BBDH4103 Human Resource Development

OUM Business School
BBDH4103
Human Resource Development
Copyright Open University Malaysia (OUM)

BBDH4103
HUMAN RESOURCE
DEVELOPMENT
Assoc Prof Dr Khulida Kirana Yahaya
Dr Siti Zubaidah Othman
Norizan Azizan

Project Directors: Prof Dato Dr Mansor Fadzil
Prof Dr Wardah Mohamad
Open University Malaysia
Module Writers: Assoc Prof Dr Khulida Kirana Yahaya

Dr Siti Zubaidah Othman
Norizan Azizan
Universiti Utara Malaysia
Moderators: Prof Dr Shaari Abd. Hamid

Lilian Kek Siew Yick
Reviewed by: Dr Rosmah Mohamed

Developed by: Centre for Instructional Design and Technology

First Edition, August 2007

Second Edition, August 2013 (rs)
Copyright Open University Malaysia (OUM), August 2013, BBDH4103
All rights reserved. No part of this work may be reproduced in any form or by any means
without the written permission of the President, Open University Malaysia (OUM).

Table of Contents
Course Guide ix-xv
Topic 1 Introduction to Training and Development 1

1.1 What is Training and Development? 2
1.2 The Importance of Training and Development 5
1.3 Learning and Training 9
1.4 The Training Process 14
Summary 19
Key Terms 20
Self-Test 1 20
Self-Test 2 20
Topic 2 Needs Analysis and Design Phase 22

2.1 Needs Analysis Phase 23
2.1.1 Levels of Analysis 25
2.1.2 Methods of Analysis 27
2.2 Design Phase 32
Summary 36
Key Terms 37
Self-Test 1 38
Self-Test 2 38
Topic 3 Implementation and Evaluation Phase 40

3.1 Implementation Phase 41
3.1.1 Training Methods 43
3.2 Evaluation Phase 49
3.2.1 Importance of Training Evaluation 49
3.2.2 A Training Evaluation Model 50
Summary 54
Key Terms 55
Self-Test 1 55
Self-Test 2 56

iv X TABLE OF CONTENTS
Topic 4 Training Management 58

4.1 Roles of a Trainer 59
4.2 Training Management 62
4.3 Issues and Trends in Training 66
Summary 67
Key Terms 67
Self-Test 1 68
Self-Test 2 68
Topic 5 Introduction to Performance Appraisal 70

5.1 Understanding Performance Appraisal and Management 71
5.2 Aims, Use and Implications of a Performance Appraisal 75
5.3 Planning a Performance Appraisal System 79
5.3.1 Factors for the Failure of Performance 80
Appraisal
5.3.2 Criteria of a Successful Performance Appraisal 82
Summary 85
Key Terms 86
Self-Test 1 86
Self-Test 2 87
Topic 6 Designing Performance Appraisals 89

6.1 The Performance Appraisal Designing Process 90
6.1.1 Guide on Developing Performance Standards 92
6.1.2 Determining the Criteria for Performance 95
Measurements
6.2 Methods for Measuring Performance 99
6.2.1 Performance Appraisals Based on
Behaviour/Work Related 100
6.2.2 Methods of Performance Appraisals Based 103
on Personality
6.2.3 Performance Appraisal Based on Outcome 107
6.2.4 Other Methods of Evaluating Performance 110
6.3 Sources for Performance Assessors 119
6.3.1 Conventional Approaches 119
6.3.2 Multi-resource Approach/360 Degree Evaluation 122
Summary 124
Key Terms 124
Self-Test 1 125
Self-Test 2 125

TABLE OF CONTENTS W v
Topic 7 Implementation of Performance Appraisal System 128

7.1 Educating the Appraiser and the Individual
Being Appraised 129
7.2 Performance Appraisal Interviews 136
7.2.1 Preparations for Handling a Performance
Appraisal Interview 137
7.2.2 Three Kinds of Performance Appraisal Interviews 138
7.2.3 Implementation of Performance Appraisal Interview 139
7.3 Improving Employees Performance 143
7.3.1 Causes of Ineffective Performance 143
7.3.2 Managing an Ineffective Performance 145
7.4 Issues and Challenges in Developing an Effective
Performance Appraisal 146
7.4.1 Managing Marginal Employees Performance 147
7.4.2 Performance Appraisal that is Valid and in
Accordance with the Law 148
7.4.3 Use of Technology in Performance
Management: Electronic Monitoring 149
Summary 150
Key Terms 151
Self-Test 1 151
Self-Test 2 152
Topic 8 Introduction to Career Planning 154

8.1 Definition of Career 155
8.2 The Concept of Career Planning 158
8.2.1 Organisations Career Planning 160
8.3 The Role of Career Planning 161
8.4 Career Planning and Career Path 165
Summary 167
Key Terms 168
Self-Test 1 168
Self-Test 2 168
Topic 9 Career Development 171

9.1 Definition of Career Development 172
9.2 Career Development Stage 173
9.3 Career Development Process 177
9.4 Choice of Career and Personality 183
9.5 Career Development Strategies 185

vi X TABLE OF CONTENTS
Summary 187
Key Terms 188
Self-Test 1 188
Self-Test 2 189
Topic 10 Career Management 192

10.1 Role of Career Management 193
10.2 Process of Career Management 196
10.3 Effective Career Management System 200
10.4 Career Management and Development Issues 202
Summary 207
Key Terms 207
Self-Test 1 208
Self-Test 2 208
Answers 211
References 240

COURSE GUIDE

COURSE GUIDE W ix
COURSE GUIDE DESCRIPTION

You must read this Course Guide carefully from the beginning to the end. It tells
you briefly what the course is about and how you can work your way through
the course material. It also suggests the amount of time you are likely to spend in
order to complete the course successfully. Please keep on referring to the Course
Guide as you go through the course material as it will help you to clarify
important study components or points that you might miss or overlook.
INTRODUCTION
BBDH4103 Human Resource Development is one of the courses offered by the
Faculty of Business and Management at Open University Malaysia (OUM). This
course is worth 3 credit hours and should be covered over 8 to 15 weeks.
COURSE AUDIENCE
This is an elective course for students undertaking the Bachelor of Business
Administration and Bachelor of Management programmes, majoring in Human
Resource Management. It is a core course for students taking the Bachelor of
Human Resource Management programme.
As an open and distance learner, you should be able to learn independently and
optimise the learning modes and environment available to you. Before you begin
this course, please ensure that you have the right course materials, understand
the course requirements, as well as know how the course is conducted.
STUDY SCHEDULE
It is a standard OUM practice that learners accumulate 40 study hours for every
credit hour. As such, for a three-credit hour course, you are expected to spend
120 study hours. Table 1 gives an estimation of how the 120 study hours could be
accumulated.

x X COURSE GUIDE
Table 1: Estimation of Time Accumulation of Study Hours
Study
Study Activities
Hours
Briefly go through the course content and participate in initial discussions 3
Study the module 60
Attend 3 to 5 tutorial sessions 10
Online participation 12
Revision 15
Assignment(s), Test(s) and Examination(s) 20
TOTAL STUDY HOURS 120
COURSE OBJECTIVES
By the end of this course, you should be able to:
1. Describe the major components in human resource development and their
relationships;
2. Explain the role and importance of training and development; performance
appraisal and career development in an organisation;
3. Formulate the strategies of career development and design effective
training programmes;
4. Apply various methods and techniques in implementing training
programmes and performance appraisal;
5. Evaluate the existing issues and challenges in developing employees and
organisations; and
6. Develop the best practices of human resource development.

COURSE GUIDE W xi
COURSE SYNOPSIS
The course is divided into 10 topics. The synopsis for each topic is presented
below:
Topic 1 introduces the first activity in human resource development. Discussions

on training and development are divided into four sections. Section one
introduces training and development. You will then be exposed to the role and
importance of training and development. Before moving to Topic 2, you will
learn about the principles of learning and training as well as the training process.
Topic 2 touches on the analysis and design needs of training and development.
Here, you will find out about the two early phases of training and development
training needs analysis and design training programmes.
Topic 3 discusses the phases of training programme implementation and

evaluation.
Topic 4 focuses on training management. It will discuss the role of the trainer,
course management as well as issues and needs in training.
Topic 5 introduces performance appraisal. This topic will explain the differences
between management evaluation and performance appraisal. Besides that, you
will be exposed to the various objectives, uses and implications of a performance
appraisal. This topic will end with a discussion on how to plan a performance
appraisal by looking at how it might fail and the criteria for a successful
performance appraisal.
Topic 6 touches on matters related to designing a performance appraisal system

such as the steps in the designing process, guidelines in developing evaluation
standards, criteria for measuring performance, approaches in evaluating
performance and an evaluators sources in evaluating.
Topic 7 will discuss the implementation of a performance appraisal system. This

topic will touch on the reasons an appraiser and the individual being appraised
should be trained; the type of training that can be conducted as well as the
common errors that an appraiser makes; ways of handling performance
interviews and the kind of interviewing methods usually used; ways of
improving ineffective work performance; and lastly, the issues and challenges
related to performance appraisal.

xii X COURSE GUIDE
Topic 8 exposes you to career development and management. It will explain the
definition of career and career planning. A number of career-related terms will be
introduced to help you understand the discussions that follow. The discussions
will then focus on work concepts and identify the roles played by individuals,
managers and organisations in career planning. This topic will end with a few
career paths that an individual will follow in his career.
Topic 9 introduces the concept of career development. You will be exposed to

different phases of career development. The discussion will focus more on career
development phases as elaborated by Ivancevich and Bohlander, Snell and
Sherman. Besides these, the three main phases in the process of designing career
development programmes will also be highlighted. The three phases are the
assessment phase, direction phase and development phase. This topic also
discusses the relationship between the choice of career and a persons personality
based on Hollands model. We will end this topic by exploring the various
strategies that can be used for workers development like the information system
and career paths, skill assessment and ongoing training, career development for
those lagging behind, career counselling for every employee as well as career
development workshops for managers.
Topic 10 will focus more on career management as well as issues and challenges
in career development. This topic starts off by identifying the role played by an
individual and the organisation in career management. The topic continues with
the career management process followed by an effective career management
system. Lastly, issues related to career management and development will be
discussed. The three main issues discussed will be career development for
females; dual-career couples; and loss of job as well as down-sizing. The
discussion that follows will be about the three challenges faced by an
organisation, namely, who will be responsible for career development activities,
how much emphasis should be given to help improve employees careers and
developing a unique workforce in an organisation.
PRIOR KNOWLEDGE
Learners of this course are required to pass the BBPB2103 Human Resource
Management course.

COURSE GUIDE W xiii
TEXT ARRANGEMENT GUIDE

Before you go through this module, it is important that you note the text
arrangement. Understanding the text arrangement will help you to organise your
study of this course in a more objective and effective way. Generally, the text
arrangement for each topic is as follows:
Learning Outcomes: This section refers to what you should achieve after you
have completely covered a topic. As you go through each topic, you should
frequently refer to these learning outcomes. By doing this, you can continuously
gauge your understanding of the topic.
Self-Check: This component of the module is inserted at strategic locations

throughout the module. It may be inserted after one sub-section or a few sub-
sections. It usually comes in the form of a question. When you come across this
component, try to reflect on what you have already learnt thus far. By attempting
to answer the question, you should be able to gauge how well you have
understood the sub-section(s). Most of the time, the answers to the questions can
be found directly from the module itself.
Activity: Like Self-Check, the Activity component is also placed at various

locations or junctures throughout the module. This component may require you to
solve questions, explore short case studies, or conduct an observation or research.
It may even require you to evaluate a given scenario. When you come across an
Activity, you should try to reflect on what you have gathered from the module and
apply it to real situations. You should, at the same time, engage yourself in higher
order thinking where you might be required to analyse, synthesise and evaluate
instead of only having to recall and define.
Summary: You will find this component at the end of each topic. This component
helps you to recap the whole topic. By going through the summary, you should
be able to gauge your knowledge retention level. Should you find points in the
summary that you do not fully understand, it would be a good idea for you to
revisit the details in the module.
Key Terms: This component can be found at the end of each topic. You should go
through this component to remind yourself of important terms or jargon used
throughout the module. Should you find terms here that you are not able to
explain, you should look for the terms in the module.
References: The References section is where a list of relevant and useful

textbooks, journals, articles, electronic contents or sources can be found. The list
can appear in a few locations such as in the Course Guide (at the References
section), at the end of every topic or at the back of the module. You are

xiv X COURSE GUIDE
encouraged to read or refer to the suggested sources to obtain the additional

information needed and to enhance your overall understanding of the course.
ASSESSMENT METHOD
Please refer to myINSPIRE.
REFERENCES
Bacal, R. (1999). Performance management. New York: McGraw-Hill.
Beaver, G., & Stewart, J. (2007). Human resource development in small
organisations: Research and practice. London: Routledge.
Blanchard, P. N., & Thacker, J. W. (1999). Effective training: Systems, strategies
and practices. New Jersey: Prentice Hall.
Bohlander, G., Snell, & Sherman, A. (2009). Managing human resources (15th
ed.). Ohio: South- Western College Publishing.
Brown, D. (2003). Career information, career counselling, and career
development (8th ed.). Boston: Allyn and Bacon.
Cardy, R. L., & Dobbins, G. H. (1994). Performance appraisal: Alternative
perspectives. Ohio: South-Western Publishing Co.
Clark, F. A. (1991). Total career management: Strategies for creating management
careers. London: McGraw-Hill.
DeSimone, R. L. Werner, J. M., & Harris, D. M. (2002). Human resource
development (3rd ed.). Orlando,FL: Harcourt College Publishers
Faizuniah Pangil, et.al. (2002). Pengurusan sumber manusia. Malaysia: McGraw-Hill.
Gibb, S. (2007). Human resource development: Processes, practices and
perspectives. London: Palgrave Macmillan.
Gomez-Mejia, L. R., Balkin, D. B., & Cardy, R. L. (2004). Managing human
resources (4th ed.). New Jersey: Pearson - Prentice Hall.
Grugulis, I. (2006). Skill, training and human resources development: A critical text
(management, work and organisations). London: Palgrave Macmillan.
Mager, R. F., & Pipe, P. (1997). Analyzing performance problems: Or you really
oughta wanna. (3rd ed.). Atlanta, GA.: Center for Effective Performance.

COURSE GUIDE W xv
TAN SRI DR ABDULLAH SANUSI (TSDAS)

DIGITAL LIBRARY
The TSDAS Digital Library has a wide range of print and online resources for the
use of its learners. This comprehensive digital library, which is accessible
through the OUM portal, provides access to more than 30 online databases
comprising e-journals, e-theses, e-books and more. Examples of databases
available are EBSCOhost, ProQuest, SpringerLink, Books24x7, InfoSci Books,
Emerald Management Plus and Ebrary Electronic Books. As an OUM learner,
you are encouraged to make full use of the resources available through this
library.

xvi X COURSE GUIDE

Topic Introduction
1 to Training
and
Development
LEARNING OUTCOMES
By the end of this topic, you should be able to:
1. Explain the concept of training and development;
2. Explain reasons for having a training and development function in
an organisation;
3. Analyse the principles of adult learning; and
4. Evaluate the four main phases of a training process.
INTRODUCTION
Human resources are a critical component of an organisation. If a human
resource department does not have the knowledge, skills and means to carry out
its job, the objectives of the organisation will not be realised. Training begins
immediately when a person starts work and it continues depending on the needs
of the organisation, the job and the employee. Therefore, the role of training and
development in any organisation cannot be treated lightly.
Training and development have been accepted as a much-needed function,

especially in a knowledge and technology-based era. Ongoing and organised
training can help an organisation ensure that employees are equipped with the
knowledge, skills, capabilities and attitude needed in their jobs to help the
organisation realise its objectives.
What are training and development? Why are training and development
important to an organisation? What does the process of training and
development involve? We will try to answer all of these questions in this topic.
We will start our discussion with the concepts of training and development,

2 TOPIC 1 INTRODUCTION TO TRAINING AND DEVELOPMENT
followed by the importance and need for training and development in an

organisation. We will then touch on the learning and training concepts. This topic
concludes with a discussion on the four main phases of a training process.
1.1 WHAT IS TRAINING AND DEVELOPMENT?

Human resource management involves the optimum use and division of human
resources in order to realise the objectives of an organisation. It involves a
number of main functions, namely:
(a) Human resource planning;
(b) Recruitment and selection;
(c) Rewards and benefits;
(d) Career development;
(e) Performance management;
(f) Health management and job safety;
(g) Industrial relations; and
(h) Human resource information system.
Training and development activities are closely related to the other functions of
human resource management. For example, human resource planning and
performance appraisal can help an organisation determine where and who in an
organisation should be given training and development as well as the kind of
training that is needed.
To understand the functions and process of training and development, we

should explore the meaning of both concepts. Both training and development are
often used interchangeably and are misinterpreted as the same as human
resource development by many writers and practitioners in the field. Let us now
look at the meaning of the basic concepts in training.
Mc Lagan (1989) recommends three approaches in human resource development:

(a) Training and development;
(b) Career and development; and
(c) Development of an organisation.
All three approaches involve learning activities that are ongoing and systemically
organised by an organisation. The main objective of human resource
development is to improve the effectiveness and productivity of employees,
groups and organisation.

TOPIC 1 INTRODUCTION TO TRAINING AND DEVELOPMENT 3
Through the organised learning activities, an employee will be equipped with

the competencies needed to carry out his current as well as future jobs,
according to the performance standards and criteria set by the organisation.
These learning activities also give all the employees in the organisation an
opportunity to equip themselves with the knowledge, skills, abilities and
attitude in order to fulfil the needs of their current and future job
requirements.
DeSimone, Werner and Harris (2002)
Nadler (1985) also shares the opinion that training and development is one of the
main activities in human resource development. According to him:
Human resource development encompasses the learning process organised by

an organisation to improve the performance of the employee and the
organisation.
Human resource development involves three learning activities, namely,

training, education and development. Every human resource development
activity has its own focus:
(a) Training gives special focus to learning that is related to the current job;
(b) Education involves learning for the job in future; and
(c) Development focuses on an individual in general and is not related to his
current or future job.
Let us have a look at what is meant by training:
Training is a learning process that is organised in a systematic way to equip

an employee with the knowledge, skills and attitude required to carry out his
tasks and to improve his current work performance.
According to Nadler (1985), training is closely related to the job currently

done by the employee. Nadler also believes that the training given to the
employee must be related to his current job. This is important so that the
employee can apply what has been learnt as soon as he returns to the
workplace.

However, Blanchard and Thacker (1999) look at training as a systematic

process to improve knowledge, skills and capabilities of implementing
current and future jobs.
What is the actual meaning of development and education in the human resource
context? Refer to Figure 1.1 for the answer.
Figure 1.1: An employees development and education
(a) Development
Development can be viewed as a learning process to develop an employee in
general not relating to his current or future job. There are organisations and
individuals that would like to see improvement, be it related to life or the
organisation of the individual concerned. Organisations that are sensitive to
the needs of their employees will provide facilities and opportunities to
enable them to take up short and long courses that will give them knowledge
and skills in the respective fields.
(b) Education
Education, on the other hand, involves an organised learning process to
provide knowledge, skills and capabilities in general that can be applied in
employees future jobs. An employee will usually take the initiative to
improve his academic qualifications for career advancement. However,
there are organisations that are sensitive to their employees career
advancement. Workers who are noted to have the potential for promotion
or for holding a certain job at some time in the future should equip
themselves with the knowledge, skills, and abilities needed. Therefore, the
organisation might make sure that the employee is well equipped by
sending him for relevant learning programmes, whether at a learning
institute or through certain professional bodies.

