laptop

HR Weekly.

Your weekly journal to everything HR

Get a free access to latest HR trends, blogs, best practises, templates, videos, HR tools & much more on HR-One blog.

Subscribe
January 6, 2017

We all have gone through this many times: putting our colleagues in “average” category despite being aware of how good they’re. The Bell Curve system of performance appraisal intimidates HR managers as much as employees. For a long time this forced ranking system has remained a topic of debate, but companies still continue to use it. Why? Because in the eyes of leadership teams it rewards top performers who create most part of the value for their companies. In simple words, they continue to use it because it benefits them. But is that really the case? We try to figure out in this article.

Understanding the Curve

The Bell Curve performance appraisal system is based on the premise of Bell Curve in Statistics, which is also known as Normal Distribution Law. According to that phenomenon it assumes that in an organization there’ll be a few employees that’ll be high-performers, and a few employees that’ll be extremely low performers. Majority of employees will be in-between, the category known as average performers. The ratio of percentages adopted for low:average:high varies among companies: a majority of them adopt the ratio of 10:80:10, while a rare few adopt 10:70:20.

Bell Curve: Advantages

A major advantage of Bell Curve appraisal system is that it rewards high-performers, thus giving them more encouragement to work harder for the goals of company. On the other hand, it can also help in identifying the suitability of jobs for individual employees (if done the right way). It also helps in managing leniency of HR managers while rating employees and forces them to rate people strictly.

Another advantage of this system is that it’s easy to implement in comparison to other performance appraisal methods, thanks to HRMS software vendors who have included it traditionally in their products. If you want to implement some other method of performance appraisal, your search for Human Resource Management Software may get a bit more difficult.

All of this, as you may expect, helps companies in achieving their goals easily.

Bell Curve: Disadvantages

We just saw how Bell Curve system helps companies in achieving their goals. But how many of those goals are actually achieved because of it? It seems not a lot. Despite the advantages this system provides to a few high-performers, there’re many reasons due to which this model doesn’t do justice to the employees as well as companies. Research has suggested many times that people’s performance doesn’t follow the law of Bell Curve, which means it’s quite possible to have more high performers in your company than the percentage that you’ve allotted to the “high performers” category of your bell curve system. By forcing your HR managers to fit only a fixed number of employees in that gradient you may be discouraging the remaining high-performers (or good performers at least) who could have brought more business to your company.

Final Thoughts: Is it Relevant Anymore?

Despite the large number of companies that continue to deploy it, a few industries have already realized that this performance appraisal method is not good for them. IT is one of them: Google, Microsoft, Adobe, IBM, Infosys, Mindtree, TCS and many others have already dropped this performance appraisal system for alternatives.

So ultimately, it’s up to you to figure out how much this system is working for you. If it’s not working then you should replace it immediately for the good of your company.

Bell Curve Performance Appraisal Method: Is it Still Relevant?

[..]

By HR-One Team
February 25, 2016

Annual reviews are quite a stressful exercise for everyone. From HR to the employees and the managers, everyone goes through the same grind. Here are some tips on how you can take a chill pill and beat out the appraisal blues…

It’s the time of the year again! After the annual accountings and planning, it’s time to do a performance review and give out appraisals. Exciting as it may sound, this activity brings jitters to all. Be it the HR, employees or the managers, anxiety pangs visit all!

Well, there is no fool-proof remedy to take all your anxiety away, here are some quick ways that would help you stay calm and cool during the appraisal roller-coaster.

Be Prepared: Do not walk into the room having no clue about anything. Appraisals are calendar events and you know beforehand when yours is happening. It is always good to ask your boss or the HR about what appraisal format would be followed and what you need to prepare for the same. And then you go prepared!

Do not fear feedback: We’d all love appraisal when we just talk about good points and next year’s plan. But wait, what about your personal growth? If not given, ask for feedback. There is just no need to panic when you hear “feedback”. It doesn’t mean that you did everything wrong. We all know that no one is perfect. It is always good to take advice from your seniors on your improvement areas and work on them.

You know what you did best: Unless have spent the whole year deleting emails and searching for friends on Facebook, you know it’s now going to be bad. One year is a long time for anyone to do a lot of great stuff. List out all your achievements, big or small. Be proud and confident about what you did right.

