Do or die: Critical Issues in Performance Appraisal

If desired results are to be obtained, performance appraisal is a procedure that must be methodically carried out. Many supervisors do this type of review on their employees on a regular basis, primarily since it is an organizational practice or necessity, rather than but it does have a prospective influence (Bhasin, 2017). Performance evaluations have been acknowledged as a critical component of any organisational progress. This may not be the most enjoyable chore for both managers and staff, as it might result in a torrent of questions and explanations.

   Source: (https://www.irishtimes.com/business)

Supervisors use the individual performance tool to determine how committed each employee is to the company. According to research findings, there appear to be four common shortcomings of performance rating techniques. Recency, halo effect, leniency, and central tendency have all been mentioned as per (Bhasin, 2017). 

Source: (https://www.irishtimes.com/business)

Recency refers to employee performance evaluations that are focused on recent work (Bhasin, 2017). As a result, it is critical that employers preserve a record of their employees' work in order for it to be valuable during the assessment process. The halo effect happens when a supervisor has a propensity to showcase an employee as outstanding solely due to various one favorable quality while ignoring all of the person's other characteristics. This usually happens when the management has a positive or negative image of the employee, depending on the circumstance. As a result, personal feelings may have an impact on the ratings given as per (S, 2020). 

Source: https://kissflow.com/hr/performance-management/ 

Based on the current researchers, leniency mistake occurs when a manager scores an employee excessively favorably rather than evenly across the scale, resulting in performance assessment bias. When a supervisor focuses too much on a person's behavior, this can happen (S, 2020). Finally, central tendency happens when leaders rank the majority of their staff as "average" on a scale. This occurs when a manager seeks to avoid employee strife. (Bhasin, 2017).

To eliminate measurement error and excessive time consumption, it is critical for a company to use technology while applying appraisal processes. Furthermore, managers needed to be instructed on how to use appraisal procedures by attending meetings where they discussed how to prevent measurement error and procedural failures (Richards, 2019). 

Conclusion.

Finally, delivering verbal compliments on good performance and highlighting those occasions in assessments would have a beneficial and equitable impact on employee compensation. 

Youtube Link

                                             (Source: Dr Amit Lal, n.d.)

References 

Bhasin, H., 2017. Problems With Performance Appraisal. [Online] 

Available at: https://www.marketing91.com/problems-performance-appraisal/

[Accessed 14 August  2021].

Dr Amit Lal, n.d. Problems of Performance Appraisal | Human Resource management.

 Available at : https://www.youtube.com/watch?v=ei40j12kb9U

[Accessed 14 August 2021].

Richards, L., 2019. What Are the Problems With Performance Appraisals?. [Online] 

Available at: https://smallbusiness.chron.com/problems-performance-appraisals-1913.html

[Accessed 14 August 2021].

S, A., 2020. Problems of Performance Appraisal. [Online] 

Available at: https://www.businessmanagementideas.com/human-resources-management/performance-appraisal-human-resources-management/problems-of-performance-appraisal/20606

[Accessed 14 August 2021].

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HR challenges and opportunities in SMEs.

Human Resource Management (HRM) practices play an important role in organizational production, performance, and survival. By knowing the performance of employees, it will enable the organization to attract, retain and motivate employees to support the organization's vision, mission and strategies to improve organizational performance. However, many studies on HR processes are discussed in a larger organization and are not fully covered in SMEs

Source: https://www.hrsolutions-uk.com/

Small and medium enterprises (SMEs) have been identified as one of the fastest-growing engines in the world, with SMEs making up more than 90 percent of all businesses. SMEs play a very important role in contributing to the economy and can become even more important as the economy expands globally (Zainal, 2011). According to Rehman (2012) the role of human resource practices (HRP) at its significance in small and medium enterprises (SME)  has become an emerging topic, especially in developing countries.

For large companies, HRM methods are formal. At the same time, in the SME sector, those practices vary in business size, from informal practices in small businesses to prescribed, specific, and clearly defined practices in small and medium-sized companies 

HR Challenges for SMEs

Source: https://www.hrsolutions-uk.com/

Lack of knowledge and technology and common family-based methods can be a barrier to modern business practices. However, a new type of entrepreneur can make a huge difference in the performance of a business with its structured education, flexible character, and flexible circumstances. They are well-equipped to deal with changes in business conditions (Khan, 2011). 

