Performance_Appraisal

Performance Appraisal Toshi Saxena HRM/531 Performance Appraisal The dynamics of corporate world change every day. The corporate houses constantly need to “focus” to develop and train their workforce to “enhance productivity” and stay competitive. “The performance appraisal system not only evaluates the employees' efficiency, but also expectations and satisfaction regarding the various aspects of their job” (Banu & Umamaheshwari, 2009). Effective performance appraisal is one in which two attributes work in conjunction; an evaluation system and a feedback system. The evaluation system identifies the gap that occurs when the performance is not up to the set target of the organization. The feedback system informs the employees about their performance. According to Byrne, Schroeter, Carter, and Mower (2009) “Performance assessment results are often used for annual reviews, promotions, and satisfying accrediting agencies’ requirements” (p 545). Various methods of performance appraisals are in practice but no single one is absolute. Community of Human Resource Management (CHRM, 2009) lists some of the traditional and modern methods of performance appraisals as such; traditional methods of performance appraisal: “unstructured method, grading or ranking method, man-to-man analysis, critical analysis”, etc. The modern methods resulted to abridge the shortcomings of the traditional methods. “Behaviorally anchored rating scales (BARS), the 360 degree feedback, psychological appraisals, and management by objectives are some of the modern techniques of performance appraisals” (para 3). In this paper the writer will be discussing the performance appraisal system of Carlson Companies, a global leader in the hotel, restaurant, and travel business. Curt Carlson founded the Gold Bond Stamp Company in 1938 that was eventually renamed as Carlson Companies, Inc. in 1973 when the company expanded into hospitality and travel businesses. “Carlson operates three businesses: Carlson Hotels – with Regent, Radisson, Park Plaza, Country Inns & Suites by Carlson, and Park Inn; Carlson Restaurants – with T.G.I. Friday's and Pick Up Stix; and Carlson Wagonlit Travel, a global leader in business travel management, with its headquarters in Minneapolis, Minnesota. Today, Carlson is one of the largest privately held companies in the United States. Carlson’s brands and services operate in more than 150 countries and employ about 150,000 people system-wide” (Carlson Companies, 2010, pg 2). “At Carlson diversity and inclusion refers not only to ethnic background and gender, but to much broader dimensions that make us unique individuals. These include age, sexual orientation and work and life experiences. Carlson companies aspires to see itself as a global business that reflects the uniqueness of the markets they serve and continuously build strong relationships with employees, customers, owners, and suppliers” (Carlson Companies, 2010, pg 4). The Performance appraisals at Carlson are way different from the other companies. Karen Hessian a marketing director at Carlson Marketing suggests “two ways of appraising employees; performance based awards and value based awards. If an employee hits the expected sales target, he could be awarded with bonuses as the sales increased the profits of the company whereas if an employee lived up to the expectations of the company or contributed to the teamwork he could be rewarded days off or discounts” (Cadrain, 2003, pg. 2). Charlie Montreuil, the vice president of human resources at the Carlson Companies describes their appraisal program as "an internal currency that employees receive for several different reasons, such as peer-to-peer recognition, supervisors recognizing employees or service anniversaries" (Cadrain, 2003, pg 3) The Carlson point program is another appraisal system of The Carlson Companies, where “employees could redeem their points for a variety of rewards, including gift certificates, days off or even for family vacation.” Carlson Companies believe that cash is not always helpful in motivating employees. The employees need more than money to be satisfy and perform well. The non- cash rewards appraises employees more than the cash incentives (Cadrain, 2003, pg 3) Carlson Companies, Inc. worth its employees and appraise them for better performance, thus making a strong workforce that results in strong organization. References Banu, C., & Umamaheswari, P. (2009). A Study on 360 Degree Performance Appraisal Systems in Reliance Life Insurance, Udumalpet. Institute of Chartered Financial Analysts of India (Hyderabad). The ICFAI Journal of Management Research, 8(7), 65-78.  Retrieved March 30, 2010, from ABI/INFORM Global. (Document ID: 1951886831). Byrne, M., Schroeter, K., Carter, S. & Mower, J. (2009, December). The professional portfolio: an evidence-based assessment method. Journal of Continuing Education in Nursing, 40(12), 545-52. CHRM, (2009). What are different types of Performance Appraisals' Retrieved March 31,2010 http://www.chrmglobal.com/Briefcase/40/1/What-are-different-types-of-Performance-Appraisals-.html Carlson Companies, Inc. (2010). Retrieved March 31, 2010 http://www.carlson.com/overview/index.cfm Carlson Companies, Inc. (2010). Retrieved March 31, 2010 http://www.carlson.com/careers/diversity.cfm Cadrain, D. (2003). Cash vs. non-cash rewards: in the land of employee rewards, cash isn't necessarily king. (Awards & Incentives Agenda). Retrieved March 31, 2010 http://www.allbusiness.com/human-resources/employee-development/525313-1.html