No room for surprises: Do not wait for the whole year to hear the feedback that your boss has. Keep asking them about your performance and what you can do better on a regular basis. If you do this, a lot of things that you’d hear in the meeting room would sound familiar!

Appraisal times are an exciting phase in any company. Everyone gets pumped up and there is loads of anticipation and anxiety about what the numbers are going to be like. All you need is – just be prepared well. If you know what to expect., if you know what you achieved, the whole process would be a lot more productive, and less stressful

Performance reviews may never be your favorite meeting of the year—they certainly won’t ever be mine. But if you know what to expect, go in with the right mindset, and try to eliminate surprises, you’ll find that they’re more productive—and enjoyable—than you ever thought possible.

4 Fool-Proof Ways to Beat Appraisal Anxiety

[..]

By HR-One Team
March 18, 2015

Appraisal period is one of the most anticipated and anxious phases for any company. For employees, it is the time when they get rewarded for their work through either a salary hike or a promotion, for the managers it is the time when they need to evaluate their teams accurately. Appraisals instill accountability and discipline in some sense. Though it is an important step in maintaining the overall efficiency and performance of the company, it is not an easy phase.

The managers need to assess the performance of their teams for the entire year. They should consider all the positives, keep a track of any negatives if there are any and give the appropriate appraisal to the right candidates. There may be more than two candidates who could be eligible for a promotion, it gets extremely crucial that the manager takes in account every tiny aspect of their work and promotes the more deserving candidate. Imagine keeping a track of a lot of employees and their work files of a year. There may be cases of files getting lost or someone can make the mistake of assigning a different grade to an employee who did not deserve it. Appraisals can be stressful and can be prone of unwanted and unexpected mistakes. HR-One’s HRMS ensures that this does not happen.

Importance of Appraisal and HRMS

An appraisal helps in the growth and progress of both the employees and the organization. Employee morale is boosted during appraisal and their performance can be measured accurately. It is not easy to evaluate a number of employees in a short period of time but it is possible to ease up the process of appraisals significantly with the help of best recruitment management software in India. Let us see how HRMS helps an organization in one of the most important steps.

  • It helps the manager in tracking performance accurately: There are certain guidelines and goals that are set for each employee. Some employees fall short, some accomplish their targets and some exceed the expectations. For those who accomplish and exceed their targets, they should be compensated accordingly. Likewise, appropriate action should be taken for those who fail. It is not possible for the managers to overlook all these details at every point of time. Thus, HRMS is employed to assist the managers. The performance automatically gets documented which the manager can use during the evaluations. The automated process measures the performance of individual employees but also notifies the manager when someone over-exceeds the set goals.
  • HRMS ensures that the employees awarded fairly: In the past there have been cases and accusations of favoritism and similar practices. There was no way one could verify such accusations but now, the scenario has changed for the better. HRMS, the best recruitment management software in India, is an objective program which doesn’t understand the concept of favoritism and other practices. It measures and documents every task as performed by the employee that needs to be considered during the appraisal. There won’t be any cases of the manager overlooking that or missing out if the employee slacked in certain aspects. Thus, the employees can be assured of being rewarded fairly for their work and not just because someone has gone extra miles to butter the manager to score that promotion. This ensures that appraisals are transparent and extremely fair.
  • Managing strengths and weaknesses: Every employee has his own share of strengths and weaknesses. The manager needs to assure that their teams’ strengths are honed further and appropriate measures are taken to work on the weaknesses. Keeping an eye everyone’s strengths and weaknesses can get quite taxing. HR-One’s HRMS can automate this and can track the performance of any employee in an efficient manner. It monitors their strengths and weaknesses and sends the reports to the manager who can consider the same during the appraisal process. They can design training programs to help people overcome their weaknesses. So, appraisals are also responsible for training schedules of the employees in a way.

HRMS also provides a platform for giving and receiving feedback. The managers can give objective feedback through HRMS to his/her team at regular intervals. There won’t be any cases of disparity or ambiguity since HRMS records and maintains everything. So, the appraisal gradings can be justified through the feedbacks and other comments.

Automating Appraisals Can make it more accurate & Quick

[..]

By HR-One Team