Similarly, the perceptions of SME owners will change when they see the importance of implementing HR activities and view it as an investment rather than a cost, which improves organizational performance. It is also considered that the existing HR structure for SMEs is weak and there is room for improvement.

Major challenges.

• Lack of resources.

• Negative motivational factors.

• insufficient financial and other benefits.

• Minimum cover by law.

• Allocation of staff training and development budget.

• Employee ability to negotiate is limited.

Source: https://www.hrsolutions-uk.com/

Opportunities for SMEs

Zin et al, (2012) suggested that By retaining skilled workers, Small Medium Enterprises (SMEs) could create a viable environment for a competitive free-market economy that could ultimately increase their profits. Understanding employees' opinions and analyzing their responsibilities is critical to the success of the organization.

Great opportunities.

• Low staff carder.

• Individual attention can be built one to one.

• Skills identification.

• Simple sequence and unity of command. (Clear reporting lines)

Conclusion

SME owners and HR managers should focus on implementing HRM practices to improve organizational performance in terms of production and market share. An effective HR system also helps to integrate other organizational activities in the short term and at the same time, the barriers and opportunities need to be clearly identified and understood by HR management to make strategic plans. This merger will open up long-term investment opportunities through organizational strategies.

Youtube Link : https://youtu.be/bhbx9DTY2Rw

                             

                               Source: “Human Resource Management Small Business Case Study - YouTube,” n.d.)

References

Human Resource Management Small Business Case Study - YouTube [WWW Document], n.d. URL https://www.youtube.com/watch?v=bhbx9DTY2Rw (accessed 8.27.21).

Khan, N.U.R., 2011. HRM significance and SME sector 3.

Mohamed Zainal, S., 2011. INVESTIGATING THE ROLE OF HUMAN RESOURCE MANAGEMENT PRACTICES ON THE PERFORMANCE OF SME: A CONCEPTUAL FRAMEWORK.

Mustafa Rehman, K., 2012. Human Resource Practices in SME Sector: An Exploratory Case Study of Pakistan. Euro Econ. 31, 7–19.

Zin SM., 2012. Motivation Model for Employee Retention: Applicability to HRM Practices in Malaysian SME Sector 5.

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HR Business Partner : Who is this ? What does really do ?

The recently developed HR Business Partner (HRBP) position is responsible for aligning business objectives with employees and management in designated business units. The position formulates partnerships across the HR function to deliver value-added service to management and employees that reflects the business objectives of the organization. 

According to Ulrich and Brockbank (1997) the centralization of HR’s administrative functions and creation of specialist Centers of Excellence (COEs) promised to allow a new type of HR professional, the HR Business Partner, to embed within a business unit and provide high level strategic consultations.

                          Source: (“HR Business Partner roles,” n.d.)

HR Business Partners work closely with business leaders and line managers to build their people capability, plan and manage talent and develop approaches that achieve shared organisational objectives. They often act as the point of people expertise for their business area, and may also be the local people expert implementing specific people approaches which have been designed by a central processing team(“HR Business Partner roles,” n.d.).

HR & HR Business partner. 

it is sometimes difficult to see clear distinctions between HR BPs and HR managers since much of what each does and how they do it is common (Caldwell, 2008). However, we have identified the difference of both roles as follows. 

Source: (“HR Business Partner vs. Just HR,” n.d.)

Role & Responsibilities

   Source:(“The HR Business Partner,” 2021)HRBP’s Typical Duties.

Here are some activities you can expect to be involved in as a HR Business Partner:

• Developing the HR agenda.

• Developing HR strategies, policies, and practices.

• Structuring compensation and benefit packages.

• Improving relations between staff and employers.

• Evaluating staffing needs.

• Overseeing recruitment efforts.

• Managing and allocating HR funds.

• Engaging with heads of department.

according to Njemanze (2016) many organisations have adopted arange of new titles for BPs to signal genuine change in role and capability. However, too often the perception is that thelabel has changed without HR practicechanging too. It is notalwaysclear whatan organisation expects of BPs.

