Initiate Corrective ActionBest place to work
In this era of digitisation and automation Human Resource Management is also going through a paradigm shift
Masihul Huq Chowdhury
Initiate Corrective Action
The final step in the appraisal process is the initiation of corrective action when it is necessary. The areas needing improvement are identified and then, the measures to correct or improve the performance are identified and initiated.
The corrective action can be of two types. One is immediate and deals predominantly with symptoms. This action is often called as putting out fires.
The other is basic and
delves into causes of deviations and seeks to adjust the difference
permanently.
This type of action involves time to analyse deviations. Hence, managers often opt for the immediate action, or say, put out fires. Training, coaching, counselling, etc. is the common examples of corrective actions that managers initiate to improve the employee performance.
The challenges to any Performance Appraisal process and the possible ways to address these challenges are discussed below,
Halo Effect
The Problem: Generalised favourable impression rather than the evaluation of the employee by the supervisor.
The Solution: The manager should consider each factor independently of all other factors, rather than rating the employee at the same level on all (or most) factors in an appraisal. No employees behavior can be the same on the variety of skills that the rating scales measure.
Recency Effect
The Problem: The very recent success or failure of an employee gets the priority over the other critical factors in performance appraisal by the supervisor.
The Solution: An alert manager compensates for lack of perspective by careful documentation.
Manager Unambiguity
The Problem : The issue of personal relationship gets priority over the unbiased and effective appraisal.
The Solution: Managers avoid the tendency to rate favored employees higher than they deserve because of their manner and personality.
Effect of Historical Record
The Problem : The past performance of an employee in distant past overrides the present appraisal process.
The Solution: Once again, observation and documentation of the employees performance will give an accurate account of the performance period under scrutiny.
Lenient in Appraisal
The Problem : A manager may have a generalised tendency to rate all the employees high.
Thus the spirit of appraisal and feedback process becomes redundant.
The Solution: Understanding the constructive purposes of performance appraisal and acquiring effective skills in giving negative feedback should reduce the tendency to commit this error.
Lack of proper attention
The Problem: The manager makes quick assumption and evaluates accordingly rather than go into details.
The Solution: Managers commit significant time to observing staff members and forming judgments based on their observations.
Major decisions are often based on performance rating, and ill-considered ratings will contribute unreliable information and detract from the organisations goals.
Irrelevant Standards
The Problem: A manager may give personal preference and becomes prejudice in setting up standards which are irrelevant to the job which in cases may become illegal.
The Solution: When rating employees, the manager must consider the same relevant behaviors for all employees supervised. Social status, race, sex, age or other non-performance factors should not affect performance appraisal ratings. Careful observation, description and documentation of actual performance on an ongoing basis reduce the tendency for bias by emphasizing job performance over a period of time.
In this interconnected World, the new breed of employees are very different in orientation. The idea about workplace has completely transformed as correctly being echoed in The World Economic Forum meet in the article Fourth Industrial Revolution by Klaus Schwab. In this article the writer has explained the complete transformation of our work, work place, society, hierarchy etc. Human Resource Management is also going through these changes. In 2015 alone, the HRM function got USD 2 billion. The changes in HR management as envisaged in this changing times can be highlighted as follows,
Digital HR to embrace the challenges of Digital World
With the smart phones, we have become more interconnected. This digitisation has brought the way for HR to be on the digital forefront. Use of various apps for the purpose therefore has necessitated. We are monitored closely by digital devices and we are influenced by suggestions, nudges and recommendations driven by analytics and behavioural economics.
Replacement of dated HR technology will accelerate
The cloud based HR system will make the traditional licensed HR software redundant which will be replaced by the mobile based apps. These cloud based products have been tested and tried for almost half decade and got the required confidence as HR management tool covering the areas of Payroll, Performance and Talent Management, Online Training, Employee Engagement.
These tools are convenient in terms of cost, better documentation and standardisation. External recruitment and job posting providers like LinkedIn, Indeed, GlassDoor, CareerBuilder, and others can spread and expand your recruitment like never before.
HR management will redefine itself in Digital World
The young and interconnected generation of workforce are looking more for leadership roles on one and convenient of flexible work time with work-life balance on other.
The talent management apps are paving the way to this end.
Performance management reinventions will reinvigorate
Simplicity, focus and development is the core to new performance management. The simplicity and translucent appraisal system based on mobile apps are now gradually setting up the tone for future management of talent and performance management.
Engagement, culture, and feedback will become one of key management agenda
Culture of an organisation has now become the main focus area for the employees. The CEO along with the top management first need to comprehend the culture of the organisation and then lead to work on the same. The employee feedback on this culture is of paramount interest. This must be noted as the saying goes, an employee doesnt leave an organisation but leaves a leader.
Global leadership development will change
Its time to accelerate people into leadership earlier in their careers, put a greater focus on mentoring (leveraging the boomers who arent retiring yet), and create new models and reward systems for talent mobility. Its still a top business issue and many new ideas and approaches are now entering the market.
Corporate learning will set the way to talent management
The Learning Curve is an Earning Curve. The digital era has introduced newer and more focused approach by the workforce to adopt more on the issue of Learning and Development. The abundance in availability of online learning materials, relevant online certification are enabling knowledge with global accreditation at relevantly cost effective manner will become one of the key driving force for the organisations to attract and retain talents.
Diversity, inclusion, and gender inequality have reached board level priority
The organisations are advocating equal job opportunity across genders and races. This has opened the vista for talent hunts. In this digital world this inclusivity will be among the top of the agenda.
Analytics and data-driven decision making will go mainstream
Management Information System and proper analytics thereon is now bringing the required traction in the areas of better HRM. In fact, many of the organisations are embracing HRM as integral part of core business. The use of data and analytics certainly will lead the organisations to take corrective actions to address the HRM functioning.
Among all the resources, Human Resource is the most critical and important resource. It is becoming more sensitive due to the ever growing knowledge base in the close knitted world of ours. CEO and the senior management must embrace these dynamic changes towards attracting and retaining talent for future growth of the organisation and deliver the optimum return to the shareholders in a sustainable manner. We have the examples of Google and other companies who have excelled in the list of best place to work. We may try not to reinvent the whole wheel but adjust those models which may work for our own organisations as well.
(Concluded)
The writer, a banker by profession, has worked both in local and overseas market with various foreign and local banks in different positions
