Introduction
DISPLAY 24.3 Management Strategies for Successful Performance Appraisals
Develop self-awareness regarding own biases and prejudices.
Use appropriate consultation.
Gather data adequately over time.
Keep accurate anecdotal records for the length of the appraisal period.
Collect positive data and identify areas where improvement is needed.
Include employee’s own appraisal of his or her performance.
Guard against the halo effect, horns effect, central tendency trap, and Matthew effect.
Ask the employee how the organization or the manager can help the employee be successful.
LEARNING EXERCISE
24.2
Planning an Employee’s First Performance Appraisal
M
rs. Jones is a new licensed vocational nurse (LVN)/licensed practical nurse (LPN) and has been working the 3 PM to 11 PM shift on the long-term care unit where you are the evening charge nurse. It is time for her 3-month performance appraisal. In your facility, each employee’s job description is used as the standard of measure for performance appraisal. Essentially, you believe that Mrs. Jones is performing her job well, but you are somewhat concerned because she still relies on the registered nurses (RNs) even for minor patient care decisions. Although you are glad that she does not act completely on her own, you would like to see her become more independent. The patients have commented favorably to you on Mrs.Jones’s compassion and on her follow-through on all their requests and needs.
Mrs. Jones gets along well with the other LVNs/LPNs, and you sometimes believe that they take advantage of her hardworking and pleasant nature. On a few occasions, you believe that they
inappropriately delegated some of their work to her. When preparing for Mrs. Jones’s upcoming evaluation, what can you do to make the appraisal as objective as possible? You want Mrs. Jones’s first evaluation to be growth producing.
A S S I G N M E N T:
Plan how you will proceed. What positive forces are already present in this scenario? What negative forces will you have to overcome? Support your plan with readings from references at the end of this chapter.
Performance Appraisal Tools
Since the 1920s, many appraisal tools have been developed, all of which have been popular at different times.
Since the early 1990s, The Joint Commission has been advocating the use of an employee’s job description as the standard for performance appraisal. It is important, however, to make sure the job description is current and truly reflects the work the employee is assigned to do. The Joint Commission also suggests that employers must be able to demonstrate that employees know how to plan, implement, and evaluate care specific to the ages of the patients they care for. This continual refinement of critical competencies for professional nursing practice has a tremendous impact on the tools used in the appraisal process.
It is important to remember, however, that competence assessments are not the same as performance evaluations. A competence assessment evaluates skill and knowledge; a performance evaluation evaluates execution of a task or tasks. Akins (2015) suggests that appraisals focused on development or competencies evaluate knowledge, skills, and abilities needed to achieve a position’s purpose and thus is useful in aligning the position to the company’s goals.
A competence assessment evaluates whether an individual has the knowledge, education, skills, or experience to perform the task, whereas a performance evaluation examines how well that individual actually completes that task.
The effectiveness of a performance appraisal system is only as good as the tools used to create those assessments. An effective competence assessment tool should allow the manager to focus on the priority measures of performance. The following is an overview of some of the appraisal tools commonly used in health-care organizations.
Trait Rating Scales
A trait rating scale is a method of rating a person against a set standard, which may be the job description, desired behaviors, or personal traits. The trait rating scale has been one of the most widely used of the many
available appraisal methods. Rating personal traits and behaviors is the oldest type of rating scale. Many experts argue, however, that the quality or quantity of the work performed is a more accurate performance appraisal method than the employee’s personal traits and that trait evaluation invites subjectivity. Rating scales are also subject to central tendency and halo- and horns-effect errors and thus are not used as often today as they were in the past. Instead, many organizations use two other rating methods, namely, the job dimension scale and the behaviorally anchored rating scale (BARS). Table 24.1 shows a portion of a trait rating scale with examples of traits that might be expected in an RN.
Job Dimension Scales
Job dimension scales require that a rating scale be constructed for each job classification. The rating factors are taken from the context of the written job description. Although job dimension scales share some of the same weaknesses as trait scales, they do focus on job requirements rather than on ambiguous terms such as
“quantity of work.” Table 24.2 shows an example of a job dimension scale for an industrial nurse.