In Malaysia, there are many local universities, hundreds of colleges and

private learning institutions as well as professional bodies. These
professional bodies offer various education programmes specialising in
their respective professions such as the Malaysian Engineering Institute, the
Malaysian Institute of Management and the Malaysian Institute of Human
Resource Management. These institutions offer a number of programmes at
certificate, diploma, bachelors, masters as well as at Ph.D. levels. There are
also some organisations that have set up their own internal training centres
like the Petronas Leadership Academy Malaysia, the Telekom Malaysia
College and the Malaysian Institute of Road Works as well as the Maybank
Training Centre. These training institutions or internal learning institutions
are set up to prepare the employees for specific jobs in their organisations
in the future.
To facilitate the learning and understanding of training and development,

all three concepts of training, education as well as development will be
used in this unit to cover all learning. The activities are systematically
organised to provide the capabilities needed by an employee to improve his
current job performance and for his future job.
ACTIVITY 1.1
State the consequences if an employee is not involved in the
development and learning process.
1.2 THE IMPORTANCE OF TRAINING AND

DEVELOPMENT
As discussed in the introduction to this topic, training starts as soon as a new
employee is hired for a particular post by an organisation. The recruitment and
selection process ensures that the employee hired fulfils the selection criteria,
which means that the particular employee must have the qualifications,
knowledge, skills and capabilities set by the organisation. Therefore, the
employee must be given training as soon as he joins the organisation.
As we have discussed earlier, the objective of giving training is to equip

employees with the skills needed to improve his performance as well as that of
the organisation. Effective training can enhance the knowledge, skills and
capabilities needed by an employee to carry out his job effectively as well as to
help improve the productivity and effectiveness of the organisation. Therefore, it

can be said that training has a positive impact on the individual as well as the
organisation.
Training and development not only equip and enhance the knowledge, skills and
abilities of an individual, they are also important in deciding the individuals
eligibility for career development. An employee who has special skills and gives
an outstanding performance usually has a better chance of being promoted
compared to someone who has not undergone any training and development
programmes.
Therefore, the advantages of training and development are that these:

(a) Improve an employees efficiency;
(b) Enhance an employees image;
(c) Give an employee the opportunity for promotion or career development;
(d) Give an employee the chance to gain knowledge and experience which are
not available at the workplace; and
(e) Motivate and encourage an employee to come to work and to work harder.
An employee who is knowledgeable, skilful and capable will be able to improve

the productivity and performance of the organisation. This is because an able
employee can usually carry out his duties more efficiently and is able to produce
quality work. Training and development are important to an organisation
because they:
(a) Improve the productivity of an organisation;
(b) Give profits or returns to the organisation;
(c) Enhance the image of the organisation;
(d) Cut down the rate of recruitment and termination and its costs; and
(e) Improve the competitiveness of an organisation.
Why do training and development need to be carried out? Refer to the following
explanations to understand the reasons why training and development are
important and why they should be carried out.
(a) A New Employee Joins the Organisation

Although basically, an individual who is hired for a job has the
qualifications and skills needed, he must still undergo a learning process
known as orientation. This is to expose him to the policies and rules of the
organisation to avoid problems later on. He must know the system and
work orders in order to carry out his tasks according to the work standards
that have been set. He must also know the other employees in the

organisation especially those in the same unit or department including the

manager, supervisor and other co-workers. An effective orientation
programme eases an employees entry into the organisation and enables
him to familiarise himself with the organisation, the job and other members
of the organisation as well as the surroundings.
(b) An Employee has the Potential to Advance in His Career with the
Organisation
An employee who has the potential to hold a particular post in an
organisation will be given training as preparation to equip him with the
knowledge, skills, attitude and abilities needed when he is promoted. For
example, an officer who has the potential to be a manager needs a higher
level of efficiency because the duties and responsibilities are different.
Therefore, training must be carried out so that he will be ready with the
knowledge, skills and abilities needed for that position when the time
comes.
(c) Decline in Job Performance

A training and development programme can help an employee to improve
his declining work performance. When a supervisor or manager finds that
an employees performance is not up to standard, although training has
been given, development activities through counselling can be carried out.
Counselling involves two important steps:
(i) Counselling Analysis

A counselling analysis will try to identify the factors that contribute to
the declining performance of a particular employee. Is it caused by the
employees own weaknesses? Or is it caused by the work environment?
If it is caused by the employee himself, we have to study whether the
employee has been given sufficient training, his level of understanding
of the tasks to be carried out, and the level of his preparedness to carry
out the particular tasks and responsibilities. On the other hand, if the
work environment is the cause of the problem, for example, if the other
units or departments are always slow in giving him certain documents,
it will obviously affect his performance, as a situation like this is
obviously beyond his control.
(ii) Discussions on Counselling

After the cause of an employees declining performance has been
identified, a face-to-face discussion between the supervisor and the
employee concerned needs to be held to find a solution. Two
approaches can be used for this purpose, namely, the Foumies and
Kinlaw (DeSimone, Werner and Harris, 2002) approaches. Both
approaches have similar ways of solving the problem, beginning with a

discussion between both parties involved regarding the cause of the

problem and the steps that should be taken to improve the situation.
The Foumies approach is more effective because it involves monitoring
and follow-up actions to make sure that the employee implements the
suggested proposals that have been discussed together.
(d) Too Many Changes Taking Place

The many changes that take place today can influence the stability and
success of an organisation. Rapid changes in technology, globalisation and
knowledge are among the changes that are often associated with the
performance of an organisation. In order to handle the challenging
competition, an organisation needs employees who have the desired
qualifications, knowledge, skills and abilities to help the organisation attain
its goals and to give it an advantage to compete. Training and development
play an important part in helping the organisation increase its competitive
edge.
Demands by clients that are becoming more precise and challenging are
among the changes that can influence and demand accuracy and speediness
of the production process and work system. To make sure that clients
demands are met, an organisation will be required to evaluate and change
the existing production process. If there are changes in the structure and
work system, the employees involved must be re-trained so that every
individual involved understands and will be able to carry out his job
according to the new system and working procedure.
Training should also be given if there are other changes in an organisation,

such as restructuring, changes in policies and regulations, new management,
implementation of quality management system, use of new machinery and
others. This is important to make sure their knowledge and skills are always
up to date.
ACTIVITY 1.2
Why is training given to a new employee? Discuss this with your
coursemates.

ACTIVITY 1.3
1. Surf http://www.astd.org. Choose one program offered by ASTD
and explain how it will benefit the employee and organisation.
2. Get information on human resource development in Malaysia, surf
the Ministry of Human Resources website at http://www.jaring.my.
Discuss what you have found from the website with your
coursemates.
3. Do you know that there are many internal and external changes in the
organisation that can influence training and development? Discuss
these in a group of four during your tutorial.
1.3 LEARNING AND TRAINING

We have discussed the meaning of training and development at the beginning of this
topic. Training and development involve the learning process with the objective of
increasing an employees capabilities and improve his work performance. An
effective learning process will lead to the enhancement of an employees level of
knowledge, skills and capabilities. As an example, an employee who joins an
organisation undergoes an orientation programme carried out by the human
resource development department. As a new employee, he does not have any
knowledge of the regulations and policies of the organisation. After undergoing an
organised learning process, the employee concerned would have learnt the
regulations and policies touched on during the training.
In general, learning can be seen as a change from the cognitive or behavioural

aspect, or the effects taking place in someone. This change usually takes place as
a result of mixing around or a persons experience with other people as well as
his environment. The change that takes place will continue until a new and
relevant learning process happens. Training should be given to all employees
involved when there is a change in the flow of the work system. The learning will
enable them to accept the new work system and forget the old one. This change
will continue until a time when this new system is altered and modified.
There are many theories about learning that influence a training and development
process such as Pavlovs classical conditioning theory, Thorndikes S-R theory and
Skinners operant conditioning theory. Their research concentrates on the outcome
of training that can be observed, which is the behaviour shown by an individual as
a result of training and development. A number of important implications of the
behavioural theory is summarised in Figure 1.2.

Figure 1.2: Implications of the behavioural theory
Now, let us have a look at the implications above in detail:

(a) Human beings react towards reinforcement. Therefore, organisations
should introduce reinforcements to motivate employees to take part in
training programmes and apply whatever they have learnt in their jobs.
(b) Organised learning should be stressed on the individual. This is because an
employees performance is usually evaluated individually.
(c) Rewards given for the outcome of positive learning should also be done on
an individual basis. This is necessary because every individual has his or
her own opinion some may like a reward in the form of money, while
there are others who prefer status.
(d) Training programmes should be developed from simple to more complex
or from general to more specific.
Cognitive-based learning programmes should look at the learning process,

especially at how an individual learns. Theory experts like Kohler (1925) and
Gagne (1968) believe that the course participants should participate actively in
the learning process to increase the outcome of that particular learning. Besides
the design of the programme, the trainer or the facilitator of the training also
plays an important role in improving the learning outcome. Among the
implications of the cognitive-based theory are:
(a) Special attention should be given to the design of the training. Learning can
be increased if the participants take an active part in the activities
organised.
(b) Information that needs to be conveyed should be well-arranged to facilitate
easy understanding and learning. Training should begin with information
that is short and simple, and later increased to more complex stages.

(c) Participants should learn how to learn. The ability to learn will help to
increase the participants learning outcome.
Besides the behaviour and cognitive theories, another theory which is closely
related to training is the adult learning theory. This theory focuses more on the
approach that should be used in training, or the andragogy approach. The adult
training approach or andragogy is used with the assumption that adults:
(a) Would like to know why they have to learn something;
(b) Are rich in knowledge and working experience which can be used as a
source to improve learning;
(c) Are more ready to learn something which is necessary or closely related to
their current duties and responsibilities and which are of interest to them;
and
(d) Are more motivated to learn if what they learn can be applied immediately
to solve their work problems.
Therefore, in order to carry out an effective training programme, an organisation

needs to address a few important matters concerning adult learning:
(a) An employee should have the interest and desire to learn. Without interest
and desire, learning may not be successful because the employee will not be
able to concentrate fully on what is being taught;
(b) All parties involved in the training programme must understand and know
the training objectives. The management, trainers and employees must
know what the employees are going to learn, why they are learning it and
what is to be achieved from the programme;
(c) Training should be designed, implemented and evaluated systematically,
based on the needs and objectives set by the management in order to bridge
the gap or the training problems which have been identified;
(d) Training should be adjusted to the wishes and needs of the individuals to
be trained because when their wishes are fulfilled, they feel happier and
more satisfied with the organisation; and
(e) The methods used to carry out the programme should be varied as every
employee has his own way of learning. The uniqueness of an individual
demands that the trainer be more sensitive when choosing the methods and
techniques to suit the taste of the participant. Some employees prefer to
study on their own and at their own pace while others like to study in a
group as it gives them a better chance to interact among themselves.

Every learning theory has its own focus:

(a) The behavioural theory looks at the behaviour shown after undergoing
training;
(b) The cognitive theory looks at the training process and the best way to
ensure a positive learning outcome; and
(c) The adult education theory stresses more on the approach that needs to be
used during training.
Therefore, in order to have an effective programme, we should consider all the

learning theories and principles discussed.
(a) Transfer of Training

Learning will not be effective if an employee does not make use of the
things learned. The training given will only be considered successful if an
employee puts what he has learnt into practice.
According to Baldwin and Ford (1988), using the knowledge, skills

and abilities learnt from workplace training shows that transfer of
learning has taken place.
The three identified factors that can increase learning and influence the
transfer of learning at the workplace are the characteristics of the
participant, the design of the training as well as the work environment.
Figure 1.3 shows more detail on how the three factors are related.
Figure 1.3: A transfer of learning model

Source: DeSimone, Werner & Harris (2002, p. 89)

(b) Characteristics of the Participant

An employee who undergoes a training programme, needs to be motivated
to learn and should be able to use whatever that has been learnt at the work
place immediately. Job performance can only be improved if an employee
puts into practice the experience derived from the learning process at the
workplace.
A persons personality is also able to influence transfer of learning. The

willingness of the employee to undergo the training process is also
important as it can influence an active participation in the programme and
increases the chances of learning and transfer of training. For example, an
employee who is keen on being successful in his career, will consider a
training programme as a step towards improving his abilities. Therefore, he
will put in more effort in learning something which can be practised in his
career.
(c) Design of Training

The principle of adult learning must be given attention when designing and
developing a training programme. This is important to make sure that the
employee is really interested and ready to learn. We must also make sure
that the programme fulfils the needs of the organisation, the job as well as
the employee itself. A programme that fulfils all these needs is considered
important by the employee in order to improve his capabilities and abilities.
Therefore, he will pay more attention during the programme and will make
use of the knowledge acquired when performing his job.
The arrangement and the contents taught during the training programme
also plays an important role in the transfer of training. A programme
usually starts with the basic knowledge and the level will be increased
during training to facilitate understanding and absorption in the learning
process. However, when choosing the contents of a programme, we must
also look at the employees level of knowledge. If the employee has the
basic knowledge on a particular topic, it is not necessary to stress on it
again. It is sufficient to do some revision before going to the next level.
Varying the methods and techniques used while carrying out the
programme is also important to increase learning and transfer of training.
(d) Work Environment

Work environment refers to the environment aspect of the employee which
supports or prevents the effectiveness of transfer of training. Support from
all those involved is crucial to make sure that the employee puts into
practice the experience gained at his workplace. Managers, supervisors, co-
workers, subordinates as well as the other employees must encourage the
employee to use whatever he has learnt to improve his performance, as

well as that of the department and organisation. Besides that, the employee
must be given the opportunity to practise what he/she has learnt at his/her
place of work. If the opportunity is not given, the knowledge and skills
obtained will be forgotten.
The three factors discussed are important and need to be given close attention so
that the learning process can be carried out effectively. This is because effective
learning can influence transfer of training at the work place.
Three types of transfer can take place:

(i) Zero transfer, where transfer of training has not brought any changes in an
employees work performance.
(ii) Positive transfer, where using the things learnt from the training at the
work place has improved the work performance of the employee.
(iii) Negative transfer, where transfer of learning causes the employees
performance to decline.
Transfer of training is important because the training that is carried out involves
costs on the part of the management. When transfer of learning takes place, the
organisation will benefit from the investment made. If not, it is a waste of money
because neither the worker nor the management has benefited from the
programme. So, the effectiveness and success of a training programme depends on
the ability of the employee to transfer and apply the knowledge gained at the work
place in order to improve his or her work as well as the performance of the
organisation.
ACTIVITY 1.4
1. Among the three factors that can influence transfer of training,

which factor in your opinion is the most critical? Why?
2. Are there any other factors that can influence you to learn at
your workplace? List them and try to discuss with your friends.
1.4 THE TRAINING PROCESS

The training process involves a few important steps. Nadler (1985) developed the
Critical Events Model as a guide for preparing an effective training process. This
model stresses on the learning aspect in training in order to equip the employee
with the knowledge, skills and abilities required. Nine steps are emphasised in
this model as seen in Figure 1.4.
Figure 1.4: Critical event model

Source: Nadler (1985, p. 12)
Goldstein (1993), on the other hand, introduced the General System Model which
emphasises the validity aspect of the training that is carried out. It categorises
four important phases: needs evaluation, training and development, evaluation
and, lastly, training objectives. Figure 1.5 gives us a picture of this model.

Figure 1.5: General system model

Source: Goldstein (1993, p. 21)
The needs evaluation phase is very critical as the decision-making related to

training and development will be based on its outcome. The outcome of the
needs evaluation will decide the programmes objectives and determine the
training evaluation criteria. Then, a programme which fulfils the identified needs
and the objectives that has been determined will be designed. After all the
preparations have been done, the training programme will be carried out. These
preparations include the choice of location, preparation of materials and
resources, scheduling and training plans.
A training evaluation can be carried out before, during or after its

implementation. Evaluation is done to ensure the effectiveness of the programme
that has been developed and carried out. The training objectives phase involves
evaluating the validity of the programme that has been carried out. The validity
of training measures the learning that exists whereas the validity of transfer looks
at the ability of the employees to apply the knowledge acquired during training
to improve their work performance. Internal validity compares the work of a
particular group with another group in the organisation which has undergone
the same training. External validity, on the other hand, looks at whether a
training programme which has been carried out effectively in one organisation
can be implemented in another.
Figure 1.6 shows the development process of a training programme by Noe

(2002).

Figure 1.6: A training development programme process model

Source: Noe (2002, p. 6)
The training process begins with needs analysis which is carried out in seven
stages. Let us discuss each stages shown in Figure 1.6.
(a) The first step is the analysis of the organisation, duties and individuals to
decide the exact training needs.
(b) The second step is to ensure that participants are ready to attend the
training and are motivated and able to learn.
(c) The third step is needed to create a suitable learning environment so that
the objectives of the programme are materialised.
(d) The fourth step involves transfer of learning to ensure the participants have
the opportunity to put into practice what has been learnt in the programme
at their work place.
(e) The training evaluation should then be planned in order to measure its
effectiveness.
(f) The sixth step stresses on the choice of suitable training methods and
techniques based on the objectives and learning environment.
(g) The last step involves evaluating and monitoring the programme to ensure
that the objectives of the programme are achieved.
From the discussion earlier, we can summarise that in general, the activities in a
learning process can be divided into four phases as shown in Figure 1.7.

Figure 1.7: A training process
Every phase should be inter-related. Therefore, in order to come up with an

effective training programme, close attention should be given right from the first
step up to the last step of the process. We should also review the outcome of each
phase to identify any weakness or error. We will discuss each phase in the
following topics.
ACTIVITY 1.5
Watch this video http://www.youtube.com/watch?v=85RVEas4AXs
titled HR Management: Training and Development by Dr Alysa
Lambert from the Indiana University Southeast. This video explains the
processes involved in training and development. Compare the training
process in this video with the training process in the module. Discuss
your comparisions during your tutorial.

Training and development are one of the functions of human resource that
should be implemented so that an employee is equipped with the knowledge,
skills and abilities required to help realise the objectives of the organisation.
Staff competition and ongoing changes demand an organisation to react
accordingly. Therefore, an organisation needs employees who are capable,
knowledgeable, skilful and are able to give the organisation a competitive
edge.
Training and development should be done continuously.
Training and development are necessary for new and existing employees,
employees with potential for promotion and even problematic employees.
Training and development are very important in improving the performance
of the employees and the organisation.
Many theories on learning have become the basis for training and learning:
behavioural theory, cognitive theory and adult learning theory.
Training is considered effective if an employee applies the things learnt at the
workplace.
The effectiveness and success of a training programme depends a lot on the
ability of employees to transfer and apply the knowledge and skills gained to
improve their work and organisational performance.
Four key steps or phases in a training process that need to be addressed are
needs analysis, design, implementation and evaluation.
Every step is closely inter-related, and the outcome of each step will form the
input for the next step. Therefore, all the four steps in a training process
should be given special attention.

Adult learning theory Negative transfer of learning

Behavioural theory Positive transfer of learning
Cognitive theory Training
Development Training process
Education Transfer of learning
Human resource development Zero transfer of learning
Essay Questions
1. What is the connection between training and development in human
resource management?
2. Explain the differences between training and development.
3. What do you understand by learning concepts?
4. State the differences between behavioural theory and cognitive theory.
5. Explain the transfer of learning concept.
Multiple Choice Questions
1. ____________ covers organised learning activities that are continuous and

systemically planned by the management.
A Planning and recruitment
B. Human resource management
C. Performance appraisal
D. Training and development

2. _____________ is the learning process for the development of the employee

in general and also for his future job.
A. Development
B. Training
C. Learning
D. Education
3. Learning involves the changes that take place in a person from

the_____________ aspect.
A. affective
B. cognitive
C. behavioural
D. all of the above
4. Using the knowledge, skills and ability gained from training at the work
place shows that _____________ has taken place.
A. experience
B. development
C. learning
D. transfer
5. All the steps below are included in the training process EXCEPT:
A. Planning
B. Evaluation
C. Needs analysis
D. Design
Essay Questions
1. Internal and external changes can influence training and development in an

organisation. Write a short explanation by giving relevant examples.
2. Explain briefly the role of the learning theory in training and development.
3. What are the three factors that can influence transfer of learning at the
workplace? Discuss.
4. State the differences and similarities of the three training models discussed
in this topic.

