Performance Evaluation Methods in Sri Lanka
Performance Evaluation Methods in Sri Lanka
Human resources with
knowledge and competencies are the key assets to organizations to sustain their
competitive advantage and to be unique locally and globally. In creating and
implementing an appraisal system, management must determine what the
performance appraisal system will be used for and then decide on the process to
implement the system. The methods chosen and the instruments used to implement
these methods are crucial in determining whether the organization manages its
performance successfully. These appraisal methods are based on quantitative
techniques which provide a precise output defining the employees’ performance
(Ahmed et al, 2013).
The primary goal of an
evaluation system is to improve individual and organizational performance. It
is utilized to track individual contribution and performance against
organizational goals and to identify individual strengths and opportunities for
future improvements and assess whether organizational goals are achieved or
serves as basis for the company’s future planning and development. And it is a key
factor in improving the quality of work input, inspires staffs make them more
engaged, introduces a foundation for upgrades and increments in the development
of an organization and employee succession plan. In simple words, effective
appraisal system is directly related to employee motivation and productivity
(Shaout and Yousif, 2014).
Many employers assess the
employee performance on an annual or quarterly basis in order to help them
identify suggested areas for enhancement. Performance appraisal system depends
on the type of the business for an organization, mostly relates to the product
output of a company or the end users of an organization. Generally, performance
appraisal aims to recognize current skills’ status of their work force. It is
essential to have accurate unbiased appraisal assessment in order to measure
the employees’ contribution to organization objectives. Employers use
characteristics such as knowledge in particular field, skills to achieve a goal
and target achieving attitude in order to decide on the employee’s performance
level.
Performance
Appraisal Methods
Performance Appraisal can
be categorized into two groups:
1.
Traditional (Past oriented) methods
2.
Modern (future oriented) methods
Traditional Methods are
comparatively older methods of performance appraisal. These methods were past
oriented approaches which concentrated only on the past performance.
A.
Ranking Method: superior ranks his
employee based on merit from best to worst. However how best and why best are
not elaborated in this method.
B.
Graphic Rating Scales: graphic rating
scale is a scale that lists a number of traits and a range of performance for
each. The employee is then graded by finding the score that best defines his or
her level of performance for each trait.
C.
Critical Incident Method: concentrated on
certain critical behaviors of employee that makes significant difference in the
performance. Critical incident method keeps a record of unusually employee’s
work related behavior and revisit it with the employee at prearranged times.
D.
Narrative Essay: in this method the
administrator writes an explanation about employee’s strength and weakness
points for improvement at the end of evaluation time. This method primarily attempts
to concentrate on behavior [4]. Some of the evaluation criterion are as
follows: overall impression of performance, existing capabilities &
qualifications, previous performance, and suggestions by others.
Modern Methods: Modern
Methods were formulated to enhance the conventional methods. It tried to
enhance the shortcomings of the old methods such as biasness and subjectivity.
A.
Management by Objectives (MBO): performance
is graded against the achievement of the objectives specified by the
management. It consists of seven components; strategic planning and hierarchy
of objects, setting objectives, planning for action, implementation of
www.ijcit.com MBO, control and appraisal, subsystems and organizational and
management development. MBO includes three main processes:
a. object formulation
b. execution
process
c. performance
feedback
B.
Behaviorally Anchored Rating Scales
(BARS): BARS contrast an individual’s performance against specific examples of
behavior that are anchored to numerical ratings. BARS utilize behavioral
statements or solid examples to explain various stages of performance for each
element of performance
C.
Humans Resource Accounting (HRA): performance
is judged in terms of cost and contribution of the employees. Incorporate both
HRA models and utility analysis models (UA) to form the concept of human
resource costing and accounting (HRCA).
D.
Assessment Center: An assessment center is
a central location where managers may come together to have their participation
in job related exercises evaluated by trained observers. It is more focused on
observation of behaviors across a series of select exercises or work samples.
Appraisees are requested to participate in basket exercises, work groups,
computer simulations, fact finding exercises, analysis/decision making
problems, role playing and oral presentation exercises.
E.
360 Degree It is a popular performance
appraisal technique that includes evaluation inputs from a number of
stakeholders like immediate supervisors, team members, customers, peers and
self. It provides people with information about the influence of their action
on others.
