EPFM 3724

Revision
Unit 4 – 6

T: +27 51 401 9111 | E: [email protected] | www.ufs.ac.za

 1. What are the cornerstones for a successful post-design
implementation?
Automate as much as possible
1. User interface for displaying: Competencies, performance standards, PM process information
2. Ability to capture performance ratings
3. Web access to instructions, FAQ, help and other information

Implement an appeals process

4. NB for organisations to develop and implement a formal process where employees can safely and objectively raise
their concerns about their performance evaluations reviewed and addressed.
5. Different forms of appeals processes:
Separate committee that hears, investigates and decides on appeals
HR department handles appeals

Pilot test the system prior to large scale implementation.

6. Pilot test prior to large scale implementation
7. Pilot test should include all aspects of the system (written materials, training programs, assignments and analysis of
ratings)
 1. What are the cornerstones for a successful post-design
implementation?

Train employees and managers on all aspects of the system and process
1. Training helps managers and employees be motivated to effectively conduct performance management.
2. Types of training: Classroom training, Job aids and learning aids, and Web-based training

Evaluate and continually improve the system based on the evaluation results.
3. PM systems should be evaluated and continuously improved over time.
4. Advised to collect and track the number of measures to obtain a complete picture of overall system effectiveness
5. Encouraged practices:
Monitor completion of training
Monitor completion of appraisals
2. What advanced features can be built into an automated PM system?
1. Capturing input from multiple rating sources
2. Capturing employee input (accomplishment statements self-ratings) online.
3. Managing workflow
1. deadline prompts to managers, employees, reviewers and HR staff
2. Provide access to forms and documents needed for the process.

4. Providing automated feedback and training to managers

1. Rating patterns, errors & alerts
2. Pre-determined thresholds- prompt managers to review their ratings for accuracy

5. Reporting data
6. Providing evaluation support tools
1. Sample behavioural statements

7. Development and training support

1. Allows employees to create, store and monitor their progress in achieving individual development plan
2. Request and approvals for formal training

8. Facilitating HR decision-making, i.e. compensation

3. Differentiate between buying and building a PM system by identifying
the advantages and disadvantages of both.
 5. Provide reasons why you believe that an automated PM system is
the best option for company A.
1. Workflow-documents can be accessed electronically by different parties (mangers,
reviewers)

2. Reduces paperwork

3. Easily accessible information

4. Facilitates HR data collection, decision-making, and reporting

5. Easy analysis of performance management and other HR data

6. Frees up time for managers and employees to engage in more useful performance
management activities (discussions & development)
 6. Provide reasons why you don’t believe that an automated PM
system is the best option for company A.

1. Tempt managers to get their performance management duties done as quickly as

possible

2. Managers can easily focus their efforts on online activities as opposed to engaging
with employees

3. Managers can sometimes misuse tools e.g.. example narrative comments used
without editing
 7. What are the advantages and disadvantage of pilot testing?

Advantages:
• Diagnose whether system functions properly
• Highlights areas for revision prior to going live.
• Provides useful information about whether managers and employees understand and
support the process and if further change management and communication efforts
are needed.
• Provides opportunity for reactions to the system and to make adjustments

Disadvantages:
• Pilot test will be resource and time intensive
• Can be difficult to convince decision-makers about the value of pilot testing (want fast
implementation)
 8. How do we evaluate and continuously improve the system?

• Assess quality using a formal performance management

review
– Narratives alignment; no bias; systematic application of criteria etc.

• Assess alignment with related HR decisions

– Does a high rating link to bonus/ pay increase (highest rating-higher levels of
pay; lowest ratings -first to be let go during workforce reduction).

• Evaluate user reactions

– Surveys and focus groups to assess satisfaction levels.
– Modifications can then focus on areas that users view as less effective.
 9. Provide a detailed explanation of how you will go about
implementing the training intervention. In your answer give specific
reference to type of training used, topics to be covered and manner in
which it will be implemented.

• Training format and strategy depend on:

– Extent of buy-in that exists for the system
– How much employees and managers already engage in effective performance management
– Resources organisation is willing to invest (i.e. financial and time)
• Advised to use the same training material for both audiences as this ensures that
everyone receives the same information (transparency & Trust)
• Advised to conduct separate sessions for managers and employees (employees may
be reluctant to participate in training sessions where managers are present)
• Best to provide training to managers and employees before each major step in the
performance management process needs to be implemented
 1. Identify the ten most important legal requirements with regard to
performance measurements systems.
1. Performance measures must be based on job-relevant factors

2. Employees need to be made aware of these performance standards.

– what they are expected to do & accomplish as well as what they will be evaluated against.