Topic Needs Analysis
and Design
2 Phase
LEARNING OUTCOMES
1. Explain the importance of the needs analysis phase;
2. Explain the three levels of training needs analysis that should be
carried out;
3. Describe the important activities that are involved in the design
phase; and
4. Summarise the crucial components in good training objectives.
INTRODUCTION
In Topic 1, we have already identified four main phases in the training and
development process i.e. needs analysis, design, implementation and evaluation.
This topic will focus on the first and second phases. There are several important
points in the first and second phases of the training process that should be given
priority, namely, the needs analysis and training design phase.
Several important points will be addressed in this topic:

(a) How do we determine whether training is needed in an organisation?
(b) What methods can be used to determine whether training is necessary?
(c) How is a training programme developed?
(d) What are the important elements of the training objectives?
To find out the answers, we will examine the first phase of the training process,
namely, the training needs analysis phase. We shall see how the training needs at
the organisational, work and individual levels are determined. After we have
TOPIC 2 NEEDS ANALYSIS AND DESIGN PHASE 23
identified the training needs, we will move to the second phase, which is the
training programme design phase. In this phase, we will discuss a few important
steps such as determining objectives, choosing an appropriate programme and
trainer as well as developing a training programme.
2.1 NEEDS ANALYSIS PHASE

It is important to carry out needs analysis to decide whether training and
development are necessary in a particular organisation.
DeSimone, Werner and Harris (2002) explain that the need for training is due
to some shortcomings or gaps in the actual performance level which can be
rectified by providing training.
This analysis is carried out mainly to determine:

(a) Which division of the organisation requires training;
(b) The type of training needed; and
(c) Who requires training.
Needs analysis can help us identify any shortcoming or gap that exists in
organisational, job or employee performance. It can indicate the need for
training, such as:
(a) Organisational performance can indicate whether the organisation has
achieved its objectives.
(b) Current job performance can ensure that all employees have the
knowledge, skills, attitude and capabilities needed to complete their
present tasks efficiently and effectively.
(c) Future job performance can identify whether the knowledge, skills, attitude
and capabilities that one has are adequate for carrying out his/her tasks in
future.
(d) Employee performance can determine which employees need to be trained
now and in future.
In short, needs analysis is vital because the information gathered could

determine whether training is necessary, where it is needed, how an appropriate
type of training is going to be carried out, who are involved in the programme,
the conditions under which the training needs to be carried out and the type of
evaluation used to evaluate the training programme. Figure 2.1 lists the five
types of training needs as suggested by Brinkerhoff (1986).

24 TOPIC 2 NEEDS ANALYSIS AND DESIGN PHASE
Figure 2.1: Five types of training needs
We will now examine the five types of training needs mentioned in Figure 2.1.
(a) Performance Gap
There is a need for training to help employees who have not achieved their
desired performance level. Performance gap here means the comparison
between the actual achievement of the employee and the prescribed
performance level.
(b) Democratic Needs
Training is decided upon request by employees. Sometimes, it is the
employees themselves who will apply to join a particular programme based
on their needs, inclinations and interest.
(c) Diagnostic Needs
The need for training depends on factors that affect employee performance.
Training is more focused on factors that could lead to performance that
would be effective in future and not on the problems of the present
performance.
(d) Analytical Needs
Training is needed to identify new work procedures that are better than the
existing system. This also includes programmes that could encourage
employees to be creative and innovative in order to improve their present
working procedures.

(e) Legal Needs

Training required has been prescribed by the legal system or regulations.
ACTIVITY 2.1
The first step that one must take before developing a training is to
come up with a training needs analysis. In your opinion, why is this
step crucial? How can training needs be identified?
2.1.1 Levels of Analysis

Training needs analysis can be carried out at three levels, namely, organisational,
task and individual levels. Refer to Figure 2.2 for a general picture of the three
levels concerned.
Figure 2.2: Three levels of training analysis needs
Organisational analysis involves observing an organisations internal and

external environments as a whole to identify whether it has achieved its targets
and objectives. Task analysis, on the other hand, is more concerned with
analysing a particular job in order to identify the type and level of knowledge,
skills, attitude and capabilities that are required to do the job concerned
efficiently and effectively Individual analysis focuses on the employee to
determine whether he/she requires any training in order to acquire the
competency that is required.

(a) Organisational Analysis

Organisational analysis entails analysing an organisations needs through
its prescribed vision, mission as well as short-term and long-term
objectives. Various information resources can help in identifying training
needs at this stage such as the organisations mission and vision, human
resource management indexes, skill inventories, organisational climate and
competency indexes. These resources can act as indicators of problems or
gaps in the organisation which require further analysis.
(b) Task Analysis

Task analysis is sometimes referred to as operational analysis. For this type
of analysis, the targeted working outcome by the organisation for every job
has to be identified and determined. The connection between one job and
another, or work chain, has to be taken into account to ensure that the final
product fulfils the criteria of the stipulated working outcome.
Evaluation at the task level is usually made by referring to job description

and specifications to identify the activities related to a particular task and
the competency level required to complete it. There are five main steps in
task analysis:
(i) List the tasks and responsibilities required for the job. We will list here
all the activities or steps taken to complete the job.
(ii) Identify the type and level of knowledge, skills and capabilities
required to complete the task.
(iii) Identify the performance level required for a particular task.
(iv) Identify the task and competency that should be included in the
training programme for that particular task. This would involve the
evaluation of the level of difficulty, importance and duration
necessary to complete a task.
(v) Arrange training needs in accordance to their priority. The task and
competency that are on the top of the list should be dealt with first.
(c) Individual Analysis

The third level of the evaluation phase identifies the training needs at the
individual level to determine which employees need to be trained in order
to improve their job performance. Two important questions that need to be
answered are who needs to be trained and what type of training is
required. Thus, we have to identify the employees who display a gap or
shortcoming by comparing their current job performance with the
prescribed one. Should a gap exist, we have to decide on the appropriate
training which would help the employee to narrow down the gap.

From the discussion above, we can conclude that needs analysis is a process
that is systemically done by an organisation to see whether training is
required or otherwise. An effective analysis highlights important points to
the organisation. These include:
(a) The effectiveness of an organisation in achieving its objectives
Comparing actual performance with the one that has been prescribed;
(b) Current competency gap Comparing the employees current
knowledge, skills and capabilities with the prescribed level and type
of competency which are vital in carrying out a given task efficiently
and effectively; and
(c) Future time competency Comparing current competency with
competency that is required for a future task or responsibility.
2.1.2 Methods of Analysis

There are a number of methods and information resources that can be used in
this analysis phase. Figure 2.3 shows the four methods of analysis.
Figure 2.3: Methods of analysis

Every method has its advantages and disadvantages. Thus, to obtain a better
analysis outcome, the normal practice is to use more than one method.
(a) Questionnaires
In this technique which uses forms, a greater number of people are
involved in a shorter period. In addition to its low cost, it is easier to handle
and to make an analysis. However, the responses are difficult to control.
Furthermore, the questions asked have to be few and brief as it would take
a long time to complete it otherwise, and might annoy interviewees. It is
also difficult to gather more information from the completed forms.
(b) Interviews
The interview technique, whether by phone or face to face, is very effective in
gathering more detailed information. Nevertheless, it is time-consuming,
especially if we wish to get information from many respondents. The
information gathered is also difficult to analyse. Furthermore, we need
skilled interviewers to get complete feedback. It can also disrupt the
interviewees work flow as they would have to stop from work for the time
being in order to answer the questions posed to them.
(c) Observation
This technique can provide more accurate information regarding a
particular job because the observations made are based on the employees
job-related movements. Nevertheless, the observer has to be skilful to
ensure that no important aspect is left out. In addition, this technique takes
a longer time to obtain correct and complete information.
(d) Examining Documents
Using documents that are available can provide accurate information on a
particular subject. Nevertheless, the documents may be obsolete and therefore
not suitable to be used. In addition, the information needed may be difficult to
obtain and may take a longer time to locate if the filing system is poor.
ACTIVITY 2.2
Think of other techniques that you can use to obtain information on

organisations, tasks and individuals and discuss these with your
coursemates.
To identify the gap or training needs in an organisation, there are many

information resources you can use besides the four techniques discussed above.
DeSimone, Werner and Harris suggest that appropriate information resources be
used at every stage of the analysis while carrying out the training needs analysis
of an organisation. The following are some of their suggestions:

(a) Organisational Analysis

(i) Organisations Aims, Objectives and Planning Documents
These would explain the organisations directions and point out
where the emphasis of the training should be.
(ii) Human Resource Inventory
This can ascertain the vacancies that need to be filled as a result of
resignations, retirement etc. The vacancies will determine the
performance level that is required for the job.
(iii) Skills Inventory
This is an indicator of the number of employees in a particular
position, the skills required and the training that has been given and
needs to be given.
(iv) Organisational Index
Data such as grievance rate, turnover, absenteeism, productivity,
accidents and customers complaints can be seen as problems that
exist which can determine the need for training.
(v) Competency Index
Data such as the costs of resources used, quality of products, level of
equipment used, wastage rate, repair rate and late deliveries may
indicate actual performance.
(vi) Requests from Management
This technique is often used to identify the training needs of an
organisation.
(b) Task Analysis
(i) Job Analysis
This covers job description and specifications which can identify the
tasks and competencies needed to achieve the prescribed job
performance.
(ii) Interviews
This technique can be used to gather information on a particular job.
The employee concerned, the supervisor as well as management can
be interviewed to identify the shortcomings.
(iii) Observations
This method can be helpful in obtaining information about a
particular task that is more complete and accurate.
(iv) Work Records and Procedures
Work procedures are normally recorded. This can help in making the
work flow run smoothly and makes it easier for us to identify any
shortcomings or errors. It is a normal practice for an organisation
which practises a quality system to keep complete documents on
procedures and work instructions.

(c) Individual Analysis

(i) Performance Evaluation
This can provide information on shortcomings or performance gaps
that exist.
(ii) Performance Index
Data such as absenteeism rate, productivity, accidents, grievances and
customers complaints are examples of data that can indicate a
performance gap.
(iii) Observation of Work
This can provide information on an individuals behaviour and job
outcome to be used as a comparison with the standards set to identify
any shortcoming in his job performance.
(iv) Interviews
Interviews with employees can determine the training that is
considered necessary to improve their performance.
(v) Test
They can be used to gauge whether employees have the knowledge,
skills and capabilities required to complete their tasks efficiently and
effectively.
(vi) Critical Events
Employees actions are critical in determining the achievement level
of their job performance.
(vii) Workers Records
These can identify which employee should undergo training.
Mager and Pipe (1997) suggested a flow chart or algorithm (see Figure. 2.4) to
determine whether training is an appropriate solution to overcome the training
needs that have been identified. The flow chart suggests that needs analysis
should be carried out at every level starting from organisational analysis for a
more accurate outcome.

Figure 2.4: Diagnostic flow chart of needs analysis process

Source: Mager & Pipe (1997)
After we have carried out the needs analysis, we have to determine whether the
needs can be addressed by carrying out a training programme. It must be
emphasised here that not all gaps or shortcomings that have been identified by
needs analysis can be addressed by a training programme. There are problems or
gaps in an organisation that cannot be eliminated by training such as worker
burnout, dissatisfaction over salary or unsatisfactory work environment.

2.2 DESIGN PHASE

After training needs have been identified, the next step is to develop an
appropriate training programme to fulfil these needs. The design phase involves
several main activities. Figure 2.5 shows the activities that have to be given
special attention in the course of developing the programme.
Figure 2.5: Activities carried out at the training programme design phase
The first activity in this phase is defining the objectives of the training
programme. These objectives are statements of what is hoped to be achieved
from the training. It explains the skills or knowledge that will be acquired by the
programme participant. The written objectives should be measurable and able to
be evaluated to facilitate the evaluation that will be conducted after that. The
objectives should be written from the participants perspective so that he would
understand what he should do and the outcome that is expected from the
programme. According to Nadler (1985), good training objectives encompass
three important components, namely:
(a) Performance or achievement outcomes that should be shown by the
participant after he has undergone the training programme;
(b) Conditions or regulations that explain the constraints or needs so that the
learned behaviour can be shown; and
(c) Criteria that state the performance level that a participant is expected to
achieve and show before he is considered successful.

For example, the objectives of a programme for training officers are:
After undergoing this training programme, a training officer would be able to

prepare a detailed report for the management (performance) at the beginning of
every month (criteria) using the correct computer system (condition).
Lawson (1998), on the other hand, suggested that the training objectives can
be divided into three learning categories, namely affective (attitude),
behaviour (skills), and cognitive (knowledge).
In other words, training objectives can ensure whether the thrust of the
programme is to increase the participants knowledge regarding a particular
subject, equip him with the skills necessary for a task, or change his attitude. The
written objectives can cover one, two or all three categories for a particular
training programme.
After the programmes objectives have been defined, an appropriate training

programme can be selected. There are two choices. We can either develop the
programme ourselves or outsource it to a company that handles training. When
is it better to outsource? Refer to Figure 2.6 for the answer.
Figure 2.6: Justification for outsourcing to an outside company
After having made the decision as to whether to develop our own training or to
outsource it, the next step is to select a trainer or facilitator for the programme.
Similar to the choice we have with regard to the training programme, we also
have a choice as to whether to use an in-house trainer or to get one from outside.
When making a choice, we have to consider a few important aspects such as

expertise and cost. The trainer selected must be an expert in his field and have a
high level of knowledge as well as wide experience in his field.
To solve the problem of a shortage of good trainers, a training programme for new
trainers can be carried out. It is common to conduct training programmes for trainers
to equip in-house trainers with training skills. An alternative is to form a team made
up of a trainer and experts in particular fields so that they will complement one
another. The organisations trainer could be in charge of activities related to the
training process while the experts could handle the more technical aspects.
Now that both the programme and the trainer have been selected, it is time to
prepare the training and lesson plan. The lesson plan should be for every topic or
lesson unit based on the contents of the programme, which in turn, are based on
the objectives of the training programme. This is to ensure that whatever that has
been learnt by the participants will help them attain the expected performance
level at the end of the programme.
After the contents of the programme have been decided on, the next step is to
arrange them in a particular sequence. They may be arranged from the general
to the specific. This is a common approach as it gives a holistic picture of the
subject before dealing with the specific aspects in depth. Conversely, we can use
the order of the specific to the general. Regardless of the approach we take, we
have to make sure that every subtopic follows a certain sequence which will help
in understanding and the learning process. The training plan, meanwhile, covers
all the lesson plans for the whole programme. Figure 2.7 shows a typical lesson
plan.
Figure 2.7: Sample of a format of a lesson plan

The lesson plan is crucial to the trainer as it functions as the main guide to the
activities of the training programme. The training and lesson plans normally
consist of many sections including title and objectives, contents in sequential
order, materials and equipment, activities, methods and techniques, time
allocation for every activity and topic, and the type of evaluation used
(DeSimone et al., 2002). One of the aspects that we should be paying attention to
when preparing the training plan is the programme schedule. The date and time
when the programme is going to be held can affect the success of the programme.
We have to choose a suitable date and time to ensure that there will be a trainer
and participants attending the programme. The following are some questions
that are considered important in preparing a training plan:
(a) Are working days more suitable than holidays?
(b) Are office hours more suitable?
(c) Is the middle of the month better than the end or beginning of the month?
These are some of the questions that we should pay considerable attention to
when fixing the training schedule. Another important aspect that we should
consider in preparing the lesson and training plan is choosing suitable learning
methodology and activities. Generally, learning methodologies fall into two
categories (DeSimone, Werner and Harris, 2002):
(a) On-the-job training.
(b) Off-the-job training.
On-the-job training is usually held at the workplace and during office hours. Off-
the-job training, on the other hand, is usually held outside office hours, inside or
outside the premises of the organisation. We will discuss the training techniques for
each methodology under the implementation phase in the next topic.
After the lesson and training plans have been developed, all the training
materials and equipment to be used can be prepared and arranged. Teaching
materials such as facilitators notes make it easier for the facilitator to conduct the
programme, while learning materials such as participants notes will help in
enhancing their understanding. These notes are usually put in a file together with
stationery. Files are usually labelled with information on the programme. We
also have to make sure that equipment such as LCD and/or computer are ready
and functioning. This last point may look trivial but failure to supply them or get
them ready may affect the smooth running of the programme.
Finally, matters pertaining to logistics have to be taken care of. This includes
physical resources such as where the training is going to be held; financial
resources to bear the cost of running the programme; and human resources such

as facilitators who are qualified to conduct the programme. For this purpose, it is
recommended that a checklist be provided as well.
If an organisation has its own training hall, the training can be held there to save
costs. If not, the organisation has to rent a suitable place such as in a hotel or the
training centre of another organisation.
The seating position of the participants in the training hall has to suit the
objectives of the programme, methods and activities planned. It is crucial that the
chairs and desks/tables be arranged in a suitable way to facilitate the running of
the programme. If the methodology and activities of the programme require the
participants to do a lot of group discussions, then it is more appropriate if the
chairs and tables are arranged in such a position that it will facilitate the learning
process. However, if the objectives of the training are cognitive in nature and the
lecture technique is used, the most appropriate seating arrangement is that of a
classroom. Close attention must be paid to the seating arrangement to ensure that
participants have an uninterrupted view of the facilitator and the white screen.
Another critical aspect is finance. Adequate allocation of funds is vital to bear all
the expenditure costs so that the programme will be a guaranteed success.
Expenditure costs include facilitators allowance, training room rental, costs of
materials such as paper, files, stationery, diskettes and refreshments. If the
programme is held outstation, other expenditure such as for transport and
lodging for the facilitator, participants and secretariat have to be considered.
In this topic, we have discussed the first and second phases of the training
process. Before any programme can be developed, it is necessary to conduct a
needs analysis.
The purpose of this process is to ascertain whether training and development
are necessary for an organisation, where the training is to be held and who
needs it. It is also to identify the performance gaps or shortcomings at three
levels i.e. organisational, task and employee.
Organisational analysis entails an analysis of the internal and external
environments which can affect the organisation in its efforts to achieve its
targets and objectives.
Task analysis entails analysis of the job to identify the knowledge, skills,
attitude and capabilities required for the job.
Individual analysis can ascertain which employees need to be trained and the
type of training necessary.

