Performance
Appraisal System Al
Gurg Consultants
2024
Contents of this Presentation
• What is Performance Appraisal
• Why Performance Appraisal
• PMS - Eligibility and Timelines
• Performance Appraisal Foundation
• Evaluation Process
• Role and Responsibility
What Is Performance Appraisal
“Performance appraisal is the systematic, periodic and an unbiased
rating of an employee’s excellence in the matters pertaining to his
present job and his potential for a better job."
Purpose of Performance
Appraisal
• Reviewing the performance of the employees.
• Provide clarity of the expectations and responsibilities of the functions to
be performed by the employees.
• To improve efficiency.
• To Judge the gap between the actual and the desired performance.
• To help the management in exercising organizational control.
• To diagnose the training and development needs of the future.
• Provide information to assist in the decisions like promotions, transfers etc.
• Document corrective action necessary to improve work performance.
• Helps to strengthen the relationship and communication between superior
– subordinates and management – employees.
Process in Al Gurg
We have yearly appraisals.
WHO are involved in Performance Appraisal ?
• Appraise – Employee
• Appraiser –Direct Line Manager.
• HR & Management.
Appraisal Period: 1st January
2024 to 31st December 2024.
Eligibility:
• All employees who have completed at least 6 months as on 31st
December 2024.(Completed Probation Period)
• Employees working as Trainees basis are not eligible for PMS.
Appraisal Schedule:
Activity Responsibility Target Date
Dispatch of Performance Evaluation Forms to concerned Human Resources
Department Heads. 10th Feb’25
Completion of year-end assessment by Employee and Manager Dept. Manager
(Goals and Competencies) recorded in the form. Goals for the 17th Feb’25
upcoming years is recorded.
Completion of calculation of Overall Rating (Goals and Dept. Manager
Competencies) and sharing with HR Manager 21st Feb’25
HR Manager to submit the overall ratings to the Moderation Moderation Committee
Committee and arrive at the final ratings after normalizing the 26th Feb’25
rating curve
Completion of communication of final ratings to the respective HR & Admin Department
Dept. Managers. 28th Feb’25
Release of letters announcing final outcomes. HR & Admin Department
05th Mar’25
PA Foundation
PA structure consists of two main
parts: Performance
Appraisal
• Goals: It represents PAST. Rating
WHAT was expected from the
employee to achieve during the Goals Competencies
year.
“THE WHAT” “THE HOW”
• Competencies: Way Forward. It
Competencies
• Ability and willingness to
represents FUTURE. HOW an learn
employee achieves his/her SMART
• Energy
objectives
• People Orientation
Goals • Business Orientation
Final Grade System
Final Appraisal Rating: Rating of Goals + Rating of Competency
Grade 1- Outstanding Grade 2- Expert Grade 3- Core Grade 4- Developing Grade 5- Under
Contributor Performer
Exceptional and Consistently fulfils Readily and Not able to deliver as Track record of non
consistent delivery all and most of the consistently fulfils per the expectations. delivery over
the time. Establishes times exceeds the expectations and Need to be extended period. Not
new benchmarks in expectations. sometimes exceeds. encouraged. Has the responding to
the industry . Seen as Capable of Is skilled and applies ability to perform but guidance and
role model and sets exceptional knowledge in defined requires guidance requires extensive
examples for others. contribution. area. and follow-up. supervision.
Sometimes delivers
more than what the
job requires.
Goals Setting and Review
Department Manager will rate the Past performance of an employee
• Rating the weightage against each Goal assigned.
Target Achieved Description Goals - Rating
96-100% Always exceeds A
85-95% Exceeds most of the times B
75-84% Meets All Expectations C
60-74% Meets Some But Not All Expectations D
Below 59% Below Threshold E
• Hence, final Goals Score – A, B,C, D or E
Competency Rating Range Description Final Score
18-20 Best In Class 5
We have 4 competencies:
14-17 Expert 4
• Ability and Willingness to Learn
• Energy 11-13 Advanced 3
• People Orientation 7-10 Meet Expectations 2
• Business Orientation 4-6 Needs Improvement 1
0-3 Raise Flag 0
Final Competency Score is Arrived-
5, 4,3, 2, 1 or 0.