Conclusion

As per the Ultich’s competency HRBP model the HR Business Partner role and responsibilities are becoming more and more strategic, as we are in the digital age and changes happen very quickly. A HR Business Partner must continuously learn and keep new developments with HR and within the business sector. By doing this, the HRBPs help their organizations become more successful. In a word, as a people-savvy and business-savvy HRBP, there can be a strong positive impact on business.

Youtube Link

(Source: myHRfuture, n.d.)

References.

Caldwell, R., 2008. HR business partner competency models: re-contextualising effectiveness. Hum. Resour. Manag. J. 18, 275–294. https://doi.org/10.1111/j.1748-8583.2008.00071.x

HR Business Partner roles [WWW Document], n.d. . CIPD. URL https://www.cipd.co.uk/careers/career-options/hr-business-partner-roles (accessed 8.16.21).

HR Business Partner vs. Just HR: Which One Do You Want To Be? - HR in ASIA [WWW Document], n.d. URL https://www.hrinasia.com/general/hr-business-partner-vs-just-hr-the-difference/ (accessed 8.16.21).

myHRfuture, n.d. WHAT DOES IT MEAN TO BE A HR BUSINESS PARTNER TODAY? Bitesized Learning with Dave Ulrich.     URL       https://www.youtube.com/watch?v=-VK0axfge4A

[Accessed 15 August 2021].

Njemanze, I., 2016. What Does It Mean To Be A HR Business Partner Today? | myHRfuture [WWW Document]. URL https://www.myhrfuture.com/blog/2019/10/14/what-does-it-mean-to-be-a-hr-business-partner-today (accessed 8.16.21).

The HR Business Partner: A Full Guide, 2021. . AIHR. URL https://www.aihr.com/blog/hr-business-partner/ (accessed 8.16.21).

Ulrich, D., Brockbank, W., 1997. Toward a Synthesis of HR Competency Models: The Common HR “Food Groups” 13.

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HR automation is the future: Don’t get left behind.

Effectively implementing and using HR automation will reduce the need for HR teams to complete physical, repetitive tasks and create more efficient and accurate ways of working across the organization.

HR department can then devote more time and energy to creating a more positive people and work culture and utilize their skills on a day-to-day basis. 

                                           Source: (“Can HR Tech Solve Human Resources Problems?,” 2019)

What is HR automation? 

Human Resources Automation uses software to digitize and automate repetitive and time-consuming tasks, including employee onboarding administration, payroll, timekeeping, and benefits administration(“What is HR Automation?,” 2021).

Some of automation methods may include, employee monitoring at different levels, payroll management, employee benefits, training and development, etc. In-order to make this work a lot more easier, organisations across the world are investing in HR automation in-order to find out and perform the best human capital decision(Uppin, 2017).  

  

However, switching from a manual approach to HR automation requires a certain level of skill and training in using the technology to be effective(Mishra et al., n.d.) 

Benefits of HR automation

Why should you invest in HR automation? To answer that question, let’s have a look at some of the key benefits of HR automation.                                                                              

                                                 Source:(“What is HR Automation?,” 2021)

What can be automated in HR? 

Here are some HR automation examples with case studies of how companies currently use HR automation and how it benefits them and their employees.

1. Recruiting

Recruiting processes include:

Posting job ads,Tracking responses,CV screening,Pre-employment assessments,Sorting and prioritizing candidates based on set criteria,Automated email flows, etc.. 

2. Employee onboarding

Leave management & Attendance tracking. 

Manually calculating and approving vacation days can be problematic since it involves many tasks.

3. Expense claims

Unnecessary manual tasks like submitting expenses are having a negative impact on your employee’s satisfaction at work. 

4. Payroll.

Manually calculating the time or days worked, along with sick leave or vacation days, leaves much room for error. This leads to employees being under- or overpaid. 

5. Tax filing.

6. Time management.

Having a manual timesheet for time tracking and appointing one person or a team to track it is extremely inefficient. They can often be filled out days later and also misplaced. 