Needs analysis is best done systematically at the three levels using methods
such as questionnaires, observations, interviews and documents which are
available, as well as relevant information resources.
The training programme design phase involves a number of main activities.
The training objectives are defined according to the training needs that have
been identified.
After the training objectives have been determined, the training programme
can be developed by the organisation itself or outsourced. Aspects such as
costs, time, expertise and the organisations experience have to be considered.
Similarly, in choosing a trainer, an organisation may have to engage a trainer
from outside if there is no expert in the required field.
The development of a training plan entails selecting and sequencing contents
of the programme that are appropriate with the objectives, knowledge and
skill levels of the participant, the trainers expertise and the type of contents.
The training methods and activities also have to be considered so as to match
the objectives. Similarly, programme materials and equipment have to be
prepared before the programme is carried out.
Serious attention has to be given to physical, financial and human resources
to ensure that the programme will run smoothly as planned.
Design phase Performance gap

Individual analysis Questionnaires
Interview Task analysis
Observation Training needs analysis
Organisational analysis

TRUE (T) or FALSE (F) Statements
1. Legal needs are training needs which are determined by popular request
from employees.
2. Needs analysis is mainly carried out to ascertain whether there is a need for
training in the organisation.
3. Needs analysis has to start with individual analysis.
4. Individual analysis is sometimes referred to as operational analysis.
5. An effective needs analysis can identify the present and future competency
gap.
6. The training programme can solve all the problems regarding gaps or
shortcomings that have been identified by training needs analysis.
7. Lesson plans cover all the training plans for the whole programme.
8. The training programmes objectives are written from the trainers

perspective to facilitate the learning process.
9. The day and time of the training have to be considered in the design phase.
Multiple-Choice Questions
1. The following are levels of needs analysis EXCEPT:

A. Organisational
B. Objectives
C. Task
D. Employee

2. Needs analysis at the task level can be done by referring to the

_______________.
A. vision and mission statement
B. job system
C. job specifications
D. organisational performance
3. The _________________ method is appropriate for training needs analysis to

gather more detailed information.
A. questionnaire
B. interview
C. observation
D. document
4. All the statements on training objectives stated below are true EXCEPT:
A. The training objectives explain skills or knowledge which is to be
learned by participants.
B The written training objectives can be measured and evaluated.
C The training objectives have to cover all the three categories, namely
affective, behaviour and cognitive.
D. The training objectives have to be written from the trainers
perspective.
Essay Questions
1. Explain the importance of the needs analysis phase.

2. Discuss briefly three levels of training needs analysis.
3. Elaborate on four methods and four information resources which can be
used in the needs analysis phase.
4. State the main activities involved in the training programme design phase.
5. Explain three main components in the training objectives.

Topic Implementation
3 and Evaluation
Phase
LEARNING OUTCOMES
1. Identify two categories of training;
2. Describe common training techniques;
3. Explain the purposes of evaluating a training programme;
4. Review training programme evaluation models;
5. Analyse the four stages of Kirkpatricks model; and
6. Design a training programme evaluation form for certain purposes.
INTRODUCTION
In the previous topic, we have discussed the first two phases involved in the
training process, namely, the needs analysis and design phases. In the needs
analysis phase, we have seen the three analysis stages to identify the training
needs of the organisation, the job as well as the individual. The various ways and
sources of information that can be used for every stage of the analysis have also
been discussed. The outcome of the needs analysis phase is used for defining the
training objectives, which is the first step in the design stage. A good training
objective will form the basis for carrying out activities in the training process that
follows. When a programme has been designed, it can then be implemented.
The implementation phase will be discussed in this third topic. In the

implementation phase, students will be exposed to various training methods and
techniques that can be used when carrying out training programmes. Discussions
will continue with the last phase of a training process which is the evaluation
phase. Then, students will be exposed to a few evaluation models which can be

TOPIC 3 IMPLEMENTATION AND EVALUATION PHASE 41
used to evaluate the effectiveness of the programme that has been developed and
implemented.
3.1 IMPLEMENTATION PHASE

In Topic 1, we looked at the training process that can be divided into four phases
as shown in Figure 3.1. Since every phase is inter-related, close attention should
be given to the first step right up to the last step in the process. Every phase must
be evaluated in order to identify any existing weaknesses or errors. Having
discussed the first and second phases in the previous topics, let us continue our
discussion with the third phase, which is implementation.
Figure 3.1: Learning process
The programme implementation stage involves the delivery of the programme

that has been designed to the participants. The programme will usually begin
with ice-breaking activities. Participants are given time to get to know each other
to facilitate the learning process. This activity is also carried out to lessen the
stress on the part of the participants, especially for those who are nominated by
their departments or organisations. Participants attend the training with a variety
of feelings and expectations. Some are not happy and some are not bothered
while others are not interested to learn. Therefore, this ice-breaking activity is one
of the early strategies to attract the interest of the participants and motivate them
to attend the programme with full concentration.

42 TOPIC 3 IMPLEMENTATION AND EVALUATION PHASE
The ice-breaking activities used must suit the situation, place and the level of the
participants in the organisation. Usually, for non-management employees,
activities which are fun and need a lot of movement are used, for example,
blowing balloons, getting signatures of other participants, treasure hunts, portrait
drawings and others. For the management level, the activities used are more
relevant to the programme and their jobs, like creativity testing, planning,
crossword puzzles and many more.
After the ice-breaking activities, the introduction to the programme is carried

out. This is necessary so that the participants will get the whole picture of what
they will be learning throughout the programme. Participants are usually asked
to list their expectations and goals. This would help trainers or facilitators to
improve the programme if necessary, or understand the participants
perspectives on that particular programme. We will have a look at a few training
methods and techniques that are usually used in training.
Before we move to the following topic, let us look back at the steps in the
programme implementation phase in Figure 3.2.
Figure 3.2: Steps in the programme implementation phase

3.1.1 Training Methods

Evaluation and the use of certain training methods and techniques are usually
influenced by the objectives of the programme. As discussed in the design phase,
training objectives can be divided into three learning categories i.e:
(a) Knowledge;
(b) Skills; and
(c) Attitude.
If the focus of the training objective is to improve the participants knowledge of

a certain matter, the technique which gives information like lectures is suitable. If
the focus of the training objective is to equip them with skills to carry out a
certain task or to change a participants work attitude, other suitable training
techniques can be used. Usually, the written objectives cover one or two, or all
the three categories for one training programme. So, a number of training
techniques must be used to implement the programme concerned.
There are a number of training methods and techniques which can be used.
However, to facilitate learning and understanding, these methods and techniques
have been grouped and divided according to certain categories. As mentioned in
the previous lesson, in general, training methods can be divided into two
categories (DeSimone, Werner and Harris, 2002), which are:
(a) On-the-job training which involves training carried out at the actual place
of work; and
(b) Off-the-job training which involves training outside the work premises,
whether at another area of the organisation or outside the organisation.
ACTIVITY 3.1
Are the objectives important in deciding a training method? Why?
Refer to Figure 3.3 to get a general idea of both techniques.

Figure 3.3: Training methods
Let us have a look at the two methods in detail:
(a) On-the-Job Training Method

The on-the-job training method is the most favoured by many
organisations. It facilitates transfer of training because the conditions and
environment of the current job during and after training remain the same.
The facilities used are also the same. Furthermore, participants will be
given the opportunity to put into practice immediately whatever they have
learnt. Supervisor and facilitator will help to improve the transfer of
learning.
This method can also reduce costs as it does not require any training
facilities except what is available at the place of work. However, the
weakness of this method is the difficulty of controlling interruptions in the
working environment such as noise, ringing of telephones or other
employees who go in and out or pass by the training venue.

On-the-job training can be carried out using a number of techniques like job
rotation, instructional job training, guidance and counselling as well as the
mentor technique.
(i) The job rotation technique is designed to improve the skills related to
a participants present job. It requires the participants to work in one
department under its supervisor for a certain period of time before
moving to the other departments in the organisation.
The main purpose of using this technique is to familiarise the

employee with the activities of all the departments in the organisation
and to understand the entire running of the organisation. Normally,
the employees who undergo this kind of training are those in the
lower level of management as preparation for climbing the
management hierarchy.
(ii) Job instruction training, on the other hand, is the ongoing learning
procedure used by the trainer to train participants to carry out the jobs
and responsibilities entrusted to them. This job instruction training
explains in detail the things that need to be studied and done by the
participant throughout the training period. It is usually divided into
four main steps, beginning with:
Preparing participants so that they understand and know what
the expectations of the organisation for them are.
Introducing the job carefully so that they will be able to carry out
the particular job.
An employee needs a lot of practice in order to become proficient.
Feedback regarding the employees performance must be given all
the time so that they will know the level of their performance.
This will give them an opportunity to overcome any weaknesses
that they might have.
Lastly, we should monitor the progress of the participants work
performance regularly until they are able to manage on their own.
(iii) Guidance and counselling is the training technique used in a face-to-

face situation with the participants involved. The main purpose of this
technique is to improve work performance to achieve the level that
has been set. Through effective guidance, problems related to the job
performance of the participants can be solved. On the other hand, the
management can try to overcome the problems of a more personal
nature which can influence the job performance of an employee,
through counselling.

(iv) The mentor technique involves pairing a senior employee with a

junior or new employee to provide the latter with advice and support
and help him learn about his duties until he becomes competent and
can be given heavier responsibilities. Usually, a new employee will
observe senior employees do their jobs. After that, the junior
employee will be given the chance to do the same job while being
supervised by a senior employee. At the same time, any weaknesses
or errors will be corrected, making it easier for the new employee to
understand what should be done and the level of performance
required.
(b) Off-the-Job Training Method

Off-the-job training is usually done in a training room or meeting room on
the organisations premises. Therefore, it is not surprising that this method
is often known as the classroom training method. For organisations that do
not have suitable rooms for training, locations outside the organisation like
seminar rooms in hotels or training rooms of other organisations may be
used.
The main weakness of this method is the training environment, which is

different from their actual workplace, can prevent transfer of training from
taking place. Furthermore, the costs that need to be borne by the
organisation will be more. However, the advantage of this method is that it
allows us to use a number of training techniques. We can also control the
surroundings making it more comfortable and free from disturbances.
Furthermore, it will give more participants the opportunity to take part in
the programme.
The off-the-job training method can be carried out by using various

techniques like lectures, discussions, audio-visual aids, learning experience
and computer-based training.
(i) The lecture technique involves the delivery of information on a certain

subject by experts in that particular field to a number of participants.
It is the most effective technique for presenting certain facts to a big
number of participants in a short time. The presentation will be more
interesting and effective when training materials like charts, slides,
notes and pictures are used. The weakness of this programme,
however, is its one-way communication flow which does not give
participants the opportunity to ask questions or to give their opinions.
(ii) The discussion technique involves a two-way communication flow

among the participants themselves, as well as with the trainer. It
encourages active involvement among participants. However, the
trainer must be someone who is smart and also an expert in handling

feedback and responses from the participants. The trainer should be

good at choosing the topics of discussion appropriately to attract the
interest of all the participants involved. Besides that, the trainer must
be able to control the discussions.
(iii) The audio-visual technique involves the use of training materials

during the training. It can be divided into three categories, namely:
Static media which covers immovable training materials such as
printed materials and slides;
Dynamic media which uses movable items like films, tape
recorders, video tapes, diskettes as well as compact discs; and
Telecommunication that uses networks and satellites which enable
the training programme to be carried out at a number of places
simultaneously through telephone, video and Internet conferences.
(iv) Besides the audio-visual aid technique, the learning experience

technique, on the other hand, requires the participants to be actively
involved while attending the training. For that purpose, a number of
learning activities like case studies, games, simulation, role play and
behaviour models can be used. Case studies, games and simulation
can help participants to acquire analytical skills, solve problems and
make decisions. Meanwhile, role play can help participants know
themselves better and learn how to overcome their weaknesses.
Behavioural models, on the other hand, can train the participants to be
observant and put into practice the behaviour that they prefer at the
workplace.
(v) Computer-based training involves the use of computers as the main

tool for teaching and learning. The advantage of this method is that it
makes it easier for the participants to interact directly with the
computer, as if it is the programmes trainer or facilitator. Questions
that have been programmed will be answered by the participants and
the answers will be given by the computer immediately. Therefore,
the learning outcome of the participants can be monitored
continuously by the computer. Participants, too, can follow the
training programmes at a suitable pace according to their own ability
and at any time they want. However, it cannot fully replace the
trainer as there is a possibility that some questions asked by the
participants may not programmed into the computer and thus need
the trainers to answer.

Noe (2002) divides the training methods into three categories based on the
teaching activities i.e. the presentation methods, the hands-on methods and
the group building methods.
(i) The presentation methods refer to the teaching techniques which can
be used to convey information to the participants without any
involvement from them, like in the lecture and audio-visual methods.
(ii) Meanwhile the hands-on methods refer to the training techniques that
need the active involvement of the participants like in the simulation
technique, case studies, role play, behaviour models and business
games methods.
(iii) The group building methods, on the other hand, involve the training
techniques which can improve group or team work effectiveness like
team building and motivational building.
According to Junaidah Hashim (2001), the training method is viewed

as a learning format that can be divided into five categories, namely:
Individual learning, where the techniques used involve only one
participant as in apprenticeship, guidance, counselling, job
instruction, self-instruction and computer-based training;
Learning in a small group where training techniques like classes,
workshops, research projects and educational tours are used;
Training in a big group which involves training techniques like
public lectures, conferences and exhibitions;
Distance learning which uses the distance format like audio
conferencing, video conferencing, computer-based training as well
as training through the broadcasting system; and
Community learning which involves the participation of the local
community using resource centres and action groups techniques.
Junaidah (2001) explains that the choice of training methods and techniques
depends on a number of factors including the outcome and contents of the
programme, background and experience of the participants, costs and the
expertise of the trainer or facilitator.
Meanwhile, DeSimone, Werner and Harris (2002) stress the importance of

the programmes objectives when choosing a suitable training method and
technique. For example, if the objective of the training is to provide
knowledge of a new product which will be introduced to the customers, the
lecture method is suitable. If the objective of the training is not just to

convey information, but also to improve communication skills and

customer service, a combination of a number of methods and techniques is
more suitable. The lecture method is very suitable for conveying
information, whereas the simulation method, behaviour model and role
play is seen to be more suitable for training.
ACTIVITY 3.2
Try to remember any training programme that you have attended

and list down the training techniques that were used by the trainer.
Compare your list with your classmates and discuss it in the myLMS
forum.
3.2 EVALUATION PHASE

The evaluation phase needs to be carried out to ensure the formation and
implementation of the programme fits the main objective, which is to fulfil the
training needs identified in the earlier part of the training process. So, careful
and systematic planning must be done. DeSimone, Werner and Harris (2002)
propose that a few important steps be taken while carrying out the evaluation of
training, namely:
(a) Define the evaluation criteria based on the objective and focus of the
evaluation;
(b) Decide the design of the training;
(c) Carry out evaluation; and
(d) Analyse the information.
The evaluation method that can be used can be divided into two, formal and
informal. The formal method involves questionnaires as well as written, oral and
practical assessments and assignments, whereas the informal method is through
discussions, interviews, observation and feedback. The most common method,
however, is the use of questionnaires.
3.2.1 The Importance of Training Evaluation

The training evaluation programme is carried out to see whether the investment
made brings returns to the organisation or otherwise. Besides that, it is also
carried out to improve the steps taken in the training process and to ensure that
the training programme can be carried out well and smoothly in future.

Next, through this evaluation, the organisation can know whether the
participants have gained any knowledge, skills and abilities as stated in the
training objectives or otherwise.
Among the other objectives of carrying out a training evaluation programme are to:
(a) Ascertain whether the training objectives have been achieved or not;
(b) Identify the strengths and weaknesses of the training programme;
(c) Evaluate whether the design and management of the programme has
helped the learning and transfer of training or otherwise;
(d) Identify which participants have benefited the most or the least from the
training programme;
(e) Identify suitable groups of employees to undergo the programme in future;
(f) Gather information to help promotional and marketing activities of the
programme;
(g) Determine the monetary benefits and costs gained; and
(h) Form a database to help the management make a decision concerning the
training.
3.2.2 A Training Evaluation Model

There are a number of opinions and evaluation models that can be used. Table
3.1 shows 11 examples of evaluation models that are commonly used
(DeSimone et al., 2002 and Ibrahim Mamat, 1996). The choice of the evaluation
model depends on a number of factors like time, resources, the importance as
well as the objectives of the programme. Each programme will determine
whether the evaluation can be done before, during/or after a training
programme is carried out.

Table 3.1: Training Programme Evaluation Models
Model Criteria Focus/Emphasis

Kirkpatrick (1967) Reaction, behaviour, learning Satisfaction and performance
and outcome. of participants and
organisation.
CIRO (Warr et al., Context, input, responses and Achievement of training
1970) output. objectives.
Hamblins Reaction, learning job behaviour, Satisfaction and achievement
Approach (1974) effects and values. of participants and
organisation.
Approach System Reaction, skills, usage and Benefits gained.
Bell (Jackson and values.
Kulp, 1979)
CIPP (Galvin, 1983) Context, input, process and Improvement.
product.
Brinkerhoff (1987) Defining objectives, design of Achievement of systematic
programme implementation, objectives.
outcomes and values or effects.
Approach System Input, process, output and Training process and

(Bushnell, 1990) outcome. achievement.
Kreiger, Ford and Cognitive outcome, skills and Learning outcomes.
Salas (1993) affective.
Kaufman and Keller Reaction, gains, output, Satisfaction and
(1994) applications and outcomes. organisational and
communitys outcome.
Holton (1996) Influences, motivational Effects of internal and external
elements, surroundings, factors.
outcomes and ability elements.
Phillips (1996) Reaction and action plans, Action plans and outcomes.
learning, application of learning,
outcomes and investment
returns.
Source: DeSimone et al. (2002); Ibrahim Mamat (1996)
The evaluation model commonly used and one which has the most influence is
the Kirkpatricks evaluation model. It is one of the earlier models proposed to
evaluate the effectiveness of a training programme. This model proposes four

stages where evaluation of a training programme can be done. They are the
reaction, learning, behaviour and outcomes stages.
Let us have a look at the points that are evaluated at every stage and how it can
be carried out.
(a) Reaction
The reaction stage is evaluated in order to get the participants feedback
and views of the programme. Among the information evaluated is their
perception on the contents of the programme, the performance of the
trainer, surroundings and also how the programme is managed. This stage
is easy to evaluate and is very often used. However, it can only measure the
participants satisfaction towards the particular programme. Anyhow,
many believe that if a participant likes the programme, he will give more
attention during training.
The instruments commonly used at this stage are questionnaires. Table 3.2
shows an example of a questionnaire and the questions that can be included
in the assessment forms at this stage.
Table 3.2: Sample Questions for Measuring Participants Response
Circle the choice which fits you according to the scale below:
1 = strongly agree
2 = agree
3 = disagree
4 = strongly disagree
1 This programme is beneficial to me. 1 2 3 4
2 The reading materials given are very useful. 1 2 3 4
3 The contents of this course are very interesting. 1 2 3 4
4 The time of the training is very suitable. 1 2 3 4
5 The choice of place is very suitable. 1 2 3 4
6 The trainer is very well-prepared for this course. 1 2 3 4
7 The trainer was able to make me interested to 1 2 3 4
follow the programme till the end.
8 The trainer was able to deliver the contents very 1 2 3 4
well.
9 I am very satisfied with this course. 1 2 3 4

(b) Learning
This stage is evaluated to measure how much the participants have learned
from the training programme. It is easier to measure the training objectives
at this stage because we can evaluate whether the level of the participants
knowledge, skills, attitude and abilities have improved after attending the
programme. The method commonly used is through written and practical
assessments. Written assessments are more appropriately used to measure
the level of knowledge, whereas practical assessments are more appropriate
for measuring the participants skills. Figure 3.4 shows a few sample
questions for measuring the participants level of learning.
Figure 3.4: Sample questions for measuring learning
(c) Behaviour
This stage will measure the transfer of training taking place, i.e. looks at
whether the participants can apply the things that they have learnt at their
own workplace or otherwise. Therefore, it should best be carried out a few
weeks after the training programme is over. This is to give the participants
enough time to try and use the materials that they have learnt at their
workplace.
Evaluation can be done through observations, interviews as well as job

records. Observation can be done by a third party such as supervisors and
co-workers who can evaluate the participants change in behaviour.
Interviews can also be carried out by a third party including subordinates
or employees from other departments. However, there are times when it is
difficult to get the cooperation of a third party. Therefore, most of the
evaluation at this stage is focussed on the particular employee only.
(d) Outcome
The evaluation at this stage tries to measure the effectiveness of the
organisation as a result of the training carried out. This evaluation is
important for the management to ensure that the returns from the
investment are made. The information for this evaluation can be obtained
from the records, reports and also the index of the organisation. However,
this kind of evaluation is quite difficult to carry out as we are not able to

ascertain whether the outcome on the part of the organisation is a result of

the training or from other factors.
For example, an organisation wants to market a new product in the near
future. Before that, all the employees involved, such as salespersons,
marketing and customer service staff have to be given sufficient training. A
month after the new product was launched, an analysis of the amount sold
and customers complaints is done. However, the success or the failure of
the product is not only a result of the training given. Maybe the product has
characteristics that fulfils the customers tastes and needs, or it could be due
to its strategic marketing. Therefore, it is rather difficult for us to say that
the training is the cause of the success or of the failure of the product.
From the above discussion, we can see that the Kirkpatricks evaluation
model can only be implemented after training has been carried out. The
reaction and learning stages are implemented as soon as the programme
ends in class, whereas the behaviour and outcome stages are carried out
when the participants return to their jobs.
Kirkpatrick also stresses that evaluation need not be done at every stage. It
can be done at one of the stages or at the combination of any stages,
depending on the points that we wish to measure.
We have completed discussing the third and fourth phases of the training
process. The third phase, which is the implementation phase, involves the
actual delivery of the training programme to the participants.
The first issue touched is the choice of a suitable training method. Training
methods can be divided into two, i.e. on-the-job and off-the-job training.
After a programme has been designed, all the management activities before
training are done. This includes sending confirmation letters to the
participants and their supervisors to inform them about the programme as
well matters concerning logistics.
During and also after the training is carried out, the evaluation process is
implemented to monitor the progress and effectiveness of the programme.
Training evaluation is carried out to ensure that the objective of the training is
achieved, to improve the steps taken in the training process, to make sure the
training is well managed, to measure whether the participants have learnt
anything and to make sure that they are satisfied with the particular
programme.