F.
720 Degree 720-degree method concentrates
on what matter most, which is the customer or investor knowledge of their work.
In 720-degree appraisal feedback is taken from external sources such as
stakeholders, family, suppliers, and communities. 720 degree provides
individuals with extremely changed view of themselves as leaders and growing
individuals.
References
Ahmed, I., Sultana, I., Paul, S.K.
and Azeem, A. (2013). Employee performance evaluation: a fuzzy approach. International
Journal of Productivity and Performance Management, 62(7), pp.718–734.
doi:https://doi.org/10.1108/ijppm-01-2013-0013.
Shaout, A. and Yousif, M.K. (2014). Performance
Evaluation – Methods and Techniques Survey International Journal of Computer and Information Technology
(ISSN: 2279 – 0764) Volume 03–
Issue 05, September 2014.
[Accessed 7 Apr. 2025].
This blog post presents a well-rounded analysis of performance evaluation methods used in Sri Lanka, emphasizing the vital role appraisal systems play in boosting both individual and organizational effectiveness. It clearly distinguishes between traditional and modern evaluation techniques, offering detailed examples and explaining how modern tools like MBO, BARS, and 360/720-degree feedback help minimize bias and enhance fairness. The focus on aligning performance appraisals with organizational objectives and employee growth adds depth, highlighting how accurate evaluations support motivation, efficiency, and long-term planning. Overall, the post serves as a useful resource for HR professionals and organizations looking to implement impactful performance appraisal systems in an evolving work environment.
ReplyDeleteThis blog offers a comprehensive overview of performance evaluation methods in Sri Lanka, clearly explaining the shift from traditional to modern approaches. The emphasis on fairness, bias reduction, and alignment with organizational goals makes it a valuable resource for HR professionals aiming to enhance appraisal effectiveness.
DeleteThis blog offers a comprehensive overview of performance evaluation methods in Sri Lanka, highlighting their importance in enhancing productivity and employee development. It would be useful to see a deeper discussion on how organizations can adapt these methods to suit diverse work cultures and remote teams. I’m curious—what do you think are the key challenges Sri Lankan companies face when implementing these performance evaluation methods, and how can they overcome them, especially in a post-pandemic work environment?
ReplyDeleteThis blog provides a strong overview of performance evaluation in Sri Lanka. A deeper look at adapting methods for diverse cultures and remote teams would add value. Key challenges include resistance to change, lack of training, and limited tech adoption—overcoming these requires leadership support, continuous learning, and investment in digital tools, especially post-pandemic.
DeleteThis is a very informative breakdown of performance evaluation methods, clearly distinguishing between traditional and modern approaches. Including both MBO and 360-degree feedback highlights how evaluations can become more strategic and inclusive. To strengthen this further, local examples from Sri Lankan organizations adopting modern methods would add context. It would also be helpful to mention how digital platforms are supporting these methods, especially in hybrid work settings.
ReplyDeleteThank you! The overview is strong, and adding Sri Lankan examples and insights on digital tools in hybrid settings would make it even more practical and relevant.
DeleteThis explanation of the critical role performance evaluation plays in both organisational success and personal development is simple and clear. A well-designed appraisal system is more than just a formality; it is an essential requirement in Sri Lanka, where strategic development and talent retention are becoming more and more crucial. I like how much focus is placed on matching assessments to company objectives and utilising them as instruments for incentive, succession planning, and ongoing development. The approach gains objectivity and credibility from the emphasis on quantitative methods, which is crucial for transparency and equity. It is true that an efficient appraisal system acts as a link between potential and performance.
ReplyDeleteThank you! This clear explanation rightly emphasizes that a well-structured appraisal system is vital for aligning goals, fostering growth, and ensuring transparency—especially important in Sri Lanka’s evolving talent landscape.
DeleteThis blog provides a clear explanation of the various performance evaluation methods used in Sri Lanka. I found the comparison between traditional and modern approaches especially useful. It's insightful to see how local organizations are adapting these methods to better support employee growth and accountability. Great work!
ReplyDeleteThank you! It's great to hear the comparison of evaluation methods was helpful. Highlighting how local organizations adapt these approaches is key to understanding their evolving HR practices.
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