Staff Appraisal and Disciplinary Matters

Control Objectives for Staff Appraisal and Disciplinary matters

(a) To ensure that staff performance is monitored and regularly appraised so

that employee contributions are maximised;
(b) To ensure that the staff appraisal system is authorised by management and
that the scheme is supported by realistic and workable procedures;
(c) To ensure that management and staff are fully aware of the aims of the
system and their role in the process;
(d) To ensure that staff are aware of their responsibilities and have determined
measurable goals and objectives to achieve;
(e) To ensure that the achievement of personal goals and objectives is
monitored and reasons for non-achievement identified and reviewed;
(f) To link performance and personal achievement to the reward structure;
(g) To ensure that personal training and development needs are assessed and
addressed;
(h) To ensure that the appraisal process is fair, unbiased, and gives employees
the opportunity to comment upon and agree their obligations and performance
standards;
(i) To ensure that staff with consistently poor performance records are
detected and dealt with accordingly;
(j) To ensure that all appraisal and disciplinary schemes operate within the
confines of the prevailing employment legislation;
(k) To ensure that matters of absenteeism and misconduct are formally dealt
with;
(l) To provide facilities to enable staff to bring their problems and concerns
to the attention of management without fear of retribution; and
(m) To provide a formal complaints and disciplinary procedure, incorporating
escalation procedures, rights of appeal and representation, and defined
disciplinary stages (i.e. letters of warning, withdrawal of privileges, dismissal,
etc.).

Risk and Control Issues for Staff Appraisal and Disciplinary matters

1 Key Issues

1.1 How does management confirm that staff are performing at the
appropriate level and standard?
1.2 Have management authorised and established a staff appraisal
system supported by documented procedures?
1.3 Does the staff appraisal scheme have the commitment of senior
management, and are staff and management aware of their roles in the
process?
1.4 Are staff performances assessed against realistic and measurable
factors and objectives, and how are these recorded?
1.5 Are line management adequately trained and briefed as to their role
and responsibilities in the appraisal scheme?
1.6 Are individual's performances regularly assessed against their
defined goals and objectives, and are failures to achieve the desired
standard examined to determine the underlying reasons?
1.7 Are performance shortcomings used as the basis for determining and
agreeing the personal training and development needs of staff?
1.8 How can management be assured that staff training and
development needs are satisfactorily and cost-effectively addressed?
1.9 Have formal, authorised and documented disciplinary procedures
been established, and how is compliance assured?
1.10 Do all staff appraisal and disciplinary procedures comply with the
current and relevant employment legislation, and how is compliance
confirmed?
1.11 Are management assured that cases of persistent absenteeism or
serious misconduct would be detected and appropriately dealt with?
1.12 In dealing with disciplinary matters, are the rights of employees
adequately catered for?

2 Detailed Issues

2.1 Are all staff made aware of their responsibilities and the scope of their
position?
2.2 Are line management adequately trained to consistently and fairly conduct
appraisal interviews and assessments?
2.3 Is adequate account taken of employee views and comments?
2.4 Does the system cater for the comments of management above the level
of appraiser as a means of quality control?
2.5 How can management be assured that the appraisal scoring method is
consistent and reliable?
2.6 Is the appraisal scheme used in a positive context as the basis for
improving and developing staff, rather than in a punitive context?
2.7 Does the appraisal system enable the detection of exceptional or high
performing employees who could be groomed for promotion?
2.8 Where appraisal results/scores are used as a basis for pay reviews, how
can management be certain that the scores are valid and not manipulated?
2.9 Are employees required to signify their agreement to the recorded goals
and objectives?
2.10 What mechanisms are in place to detect poor performance on-the-job?
2.11 Are regular staff, department, team or quality circle meetings encouraged
in order to promote a positive attitude towards performance and contribution?
2.12 Do staff have access to alternative independent channels of
communication for their problems and concerns, and the right to formally escalate
their grievances (and is the relevant procedure formalised)?
2.13 Are employees rights to have trade union, staff association or legal
representation at disciplinary hearings complied with?
2.14 What steps does the organisation take in order to avoid the escalation of
disciplinary disputes to public industrial tribunals?
2.15 What processes ensure that all the stages of the disciplinary procedure are
in conducted in compliance with the relevant legislation?
2.16 How is the accuracy of data input from other systems (i.e. attendance
records or performance statistics) confirmed?
2.17 How is the accuracy of data output to other systems (i.e. personnel
records) confirmed?