Final Grade: Goals Rating+
Competency Rating
Example 1: Goals Rating: 75-84%, Meets All Expectations= C
Competency Rating: 11-13, Advanced= 3
Final Rating= Grade 3-C3; Core Contributor
Example 2: Goals Rating: 85-95%, Exceeds most of the times= B
Competency Rating: 14-17, Expert = 4
Final Rating= Grade2- B4; Expert
Example 3: Goals Rating: 96-100%, Always exceeds = A
Competency Rating: 18-28, Best in class = 5
Final Rating= Grade 1-A5; Outstanding
Performance Appraisal Rating:
Goals Rating+ Competency Rating
Ability and willingness to learn
Best In Class- 4 Expert- 4 Advanced-3 Satisfactory- 2 Need Improvement- Raise Flag- 0
1
Consistently treats Eager to adapt Always accept Usually Does not Makes it
Teamwork and everyone with dignity, change and helps changes and accepts accept difficult to
cooperation respect and fairness. others in cooperates. changes. At change. Does implement
Visibly and proactively implementing it. At times times accepts not display changes.
encourages teamwork. Always accepts accepts additional skill/ Discourages
Consistently facilitates additional additional responsibility. knowledge in other to learn
Developing the resolution of responsibility in responsibility. Try to apply relevant work new skill/
and Coaching interpersonal/ team context of the job Demonstrates skill/ area. Rarely knowledge.
Ability
conflict. Utilizes conflict and at times skill/ knowledge. modifies one Never modifies
as an opportunity outside immediate knowledge in Most of the way of doing one's way of
rather than a problem. job. Makes an effort relevant work time follows things doing things.
Approachable and to learn new skill/ area. Follows instructions.
Communicatio helpful. Delegates knowledge in the
ns
responsibility and relevant work area. instructions in
coach to develop timely and
others capabilities appropriate
Has a positive impact manner
Managing on performance and
Teams
attitude of fellow
employees.
People Orientation
Best In Class- 5 Expert- 4 Advanced-3 Satisfactory- 2 Need Improvement- 1 Raise Flag- 0
Consistently Always treats Most of the Usually treats Does not Never treats
Flexibility and makes an effort to everyone with times treats everyone treat everyone with
Adaptability
acquire new dignity, respect everyone with dignity, everyone respect,
skill/knowledge and fairness. with dignity, respect and with respect, dignity and
for work. Initiates, Encourages respect and fairness. Try dignity and fairness.
implements teamwork. fairness. to team fairness. Engages in
Planning and
Decision changes and Demonstrates Demonstrate work and Seldom conflict in a
Making takes decisions positive attitude s team work positive attempts to way that is
that are aligned most of the and positive attitude. Try resolve unproductive.
with Company's times. Resolves attitude. to seek interpersonal Always
vision and interpersonal/ Seeks guidance and / team requires third
Commercial mission. team conflicts guidance and resolves conflicts; party
Awareness
Enthusiastically constructively resolves interpersonal Does not intervention
seeks and accepts and interpersonal / team value the to resolve
additional professionally; / team conflicts. importance interpersonal/
responsibility both Seldom requires conflicts of teamwork; team
in the context of outside constructivel Demonstrate conflicts.
Technical job and outside assistance. y and s an Demonstrates
Capability immediate job professionally unwillingness negative
Business Orientation
Best In Class- 5 Expert- 4 Advanced-3 Satisfactory- 2 Need Improvement- 1 Raise Flag- 0
Always shows Shows dedication Most of the Usually follow Struggles to Does not
Loyalty and unwavering to company and times adheres company’s follow demonstrate
Ethic
dedication to the helps in promoting to company’s goals, values company's respect for
company . Promotes awareness and goals, values and mission. goals, values company's goal,
Client & awareness and respect for and mission. Try to maintain and mission. value and
External respect for company company. Maintains relation with Seldom mission. Never
Relations
through Recognized by supportive clients/ fellow attempts to attempts to
communication and clients/ fellow relation with team maintain maintain
action. Consistently employees for clients/ fellow members. Most relation with relation with
Managing
Projects seen by clients/ functional team of the time client/ fellow client/ fellow
fellow employees as knowledge/ skill. members. completes employees; employees,
possessing high Plans project/ task Completes all project on time lets problem rather creates
Managing functional and carries out in project on and sometime fester and problems.