3. Specific roles, responsibilities, and timeframes for accomplishing performance management activities must be
defined and documented

4. Training should be provided to managers and employees on all aspects of the system they are responsible for
conducting

5. Managers should document specific examples of effective and ineffective performance that explain the rationale
for their ratings

6. Organisational mechanisms should be in place for holding managers accountable for providing timely feedback
 Identify the ten most important legal requirements with regard to
performance measurements systems.

7. Employees should be notified of deficiencies in a timely manner and provided with sufficient opportunity and
feedback to improve in these areas

8. Performance evaluations should be reviewed by a higher-level official or panel to ensure accurate ratings and
promote the application of uniform standards across managers (calibration)

9. Employees should be allowed to provide input into their appraisal and to comment on the ratings or narrative
provided by their managers

10. If performance evaluations are used as a basis for deciding important outcomes, the decision must align with the
ratings given

11. A formal appeals process should be included in the process that provides employees an opportunity to have
their ratings reviewed and reconsidered at a higher level if they feel there are problems with them
 2. Explain what adverse impact means and how it can be assessed (in short).
• Adverse impact refers to employment practices that appear neutral but have a discriminatory effect on a protected group.

• Adverse impact means that the outcomes from a human resources system can be associated with employees’ race, gender,
age, or other personal factors, such that individuals who belong to certain groups receive systematically less than individuals
who belong to other groups.

• One way to screen for adverse impact is to examine whether there are systematic and significant differences in the rewards
received by different groups.
– 4/5 Rule

• If HR system is shown to produce adverse impact, legal requirements are that system must have demonstrated job relevance
or validity.

• Validity can be used as defence for a performance management system that produces adverse impact

• Adverse impact can only be assessed after appraisal process is complete and final pay, promotion etc. decisions have been
made (cannot be assumed). This is obviously late in the game to realize that a system may be producing undesirable levels of
adverse impact.

• Good idea to use other analyses to evaluate the likelihood that a system will produce adverse impact, for example, effect size
(group difference in standard deviation units) -average rating scores between different groups.
 2. Explain what adverse impact means and how it can be assessed (in short).
• The 4/5 rule,
– Also known as the 80% rule, is a guideline used to identify adverse impact in employment practices. It’s commonly applied in
the context of hiring, promotion, or any employment-related decision to ensure fairness and equity. Here’s how it works:

1. Calculate the Selection Rate for Each Group: This involves determining the percentage of candidates from each group (e.g.,
racial or gender groups) who were selected for the position or benefit.

2. Determine the Group with the Highest Selection Rate: Identify the group with the highest selection rate (usually the majority
group).

3. Apply the 4/5 Rule: Compare the selection rate of each minority group to the highest selection rate. The rule states that if the
selection rate for a minority group is less than 80% (or 4/5) of the selection rate of the majority group, this may indicate adverse
impact.

• For example, if the selection rate for women is 60% and for men is 80%, then:
Adverse Impact Ratio=Selection Rate for Women / Selection Rate for Men
=60% / 80%
= 0.75
• Since 0.75 is less than 0.80, this suggests that there may be adverse impact against women in this scenario.
• The 4/5 rule is a useful tool for assessing whether employment practices disproportionately affect certain groups, although it is not
the only measure and should be used alongside other methods for a comprehensive evaluation.
 3. Develop a probation process that organisations can implement
based on the guidelines in Schedule 8 of the Labour Relations Act.

Guidelines in cases of dismissal for poor work performance.Any person determining

whether a dismissal for poor work performance is unfair should consider.

• Whether or not the employee failed to meet a performance standard.

• If the employee did not meet a required performance standard whether or not.

• The employee was aware, or could reasonably be expected to have been aware, of the
required performance standard.

• The employee was given a fair opportunity to meet the required performance standard.

• Dismissal was an appropriate sanction for not meeting the required standard performance
standard.
4. What are the steps to develop content valid measures?
5. What are the 2 main types of challenges that can be made regarding
PM?

1. Disparate treatment – individual was treated

– Employee claiming different treatment than other employees in similar situation
– Both don’t come to work, only one is punished

2. Disparate impact – system against a protected class of people

– Employer has practice that systematically and negatively impacts an entire group
– Gender, Age, Race etc.
 6. Explain what content valid performance measures are and how it
can be developed (in short).

