Performance Appraisal Tutorial | Application Issues

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Application Issues

A primary reason  for few companies go beyond the traditional approach to compensation is that executives, supervisors and human resources professionals don’t have time to research alternatives. Many also lack the creativity to design or develop new ideas. Even with time and creativity, patience is rare. Low or no-cost programs should not be slapped together. Here are four key principles to consider.

  • The entire compensation package should work together, without competing priorities.
  • Identify as many program alternatives as possible for consideration. Consultants can certainly offer their experiences working with numerous companies.
  • Gather input from a cross-section of employees to select new programs. Such feedback may reveal that different programs are more appropriate for different employee categories. Action steps to keep in mind are.
  • Define specific programs to include in a survey.
  • Identify survey participants and employee categories
  • Tailor and administer the survey to selected participants
  • Develop a presentation format and tabulate survey results.
  • Conduct follow-up focus groups to clarify and expand upon survey results.
  • A systematic process is used to finalize program design and rollout. Companies should target no more than five programs for initial development and implementation.

Time should be spent for administering a few programs right and then gauging staff reactions. Let experience guide the organization and shape future ideas. Specific action steps to keep in mind are.

  • Summon a Project Team to establish general guideline for each selected program.
  • Assign a sponsor accountable for each selected program to
  • Administrative guidelines is to be drafted
  • A detailed implementation plan is developed
  • All appropriate stakeholders should have input.
  • A review process is utilized which includes the Project Team and top executives.
  • A communications campaign is developed and implemented the program is to be administered, and feedback is to be obtained.

Other guidelines for program development and implementation include.

  • Variety in program offerings is to be incorporated
  • Recognize that staff at all levels contributes to the organization’s success.
  • Competitive programs should be avoided to the extent possible
  • Reward, recognize and build relationships throughout the year.
  • Personal expression is allowed by giving employees several reward options
  • Consider merchandise as an alternative to cash awards.

Companies are not bound by tradition when it comes to compensating and motivating employees. The advantage of the accumulated experiences of others and internal creativity is taken to craft a new approach to compensation management which employees will value and which will drive performance to new heights.

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