Need Details About Performance Management

Dear All,

I am working in a Ready Mix Concrete company. We have around 700 employees ranging from blue-collar to white-collar employees. I am planning to implement a Performance Management system. Can anyone guide me on how to create the appraisal forms and on what basis to evaluate in a professional manner? Kindly provide me with any suggestions and formats.

Thank you.

Dear [Recipient],

Before conducting performance appraisals, you need to have Key Result Areas (KRAs) and Key Performance Indicators (KPIs) for respective positions established.

During the performance appraisal, both the behavioral and functional qualities of an employee are assessed. For behavioral qualities, 360-degree feedback may be gathered from the employee's own team, cross-functional teams, and external parties. On the other hand, feedback on functional qualities should come from individuals with whom the employee directly interacts or provides services.

Behavioral qualities can be assessed through specific questionnaires, while functional qualities are evaluated based on KRAs and KPIs.

It is generally recommended that 360-degree performance appraisals should not be conducted in organizations lacking a healthy and transparent work culture, as bias may skew the results. In such cases, a simpler 180-degree assessment of behavioral and functional aspects can suffice for the appraisal.

It's crucial to remember that performance appraisal is not solely about collecting feedback for salary or designation increments. It serves as a tool to identify employees' strengths and weaknesses, enabling HR to determine necessary corrective actions for individual growth or team restructuring. This process aids in formulating strategies for future organizational development.

It would be very difficult for someone to make an appraisal form or system for you just based on the fact that you work for the ready-mix industry, unless of course, someone is in that particular industry and gives you their existing forms.

An appraisal system needs to be tailored to your company, depending on the nature, maturity of the management, etc. Furthermore, it depends on the goal - is it to decide the amount of increment? Or is it to track performance (delinked from increments)? Do you intend to use this to train the employee to work better? And of course, whether it's a top-down appraisal or a 360-degree appraisal (appraisal of seniors by subordinates in addition to the appraisal of subordinates by the senior).

Either you need to think it out and design it on your own (enough material on Google - but be ready for failure and revision as you run into practical difficulties) or you can hire a consultant to do it. There are enough experts on this forum, including my firm, whom you can tap for such an option.

Dear Jainulabudeen,

It appears that you have not checked past queries on this forum related to Performance Management System (PMS) or Performance Appraisal (PA). To refer to my past reply on Performance Management System (PMS), you may visit the following link: https://www.citehr.com/511936-pms-company.html. To learn more about Performance Appraisal, you may click the following link: https://www.citehr.com/521259-perfor...ny-method.html.

Thanks,
Dinesh Divekar

Hello Jainulabudeen,

You can use the following 15 questions for effective employee evaluation for setting up KRA and how to derive them KPI.

You can either follow a Google OKR concept or the most popular and effective one, which is the Balanced Scorecard Perspective. Here you can set the form under different categories, for example https://www.youtube.com/watch?v=DcA_-nsXVs0.

You can set up the form like this:
Performance Measures: Measurable: Yes/No
KPI:
Objective:
Description

Once you have that in place, you can use a Performance Management system like https://grosum.com/home.do to make the process more streamlined and easy for your employees as well as managers.

Good luck with that.

Rajarshi
www.grosum.com