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Ways to Measure Employee Performance Essay

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Ways to Measure Employee Performance
By   ASMA KHANOM
Once a yearly ritual, performance evaluation has become a continuous process by which an employee understands of a company’s goals and his or her progress toward contributing to them are calculated. Performance measurement is an ongoing activity for all managers and their subordinates.
Performance measurement uses the following indicators of performance, as well as assessments of those indicators.

1. Quantity: The number of units created, processed or sold is a good objective indicator of performance. Be careful of placing too much importance on quantity, lest quality suffer.

2. Quality: The quality of work performed can be measured by several means. The proportion of work output that must be redone or is rejected is one such display. In a sales environment, the percentage of inquiries converted to sales is an indicator of salesmanship excellence.

3. Timeliness: How fast work is performed is another performance indicator that should be used with vigilance. In field service, the average customer’s downtime is a good indicator of timeliness. In manufacturing, it might be the number of units formed per hour.

4. Cost-Effectiveness: The cost of work performed should be used as a measure of performance only if the employee has some degree of control over costs. For example, a customer-service representative’s performance is indicated by the percentage of calls that he or she must escalate to more experienced and expensive reps.

5. Absenteeism/Tardiness: An employee is obviously not performing when he or she is not at work. Other employees’ performance may be unfavourably impacted by absences, too.

6. Creativity: It can be difficult to quantify creativity as a performance indicator, but in many white-collar jobs, it is vitally significant. Supervisors and employees should keep track of creative work examples and attempt to enumerate them.

7. Adherence to Policy: This may seem to be the opposite...

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