In order to implement the evaluation process, the organisation can choose

any of the models which it feels is suitable. However, the choice of the
evaluation model depends on a number of factors like time, resources, its
importance and also the objectives of the programme.
Every model will determine whether the evaluation can be done before
and/or after the programme. The most commonly used model is the
Kirkpatrick model which proposes four stages where evaluation of training
can be done.
Behaviour Learning experience

Computer-based training Mentoring
Evaluation model Off-the-job training
Implementation phase On-the-job training
Job rotation Outcomes
Learning Reaction

1. The ice-breaking activity is one of the initial strategies to attract the interest
of the participants to learn.
2. The use of certain methods and techniques is usually decided by the
management.
3. Counselling involves a senior employee who will give advice to a junior
employee.
4. Job instruction training is a technique for off-the-job training.
5. The presentation method refers to the teaching technique which can be
used for conveying information to the participants.

1. Training methods can be divided into _____________

A. individual learning, small group, big group, distance and community
learning.
B. job rotation, job instruction training, counselling and mentor
techniques.
C. lectures, discussions, audio-visual, learning experience and computer-
based training.
D. lectures, simulation, behaviour model and role play.
2. The ______________ technique involves the use of training materials during

presentation.
A. mentor
B. lecture
C. audio-visual
D. computer-based training
3. The focus of the system approach proposed by Bushnell (1990) is _________

A. learning outcomes.
B. satisfaction and achievement of participants and organisation.
C. achieving training objectives.
D. training process and achievement.
4. All the training techniques below need active participation from the
participants EXCEPT:
A. Case studies
B. Lectures
C. Simulation
D. Behaviour model

Essay Questions
1. Explain four training techniques which can be used for on-the-job training.
2. Discuss three training methods according to Noe (2002).
3. Explain briefly four stages of training evaluation in the Kirkpatricks

Evaluation Model.
4. Explain the differences between the formal and informal training

evaluation methods.

Topic Training
Management
4
LEARNING OUTCOMES
1. Explain the different roles of a trainer in an organisation;
2. Identify the five categories of a trainers skills;
3. Explain the activities involved before, during and after the training;
4. Review the key issues and trends that would influence training and
development programmes; and
5. Discuss the best practices of training management.
INTRODUCTION
We have already discussed the training process and the four main phases,
namely, the needs analysis, design, implementation and evaluation phases in the
previous topic. It is not enough to only know and understand the training
process and its significance. We have to be able to manage it well and effectively
ensure that it can achieve the desired objectives or needs.
Thus, this topic will discuss the activities that need to be carried out to ensure
that the training programme takes place as planned. We will begin by discussing
the different roles of a trainer in an organisation and the skills required. We will
then focus on the activities that need to be carried out before, during and after
the training programme. We will end the topic with a discussion on some
common issues and trends in training.

TOPIC 4 TRAINING MANAGEMENT 59
4.1 ROLES OF A TRAINER

A trainers role in an organisation is not limited to managing a training
programme. He needs to take on a variety of roles to ensure that the training and
development activities of the organisation go on as planned. After implementing
the training programme, he also has to evaluate training needs, design the
programme, evaluate its effectiveness, organise the logistics and manage the
programme.
To create an effective programme, a trainer would usually work in a team, with

each team member focusing on his role. Nevertheless, there have been cases
where the trainer had to manage the programme by himself from start to finish.
A small organisation usually has only one officer in charge of training. The
success of a training programme depends a lot on the trainers efficiency and
expertise in handling the programme and its participants.
According to DeSimone, Werner and Harris (2002) and Analoui (1993), a trainer
can play many different roles as shown in Figure 4.1.
Figure 4.1: Roles of a trainer in an organisation
The following are the roles of a trainer:

(a) Needs Analyst is responsible for the activities or the training needs analysis
phase.
(b) Programme Designer is responsible for the programme design phase,
including preparing the materials and the equipment required.

60 TOPIC 4 TRAINING MANAGEMENT
(c) Trainer or Facilitator is responsible for the implementation or delivery of

the programme to the participants.
(d) Programme Assessor is responsible for the evaluation phase and activities.
In addition, he has to prepare a report on the effectiveness of the
programme for the management.
(e) Programmes Marketing Officer is responsible for promoting the
programme. It is normal practice for him to be in contact with the manager
and heads of departments or units to inform them of the training
programme. He also has to recruit participants for the programme.
(f) Training Manager or Officer is responsible for all the activities in the
training unit or department. All staff have to report on the development
and problems to him so that he can solve them immediately. Usually, the
manager will be involved in meetings with the management and report on
the training activities to the latter. He will also apply for funds to run the
programme.
If we review the different roles, we could connect each role with the steps
involved in the training process. Nevertheless, in an organisation, a trainer puts
on many hats, according to the size of the training unit or department in the
organisation. A large organisation usually has a few staff members in charge of
training, with one staff member having probably one or two roles only. In a small
organisation, however, one training staff will take on different roles to make sure
that everything will run smoothly as planned.
In order to take on different roles efficiently and effectively, a trainer has to be

equipped with a variety of skills. He requires five categories of skills, which are:
(a) Training Skills

This involves knowledge, ability and capability to carry out all the steps in
the training process. For example, a trainer has to know the theories and
principles of adult learning so that he can develop a programme that
matches the level of the participants and do training needs analysis to
identify the training gap. See Figure 4.2 to have an idea of how a trainer or
facilitator who wishes to hide his weaknesses handles training.

Figure 4.2: An incompetent trainer or facilitator
(b) Communication Skills

Both verbal and non-verbal communication skills are essential for a trainer.
A trainer needs to ask questions, listen and be sensitive towards the needs
of participants in order to motivate them to continue learning. Injecting
humour and telling anecdotes will liven up the atmosphere. Writing skills
are also important because the trainer has to prepare notes and training
materials that are appropriate and relevant.
(c) Interpersonal Skills

The skills to understand the needs and requirements of an organisation and
individuals are essential to ensure that all the needs are identified and
addressed. The ability to reach out to problematic employees, for example,
can help in relieving their problems.
(d) Computer Skills

Todays trainer needs to have computer skills. This is because most of the
materials can easily be prepared using the computer. Materials such as
participants notes, slides and transparencies look more professional when
they are produced by computers. The information gathered during the
evaluation phase can be easily analysed using the computer.
(e) General Skills

To ensure the accuracy of the needs analysis, a broad knowledge, other
skills and abilities such as knowledge about the organisation and industry
involved as well as the market, are essential.
All the five skills are summed up in Figure 4.3.

Figure 4.3: Five categories of a trainers skills
ACTIVITY 4.1
What are the roles of a trainer in your organisation? What are the
skills required to be a good trainer? Discuss your answers in the
myVLE forum.
ACTIVITY 4.2
Think of the steps involved in the training process and list other
roles and the skills required from a trainer.
4.2 TRAINING MANAGEMENT

Normally, after a programme has been developed, it has to be promoted to make
people aware of it and in doing so, recruit participants. Announcements or notices
on the aims, date, venue, conditions for participation and deadline for application
have to be made. The usual practice is to send memos or letters to all managers
and supervisors, informing them of the programme and asking them to nominate
employees under their supervision. Some organisations put up memos on the
bulletin board while some send out training calendars periodically for every
employees reference. Application forms from the supervisor or employees will
then be collected. The selected participants will be notified through a letter of
confirmation or memo and a copy will be given to their supervisor.

ACTIVITY 4.3
Discuss with your coursemates in the myVLE forum the activities
involved in running a training programme.
Table 4.1 shows some activities that have to be considered in the implementation
phase.
Table 4.1: Management Activities Before, During and After Training
Before During After
Confirmation Confidence Monitoring
Collecting Friendly Programme evaluation
Checking Communication Action plan
Trainer Punctual Assignments
Alternative trainer Attendance Report
Announcement of participation Time factor Guidance
Confirmation letter Environment Participants feedback
Prepare materials Support Transfer of training
Handle logistics Administration Trainers feedback
Suitably qualified trainer?
ACTIVITY 4.4
In addition to the activities listed above, think of other activities that
have to be implemented before, during and after the programme
has started.
To ensure that the training programme proceeds smoothly, the teaching and
learning materials have to be prepared and the equipment checked to ensure that
it works. A good trainer would normally join in the preparation to prevent any

unfavourable event from happening. Refer to Table 4.2 for a sample of a trainers
checklist.
Table 4.2: Sample of a Trainers Checklist
Teaching Learning Activities

Materials Materials Before/During/After
Slide diskettes Participants notes Announcements
Transparencies Participants files Confirmation letters
A4 papers A4 papers Attendance form
Stationery Pens and pencils
Trainers manual
Training plan
Mah-jong paper
Evaluation forms
Computer
LCD
OHP
The trainer has to arrive early at the training venue on the day concerned and has
to make sure that everything is ready. He can have a chat with the participants
before starting the programme. Participants have to register by signing
attendance forms. This is essential to make sure that all participants are present
and take part in the programme from start to finish. Remember that the
programme has to start on time.
If you are the trainer, try to have a good start for the training programme and
speak with confidence. You should create a positive learning atmosphere and
motivate participants to be actively involved throughout the programme. Be
prepared to use different techniques to suit the conditions or environment at that
time. Remind participants to be punctual so that the programme can proceed
according to schedule.
Figure 4.4 shows a list of things that you should do at the start of the programme.
Starting off with a warm welcome will give participants a sense of comfort being
in the room. There should be an ice-breaking session where participants can get
to know one another. This will also enable the trainer to identify the participants
background, work experience and level of knowledge of the programme
contents.

Figure 4.4: Things you should do at the start of the programme
In addition, the trainer has to explain the learning aims, objectives and activities
of the training programme so that the participants understand what is expected
of them. The regulations which are drawn up together have to be explained too.
Participants also have to be informed of matters related to logistics,
administration and support services available. Name tags have to be worn at all
times for easy identification. Finally, the role of the trainer has to be explained.
Before you end the programme, make sure you have re-evaluated its contents
and the training plan, assessed the learning and motivated participants to
continue learning and apply whatever they have learned at the workplace. Ask
participants to review what they have learned from the programme and share it
with other participants. Make sure participants complete the programme
evaluation forms.
After the programme has ended, the completed evaluation forms have to be
analysed. The feedback received has to be given due attention and all training
records of participants have to be updated. The final action is to prepare a report
on the training programme and implement the monitoring process.
ACTIVITY 4.5
Involve yourself as a trainer in a training programme organised by

your company. Discuss with your friends about the activities you
have done. Are you practising what you have learned in class?

4.3 ISSUES AND TRENDS IN TRAINING

There are many issues and trends that influence training in an organisation. As
we briefly discussed in the first lesson, changes that occur outside and inside an
organisation can influence training and development. Many external changes
such as rapid technological advancements, globalisation, government policies,
economic situations of a country and the legal system or needs may force the
organisation to make certain changes. These changes may be reflected by the
work policy or system which may force the organisation to conduct training that
is relevant.
Let us now see what happened when the country was gripped with the economic
crisis of late 1997. The government and Bank Negara Malaysia agreed to
implement the merging process in the financial industry in order to stabilise the
countrys financial situation. All the financial institutions were requested to
merge to form eight main banks. As a result of the merger, workers from two or
three banks merged. One significant effect of this move was the computer system
used to handle customers transactions. Workers from other banks who joined
the main banks needed special training on the use of the system to prevent
problems later. All workers also needed a reorientation training to introduce
them to the new management as well as the banks new mission and vision. This
was important in order to get unified support from all the workers to achieve the
banks objectives.
Internal changes, on the other hand, may result in customers demands that are
increasingly challenging, restructuring, changes in policies and regulations, new
management, implementation of quality management system, use of new
equipment, etc. Customers demands that are increasingly more challenging are
among the changes that may require the banks services and work system to be
faster and more efficient. An organisation may therefore have to re-evaluate and
adjust its current services and work system to cater to customers demands.
When there are changes in the work system and structure, the employees
involved have to be retrained so that they understand what their duties are and
can carry them out according to the new work systems and procedures.
ACTIVITY 4.6
What are the issues in a training programme that are constantly raised
in an organisation? What are the trends that usually influence a
training programme? Discuss the questions in the myVLE forum.

ACTIVITY 4.7
Think of how other changes can influence training in your
organisation. Discuss with your friends.
How can globalisation influence training?
We have completed discussion on the four phases of the training process.

We need to have certain skills to implement all the necessary steps of the
training process.
A trainer in an organisation does not only conduct training programmes. He
has to take on many roles to ensure that the activities and development of the
organisation go on as planned.
Among the roles he may play are needs analyst, programme designer, trainer
or facilitator, assessor, marketing officer and programme manager or officer.
The success of a training programme depends a lot on the skills and expertise
of a trainer in handling not only the programme but also the participants.
The trainer not only has to conduct the training programme but also evaluate
training needs, design programmes, evaluate the effectiveness of a
programme, handle logistics and manage the programme.
An organisation needs employees who have the qualifications, knowledge,
skills and certain abilities to help it achieve its objectives and give it a
competitive edge. Training and development play an important role in
helping the organisation increase its competitiveness.
Facilitator Programme designer

Marketing officer Trainers skills
Needs analyst Training management
Programme assessor

Essay Questions
1. State the roles of a training manager.
2. Discuss the activities that must be done at the start of a training

programme.
3. Elaborate on the five categories of skills that are required in order to play
the different roles of a trainer.
4. Explain what needs to be done after the training programme is over.
5. Explain how changes in customers demands may influence the training in

an organisation.
1. The _________ is responsible for preparing materials and getting the

equipment ready.
A. assessor
B. needs analyst
C. programme designer
D. manager
2. All the following statements are true, EXCEPT:

A. A large organisation has a few staff members who are responsible for
the training programme.
B In a small organisation, one training staff member will take on many
roles to make sure that everything will go on smoothly as planned.
C. The programme assessor has to prepare a report on the effectiveness
of the programme.
D. The marketing officer is responsible for applying funds for the
programme.

3. _________ skills are needed to produce training materials that are

professional and of good quality.
A Training
B. Computer
C Interpersonal
D General
4. Pre-training management activities include all of the following EXCEPT:

A. Monitoring
B. Announcements
C. Confirmation
D. Checking

Topic Introduction
to Performance
5 Appraisal
LEARNING OUTCOMES
1. Differentiate between performance management and performance
appraisal;
2. Explain the purposes and implications of performance appraisal;
3. Discuss the causes of the failure of a performance appraisal; and
4. Describe the criteria of a successful performance appraisal system at
the workplace.
INTRODUCTION
Managers usually carry out performance appraisal on their subordinates.
However, many managers might not be able to answer if they are asked whether
they are satisfied with the existing evaluation system. This is because they do not
know whether the way they are handling the performance appraisal is right.
The task of evaluating a worker is not easy. The performance appraisal process is
not only important to the organisation but also to the employees. An employee
would like to know his situation in the eyes of the employer particularly in
relation to his job. At the same time, the organisation must know whether an
employee has achieved the objectives it set.
Since performance appraisal is one of the important functions of human resource

development, students have to understand the concept of performance appraisal
and how it differs from performance management. Besides that, students will be
exposed to the objectives, use and implications of a performance appraisal. The
discussion will end with plans for having a performance appraisal by identifying
the causes of the failure of a performance appraisal as well as the criteria for a
successful performance appraisal.

TOPIC 5 INTRODUCTION TO PERFORMANCE APPRAISAL 71
5.1 UNDERSTANDING PERFORMANCE

APPRAISAL AND MANAGEMENT
According to Kossek and Block (2000), a performance appraisal is defined as:
... a process of developing the standard criteria for performance in writing,

and conveying to the employees from time to time the level of their job
performance based on the standards set.
Performance appraisal can be implemented formally and informally. For some

organisations, especially small ones, informal performance appraisal is more
popular, as feedback and guidance can be given every day. Although the size of
the organisation is the key factor in determining whether to implement the
evaluation formally or informally, other factors should also be considered. This
includes the objectives and purpose of having a performance appraisal.
If the organisation has limited opportunities for career advancement, or if an

organisation operates in an environment where it is difficult to predict its future,
an informal performance appraisal is better. This is because the outcome of a
formal performance appraisal probably cannot be used and the expectations of
the employees cannot be fulfilled. Table 5.1 sums up the advantages and
disadvantages of a formal and informal performance appraisal.
Kossek and Block (2000) look at the management of a performance appraisal as

follows:
Performance appraisal is the whole process stated in the above definition of a

performance appraisal which will be headed by the manager. It ensures that
an employee is able to implement his job in a more effective manner. This
includes spelling out the responsibilities, defining the expectations, preparing
the resources needed, giving regular feedback, and using the information
obtained for making decisions, as well as for solving the problems of the
employees and the organisation accurately. It also gives the particular
employee regular feedback of his work performance (Kossek and Block, 2000).
ACTIVITY 5.1
Based on your understanding, try to give the meaning of performance
appraisal. Compare your answer with your classmates in the myVLE
forum.

72 TOPIC 5 INTRODUCTION TO PERFORMANCE APPRAISAL
ACTIVITY 5.2
Why do you think an organisation implements performance appraisal?

If an organisation does not have performance appraisal, what are the
implications it has to face?
Table 5.1 shows the advantages and disadvantages of formal and informal
Table 5.1: Advantages and Disadvantages of Formal and Informal
Performance Appraisal
Informal Performance
Formal Performance Appraisal
Appraisal
Gives the picture that the More friendly because the

evaluation carried out is fair and evaluation is given
objective. personally.
Able to prepare comprehensive Immediately evaluation
and accurate information of an and feedback given
employees performance. simultaneously.
Less biased if developed and Flexible does not have to
implemented well. follow guidelines and
Commonly-used method and is procedures.
holistic in character. In a small organisation, it is
Advantages Able to prepare systematic and easy to maintain
comprehensive comments. communication with all
Able to help managers who are employees.
less competent and
inexperienced.
Prepares better information.
Suitable for big and complex
organisations.
One way of controlling the
activities of the organisation.
Too taxing, for example Too subjective and can lead

evaluation forms that are difficult to bias
to understand and too long. Depends too much on one
Too formal and bureaucratic. assessor.
Disadvantages Can be misused. No checks to ensure its
Difficult to modify evaluation objectiveness and truthfulness.
forms that are found ineffective Assessors may forget
important matters because
records are not kept.

