Agoes, Chandra D (1996) Designing performance appraisal as a link between corporate strategic needs and personal goals a case of PT Mulia Industrindo. Undergraduate thesis, IPMI Business School.

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Abstract

Performance evaluation is an important element in the information and control system of most complex organization. The evaluation of individual performance is an inevitable part of today organizational members used in decisions about placement, promotion, firing and pay. The organization's personnel department is usually responsible for coordinating these activities and in performance appraisal system serves them in this purpose. Despite their value, managers and subordinate alike seem to be ambivalent about performance appraisal systems. Managers recognize performance appraisal as a potentially useful tool for improving the performance of subordinates and the effectiveness of their organizational unit. They also sense that performance appraisal inherently poses some danger to the motivation of their subordinates and their relationship with them. On the other hand, subordinates want feedback about how they are doing to know where they stand, but they prefer feedback that is consistent with their images of themselves as good performers. Both managers and their subordinates share a natural tendency to underplay or avoid dealing with the negative aspects of the procedure. Many of the problems in performance appraisal stem from the appraisal system itself- the objectives it intended to serve, the administrative system in which it is embedded and the forms and procedures that make up the system. A manager seeking to improve performance appraisal should examine the three major factors affecting appraisal outcomes to see where changes might be helpful: appraisal system, boss-subordinate relation, appraisal interview process. The appraisal system can be designed to minimize the negative dynamics mentioned previously. The manager often has only marginal control over these matters. This paper is intended to suggest what can the company do to create appraisal system or performance measurement that help employees building consensus around the standard of performance that is linked to company strategic business needs. As the industry is becoming more and more competitive, every company has to prepare and transform itself for competition. The need for the company ability to exploit and monitor the progress, building and acquiring capabilities of their human assets is becoming more critical for future growth or even survival. In today's world, a company that wants to succeed in competitive environment better have a device to plan long term performance. Performance appraisal as one of management control and monitoring system should built with relation to the company long-term strategic objectives. That is how to design performance appraisal system that contributes to linking long-term strategic objectives with short-term actions. It should give managers a way of ensuring that all levels of the organization understand the long term strategy and that company, departmental and individual objectives are aligned with it. In this paper PT Mulia Industrindo is used as a case company where a new performance system thant links company with individual objectives could be introduced.

Item Type:	Thesis (Undergraduate)
Subjects:	H Social Sciences > H Social Sciences (General)
Divisions:	Library > GFP (Group Field Project)
Depositing User:	Dede Faujiah
Date Deposited:	12 Oct 2022 03:55
Last Modified:	12 Oct 2022 03:55
URI:	http://repository.ipmi.ac.id/id/eprint/1578

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