7. Employee benefits.

Benefits including health care, retirement plans, workers compensation, and other benefits.

8. Employee performance tracking.

Automating employee performance records means the company has accessible data to determine raises, bonuses, disciplinary action, or termination. 

Will it Remove the HR Managers? 

According to the “The Right Way to Transform Human Resource Processes with Automation,” (n.d.) While automation is a great option to reduce manual work in human resource processes, it cannot and should not replace HR managers completely. Hence, HR managers and team will continue to perform their tasks more efficiently while the automations is going on. 

Global & Local Context.

The world reputed companies such as Google, Facebook and Apple have automated nearly 80 percent of their HR processes(Meduri and Yadav, 2021). 

According to (Serasinghe and Opatha, 2013) main private sector organization including banks have started automation of HR practices and be 2025 nearly 95% of leading top 100 companies will adopted to this process due to the effect of cost and efficiency. 

Conclusion

As organisations continue to move at breakneck speed, there’s no reason to compete at a snail’s pace using manual processes. With techno-savvy visual platform, user-friendly interface, and unparalleled support, businesses could well be on the way to a streamlined and optimised HR department.

Media reference.

https://youtu.be/EzzfUEaU2ws

(Source: frevvo Info, n.d.)

References.

Can HR Tech Solve Human Resources Problems?, 2019. . HR Manag. App. URL      https://www.hrmanagementapp.com/hr-tech-human-resources-problems/ (accessed 8.13.21).

frevvo Info, n.d. HR Process Automation.

 Available at : https://www.youtube.com/watch?v=EzzfUEaU2ws 

[Accessed 15 August 2021].

Meduri, Y., Yadav, P., 2021. Automation Invading Human Resources Digital Transformation and Impact of Automation in the Space of HR. Delhi Bus. Rev. 22, 62–69. https://doi.org/10.51768/dbr.v22i1.221202105

Mishra, S., Kunte, M., Neelam, N., Bhattacharya, S., n.d. HR Process Automation: A Bibliometric Analysis 14.

Serasinghe, D., Opatha, H., 2013. Human Resource Management Practices in Listed Firms in Sri Lanka. Sri Lankan J. Hum. Resour. Manag. 1. https://doi.org/10.4038/sljhrm.v1i1.5110

The Right Way to Transform Human Resource Processes with Automation [WWW Document], n.d. URL https://www.mindk.com/blog/human-resource-processes-automation/ (accessed 8.13.21).

Uppin, C., 2017. Study of benefits of HR automation in organisations. Int. J. Acad. Res. Dev. Volume 2, Page No. 254-257.

What is HR Automation? A Guide with Practical Examples [WWW Document], 2021. . AIHR Digit. URL https://www.digitalhrtech.com/hr-automation/ (accessed 8.13.21).

    

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HR in the driver’s seat ? : “Ally Financials” a blueprint.

While of course 2020/21 has shown a massive shift in the way businesses operate, it has also posed significant personal difficulty to workers all over the world. Employees are worried about their health & loved ones’, tense about the security of their jobs, concerned with juggling young children and partners at home while trying to get their work done through a pandemic.

And of course, HRM is worried too. Uncertainty around what should be communicated and how it should be done complicates the already stipulated task of heading and modeling company values(Top 10 HR Trends for 2021 and Beyond | AIHR Digital, n.d.)                                                                                            Source:   ( HRExecutive.Com, n.d.)

And in the midst of all this chaos, companies naturally turn to HR for the answers. As per Kaushik et al., (2020) HR departments of many organizations have been on the frontline, facilitating employees, handling business requirements, managing concerns and questions of their employees, supporting them, and focusing on people’s mental and emotional well-being.

The following case of Renowned Financial services company in USA make a blueprint for organization all over the world to face this circumstances.

Case of Ally Financials, USA.

Ally Financial is a bank holding company organized in Delaware and headquartered in Detroit, Investment, banking, Mortgage lending and insurances are the main businesses(Banking, Investing, Home Loans & Auto Finance | Ally, n.d.).