Usually, an effective performance management will measure an employees

performance. Effective performance management:
(a) Defines a job by relating work performance to the employers objectives,

values and clients expectations
The performance management process begins by ensuring that every
employees activity is parallel and systematic in realising the objectives of
the organisation. An effective performance management needs a systematic
and well organised structure so that all the efforts of the employees and the
team are geared towards realising the objectives. It will be a waste if an
employee does his work well but it does not do the organisation any good.
In this context, using the job and the job description analysis can help cut
down the activities that need to be done by the employees.
(b) Defines expectations by visualising a good work performance

Maybe the task of defining expectations can be considered as a key
component in the performance management cycle. When asked why they
do not do their jobs as expected, many employees have this answer, We do
not know what we are supposed to do. To define expectations, these steps
should be followed:
(i) Review the objectives of the organisation and the expectations on the
employees performance;
(ii) Identify the objectives, responsibilities and projects;
(iii) Explain measurement and standards of performance;
(iv) Identify performance factors; and
(v) Develop monitoring plans.
(c) Reviews the evaluation regularly

Besides defining the expectations, the performance management cycle also
has other components like scheduling the review of the evaluation
regularly, discussions with the employees and rating the employees
performance when needed. Planning and defining the organisations
objectives is done in a fixed cycle, usually once a year. Since the objectives
have a fixed target, it is important to review the employees performance to
make sure they achieve the goal that has been set. So it is not surprising if a
formal evaluation performance is done every six months or annually.

(d) Uses the information from the performance management in decision

making, identifying and solving problems and developing the employees
and organisation
In general, employers use the outcome of the performance appraisal for
purposes related to decision-making for its human resource. Among them
are increments based on merit, promotions and termination. Besides that,
the outcome of the performance appraisal is also used to identify the
existing problems related to the employees as well as to the organisation.
Usually, training, guidance and counselling will be given to improve the
employees skills and motivational rate. Then the outcome of the evaluation
is used in the self-development of the employee. Employees who will be
holding high positions, will be given the training and skills needed.
The performance appraisal process is summed up in Figure 5.1.
Figure 5.1: A performance management cycle

Source: Kossek and Block (2000)

Another difference that can be seen between performance management and

performance appraisal is that performance management is geared more towards
a continuous process where questions which are future-oriented are asked e.g.
What can be done to help employees carry out their jobs more effectively? On
the other hand, performance appraisal follows a set schedule and focuses on
questions like Are the employees carrying out their jobs well? In order to carry
out an effective performance appraisal process, the employers should be able to
answer these questions: What do we want to achieve from this process? and
What is our purpose of having a performance appraisal? These questions will
be answered and discussed in the following sections.
5.2 AIMS, USE AND IMPLICATIONS OF A

PERFORMANCE APPRAISAL
The main application of a performance appraisal is as a channel to get an idea of
an employees work performance and prepare the feedback for improvement
purposes. But if we look at most writings, the outcome of a performance
appraisal is mostly used for administrative and development purposes.
Generally, in administrative management, the outcome of a performance

management is mostly used in salary administration, promotions, retention-
termination and employee placement. Whereas in employee development
management, the outcome of a performance appraisal helps the supervisor
identify the weaknesses of the employees and the training needs which are
suitable for them.
The next discussion will give examples of the outcomes of performance

appraisals that are used either for administrative or development purposes.
Kossek and Block (2000) find that many organisations make use of the
performance appraisal outcome for the following purposes:
(a) Improve Employees Performance

The main purpose of using the performance appraisal process for many
employers is to help the employees to carry out their jobs more effectively
and to achieve the objectives of the organisation. The traditional
performance appraisal method has failed to realise this objective since it
focuses more on past performances and not on current or future
performances. The performance appraisal process which includes future-
oriented elements is able to give a clearer picture of what is expected of the
employees and how the employer can give support to the efforts shown by
the employees.

(b) Develop Opportunities for Promotions

The traditional performance appraisal is unable to identify the employees
who have the potential for promotions. Looking at past performances is not
a guarantee that the employee is able to carry out his new responsibilities
with a different set of skills. To hold the post of a supervisor, for example,
an employee needs new skills like teamwork, communication skills, conflict
resolution, planning and decision-making. The performance appraisal
process can help in the development of an individual who will be given
new tasks or a new post by enhancing the skills required through feedback,
training and support.
(c) Fulfil Needs of Employees Who Need Feedback

Many will agree if we say that the majority of employees have the desire to
know about their job performances. Usually, employees prefer to receive
positive feedback of their achievement and also suggestions for improving
their job performance. It cannot be denied that employees as well as their
supervisors do not like having face-to-face sessions when it comes to
reviewing the employees performance. No matter what, employees still
prefer feedback that is given from time to time as compared to annually.
(d) Ensure Employees Work towards Achieving the Objectives of the

Organisation
The performance management programme can help link the organisations
strategic planning process with the individuals efforts. The aims and
objectives of the organisations strategy will be wasted if the employee is
not given responsibilities to achieve it. Besides that, employees too should
realise the importance of implementing their given responsibilities and its
effects on the organisation as well as themselves.
(e) Prepare the Information Needed for Decision-making Related to Human

Resources
The performance appraisal outcome is usually used in decision-making that
involves human resource such as for recruitment and promotions,
increments based on performance or merit and also in disciplinary matters
like suspensions and terminations.

The purposes of a performance appraisal are summed up in Figure 5.2.
Figure 5.2: Purposes of a performance appraisal
Kossek and Block (2000) as well as Bohlander, Snell and Sherman (2004) also find
that the performance appraisal outcome is used for the following purposes:
(a) To provide opportunities for workers to discuss their performance with
their supervisors on a regular basis;
(b) As a means or way of making it easier for supervisors to identify their
employees strengths and weaknesses;
(c) To prepare a format to enable supervisors to propose a special programme
to improve job performance; and
(d) As a basis for salary revision or for promotions.
After learning about the uses and purposes of performance appraisal, lets find
out what are its implications for the organisation, appraiser and individual
evaluated? According to Mohrmarn, Jr, Resnick West and Lawler lll (1989), a
performance appraisal carried out in an organisation has positive or negative
implications depending on how it is managed. These implications can be seen in
Table 5.1.

Table 5.2: Positive and Negative Implications of a Performance Appraisal
No. Positive Implications Negative Implications

1. Individuals are more motivated to carry Individuals may resign as a result of
out their jobs effectively when their the way they are treated in the
performance is evaluated. organisation.
2. An individuals self-confidence will
Wrong or false data can be made up.
increase.
3. The individual responsible for carrying
Performance appraisals carried out
out the evaluation will learn something
may affect the confidence of the
new from the employee being evaluated
individual being evaluated.
and vice-versa.
4. More valuable communication between Waste of time.
the individuals involved can be obtained.
5. The individual involved in the evaluation The relationship between the

may understand more about himself and individuals involved in the evaluation
the activities desired by the organisation. process will be affected.
6. Rewards like wages and promotions can Employees level of confidence will
be distributed in a fair manner. decline especially if no rewards are
given for performances which are
considered unsatisfactory.
7. The organisations objectives are
A waste of money especially in
understood clearly and employees will be
supporting activities like training.
more ready to accept them.
8. The information derived from the
The organisation might have to face
performance appraisal is able to help the
legal implications if the individual is
organisation make plans for human
not satisfied with the evaluation and
resource and developing training
makes a report in the court.
programmes.
Source: Mohrman, Jr, Resnick-West and Lawler lll (1989)
In short, we can sum up that most performance appraisal outcomes are used for
the administration and development of the employee. The performance appraisal
managed can also bring about positive and negative implications, depending on
how it is implemented.
ACTIVITY 5.3
Elaborate the aims and purpose of a performance appraisal. What are
the implications of implementing a performance appraisal in an
organisation?

ACTIVITY 5.4
Discuss with a human resource officer the aims, use and implications
of performance appraisal in your organisation.
5.3 PLANNING A PERFORMANCE APPRAISAL

SYSTEM
The task of evaluating a subordinate cannot be taken lightly. As we have discussed
in the earlier part of this topic, the performance appraisal outcomes can have
positive or negative effects and a lot depends on how it is implemented. Since it is
a complicated process, many managers and supervisors do not like to implement
it. Subordinates, on the other hand, often consider performance appraisal as a
process of criticising and fault finding. Therefore, it is important that performance
appraisal is managed in the best way possible and used to encourage employees to
increase their job capabilities.
In order to get a good performance appraisal system, managers should first

know the overall objectives of the organisation so that these can be translated
into the performance appraisal system which will be developed later. The
following matters must be considered in planning a performance appraisal
system:
(a) Determine whether formal performance appraisal is needed in the
organisation. Explain the objectives that need to be attained by the system
that will be developed and list the characteristics of the organisation that
will influence the system;
(b) Get the views of employees on the performance appraisal that will be
developed;
(c) Determine who will manage the evaluation process;
(d) Determine who are the employees who will be evaluated;
(e) Make sure the support of the higher management is obtained;
(f) Decide the kind of performance appraisal system that will be used;
(g) Inform all employees about the performance appraisal system that will be
used;
(h) Develop performance appraisal standards for each employee;
(i) Make sure the administration of the system that will be developed is well
managed, especially the drawing up the evaluation forms, the control of the
system, instructions, training and so on;
(j) Decide suitable training for supervisors and employees;

(k) Carry out pilot tests on the performance appraisal system that has been
selected to identify its weaknesses; and
(l) Prepare guidelines and instructions for the appraiser.
SELF-CHECK 5.1
What are the factors that should be considered in planning a
performance appraisal system? Explain.
Besides that, managers should also know why a performance appraisal fails to
achieve its expected objectives and identify the criteria of successful performance
appraisal before developing any performance appraisal system in an
organisation. The following sections will discuss these matters further.
5.3.1 Factors for the Failure of Performance Appraisal

A number of factors can lead to the failure of a performance appraisal. Among
the main factors are lack of support from higher authorities, lack of job-related
standards, errors by the appraiser, too many performance appraisal forms to be
filled and use of performance appraisal for purposes contradictory to the original
purposes for which it was developed.
Bohlander, Snell and Sherman (2004) have outlined 10 reasons a performance

appraisal can fail:
(a) Managers lack information on the actual performance of the employees;
(b) The standards set for evaluating an employee are not clear;
(c) Managers do not carry out the evaluation seriously;
(d) Managers are not ready to comment on employees performance;
(e) Managers are not honest in their evaluation;
(f) Managers are not competent in evaluating employees;
(g) Employees do not get continuous feedback;
(h) Rewards given for performance appraisal are insufficient;
(i) Discussions on employee development are not effective; and
(j) Managers use language which is obscure or not clear during the evaluation
process.

Besides the reasons stated above, there are other causes that can lead to the
failure of a performance appraisal process, such as the following:
(a) Managers feel it is a waste of time and energy implementing the process;
(b) Managers do not like to confront employees face to face;
(c) Managers are not competent in giving feedback concerning performance;
(d) Supervisors are not keen to carry out evaluation; and
(e) Managers face the conflict between the role of judging and the role of
helping to develop employees.
In order to overcome this problem, the individuals who conduct performance

appraisal should be given sufficient training. The appraisers would then realise
the importance of carrying out the evaluation accurately and fairly and its effects
on the organisation.
Besides training, managers should also make sure that the evaluation forms are
effective and suitable for the organisations use. Before an evaluation is carried
out, the performance standards that will be evaluated should be translated
clearly and conveyed to all the employees.
All the standards that will be used should be related to the job as described in the
job description and specifications.
ACTIVITY 5.5
In your opinion, why do some performance appraisals fail? Give

suggestions to overcome this problem.

5.3.2 Criteria of a Successful Performance Appraisal

As we already know, the basic purpose of a performance appraisal system is to
improve the performance of an individual, a team as well as the whole
organisation. Therefore, the system built must be able to help in making
decisions concerning salary increments, relocation or termination of work. What
is more important though, is that it must be legal. An evaluation that is done
accurately can help plan an employees development. A good evaluation system
is usually honest in informing an employee his position in the organisation.
Although it is difficult to get a perfect performance appraisal system, every
successful system has its own characteristics. In this section, we will have a look
at a number of characteristics that a successful performance system should have,
as outlined by Anthony, Perrewe and Kachmar (1996) and Mondy, Noe and
Premeaux (2002).
The characteristics are shown in Figure 5.3.
Figure 5.3: Characteristics of a successful performance appraisal

(a) Clear Objectives

A good performance appraisal need not be developed on obscure
objectives. The objectives for an effective performance appraisal system
must encompass all the levels and scope in the organisation and depict all
its needs. At the same time, the user of the system must be informed of the
purpose for using it, be it for development or promotion. The users should
also know the kind of information that will be collected, how often it will be
carried out and who has the right to obtain that information.
(b) Certified by Management and Employees

In order to get an effective performance appraisal system, support from
various parties in the organisation should be obtained. This includes
support from the management who will sponsor the training, meetings
with employees, preparing evaluation forms and the time that needs to be
set aside by the staff. Besides that, the employees can also gain by involving
themselves in the process. Some organisations allow their employees to do
self-assessment where the employee and the supervisor sit and discuss to
find a way to develop the skills and the career of the employee.
(c) Adaptable
The organisation needs to develop an evaluation system that can be used
and adapted in various situations or changes. As an example, a
performance system that is highly adaptable can be used in a number of
business philosophies and in different geographical and cultural areas.
Only in certain situations, the organisation needs to prepare a few
evaluation sets especially for the group of employees who are really
different, or according to locations.
(d) Predictable
The time when the performance appraisal will be carried out and other
feedback should be told to the employees earlier. This is to give the
employees some space to prepare themselves. Some organisations will
carry out performance appraisal annually or once in six months beginning
from the date the employee joins the organisation. There are also some
organisations that prepare two sets of performance appraisals, one for
compensation and the other for development purposes. Regardless of the
number of evaluations that will be carried out by the organisation, the
employee has the right to know what will be evaluated and when it will be
carried out.
(e) Performance Dialogue

The dialogue between the supervisor and the employee in discussing the
evaluation that might be carried out may be a critical component in a
successful performance appraisal system. Supervisors should not use the

tell-and-sell approach when reviewing the performance appraisal with the

employee and at the same try to convince the employee to accept the
evaluation done. This approach will worsen the relationship and will
hinder communication between supervisor and employee. Therefore, it is
more suitable if a dialogue is used. A dialogue actually gives space for the
employee and the supervisor to sit down and have a discussion. Employees
have the opportunity to give their opinions on the comments given by the
supervisor and at the same time, supervisors can also explain the comments
that he has made. This method can lessen the tension and the dissatisfaction
of both parties.
(f) Suitable Evaluation Forms

Organisations should give serious attention to the evaluation forms used.
Many organisations take the easy way out by taking any standard
evaluation form without taking into account whether they are suitable or
not. The failure to modify the available evaluation forms to achieve the
organisations objectives will influence the appraiser to carry out an
evaluation based on issues that are irrelevant and unimportant. The
important thing is that the evaluation forms must contain questions related
to the employees scope of work and should be easily understood by them.
(g) Continuous Checking System

The validity of a performance appraisal system can be seen through a
systematic evaluation. As we have discussed before this, a system which is
not monitored will cause problems especially if the matter was not been
detected before. Checking for mistakes should be done more regularly if it
is found that there are mistakes in the particular system.
(h) Job-related Criteria

This criteria may be basic in carrying out evaluation on job performance.
Matters that are subjective in nature like loyalty, co-operation and initiative
may be considered important but they must be linked clearly to the
employees jobs. If it cannot be proven that they have any link to their jobs,
avoid using them.
(i) Standard Evaluation Instruments

Employees who are in the same job category and evaluated by the same
supervisor need to use the same performance instruments. The evaluation
carried out should be systematic and balanced, and done in the same
evaluation period. Although there are more formal performance appraisals
carried out every year, some organisations have succeeded in carrying out
evaluations more often while stressing on feedback sessions and
performance appraisal interviews.

(j) Trained Appraisers

Generally, the responsibility of evaluating an employee is given to
individuals who are monitoring a group of job holders. This task is usually
given to a supervisor. However, in some organisations, some employees are
placed formally under one supervisor but actually they are involved in
carrying out projects under different project managers. In this context, it is
difficult for the supervisor who has been assigned to the particular
employee to carry out an overall evaluation due to lack of information of
the performance shown. To overcome this problem, the 360 degrees
approach is usually used. However, the shortcoming of this performance
appraisal system is that not enough training is given to the appraiser. To
get an effective performance appraisal system, all appraisers involved must
be given continuous training to ensure the accuracy and uniformity of their
evaluation.
(k) Continuous Open Communication

Some employees are keen to know their work performance. A good
performance appraisal system usually provides continuous feedback. It is
better to criticise at the time when the mistake is being done as compared to
keeping the criticisms over a period of time. In this way, the employee will
be able to correct his mistakes before a more formal evaluation is done. In
managing a performance appraisal, more emphasis is put on daily
communication and guidance as these are considered the most effective
ways to improve an employees performance.
SELF-CHECK 5.2
What are the criteria of a successful performance evaluation?
A performance appraisal can be defined as a process of developing the

standards for a performance in writing, which is conveyed to employees
where, from time to time, the employees will be told of their performance
level based on the standards that have been developed.
Performance management encompasses all the processes stated above and is
headed by the manager who will make sure the employees are able to carry
out their jobs more effectively.
Generally, a number of performance appraisal outcomes are used for
administrative and development purposes.

However, they are also used to improve employees job performances,

develop job opportunities for promotions, fulfil the needs of employees who
need feedback, ensure employees are on track in achieving the objectives of
the organisation and prepare the information needed for decisions related to
human resource.
Performance appraisal can bring about positive and negative implications,
which hinges a lot on the way it is implemented.
Besides discussing the purpose, use and implications of a performance
appraisal, a number of reasons for the failure of a performance appraisal are
also discussed.
The discussion ends with a list of criteria for obtaining a successful
performance appraisal system.
Continuous open communication Performance appraisal

Job performance Performance dialogue
Job-related criteria Performance management
Essay Questions
1. Explain briefly the differences between the performance management and

performance appraisal concepts.
2. Give two advantages and two disadvantages of formal performance
appraisal.
3. List four implications of a performance appraisal should a manager fail to
implement it effectively.
4. List the things that should be considered when planning a performance
appraisal system.
5. List five criteria of a successful performance appraisal.
6. State five reasons why a performance appraisal can fail to be implemented.
7. Give three advantages and three disadvantages of having a formal

1. Below are all the disadvantages of an informal performance appraisal

EXCEPT:
A. Too subjective in nature and causes bias
B. Does not depend on one appraiser
C. Is not comprehensive
D. Difficult to modify evaluation forms that are found to be ineffective
2. One of the reasons why a performance appraisal fails to be implemented is

______________.
A. sufficient sources of reward
B. managers are happy to confront the employees
C managers use very clear language
D. employees get continuous feedback
3. Below are some of the positive implications brought about by a

performance appraisal EXCEPT:
A. The job scope of the individual evaluated can be explained in a more
detailed manner.
B. More meaningful communication among the individuals involved in
this process can be obtained.
C. Data which is false and untrue can be made up.
D. The individual involved in this evaluation may understand
themselves and the activities desired by the organisation better.

4. _________________ usually encompasses aspects like defining

responsibilities, setting expectations, preparing the resources needed,
giving continuous feedback, giving performance appraisal regularly and
using the information obtained to make decisions, solving the problems of
the employees and the organisation and in developing the employee and
the organisation.
A. Performance management
B. Performance appraisal
C. Performance development
D. Performance monitoring
5. Below are the advantages of handling a performance appraisal formally,

EXCEPT:
A. Flexible Does not follow guidelines and procedures.
B. Gives the picture that the evaluation carried out is fair and objective.
C. Able to prepare comprehensive and accurate information of their
employees.
D. Less biased if developed and implemented well.