Behaviorally Anchored Rating Scales
BARS, sometimes called behavioral expectation scales, overcome some of the weaknesses inherent in other rating systems. As in the job dimension method, the BARS technique requires that a separate rating form be developed for each job classification. Then, as in the job dimension rating scales, employees in specific positions work with management to delineate key areas of responsibility. However, in BARS, many specific examples are defined for each area of responsibility; these examples are given various degrees of importance by ranking them from 1 to 9. If the highest ranked example of a job dimension is being met, it is less
important than a lower ranked example that is not.
Appraisal tools firmly grounded in desired behaviors can be used to improve performance and keep employees focused on the vision and mission of the organization. However, because separate BARS are
needed for each job, the greatest disadvantage in using this tool with large numbers of employees is the time and expense. Additionally, BARS are primarily applicable to physically observable skills rather than to conceptual skills. Yet, this is an effective tool because it focuses on specific behaviors, allows employees to know exactly what is expected of them, and reduces rating errors.
Although all rating scales are prone to weaknesses and interpersonal bias, they do have some advantages.
Many may be purchased, and although they must be individualized to the organization, there is little need for expensive worker hours to develop them. Rating scales also force the rater to look at more than one dimension of work performance, which eliminates some bias.
Checklists
There are several types of checklist appraisal tools. The weighted scale, the most frequently used checklist, is composed of many behavioral statements that represent desirable job behaviors. Each of these behavior statements has a weighted score attached to it. Employees receive an overall performance appraisal score based on behaviors or attributes. Often, merit raises are tied to the total point score (i.e., the employee needs to reach a certain score to receive an increase in pay).
Another type of checklist, the forced checklist, requires the supervisor to select an undesirable and a desirable behavior for each employee. Both desirable and undesirable behaviors have quantitative values, and the employee again ends up with a total score on which certain employment decisions are made.
Another type of checklist is the simple checklist. The simple checklist comprises numerous words or phrases describing various employee behaviors or traits. These descriptors are often clustered to represent different aspects of one dimension of behavior, such as assertiveness or interpersonal skills. The rater is asked to check all those that describe the employee on each checklist. A major weakness of all checklists is that there are no set performance standards. In addition, specific components of behavior are not addressed.
Checklists do, however, focus on a variety of job-related behaviors and avoid some of the bias inherent in the trait rating scales.
Essays
The essay appraisal method is often referred to as the free-form review. The appraiser describes in narrative form an employee’s strengths and areas where improvement or growth is needed. Although this method can be unstructured, it usually calls for certain items to be addressed. This technique does appropriately force the appraiser to focus on positive aspects of the employee’s performance. However, a greater opportunity for personal bias undoubtedly exists. In addition, it is time consuming, and some appraisers simply write better than others.
Many organizations combine various types of appraisals to improve the quality of their review processes.
Because the essay method does not require exhaustive development, it can quickly be adapted as an adjunct to any type of structured format. This gives the organization the ability to decrease bias and focus on employee strengths.
Self-Appraisals
Employees are increasingly being asked to submit written summaries of their work-related accomplishments and productivity as part of the self-appraisal process. Self-appraisal is not easy, however, for many
employees. Flescher (2016) notes that many employees ask, “What is the point of this?” “What am I supposed to say?” and “Is whatever I put down going to be used against me?” Flescher argues that employees should view the opportunity to provide a self-assessment as part of the performance appraisal process positively because managers can’t possibly remember as well as you can everything you accomplished throughout the year. “By asking you to provide input into your own employee evaluation, it reminds your boss about all the good things you achieved” (Flescher, 2016, para. 4).
Indeed, self-assessment is an important part of reflective practice. Reflective practice is defined by the North Carolina Board of Nursing (2016) as “a process for the assessment of one’s own practice to identify and seek learning opportunities to promote continued competence” (para. 7). Inherent in this process is the evaluation and incorporation of this learning into one’s practice.
Clearly, there are advantages and disadvantages to using self-appraisal as a method of performance review.
Although introspection and self-appraisal result in growth when the person is self-aware, even mature people require external feedback and performance validation. Some employees look forward to their annual
performance review in anticipation of positive feedback. Asking these employees to perform their own performance appraisal would probably be viewed negatively rather than positively.