Contracts knowledge/ skill. a way that it is time. Always recommend a escalate. Struggles to
Plans project/ task completed on time cooperates in working Seldom complete
and carries in way and within in finding a solution to completes project/ task on
Problem
Solving that it is completed budget. Uses good working problem. project/ task time/ budget.
ahead of schedule judgement and solution to within
and under budget. Is innovative ways to every problem timelines/
Health & proactive, solve problems. and sometimes budget.
Safety anticipates and provides
Awareness
resolve problems innovative
Energy
Best In Class- 5 Expert- 4 Advanced-3 Satisfactory- 2 Need Improvement- 1 Raise Flag- 0
Attendance Always dependable Dependable Whenever Usually can Rarely available at Not dependable
and and reliable. and reliable required takes takes the critical time. and always
Punctuality
Consistently, in all most of the the responsibility. Demonstrates back out at
cases, comes up times. responsibility Try to improve unwillingness to critical time.
Excellence and
Innovation with new ideas and Promotes in and can count result/ process. help and in not Promotes non
seeks ways on own implementing on him. Mostly shows cooperative. Does cooperative
to improve result/ new ideas to Cooperative to interest and not show interest environment.
Motivating process. Is a role improve result/ improve result/ respecting in ideas from Does not accept
Others
model and process. process. Takes ideas of others. others; has any ideas from
enthusiastically Accepts responsibility Often accept difficulty others. Denies
Leadership inspires others to additional and ownership additional respecting ideas additional
and Influence
contribute above responsibility when asked. responsibility in when different responsibility in
and beyond the most of the Encourages the context of from own. Seldom the context of
context of the job. times. Is willing teamwork and job. Requires accepts additional job. Engages in
Earns trust and to contribute distributes the less responsibility in conflict with
respect through above and work load supervision to the context of job. fellow
consistent, honesty beyond the appropriately complete Struggles to employees.
and professionalism context job. asked to routine tasks. appreciate the Requires regular
Professionalis in all interactions. Leverages the accomplish strengths of supervisor to
m and Gives direction strengths of goals others. Frequently complete
Workmanship
without conflict & others to requires routine tasks
creates accomplish supervision to
Moderation Curve
Grade 3
Grade 5 Grade 4 Grade 2 Grade 1
5% 10% 70% 10% 5%
Under Performer Developing Core Contributor Expert Outstanding
Getting Started
Step 1: Employee fills self assessment part and submits to his manager.
Step 2: Manager reviews the goals and fills his assessment.
Step 3: Performance assessment discussion held between Employee and his Manager and mutually agreed
ratings for Goals. Managers shares his feedback considering overall performance during the year. Goals for the
next year to be discussed and finalized.
Step 4: The overall rating for Goals and Competencies for each employee are calculated by the Manager and
shared with HR.
Step 5: HR consolidates the rating and shares with the Moderation Committee for review.
Step 6: The moderation committee will review the ratings recommended by the Department Managers.
Committee will rationalize the ratings to ensure normal distribution as per the moderation curve.
Step 7: The HR & Admin. Department will communicate the final ratings to the respective Department
Managers.
Step 8: Final appraisal rating letters will be shared with eligible employees
Obstacles to Effective
Performance Appraisal
• Halo/horn effect – employee’s extreme competence in one area “shines” over all others. Conversely,
employee does poorly in one area and this overshadows all areas.
• Bias – own prejudices {race, national origin, gender, appearance, etc.} influence the appraisal.
• Comparison Rating – contrasting one employee with another.
• Central Tendency – rate everyone as average.
• Recent Effect – focusing on recent performance instead of entire year.
• Personal Prejudice – If the rater dislikes one group or employees, he may rate them at the lower end.
• Favoritism – evaluating friends or those who don’t make waves, etc. more favorably than others.
SMART Goals
For further questions, please
contact HR & Admin Department.
HR &
Administration
Team
THANK YOU