Topic Designing
Performance
6 Appraisals
LEARNING OUTCOMES
1. Explain the steps in designing a performance appraisal;
2. Describe the criteria of a performance standard;
3. Differentiate between the categories of performance appraisal
methods;
4. Discuss the characteristics of selecting a good performance appraisal
method at the workplace;
5. Explain the two groups of sources used in carrying out the
evaluation process; and
6. Design a performance appraisal system for an organisation.
INTRODUCTION
Designing a performance appraisal system is not a simple task. An organisation
has to be cautious in deciding what needs to be measured because it may not
want to lose employees who are really talented and may also not want to take the
risk of any legal action for abusing the performance appraisal and using it to
dismiss its workers. Realising that the quality of performance measurement
depends on the designing process, we will focus our discussion on three key
matters, namely, the performance appraisal design process, the common
approaches used in measuring employee performance and identifying
appraisers resources.
We will begin our discussion by looking at the process of the performance

appraisal system such as the guidelines, factors in developing performance
standards and determining the criteria for performance appraisals. Next, we will
look at the approaches used to measure performance. Discussion will be carried
90 TOPIC 6 DESIGNING PERFORMANCE APPRAISALS
out according to categories such as evaluation based on work-related behaviour,

personality, outcome and other approaches. We will end the topic by discussing
some of the common appraisals resources such as managers and supervisors, the
employee himself/herself and others who are involved in the evaluation process.
6.1 PERFORMANCE APPRAISAL DESIGNING

PROCESS
The success of an evaluation system depends on how it is developed. Thus, issues
such as who should be involved in this process, what activities they should do and
how they can operate as a team need to be emphasised. In general, the following
steps may be taken when designing the system, as suggested by Mohmarn,
Resnick-West and Lawler III (1989). Figure 6.1 shows the steps concerned.
Figure 6.1: Process of designing an evaluation system

TOPIC 6 DESIGNING PERFORMANCE APPRAISALS 91
Let us now discuss these steps further.
(a) First Step Select a Suitably Qualified Individual

The performance appraisal is political in nature and has to be implemented
in a complex environment. Deciding who should be involved at the design
stage is critical. It is suggested that the top management, human resource
professionals and the users themselves be directly involved in the design
process. Top management is responsible for the direction of the
organisation. By involving them, the aims and objectives of the evaluation
system would be in line with the mission and vision of the organisation.
The human resource professionals, on the other hand, will be responsible
for managing and implementing the system. The users, namely the
manager and employees will be the direct users of the evaluation system.
For this reason, therefore, their input is valuable to ensure that the
evaluation system truly measures what it is supposed to measure.
(b) Second Step Decide on the Process that Will Help You during the Design
Stage
After selecting those that will be part of the design team, you now have to
think of how to develop the evaluation system and how to involve all the
three parties mentioned previously. Most organisations will seek the views
and opinions of external consultants before starting the system. The
consultants will normally help to prepare the framework to make it easy for
the team to start the process of designing.
(c) Third Step Evaluate the Current Situation of the Organisation

At this stage, the main objective is to evaluate the previous system by
listing its strengths and weaknesses. At the same time, the team has to
understand the human resource system, company culture and legal
requirements of the evaluation system. In addition, the team has to
understand the companys strategy, direction and changes so that the
system is in line with what the company wants.
(d) Fourth Step Develop the Aims and Objectives of the Evaluation System
The evaluation system has many aims and it is up to the different
organisations to define them. These aims can be used as a basis for, among
other things, payment of salaries and remunerations, career planning,
human resource planning, improvement of performance etc.
(e) Fifth Step Design the Performance Appraisal System

After deciding on the aims and objectives of the evaluation, the team has to
then think of matters such as measurements that need to be developed, who
should be the assessors, how and when would the evaluation be carried
out, etc. The team may select any method that is suitable and meets the
aims and objectives that have been developed. Methods of determining the

criteria for evaluation as well as the common methods of evaluation will be

discussed in the following section.
(f) Sixth Step Testing of System through Implementation

After the design process is complete, it is time to implement the system. It
is advisable to carry out a pilot test in order to identify the problems that
might occur in the system before it is widely used in the organisation. A
pilot test actually helps the team to identify the problems and provides
them the opportunity to rectify them before the actual system is
implemented.
(g) Seventh Step Evaluate and Monitor the Newly-developed System

After the evaluation system is implemented (as designed), it will be tested
to see whether it meets the objectives. The information obtained at this level
will help the organisation improve itself from time to time and ensure that
the system continues to be effective. In addition, feedback can be obtained
from employees to see whether they are satisfied with the newly-developed
system. This will indirectly indicate to the organisation whether the new
system is effective or not.
SELF-CHECK 6.1
What are the steps involved in designing a performance appraisal system?
ACTIVITY 6.1
From your experience, whether as an assessor or the one being

assessed, give your opinion on the performance appraisal form used.
List the weaknesses of the form as well as suggestions for
improvement.
6.1.1 Guide on Developing Performance Standards

To enable performance to be measured, we need a yardstick. This is commonly
known as a performance standard. Generally, performance standards are
developed based on job analysis. Defining performance standards is not easy
because there are many issues to consider when deciding what is meant by good
performance. Thus, performance standards have to fulfil criteria such as the
following:

(a) Have an impact on the successful completion of a task;

(b) Able to distinguish between successful and unsuccessful job performance;
(c) Based on documented observations and are work-related;
(d) Employees are informed on the expected performance and are given
feedback;
(e) Nature of the work about to be done is taken into account; and
(f) The importance of company culture, namely, what is considered as
successful behaviour is taken into account.
According to Bohlander, Snell and Sherman (2001), there are four criteria to
consider when developing performance standards, namely, strategic relevance,
criterion deficiency, criterion contamination and reliability.
(a) Strategic Relevance

This refers to the co-relationship between the standards used and the
strategic objectives of the organisation. For example, if the organisation sets
the standard that in a day, 95% of customers complaints should be
resolved, then customer service should be one of the standards in the
performance appraisal. In other words, the objectives the organisation
wants to achieve should be translated into employee performance
standards.
(b) Criterion Deficiency

The second point to consider is whether the performance standards take
into account all the responsibilities assigned to an employee. If the
standards focus on one criterion only (for example, volume of sale) and not
on other dimensions of the evaluation such as customer service, the
evaluation system is then said to have criterion deficiency.
(c) Criterion Contamination

This contamination is caused by factors that are beyond the control of the
employee. For example, the employee is blamed for the drop in the number
of products produced because the factory is facing a shortage of raw
materials, whereas it is not his responsibility to purchase raw materials.
(d) Reliability
This refers to the degree of consistency and stability of a particular standard
when it is applied at another time. When doing a rating, reliability may be
measured by looking at the co-relationship between two sets of rating done
by one assessor or two different assessors. For example, two managers may
be evaluating the same employee for a promotion. The rating can later be
compared to see the reliability of the assessors. Considering that performance

standards enable the manager to state or give accurate information on the

quality and quantity produced, the standards to be developed have to be
defined in terms that could be calculated and measured. The criteria for
developing performance standards are summarised in Figure 6.2.
Figure 6.2: Developing performance standards

Source: Bohlander, Snell and Sherman (2004)
It is much better if the criteria for evaluating employees are categorised

according to the nature of the job that is about to be undertaken, as suggested
below. After the category is identified, the appropriate evaluation method to
measure the particular criterion is selected.
(a) Focus on Actual Outcome

If what is achieved from a job is the most important aim, then the
evaluation has to focus on the actual outcome of the job. Performance
standards have to explain specifically what the expected outcome is, such
as meeting the sales target or meeting the time duration that has been
determined.
(b) Focus on Work Style

If what is done on the job is the most important aim, then the evaluation
has to focus on the way the work is completed, i.e. the actual behaviour on
the job. Performance standards have to explain specifically the expected
type of behaviour. Specific skills and responsibilities of the job have to be
translated into behaviour terms.

(c) Focus on Employees Personality

If the employees themselves are most important, then the evaluation has to
focus on the employees personal traits which are relevant to the job.
Performance standards have to explain characteristics that distinguish
between an effective and an ineffective employee and translated into
behavioural form to avoid subjectivity. For example, characteristics which
may influence work performance include cooperation, defining the
objectives, possessing a strategic mind, not afraid of taking risks, etc.
The following discussion will be on how the criteria for performance

measurements are determined.
ACTIVITY 6.2
Explain what you understand by performance standards. Check your

answer with the assigned tutor.
ACTIVITY 6.3
Discuss with the human resource manager the criteria used by your
organisation in designing the performance appraisal.
6.1.2 Determining the Criteria for Performance

Measurements
Many techniques of measuring performance have been developed and there is a
wide variety of formats for the manager to choose from. In this section, our
discussion will focus on the format that is legal and commonly used. This format
can be classified into two, namely, one that is based on evaluation and the other
based on the focus of the measurement itself.
The format can be summarised in Figure 6.3.

Figure 6.3: Criteria of performance appraisal
(a) Measurement Criteria Based on Judgment

(i) Relative Evaluation
In this evaluation system, a supervisor is required to compare an
employee with another person who is doing a similar job. An example
of the relative approach is to rate employee performance from the
lowest to the highest. This format also classifies workers into different
categories such as highest, moderate and lowest.
This rating system has its advantages as it forces the supervisor to

compare the two employees who are doing a similar job. Without this
system, a supervisor might be tempted to give the same rating to all
the employees he is evaluating. However, this system has its
disadvantages such as it does not state clearly the actual differences
between one employee and another that justifies the employee to be
categorised as highest, moderate or lowest. In addition, the system
does not provide complete information to enable the supervisor to
judge how competent an employee is.
Although the system forces the supervisor to distinguish one

employee from another, the distinction is open to dispute. Finally,
under the system, the supervisor has to evaluate an employees
performance in general terms. The evaluation does not truly reflect
the latters performance as a whole and is of little help to him because
there are measurements that have little relevance to his work. Thus,
because this system has some disadvantages, its use is limited to
administrative purposes such as dismissal of workers, salary or job
promotion.

(ii) Objective Judgment

Unlike the relative judgment format, this format requires the
supervisor to evaluate the employee based solely on performance
standards. In other words, no comparison is made between workers.
Usually, performance dimensions which are relevant to work are
listed in the rating form and the manager will be asked to rate
workers based on every dimension.
In theory, under this format, employees from different categories of

work are evaluated by different managers and a comparison is made.
If all the employees have performed well, then all of them will receive
excellent ratings. Thus, considering that rating of dimensions is done
separately, the feedback given to employees is more specific and
useful.
Although this format is more favoured than the relative one,

nevertheless, it has its disadvantages. There is a possibility that
employees from the same category of work will be given the same rating
as the supervisor is reluctant to distinguish one from the other.
However,, one advantage of using this format is that it can prevent
conflicts among employees.
(b) Measurement Criteria Based on Desired Focus

(i) Evaluation Instrument Based on Personality
A supervisor may evaluate an employee based on his consistent and
continuous nature or characteristics. Although this approach is used by
some organisations, it is also rejected by others. Rating that is based on
personality has been criticised because it is too broad and open to
partiality. Reliability means different things to different supervisors.
Furthermore, evaluation which is more focused on the individual
personality rather than on performance may create dissatisfaction among
employees. This type of rating implies that a low performance is brought
about by the individual himself and thus, evaluation should be solely
based on the individual. Based on many studies, this approach does not
enable the outcome of the evaluation to be used for the employees
development. Evaluation that is more focused on performance, i.e. based
on either behaviour or outcome is generally more acceptable to the
employees and is an effective tool of development.
(ii) Evaluation Instrument Based on Behaviour

This is more focused on employee behaviour. Instead of listing
leadership qualities, the assessor is asked to evaluate whether the
employee displays certain qualities such as good teamwork or is
always punctual for meetings. One advantage of using this as a
measurement criterion is that the performance standard is more

reliable. Besides encouraging the supervisor to be more specific in
giving performance feedback, both supervisor and employee can
together develop the criteria for developing a behaviour-based scale.
However, a behaviour-based scale is too time-consuming to develop

and is also too specific. Although an item on the scale is clear and
concrete, it could be one of the examples of behaviour that an
employee is expected to exhibit, and an employee who does not
exhibit such behaviour could make it difficult for the supervisor to
evaluate. When there are changes in an organisation such as the use of
the computer in the office, there will be changes in the expected
behaviour and they would no longer be accepted as excellent or
expected behaviour. An employee could be reluctant to change his
work behaviour as long as the behaviour measured remains on the
scale.
(iii) Evaluation Measurement Based on Outcome

Using this instrument, a manager is required to evaluate an
employees outcomes based on the volume of sale or products that he
generates. Under this approach, the criteria are clear, which makes it
easier to evaluate the employee. It also eliminates subjective
evaluation and the possibility of mistakes and bias. It is also flexible.
Considering these advantages, is this then the best approach so far?
The answer is no because measuring the employees outcome alone
does not give a clear picture of his performance level. Both manager
and supervisor have no idea how the outcome is achieved since the
evaluation is focused only on the volume the employee produces. He
is, therefore, more concerned about the quantity rather than the
quality of the products.
ACTIVITY 6.4
Discuss with your friends in class or in the myVLE forum the

advantages and disadvantages of both formats. Construct a simple
table.

6.2 METHODS FOR MEASURING

PERFORMANCE
When it is time to measure employee performance, an organisation has many
options in selecting an appropriate evaluation method. Some organisations prefer
to use a combination of methods while some prefer to use only one. In this
section, we will discuss a few methods that are popular and frequently used by
organisations. All these methods will be discussed according to category, such as
evaluation based on behaviour/work, personality and outcome. Other
approaches will also be discussed. The approaches concerned are shown in
Figure 6.4.
Figure 6.4: Methods for measuring performance
ACTIVITY 6.5
Do some reference work and discuss with your friends the methods
for measuring performance that are commonly practised in Malaysia.

6.2.1 Performance Appraisals Based on Behaviour/

Work
Now, let us discuss performance appraisals based on behaviour or work.
(a) Critical Incident

Under this method, the employees behaviour while working for a certain
period is recorded. The rationale is that it allows the supervisor to keep a
diary or journal to record whether an employees performance is effective
or not. An example of a positive critical incident is as follows:
5 May 2001 Employee contributed constructive ideas on overcoming

delivery delays of products ordered by clients.
Example of a negative critical incident is as follows:
8 July 2001 Employee still refused to observe the dress code in spite of
being warned.
When using this method, one thing to bear in mind is that every incident
that happens must be recorded immediately because evaluations that are
solely based on memory would not be effective. From one aspect, this
method is good because it is based on the actual performance. Aided by the
written journal, the assessor is able to record every single performance of
the employee and is not only focused on his recent performance.
However, this method has disadvantages such as:

(i) It focuses only on an employees extreme job behaviour, and not on
his normal performance;
(ii) It encourages such extremely close supervision that it makes the
employee feel uncomfortable and is not able to work effectively; and
(iii) It may lead to bias when assessors record too many incidents of
negative behaviour at any one time.
To ensure the effectiveness of this method, elements such as the following

should be present:
(i) The conditions that brought about the incident;
(ii) The place where the incident took place;
(iii) Accurate description of what the employee did;
(iv) Results/effects of the incident; and
(v) Control level of the employee over what has happened.
Although the assessor would remember everything that happens

throughout the evaluation period by recording every performance of the
employee, it is too time-consuming and difficult to measure.
(b) Behaviourally-Anchored Rating Scale BARS

Compared to other rating scales, this is considered sophisticated because it
evaluates employees based on behaviour and not on attitude or assumption
on the motivation or potential level. It is a numbered scale (e.g. 1 9), with
each number representing a short description of an employees behaviour,
whether positive or negative. For example, a short description for number 9
could be, Plans and organises his work and is able to maximise resources,
while a short description for number 1 reads, Does little planning of work
and is not able to complete his work within the given time.
Considering that every number on the scale represents a short description,

the scale is considered difficult and takes a long time to develop compared
to other numbered scales. Normally, every job has to be analysed first and
experts in that particular job have to construct a list of critical incidents.
Once the list is ready, it will be matched with a set of performance
dimensions (starting with very effective to less effective).
Although this scale has a very high reliability and objectivity rate, the
manager has to consider whether to adopt the list or not because it is rather
difficult to design and is also costly.
(c) Behaviour Observation Scale BOS

Basically, this scale is rather similar to BARS because both are based on
critical incidents. However, it only measures the frequency of the expected
behaviour and does not require the assessor to select the behaviour that
contributes the most to the work dimension that is being measured. One of
its advantages is that it allows the assessor to play the role of observer and
not that of judge. Studies have shown that many users prefer this scale to
BARS for the following reasons:
(i) It retains objectivity;
(ii) It is able to distinguish between a high and a low performance
employee;
(iii) It provides room for feedback; and
(iv) It is able to identify training needs.
AT&T is an example of an organisation that has adopted this scale to

evaluate its employees. Refer to Table 6.1.

Table 6.1: Example of Behaviour Observation Scale
Behaviour observation scale that shows effective and less effective performance of the
Assistant Corporate Loans officer.
EFFECTIVE PERFORMANCE
1. The assistant corporate loans officer prepares the credit report on time.
No Always
1 2 3 4 5
2. The assistant corporate loans officer provides warm and friendly service to his
customers.
No Always
1 2 3 4 5
3. The assistant corporate loans officer is very effective when interviewing loan
applicants.
No Always
1 2 3 4 5
LESS EFFECTIVE PERFORMANCE
1. The assistant corporate loans officer fails to prepare follow-up documentations.
No Always
1 2 3 4 5
2. The assistant corporate loans officer does not help customers fill up application
forms.
No Always
1 2 3 4 5
3. The assistant corporate loans officer has to be taught how to prepare credit
reports.
No Always
1 2 3 4 5
Source: Schuler (1998)

(d) Assessment Centre

This method is probably used mainly during the selection and promotion
process. Nevertheless, it may also be used to measure work performance at
the management level because the employee being assessed is involved in
many activities such as role playing, group discussions, etc. Thus, it is able
to provide a lot of information about the employee to the assessor,
especially about the employees performance when carrying out managerial
tasks. In addition, this method is very much favoured by employees and
top management alike because it uses performance dimensions that are
more specific and helpful in providing feedback on the employees
performance. However, it is very difficult and costly to design and use.
ACTIVITY 6.6
1. Which method is used by your organisation to evaluate its

employees? In your opinion, which is the best method? Why?
State your reasons.
2. You are probably used to filling in performance appraisal
forms at your workplace. From your experience, which
evaluation method has been adapted by your employer?
Support your answer by giving the features found in your
performance appraisal forms.
6.2.2 Methods of Performance Appraisals Based on

Personality
Let us now look at the methods used in performance appraisals based on
personality.
(a) Essay
Unlike the more structured rating scale, the essay method requires the
assessor to write a description of the employee being assessed. The assessor
is usually directed to write down the employees strengths and weaknesses
and give suggestions on his or her development. Normally, this method is
used together with other rating scales. In this context, the written essay
could supply additional descriptive information on the rating being done.
Furthermore, this method allows the assessor to highlight the unique

criteria of the employee being assessed. This would actually help the
assessor to give a more detailed description of their employees, especially
in matters related to qualifications for promotion, their special abilities,
skills, strengths and weaknesses. However, the main constraint of this

method is that writing the essay which covers every aspect of an employee
is time consuming. The quality of this method is also influenced by the
writing skills of the assessor and is more subjective. Sometimes, it does not
focus on the relevant aspects of job performance.
(b) Graphic Rating Scale

This scale is the most widely used performance appraisal method. It is
popular for many reasons. First, it is very easy to implement. The assessor
is able to evaluate a large number of employees in a short time. Second, it is
easy to understand and to explain to the employee being assessed. Finally,
it is easy to design and to make amendments when the need arises.
This method uses a scale that is divided into several rating levels. The
normal number of levels is five, and uses adjectives such as very
unsatisfactory or very satisfactory at the two ends of the scale (e.g. 1 = very
unsatisfactory and 5 = very satisfactory). The assessor will look at the
qualities to be assessed and determine the level of the employee according
to the scale. This method can actually evaluate the employees overall
performance, although it is usually used to evaluate characteristics such as
quality and knowledge of work. Every value is then added to obtain the
total value. Refer to Table 6.2 for an example of a graphic rating scale.
Table 6.2: Example of Graphic Rating Scale
1 2 3 4 5
Very Very
Unsatisfactory Satisfactory
1 = Performance is very unsatisfactory. Has failed to meet many expected

objectives and has always exhibited work that is below expectations.
2 = Performance does not achieve objectives.
3 = Performance meets all objectives. Uses effective methods to achieve

outcome. Exhibits good and strong performance.
4 = Performance meets all objectives and has exceeded some expected objectives
in some areas. Outcome achieved exceeds normal level expected for the task
5 = Outstanding performance. Performance has exceeded expected objectives.

