The Evolution and Analysis of Performance Evaluation Systems

ShaBe

Professor Garlington

3 December 2016

The Evolution and Analysis of Performance Evaluation Systems

“You cannot push anyone up the ladder unless he is willing to climb.”

– Andrew Carnegie –

Introduction

Human resource management today is the development and management of an organization’s employees. One significant component of human resource Mgmt. is the study of employee’s work performance. The reason for its significance, is due to the type information it provides to employers. This data is essential for an employer to know in order to improve the business’s overall efficiency (Atessa Benefits). But how do human resource managers go about collecting this kind of information? And what exactly makes it so important? In this paper I hope to answer these questions, as well as inform readers about the human resource management performance evaluation systems’ history. 

Overview:

What is a performance evaluation system, and what is its purpose? The Balance explains that a performance evaluation is typically a yearly assessment done by paper form or online, that the employee fills out and sends to the manager for review. Employers will go over these records with their employees and address the individual’s job performance. The employer mainly uses these evaluations to help remind workers of what the job expectations are, and how well that employee matches up with them (Heathfield).

History:

• 1900’s – employers started to discover the correlation between better work productivity and worker satisfaction (Whitlock).
• 1920’s – During the industrial revolution, the beginning of the human relations theory of management began. Professor Elton Mayo and Fritz Roethlisberger conducted the Hawthorne studies to discover that paying attention to a worker’s emotional team development is more effective for a higher productivity rate, compared to providing good working conditions and a higher income (Perry).
• 1940’s – The Hawthorne studies went on to become respected by other theorists, and gradually helped change manager’s images all over the U.S. from task makers into group leaders.
• 1950’s – The Performance Rating Act and the Incentive Awards Act were crafted by the government, to reward employees for their great work performance with acknowledgement and increased payment.
• 1970’s – A psychologist by the name of Aubrey Daniels coined the term “performance management”. Performance management is a systematic process where the goal is to encourage employee productivity. This is accomplished by the manager and employee working together to set goals and evaluate the employee’s progress periodically (OPM).
• 1980’s – Originally outlined by Mgmt. consultant Peter Drucker, and developed by his pupil George Odiorne, MBO—Management by Objectives was crafted (The Economist). This is a tool for performance management that also incorporates goal setting. It is used in many different organizations today.
• 2000’s – Performance management went online. With technology continuously growing and becoming more useful in everyone’s daily life, job performance evaluations weren’t excluded (Perry).

Positive Impact:

Intended to be a fair assessment, work performance evaluations are a key component to employee development. Their main goal is to help the employee strive to improve in the workplace through goals and examination. So as expected, because of the appraisal’s supportive purpose, there are many other benefits performance reviews have to offer.

One advantage that comes with performance appraisals, is the availability of an employee’s supervisor. Archer North exclaims that sitting down and having an uninterrupted meeting with a boss is beneficial to the employee, because it helps strengthen the employee’s relationship with their manager, as well as their motivation to continue working hard. It also gives the employee a bigger sense of belonging in the workplace. AN followed up with saying that employees felt as if they were truly being recognized for their work efforts, and being heard not only as employees, but as individuals with unique personalities and aspirations. (Performance Appraisal).