determining factor of an employee’s performance.

ii. 360-Degree Performance Appraisals

i. A performance appraisal by peers, subordinates,

superiors, and sometimes clients who are in a position
to evaluate a manager’s performance.
 ii. For 360-degree appraisals and feedback to be
effective, there has to be a high level of trust
throughout the organization.

iii. 360-degree appraisals should focus on an employees

behaviors rather than traits or results.

F. Effective performance feedback

1. Supervisors use both formal and informal appraisals to provide

useful feedback to their employees.

i. Formal Appraisal

a. An appraisal conducted at a set time during the year and

based on performance dimensions and measures that
were specified in advance.

b. Managers in large organizations use formal performance

appraisals on a fixed schedule dictated by company
policy, such as every six months or every year.

c. Performance feedback lets subordinates know which

areas they are excelling in and which areas need
improvement.

d. Managers often supplement formal appraisals with

informal appraisals in order to provide more frequent
feedback to employees.

ii. Informal Appraisal

a. An unscheduled appraisal of ongoing progress and areas

for improvement.
 b. When job duties, assignments, or goals change, informal
appraisals can give workers timely feedback concerning
how they are handling their new responsibilities.

2. Supervisors dislike providing performance feedback, especially

when the feedback is negative. Some guidelines supervisors can
follow in giving effective performance feedback includes:

i. Be specific and focus on behaviors or outcomes that are

correctable and within a worker’s ability to improve.

ii. Approach performance appraisals as an exercise in

problems solving and solution finding, not criticizing.

iii. Express confidence in a subordinate’s ability to improve.

iv. Provide performance feedback both formally and informally.

v. Praise instances of high performance and areas of a job in

which a worker excels.

vi. Avoid personal criticisms and treat subordinates with

respect.

vii. Agree to a timetable for performance improvements.

G. Should a supervisor keep a written record of what transpires

during an appraisal interview?

1. Supervisors should keep a written record of performance appraisal

interviews, as they can be helpful to refer to in a variety of
situations, such as determining pay raises, promotions, etc.
 2. If a written record of an employee’s performance, and placed in the
employee’s official file, the organization is expected by law to give a
copy of that record to the employee.

3. In case there is a need to terminate an employee, a well-kept

record of performance appraisals that have documented incidents,
poor work ethic, or below par performance can be useful.

H. What ethical issues are involved in appraisals?

1. Confidentiality

i. Supervisors need to maintain the privacy rights of each

person despite the potential temptation to discuss an
employee’s performance with other employees.

2. Inconsistency

i. Supervisors need to avoid using one set of standards for one

employee and another (higher or lower) set for another
employee.

3. Egoism

i. Supervisors should not assume that they know everything,

or that they sit in supreme judgement of their employees.

4. Fairness

i. Supervisors need to treat all employees being appraised

without regard to factors unrelated to behaviors and results.