1. Performance management system needs to measure requirements that are important to the job (Inherent
Job Requirements i.e., solider (physically fit), pilot (good eyesight)
• Important work behaviours or tasks performed
• Competencies required to effectively perform these tasks

2. Content-validity most practical and acceptable form of validity for performance management systems .
• Content validation requires conducting a thorough analysis to identify a job’s critical performance requirements
that are needed to effectively do the work.
• Content validity demonstrated through a series of expert judgements.
 7. UFS uses objectives in their performance management system. List
four challenges that exist when using objectives as a basis for
performance management and explain how each of these challenges
can be overcome
Challenges:
• Inconsistency amongst managers can result in objectives that are too easy, unattainable, or wildly different in their
difficulty for individuals in the same job

• Objectives should be in employee’s control to achieve and not dependent on things they can’t control

• Difficult to evaluate the relative contribution of the variety/myriad of results that different employees deliver

• Setting concrete objectives in advance can be difficult for jobs that are unpredictable and constantly changing.
(R&D jobs- short term objectives as work revolves)

• Setting individual objectives is not appropriate if work is so interdependent or team based that individual results
cannot be clearly identified

• Managers and employees need to be prepared to make adjustments to objectives during the rating period as the
situation or priorities change
 7. UFS uses objectives in their performance management system. List
four challenges that exist when using objectives as a basis for
performance management and explain how each of these challenges
can be overcome
Overcoming Challenges:
• Training managers to set objectives of similar difficulty and complexity for employees in the same job

• Use predefined set of objectives that apply uniformly to all employees for highly routine and predictable jobs

• Have managers or supervisors develop individual objectives from validated tasks or work behaviours that have
been identified for the job

• Develop standards for evaluating the relative contribution of different results (p144)

• Set shorter term objectives that are more predictable for jobs that are unpredictable or constantly changing

• Set objectives at group or team level if work is so interdependent that individual objectives don’t make sense
 9. Explain to Lerato the key characteristics of effective objectives.

• The characteristics you mentioned align closely with the SMART criteria for setting effective objectives. Here’s a
breakdown of each characteristic definition, importance and example.

1. Specific: Objectives should be clear and precise, detailing exactly what is to be accomplished. A specific
objective addresses the who, what, where, when, and why. For example, rather than saying "Improve customer
satisfaction," a specific objective would be "Increase customer satisfaction scores by 10% within the next six months
through enhanced customer service training."
2. Measurable: Objectives need to have criteria for measuring progress and success. This means setting metrics or
indicators that allow you to track progress and determine when the objective has been achieved . For example,
"Increase website traffic by 25% within the next quarter" includes a measurable target (25%).”
3. Achievable: Objectives should be realistic and attainable given the resources, constraints, and timeframe.
They should challenge you but still be within reach. For instance, "Hire two additional team members within the next
month" is achievable if the hiring process and budget allow for it.”
4. Relevant: Objectives must be aligned with broader goals and priorities, ensuring they contribute to larger aims
or strategic plans. For example, "Develop a new product line that aligns with current market trends" ensures
relevance to business growth and market demand.”
5. Timeliness: Objectives should have a clear deadline or timeframe for completion. This helps to create a sense of
urgency and prioritizes tasks. For instance, "Launch the new marketing campaign by the end of the next fiscal quarter"
provides a specific deadline.”
 8. Discuss four ways to ensure that objectives are measurable.
Four types of measures:

1. Timeliness – timeframe in which work is performed

– E.g., respond to a request within 24 hours
– E.g., provide a financial report on a quarterly basis

2. Quality – how well work is performance

– E. g., develop a smartphone which can withstand a 5 metres drop
– E.g., write a report with no grammatical errors

3. Quantity – how much work is performed

– E.g., provide training to 90% of employees
– E.g., transport 100 people to campus everyday

4. Financial metrics – efficient use of funds, revenues, profits, savings

– E.g., cut costs with 10% next year
– E.g., increase profit margins with 8%
*Processed 99% of candidate job applications within one week of
receiving them (quantity and timeliness).
11. Explain to the leadership of UFS how the linking of individual goals
to higher level goals should be done.

Two strategies
1. Bottom-Up Approach
Start with employee’s individual performance outcomes and work upward to link
them to relevant higher-level goals
Start off with something concrete and work towards a less tangible concept

2. Top-Down Approach
Start with higher-level goal that is relevant to an employee’s job and work
downward to develop an individual performance objective.
Start with broader higher-level goal and develop something concrete that
employees can do in their job that relates to this
12. Elaborate on how objectives should be set at the beginning of the
year by referring specifically to the setting of objectives in a
collaborative way .
 Any questions?

T: +27 51 401 9111 | E: [email protected] | www.ufs.ac.za

T: +27 51 401 9111 | E: [email protected] | www.ufs.ac.za