According to Kathie, Ally CEO Jeff Brown was quick to provide leadership, and reacted by showing care and generosity to their employees. Ally moved most of their workforce of 8,700 to work from home in just a few days, including hustling equipment to people who need it and getting them set up with internet(How One Company Is Taking Care Of Employees During COVID-19, n.d.)                  

        Source:  (Banking, Investing, Home Loans & Auto Finance | Ally, n.d.)

Ally has really gone above and beyond to show incredible support to their employees and their families during this stressful, scary and uncertain time. 

As per the Forbes, n.d. Some other employee benefits that Alley offered.

1.All employees deriving $100,000 or less per annum , will receive a $1,200 financial assistance payment to help cover unexpected costs related to WFH.
2.Ally added 100% coverage for diagnostic testing and the associated visit related to COVID-19.
3.Immediate paid medical leave for any employee diagnosed with COVID-19.
4.Expanded childcare support: When daycare or adult/elder care arrangements are disrupted, Ally will cover 30 uses of emergency care.
5. Employees with monthly or quarterly incentive plans were assured that Ally would account for COVID-19 impacts to operations.
6.Access to free mental health professionals, via phone or text, through the Employee Assistance Program.
7.Free financial planning support, including access to certified planners and credit monitoring.
8.Paid caregiver leave for employees caring for an ill family member.
9.Well-being modules and challenges geared to staying physically and mentally healthy at home.

What can other companies learn from Ally?

Prioritize employee well-being with these five tips.      

   1.Host a Gratitude Challenge.

   2.Focus on Mental Health.

   3. Encourage Virtual Workouts.     

   4.Offer Financial Assistance 

   5. Stay Connected.     

Local Context.

According to Dissanayake., (2021) in Sri Lanka, the (central) government took almost the total responsibility of looking after the health and welfare of the populace (with the capacity and strength of the security forces and the national police) instead of organizations taking the responsibility of checking the wellbeing of their employees. Thus, the COVID-19 pandemic experience too would be utilized by companies in introducing/ implementing/ adopting certain good/ innovative HR practices which were neglected/ postponed/ not in use before(Beyond COVID-19: Thriving in a Post-Crisis Workplace in Sri Lanka, n.d.).

 
Conclusion.    

It is true that the HR function of most of the organizations are not prepared for the impact of such catastrophe like a global influenza pandemic. However, global organizations like Ally gives a blueprint for developing countries as well as the organizations, the way of adapting and re- organizing the established goals of the entities.

In Youtube: 

(Source: Your Friend Andy, n.d.)

References.

 

Banking, Investing, Home Loans & Auto Finance | Ally. (n.d.). Retrieved August 7, 2021, from https://www.ally.com/

Beyond COVID-19: Thriving in a post-crisis workplace in Sri Lanka. (n.d.). Retrieved August 7, 2021, from https://www.pwc.com/lk/en/crisis-solutions/covid-19-sri-lanka/beyond-covid-19-thriving-in-a-post-crisis-workplace-in-sri-lanka.html

Daily update on how HR deals with COVID19 | HRExecutive.com. (n.d.). Retrieved August 7, 2021, from https://hrexecutive.com/a-daily-shot-your-covid-19-update-2-2/

Dissanayake, K. (n.d.). Encountering COVID-19: Human resource management (HRM) practices in a pandemic crisis.

Forbes. (n.d.). Retrieved August 7, 2021, from https://www.forbes.com/

How One Company Is Taking Care Of Employees During COVID-19. (n.d.). Retrieved August 7, 2021, from https://www.forbes.com/sites/alankohll/2020/04/06/how-one-company-is-taking-care-of-employees-during-covid-19/

Kaushik, M., Guleria, N., & Professor, H. (2020). The Impact of Pandemic COVID-19 in Workplace. European Journal of Business and Management Www.Iiste.Org ISSN, 12(15). https://doi.org/10.7176/EJBM/12-15-02

Your Friend Andy, n.d. Ally Bank Review: Is It Worth It in 2021?

         Available at :  https://www.youtube.com/watch?v=apnY-JAuq9I&t=170s

         [Accessed 7 August 2021]. 

  

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NEW ROLE IN HRM : Chief Employee Experience Officer (CEEXO). Does it work?

