Telespazio Performance Appraisal Case Study
Introduction
According to DeNisi (2013), performance appraisal is the process and technique used by organizations to assess employees’ performance levels. The process includes evaluating employee performance and giving feedback on the quality and level of performance. Organizations perform performance appraisals for different reasons. The main reasons include knowing the level of employee achievement and the behavior of subordinates to correct the deficiencies in their performance. Performance appraisals are also significant for selecting the right people for effective organizational performance and making decisions regarding salaries, promotion, demotion, and transfer. Other reasons for performance appraisals are determining employee needs based on existing knowledge, expertise, and skills and gathering information for effective dispute resolution, especially in disputes relating to employee rewards. Telespazio’s performance appraisal focuses on supporting decisions on employee management such as reward, payment, movement, training, and career growth. The company’s performance appraisal also promotes sharing, transparency, required behavior, the common definition of objectives, and employee roles and competencies. Although Telespazio’s performance appraisal has been effective in employee performance management, a few adjustments need to be made to enhance its effectiveness.
Current Appraisal Methods
Telespazio’s current appraisal method includes a performance appraisal interview (PAT) which marks the beginning of performance appraisal rates organized into a PAT system. The system is designed to develop and motivate employees, thus making negative feedback relevant to encourage employees to identify their weaknesses, take the right steps to improve their skills, and face the problems that could affect their performance. The process begins with the launch of PAT for the year then the appraisal interview is conducted. The interview is followed by an entry in SAP of the appraisals conducted in the previous years and the year’s planned objectives, an analysis of general metrics and data, including a plan for employee training, monitoring report and management database, and PAT data analysis for the function supporting management decisions. The process ends with training, management, and development. Employees are required to make a list of their skills and achievements and suggest training activities that can help improve their weaknesses.
The second appraisal method is electronic appraisal, which includes filling out an SAP appraisal form that includes questions aimed at gathering information needed to prepare specific training plans for every individual based on the company’s strategies. The company also has an overall appraisal that evaluates employees based on areas that need improvement, standard areas, and areas where an employee has outstanding performance. Telespazio also uses the rating appraisal method that includes rating objectives and competencies.
Changes or Strategies for Telespazio
Telespazio should consider using a weighted checklist in its matrixed performance appraisal system. According to Shields et al. (2020), a weighted checklist includes various statements describing a specific job where each statement is assigned a specific scale value or weight. When conducting performance appraisals using the weighted checklist method, supervisors check every statement that most closely describes the behavior of the person under assessment. The scores in the rating sheet are computed using the average of the weights of every statement checked by the person conducting the rating process. The supervisor may also ask employees questions that require a yes or no response. The questions may be categorized into either trait or behavioral questions or both. Accordingly, a weighted checklist would enhance the effectiveness of Telespazio’s performance appraisal process by preventing discrimination and ensuring clarity. Besides, the method prevents discrimination because every employee is evaluated using the same criteria and scale. Reviewers assess employees based on their skills and think critically about employee performance areas that might not have been considered in the matrixed method. The weighted checklist method will ensure clarity in the performance appraisal process by ensuring that employees and management are on the same page and can focus on their work efforts to demonstrate their traits and skills valued by employees.
Moreover, Telespazio can increase the effectiveness of its performance appraisal interview by conducting a self-appraisal before the interview to prepare the interviewer for the responses to expect during the interview. Subsequently, this will increase the chances of getting accurate information because the interviewer can know when an employee gives false or misleading information based on how they responded to a related question in the self-appraisal. Telespazio should also categorize the interview based on the performance of employees in the organization. According to Szondi & Gergely (2021), the main categories of performance appraisal interviews are satisfactory, correctable unsatisfactory, and uncorrectable unsatisfactory. In the satisfactory category, the interview aims to motivate employees to ensure that their performance is considered acceptable. In addition, in the correctable unsatisfactory category, the interview focuses on determining how the unsatisfactory performance can be eliminated. Lastly, the uncorrectable unsatisfactory category interview aims to warn employees about their unsatisfactory performance.
Appraisal Tool and Appraisal Interview
Combining the matrixed and weighted checklist performance appraisal methods will enhance the effectiveness of the performance appraisal process in different ways. For instance, it promotes objectivity because the manager can compare the information from the two performance appraisal methods and conclude an employee’s performance based on whether it is satisfactory. The matrixed method complements the checklist method by allowing employees to explain their performance during the performance appraisal interview. According to Shields et al. (2020), a weighted checklist does not allow explanations because the employee must give a yes or no answer. Therefore, it is essential to include another technique that will enable employees to explain their performance and defend their poor performance. The results of the weighted checklist evaluation can also be used to formulate the questions to be asked during the performance appraisal interview. During interviews, knowing what to discuss will help the company save time and get the most appropriate information for effective performance evaluation.
Recommendations
One of the recommendations that Telespazio should consider to meet the performance appraisal expectations of fair and realistic criteria and professional development and motivation of the employees is to use performance management software. According to Marr (2009), performance management software can streamline the performance strategies used in the organization. Performance management strategies need to be aligned with the company’s expectations of fair and realistic criteria by rewarding employees based on their ability to meet satisfactory performance and professional development and motivation of employees based on the areas of improvement needed to improve their performance. The company should choose a performance management software that offers 360 and traditional views of employee performance, is employee-friendly, allows for actionable and quick response, and promotes employee development. The second recommendation is to use peer reviews. Iqbal et al. (2014) argue that peer reviews allow employees to praise each other and identify the positive aspects of their performance while pointing out areas of improvement. Employees can then collaborate in improving their performance and contribute to making decisions on effective employee development strategies and proper motivation techniques.
References
DeNisi, A. S. (2013). Performance appraisal. Management. https://doi.org/10.1093/obo/9780199846740-0002
Iqbal, M. Z., Akbar, S., & Budhwar, P. (2014). Effectiveness of performance appraisal: An integrated framework. International Journal of Management Reviews, 17(4), 510-533. https://doi.org/10.1111/ijmr.12050
Marr, B. (2009). Leveraging performance management software applications. Managing and Delivering Performance, 245-270. https://doi.org/10.1016/b978-0-7506-8710-2.00010-7
Shields, J., Rooney, J., Brown, M., & Kaine, S. (2020). Managing employee performance and reward: Systems, practices, and prospects. Cambridge University Press.
SZONDI, R., & GERGELY, É. (2021). The complexity of performance appraisal interviews. Acta Oeconomica Universitatis Selye, 10. (1), 68-83. https://doi.org/10.36007/acta.2021.10.1.6
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Question 
Read the Performance Appraisal at Telespazio: Aligning Strategic Goals to People Development case study located in Topic resources. Discuss the assessment of employees within the Telespazio organization.
Telespazio Performance Appraisal Case Study
In 1,000-1,250 words, explain how the organization uses the appraisal assessments to identify employee roles, the current appraisal systems, performance ratings, and Telespazio’s practices for performing appraisal interviews. Decide what changes or strategies could be implemented to current performance appraisal practices. Consider a new performance appraisal tool that would benefit this highly matrixed, global company and an effective method for conducting a performance appraisal interview. Describe the benefits of using both the proposed appraisal tool and appraisal interview during the performance evaluation process. Suggest a minimum of two recommendations to Telespazio leadership which would meet the performance appraisal expectations of fair and realistic criterion, and professional development and motivation of the employees.
Prepare this assignment according to the guidelines found in the APA Style Guide, located in the Student Success Center.