Some employees look on their annual performance review as an opportunity to receive positive feedback from their supervisor, especially if the employee receives infrequent praise on a day-to-day basis.
In addition, some employees undervalue their own accomplishments or feel uncomfortable giving themselves high marks in many areas. To avoid under- or overvaluing their accomplishments, Flescher (2016) suggests that employees detail their accomplishments as objectively as possible in the self-appraisal. By being specific about the scope of their success, their involvement in work-related activities, and by avoiding soft terms (subjective adjectives like “great,” “good,” and “a lot”), the manager can better assess the accuracy of the self- appraisal. In addition, Flescher recommends that employees be proactive about bringing up what he prefers to call “development areas.” He suggests, however, that employees should never state a weakness or a problem without a solution. “Even if the solution isn’t that good, it demonstrates that you’re taking responsibility and that you can self-manage” (Flescher, 2016, para. 9).
In addition, managers may wish to complete the performance appraisal tool before reading the employee’s self-analysis, or they should view the self-appraisal as only one of a number of data sources that should be collected when evaluating worker performance. When self-appraisal is not congruent with other data available, the manager may wish to pursue the reasons for this discrepancy during the appraisal conference.
Such an exchange may provide valuable insight regarding the worker’s self-awareness and ability to view himself or herself objectively.
Employees may also be asked to submit portfolios as part of the self-appraisal process. These portfolios often contain examples of continuing education, professional certifications, awards, and recognitions the manager may not be fully aware of. The portfolio also generally includes the employee’s goals and an action plan for accomplishing these goals.
LEARNING EXERCISE
24.3
The Challenges of Self-Appraisal
W
hat is your comfort with self-appraisal as a method of performance review? When you use self- appraisal, are your self-perceptions similar to those of the individual completing your review? If not, why not? Have you ever intentionally deflated your self-appraisal scores in an effort to avoid disappointment with the evaluation outcome? Have you ever artificially inflated your scores in a hope to positively sway the appraiser to give you higher marks?A S S I G N M E N T:
Write a one- to two-page essay responding to these questions.
Management by Objectives
MBO is an excellent tool for determining an individual employee’s progress because it incorporates both the employee’s assessments and the organization. The focus in this chapter, however, is on how these concepts are used as an effective performance appraisal method rather than on their use as a planning technique.
Although infrequently used in health care, MBO is an excellent method to appraise the performance of the
employee in a manner that promotes individual growth and excellence. The following steps delineate how MBO can be used effectively in performance appraisal:
1. The employee and supervisor meet and agree on the principal duties and responsibilities of the employee’s job. This is done as soon as possible after beginning employment.
2. The employee sets short-term goals and target dates in cooperation with the supervisor or manager, and the manager guides the process so that it relates to the position’s duties. It is important that the
subordinate’s goals not be in conflict with the goals of the organization. In setting these goals, the manager must remember that one’s values and beliefs simply reflect a single set of options among many.
This is especially true in working with a multicultural staff. Professional expectations and values can vary greatly among cultures, and the manager must be careful to resist judgmental reactions and allow for cultural differences in goal setting.
3. Both parties agree on the criteria that will be used for measuring and evaluating the accomplishment of goals. In addition, a time frame is set for completing the objectives, which depends on the nature of the work being planned. Common time frames used in health-care organizations vary from 1 month to 1 year.
4. Regularly, but more than once a year, the employee and supervisor meet to discuss progress. At these meetings, some modifications can be made to the original goals if both parties agree. Major obstacles that block completion of objectives within the stipulated time frame are identified. In addition, the resources and support needed from others are identified.
5. The manager’s role is supportive, assisting the employee to reach goals by coaching and counseling.
6. During the appraisal process, the manager determines whether the employee has met the goals.
7. The entire process focuses on outcomes and results and not on personal traits.
One of the many advantages of MBO is that the method creates a vested interest in the employee to accomplish goals because employees are able to set their own goals. Additionally, defensive feelings are minimized, and a spirit of teamwork prevails.
