Monitoring Performance
Every employee should receive a formal performance evaluation at least once a year. To give effective performance evaluations, follow these guidelines.
Setting Standards
- Base employee evaluations on a comparison to a clearly defined, objective set of standards.
- Communicate those standards to employees at the beginning of the evaluation period.
- Monitor performance during the year to guarantee accuracy of evaluation.
- At the end of the evaluation, set standards for the next evaluation.
What to Evaluate
Compare performance to standards in these four areas:
- Quantity How much was accomplished?
- Quality How good were the results?
- Cost Were costs within budget?
- Timeliness Was work completed on time and in the proper sequence?
- Overall improvement and customer satisfaction.
When evaluating performance, allow for circumstances beyond the employee's control, such as material shortages or newly acquired skills.
Causes of Poor Performance
When an employee's performance is poor in one area, evaluate employee work habits such as:
- Attendance
- Punctuality
- Safety practices
- Organization
- Planning to help determine the cause of the problem and to elicit higher performance
Cause of Unfair or Inaccurate Evaluations
- Overreliance on subjective criteria, such as attitude, loyalty and interest in the job
- Irrelevant criteria, such as physical appearance, personality and insignificant events
- Setting standards too low, so that everyone receives an adequate evaluation
- Individual bias
- Poor or inaccurate monitoring, with no clear picture of an employee's performance
Monitoring Performance
Ensure accurate evaluations through thorough and frequent monitoring, by using:
- Personal inspection. n production records.
- Customer contact. n interim performance reviews.
- Audits
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