 

Customer experience and employee experience are now two of the driving forces of business. Independently, each function leads to valuable relationships with customers and employees. But when CX and EX are managed together, they create a unique, sustainable competitive advantage. Companies should consider integrating the two disciplines and installing a Chief Experience Officer to lead the combined effort across the entire organization.  

                                                                ( Pivotal Integrated HR Solutions, n.d.)

Out of that Chief employee Experience officer (CEXO) has become the one side of experience equation. That means, both CX & EX create the entire experience part of the business or organization. As per the  (Yohn, 2019) whole process of interactions an employee has with the organization, from recruitment to termination/exit, is the employee experience. This has significant impact on business performance.

(Mahadevan & Schmitz, 2020) says EX is a new vehicle for HR's ongoing struggle for legitimacy. By repositioning HR managers as “EX-designers,” it promises to integrate the previously conflicting roles of HR as advocate of the individual employee and as strategic partner on the organizational level.

Does CEEXO is differ from HR head ?

EX involves far more than human resources functions, including facilities, internal communications, IT, and even corporate social responsibility. And also related with grievance handling and welfare caring. Therefore the EX is more than HRM. Most of the organizations have appointed a NON-HR person for this particular position in order to retain the independence of the position and quality assurance.

                                                              (Who Should Own The Employee Experience?, n.d.)

In Local Context.

A renowned & leading private sector commercial bank in Sri lanka, the Hatton National Bank PLC (HNB) has appointed the chief employee experience officer. This Non-HR corporate management level staff member overlook the employee experience functions apart form his formal duties. Appointing a CEXO is part of a clear strategy from the Bank to take HNB’s employee brand to even greater heights. His responsibility to listen to the voices of the employees and to pave the way for a constructive dialogue that in turn facilitates meaningful action that would usher in greater sense of fulfillment and team identity (HNB Appoints New Chief Employee Experience Officer and Customer Experience Officer | Daily FT, n.d.).

 Global Context.

IBM is a cognitive solutions and cloud platform company that leverages the power of innovation, data, and expertise to improve business and society.as per the research finding by IBM ,outcomes related to the employee experience from the individual to the organizational level, that organizations providing a positive employee experience performing well with ROA & ROS. Hence the IBM has aligned with the similar model of CEXO and experiencing the advantages. (The Financial Impact of a Positive Employee Experience Background to Employee Experience, n.d.)

Functions of CEEXO.

Conclusion.

The CX & EX are the equation of the organization which lead to the ultimate success. The emerging trend of HR has made Chief Human Resources officer into Chief employee experience officer. As researches highlighted over the years the EX has a positive impact toward the ROA & ROS of the organization. Further the CEXO has become the most finest person to handle HR functions beyond the HR perspective. Finally, CEXO does very well in both local and global context and showed significant increase of HR quality. 

Reference.

HNB appoints new Chief Employee Experience Officer and Customer Experience Officer | Daily FT. (n.d.). Retrieved July 31, 2021, from https://www.ft.lk/Financial-Services/hnb-appoints-new-chief-employee-experience-officer-and-customer-experience-officer/42-603955

Mahadevan, J., & Schmitz, A. P. (2020). HRM as an ongoing struggle for legitimacy: A critical discourse analysis of HR managers as “employee-experience designers.” Baltic Journal of Management, 15(4), 515–532. https://doi.org/10.1108/BJM-10-2018-0368

The Financial Impact of a Positive Employee Experience 2 The Financial Impact of a Positive Employee Experience Background to employee experience. (n.d.).

Who Should Own The Employee Experience? (n.d.). Retrieved July 31, 2021, from https://www.forbes.com/sites/jacobmorgan/2016/04/07/who-should-own-the-employee-experience/

Why you need a “Chief Employee Experience Officer”: 80% of Canadian employees feel employer’s duty includes keeping them healthy - Pivotal Integrated HR Solutions. (n.d.). Retrieved July 31, 2021, from https://www.pivotalsolutions.com/why-you-need-a-chief-employee-experience-officer-80-of-canadian-employees-feel-employers-duty-includes-keeping-them-healthy/

Yohn, D. L. (2019). Why Every Company Needs a Chief Experience Officer.

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