MBO as a performance appraisal method, however, also has its disadvantages. Highly directive and authoritarian managers find it difficult to lead employees in this manner. Also, the marginal employee frequently attempts to set easily attainable goals. In addition, set objectives may hinder innovation, and they are time consuming to create and challenging to maintain (Reference, n.d.). In addition, although
collaboration is intended to be the key to success, the desire to help colleagues may suffer when individual goals are the entire focus of a department (Reference, n.d.).
LEARNING EXERCISE
24.4
Using Management by Objectives as a Part of Performance Appraisal
I
t is time for Nancy Irwin’s annual performance appraisal. She is an RN on a postsurgical unit, dealing with complex trauma patients requiring high-level nursing intensity. You are the evening charge nurse and have worked with Ms. Irwin for the 2 years since she graduated from nursing school. Last year, in addition to the regular 1 to 5 rating scale for job expectations, all of the charge nurses added an MBO component to the performance appraisal form. In collaboration with his or her charge nurse, each employee developed five goals that were supposed to have been carried out over a 1-year period.In reviewing Ms. Irwin’s performance, you use several sources, including your written notes and her charting, and your conclusion is that with her strengths and weaknesses, overall she is a better-than-average nurse. However, you believe that she has not grown much as an employee over the past 6 months. This observation is confirmed by a review of the following:
Objective Result
1. Conduct a mini in-service or patient care conference twice monthly for 12 months
Met goal for the first 2 months In the last 10 months, she conducted only six conferences
2. Attend five educational classes related to work; at Attended one surgical nursing wound conference in
least one of these will be given by an outside agency
the city and one in-house conference on total parenteral nutrition (TPN)
3. Become an active member of a nursing committee at the hospital
Became an active member of the Policies and Procedures Committee and regularly attends meetings
4. Reduce the number of late arrivals at work by 50%
(from 24 per year to 12)
First 3 months: not late; second 3 months: three late arrivals; third 3 months: six late arrivals; last 3 months: six late arrivals
5. Ensure that all patients discharged have discharge instructions documented in their charts
Anecdotal notes show that Ms. Irwin still frequently forgets to document these nursing actions.
A S S I G N M E N T:
As Ms. Irwin’s charge nurse, what can you do to ensure that the current appraisal results in greater growth for her? What went wrong with last year’s MBO plan? Devise a plan for the performance appraisal. Try solving this yourself before reading the possible solution that appears in the Appendix.
Peer Review
When peers rather than supervisors carry out monitoring and assessing work performance, it is referred to as peer review. Most likely, the manager’s review of the employee is not complete unless some type of peer review data is gathered. Peer review provides feedback that can promote growth. It can also provide learning opportunities for the peer reviewers.
The concept of collegial evaluation of nursing practice is closely related to maintaining professional standards.
Although the prevailing practice in most organizations is to have managers evaluate employee performance, there is much to be said for collegial review. Peer review is widely used in medicine and academe; however, health-care organizations have been slow to adopt peer review for the following five reasons:
1. Staff are often poorly oriented to the peer review method and many first-level managers, including team leaders, have had little training on how to conduct a growth-producing performance appraisal.
2. Peer review is viewed as very threatening when inadequate time is spent orienting employees to the process and when necessary support is not provided throughout the process.
3. Peers often feel uncomfortable sharing feedback with people with whom they work closely. In an effort to avoid potential conflict, they omit needed suggestions for improving the employee’s performance.
Thus, the review becomes more advocacy than evaluation. Nobarany and Booth (2015) concur, noting that peer review often entails frequent use of politeness strategies. Their research revealed that less experienced reviewers tended to express unmitigated criticism more often than did experienced reviewers and that reviewers tended to use more positive politeness strategies (e.g., compliments) toward those less experienced.
4. Peer review is viewed by many as more time consuming than traditional superior–subordinate performance appraisals.
5. Because much socialization takes place in the workplace, friendships often result in inflated evaluations, or interpersonal conflict may result in unfair appraisals.
6. Because peer review shifts the authority away from management, the insecure manager may feel threatened.
Peer review has its shortcomings, as evidenced by some university teachers receiving unjustified tenure or the failure of physicians to maintain adequate quality control among some individuals in their profession.