Outcome has been achieved using better techniques.
Source: Anthony, Perrewe and Kacmar (1996)

ACTIVITY 6.7
In your opinion, what are the main differences between performance

evaluation based on behaviour and the one based on personality?
(c) Mixed-standard Scale

This scale has been developed to overcome problems that exist in BARS. In
this method, there are three sets of statements that describe high, moderate
and low performance levels for each specific performance dimension. All
the details are then rated using the same process as for BARS. Three
performance levels created for each dimension will be randomly arranged
on the evaluation form. Unlike BARS, the value for each behaviour shown
is not stated. The assessor is required to provide feedback for every
example given. The performance mark for every dimension is then
calculated based on the pattern obtained. One advantage of this method is
that the assessor does not have to play with numbers and indirectly, the
problem related to rating can be overcome. Furthermore, it is easy to use.
Table 6.3 is an example of a mixed-standard scale
Table 6.3: Example of Mixed-standard Scale
Instructions: Read every statement given. The individual being assessed has to follow
the scale provided below. Place your feedback in the space provided.
+ Employees performance is much better than the behaviour in the statement.
0 Employees performance is as good as the behaviour in the statement.
- Employees performance is worse than the behaviour in the statement.
________ 1. Is always punctual for work except in cases of emergencies.

________ 2. Always offers himself for difficult tasks.
________ 3. Is absent from work less than twice a month.
________ 4. Every piece of work he does contains mistakes.
________ 5. Only asks for tasks that he has done before.
________ 6. Seldom corrects mistakes in work he has completed.
________ 7. Is prepared to take on challenging tasks if asked.
________ 8. Is absent from work more than twice a week.
________ 9. Tasks given are always ready on time.

Note:
Statement 1 (high), 3 (moderate) and 8 (low) indicate three levels of absenteeism.
Statement 2 (high), 7 (moderate) and 5 (low) indicate three levels of willingness.
Statement 9 (high), 6 (moderate) and 4 (low) indicate three levels of capability.
Marking Key
Determine the feedback pattern of the behaviour dimension and match the pattern
with the matrix below. Marks for each pattern are given below.
Statements
High Moderate Low Marks
+ + + 7
0 + + 6
- + + 5
- 0 + 4
- - + 3
- - 0 2
- - - 1
Source: Anthony, Perrew & Kacmar (1996)
(d) Forced Choice Approach

In many evaluation methods, the assessor can usually guess whether the
item is positive or negative. This can indirectly influence the assessor when
he is calculating the marks, i.e. whether to add or deduct the marks already
given. Thus, the selection method has to be designed such that it increases
the objectivity and decreases the subjectivity of the rating by obscuring the
feedback that is considered the best.
An assessor usually finds it difficult to make a choice using this method. He

has to read carefully every item that is put in pairs before making a
selection. The paired items look similar at a glance, but one of them has
been purposely constructed to obscure the real answer. The assessor is then
forced to make a choice, and has to make sure that it is the right choice.
Table 6.4 shows an example of a forced choice scale of a teacher. The
statement that is highly likely to cause discrimination has a value of one,
while the second item has no value. In other words, the teacher would
obtain one mark if the assessor selects item number one and zero if the
assessor selects item number two.

Table 6.4: Example of Forced Choice Method
Please tick the best statement that describes the employee being assessed.
Statement Discrimination Index Choice Index

_______ 1. Shows patience for slow students 1.72 2.82
_______ 2. Teaches confidently 0.51 2.75
Unknown to assessor
Note: Discrimination means a statement that looks the same in terms of social needs but
differs in terms of its capability in determining a high or a low performance employee.
Source: Anthony, Perrewe and Kacmar (1996)
6.2.3 Performance Appraisal Based on Outcome

Let us look at the measurements used in the outcome-based performance
appraisal.
(a) Productivity Measure

Besides using behaviour as a basis for evaluation, the number of products
produced by an employee can also be used for the same purpose. In the
case of a salesman, for example, his performance may be measured by his
volume of sales. For a production worker, his performance may be
measured by the number of units he produces as well as the total number
of damages he is responsible for. As for an executive, his performance may
be measured by the companys growth rate and profits.
This is considered a good method because in one aspect, every

measurement is directly an employees achievement and how his outcome
benefits the company. Using this method, the outcome of an employees
performance will match the objectives of the organisation.
However, this method has some disadvantages. Firstly, there is the problem
of criterion contamination, i.e. how far are the measurement standards free
of factors that are beyond ones control which influence the actual work
performance. For example, uncertain economic conditions will certainly
affect the sales volume of a salesman. It certainly would not be fair if the
organisation were to blame the salesman for low sales volume and rate his
performance as low.
Secondly is the problem of criterion deficiency, which means that there are
some aspects of the actual performance that are not measured. It is not
reasonable to make an evaluation based solely on volume of sales or

production for work that involves interpersonal relationships. Other factors

such as cooperation, adaptability, initiative and interpersonal relationship
could contribute to the successful completion of a job. If these factors are
important to a job, they should be considered as criteria for a performance
appraisal.
(b) Management by Objective (MBO)

Management by objective is a management philosophy credited to and
used by Peter Drucker in 1954. It was created to evaluate employee
performance based on their success in achieving the objectives which have
been jointly developed with top management. Under this method, efforts to
improve performance are more focused on the objectives that employees
are expected to achieve rather than the activities they do or on the
personality they exhibit while performing their tasks.
This method is considered strategic and involves a cycle which starts with
stating the aims and objectives of the organisation. It acts as a process for
defining aims, whereby objectives are developed for the organisation, every
department, manager and employee. As this method is a top-to-bottom
approach, top management is responsible for defining the objectives of the
organisation and department.
Once the organisations objectives have been defined, the management has
to define the employees objectives. The supervisor and employees will
determine the objectives and targeted date. These objectives play an
important role in the feedback process and final evaluation, especially for
employees who receive continuous feedback on their performance in
achieving the aims and objectives determined.
Should there be changes in the objectives, they would be discussed with the
employees during the feedback session or when reviewing the performance
appraisal. This method is undoubtedly very popular because of the very
high degree of employee involvement. This method has also been
successfully used to improve communication between top management
and the low-ranking workers.
To ensure the success of this method, the objectives have to be measurable

and able to be valued, have a target date as well as an action plan that
discusses the process of achieving the objectives. This is supported by
Schuler (1998) who is of the opinion that the objectives will only be effective
if they have the following features:

(i) Specific
The objectives have to identify the level of expected behaviour or total
output required for a certain job. This would help in reducing the
variations in the performance or rating.
(ii) Punctual
The deadline for completion of a particular task has to be set.
(iii) Existing Conditions
Any qualifications related to achieving the objectives have to be
elaborated because there are many factors beyond the control of the
employee which can influence the achievement of the objectives.
(iv) Priorities
The supervisor has to decide which behaviour is the most important
in achieving the objectives. Both supervisor and employee may
consider the priorities together or base them on the job description.
(v) Cause or Effect
The cause or effect of achieving or not achieving the objectives have to
be clearly explained.
(vi) Same Objectives
The individuals objectives have to be in line with those of the
department.
Although this approach is considered strategic, it has some disadvantages and

has received a lot of criticism. It is perceived as a very expensive and lengthy
evaluation system while its impact on the success of the organisation is
moderate. In addition, the evaluation data only measures for short-term and not
long-term purposes. For example, the supervisor ignores any broken equipment
without making any effort to repair them because he wants to save on
maintenance costs. In situations where some jobs depend on other divisions to
complete the task, meeting only some of objectives for production or marketing is
not enough. Other factors such as cooperation, adaptability, initiative and
concern for interpersonal relationships with fellow workers could be crucial for
the success of a particular job. Furthermore, questions have been raised about
whose objectives should be observed. The concept of shared objectives between
management and workers is an illusion, not a reality. When the employees
objectives are inconsistent with those of top management, it is the former that
would be marginalised.

6.2.4 Other Methods of Evaluating Performance

Let us now look at other methods that may be used to evaluate performance.
(a) Checklist
This method lists adjectives or short descriptions of work-related
behaviour. If an employee exhibits these traits, the related items will be
ticked. Conversely, the items will be left blank if they are not related to the
employees behaviour. Every listed item indicates whether the quality of
the employee is positive or negative. One point will be awarded for every
positive quality ticked, while one point will be deducted for every negative
quality. Qualities that are left blank will not be calculated. Refer to Table 6.5
for an example of this method.
Table 6.5: Example of Checklist
Instructions: Please read every item below and decide whether the individual you are
assessing exhibits the quality indicated. If your answer is Yes, please tick in the space
provided. If your answer is No, leave it blank.
________ Asks for help if there is a problem.

________ Acknowledges other peoples contribution to his work.
________ Maintains good relationship with other workers.
________ Takes the initiative when faced with a new situation.
________ Needs a lot of instructions when faced with a new situation.
________ Is able to see various alternatives to a particular situation.
________ Always completes his work according to schedule.
Source: Antony, Perrewe and Kacmar (1996)
(b) Weighted Checklist

If the checklist has the same value for every item, the weighted checklist
has a different weightage value for every feedback given. The assessor
normally does not know the weighted value allocated to each item. The
total value is obtained by calculating the mark for each feedback given.
Refer to Table 6.6.

Table 6.6: Example of Weighted Checklist
Instructions: Below is a list of qualities to evaluate each individual. If you believe that
that individual has the qualities listed, please tick ( ) in the space provided. If the
quality is not relevant, leave the space blank.
Value*
______ His colleagues always seek advice from him. 3.0
______ Follows instructions well. 2.0
______ Cannot work in a group. - 1.0
______ Is able to work well without being instructed by 2.5
supervisor.
______ Does not complete work according to schedule. - 2.0
______ Solves problems that frequently occur hastily. - 1.0
______ Is fair to everyone. 1.0
*All these values will not be shown on the actual assessment form.
Source: Antony, Perrewe and Kacmar (1996)
(c) Ranking
This method is seldom used compared to other methods. The usual
procedure used in this method is to grade the employees overall
performance from the highest to the lowest. Using this method, the
problem of tendency to centralise and being generous may be eliminated
because the assessor has to evaluate employees based on the domains that
have been set. Considering that this method is comparative by nature, the
supervisor or other assessors have to compare an employees performance
and that of another. One advantage of using this approach is that it is
simple and fast to implement. In addition, the evaluation may be directly
related to salary increment or staffing of employees. However, because of
its comparative nature, it will produce ordinal data. In other words, the
differences that exist between one employee and another will not be
known.
(d) Forced Distribution

This is an evaluation method that requires the assessor to place a certain
number of employees (according to a certain percentage fraction) into
several categories based on the overall performance. Refer to Table 6.7.

Table 6.7: Example of Forced Distribution
Above
Unsatisfactory Below Average Moderate Satisfactory
Average
(10%) (20%) (40%) (10%)
(20%)
Jannatu Arumugam Bakar Linda Seelan
Haniff David Abd. Razak Maria Rizal
Aminah Jenny Pauline
Marianne Mariammal Rafidah
Ooi Yeng Keat
Shamsul
Safinas
Source: Carell, Elbert and Hatfield (1995)
Similar to the ranking method, forced distribution is able to reduce

problems such as the tendency to centralise or over-generosity. However,
there are problems such as the supervisor trying to avoid placing the
employee in a category that is too high or too low. Problems may arise if
employees want the supervisor to justify the ranking.
(e) Paired Comparison

Under this method, the supervisor has to compare employees in pairs. The
assessor will then select the employee with the higher capability from each
pair. The number of comparisons required by the assessor is based on a
simple formula.
Number of pairs = [N(N-1)] /2,

N = number of employees to be assessed
For example, if there are 10 employees to be assessed, the number of

comparisons needed is 45.
Number of pairs = [10(10-1)]/2

= 45
As some of the performance appraisals are more subjective, the manager has
to use different dimensions for different employees. If the assessor uses
more than one dimension (D), then the number of pairs = D{[N(N-1)]/2}. If
there are ten employees to be compared using five types of dimensions, then
the number of comparisons is equal to 225.

Number of pairs = 5{[10(10-1)/2

= 225
In conclusion, this method will be more complicated to use if the number of

employees is too large and the number of dimensions is too big.
(f) Work Planning

In general, this method is similar to management by objective. What
differentiates the two, however, is that work planning is more focused on
giving reviews and feedback from time to time. It also gives less emphasis
on the determination of each objective. As it allows the supervisor to give
regular feedback and reviews, he or she is thus given a lot of leeway in
evaluating an employees achievement.
(g) Non-graphic Rating Scale

This scale is believed by some to be better than the graphic scale. This is
because every measured item in it is followed by short descriptions, not a
mere very satisfactory or very unsatisfactory. Using this method, an
assessor is able to give a more accurate evaluation of the employees
behaviour since a short description is given at every level of the scale. In
general, just like the graphic scale, this method is simple to use and saves a
lot of time. Table 6.8 is an example of a non-graphic scale.

Table 6.8: Example of a Non-graphic Scale
Name: ___________________ For period ending on: ____________

Department: _______________ Designation: ___________________
Instructions:
The list below shows some features, capabilities and characteristics that are crucial to
ones success. Please tick x for every scale awarded. Evaluation should be based on the
description that best describes the individual being assessed.
ACCURACY refers to doing a job given accurately.

______ Usually accurate; number of mistakes is average.
______ Often makes mistakes.
______ Requires minimal supervision; work done is almost accurate.
______ Requires very little supervision; work done is accurate most of the time.
SENSITIVITY refers to the ability to understand instructions, changing conditions and

problematic conditions.
______ Requires average number of instructions and explanations.
______ Slow to understand.
______ Very sensitive and enthusiastic.
______ Average capacity to understand instructions.
______ Is usually quick to understand and learn.
CREATIVITY refers to the innate ability to create new ideas, find better ways of
implementing something and is imaginative.
______ Continuously tries to find new, better ways in doing a job; is highly
imaginative.
______ Moderately imaginative; has several new ideas.
______ Frequently contributes new ideas; is highly imaginative.
______ Seldom has new ideas; lacks imagination.
______ Contributes new ideas now and then.
LIKEABILITY is the sociability and likeability of an individual and his attitude towards
his customers, other workers, supervisor and those under his supervision.
______ Is approachable; friendly once you get to know him.
______ Very sociable; good at developing close relationships.
______ Very cold and unfriendly.
______ Very sociable and friendly.
______ Warm and sociable.

PERSONALITY refers to behaviour or personal characteristics that are suitable for the
job.
______ Has the personality required for the job.
______ Has a personality that is unattractive for the job.
______ Has a personality that is very attractive for the job.
______ Has a personality that is satisfactory for the job.
______ Has a personality that is questionable for the job.
SELF-IMAGE refers to the perception exhibited by an individual to others. (Takes into

account the hygiene, neatness, and appropriate dressing for the office).
______ Unkempt; has poor taste in dressing.
______ Generally tidy and clean; satisfactory self-image.
______ Outstandingly neat; very tidy, has great taste in clothes.
______ Is untidy at times and careless about self-image.
______ Careful about self-image; has good taste in clothes.
PHYSICAL STRENGTH refers to the capacity of working consistently at a moderate

level of tiredness. (Takes into account physical energy and sensitivity).
______ Energetic; seldom feels tired.
______ Easily feels tired, weak and fragile.
______ Satisfactory state of health; does not feel tired.
______ Meets the job demands in the physical and energy aspects.
______ Frequently feels tired and is late.
ATTENDANCE refers to devotion in coming to work every day and observing office
hours.
______ Is always punctual; offers to work over-time whenever asked.
______ Is always absent without good reason and/or frequently late to work.
______ Always punctual; has regular attendance.
______ Careless in attendance and/or reporting.
______ Is usually present and punctual.
DEPENDABILITY refers to the ability to do work well under minimal supervision.

______ Requires tight supervision; cannot be trusted.
______ Requires minimal supervision.
______ Is usually able to manage important jobs and complete them on time.
______ Requires little supervision; can be trusted.
______ Needs to be pressured sometimes.

KNOWLEDGE ABOUT WORK refers to information about work that an individual has
to know to enable him to do his job better.
______ Knows little about some phases of the job.
______ Knowledgeable about all the phases of the job.
______ Understands all the phases of the job.
______ Not informed of his job responsibilities.
______ Moderately knowledgeable; able to answer general questions.
QUANTITY OF WORK refers to the amount of work done by an employee in a day.

______ Amount of work is satisfactory.
______ Very hardworking; does more than required.
______ Does only what is required.
______ Highest amount of production has been recorded.
______ Does not meet minimal requirements.
STABILITY refers to the ability to withstand pressure and being calm in a crisis.
______ Able to work under pressure; likes to solve crisis.
______ Cannot work under pressure; easily startled and prone to worrying.
______ Can stand some pressure; likes crises more than normal individuals.
______ Has moderate level of tolerance for crises; normally calm.
______ Cannot stand pressure at all; very sensitive.
POLITENESS refers to courteous service given to others.

______ Always courteous and helpful.
______ Sometimes reveals unreasonable attitude.
______ Is a source of inspiration to others in being courteous and likeable.
______ Obedient and likeable.
______ Direct and blunt; rude; confrontational.
OVERALL EVALUATION refers to the comparison between employees who have

worked at this job for the same duration.
______ Very unsatisfactory.
______ Below standard, but has shown improvement.
______ Does work at moderate level.
______ Above average.
______ Excellent.

Supervisors signature Date Employees signature Date
Signature of reviewing Date Personnel officers Date

officer signature
Notes:
Source: Carrell, Elbert and Hatfield (1995)
After learning several methods used for making evaluations, which one do you
think is the most appropriate to use? Actually, studies on this subject are limited.
Some methods could be better than others, and it depends on the situation and
purpose for which it is used. According to Schuler (1998), whatever method we
choose, it has to have these characteristics:
(i) Strategic
Is related to business needs (if customer service is important, could it
measure customer service?).
(ii) Constructive
Motivates employees to do the job better, provides feedback and helps in
career planning and development.
(iii) Able to Evaluate
Helps in decision-making for promotion, compensation, dismissal and is
able to compare between employees and department.
(iv) Economical
In the aspects of development, implementation and usage costs.
(v) Free of Mistakes
Free of assessors bias such as the halo effect, generosity, etc.
(vi) Interpersonal Nature
A level at which the supervisor is able to gather useful and legal data to
help him conduct evaluation interviews.
(vii) Practical
An evaluation system that is simple to design and implement.
(viii) User Acceptance
A level at which users could accept the evaluation format that is considered
reliable, legal and useful.

In selecting an appropriate performance appraisal method, the legal factors have

to be considered. Although there are no guarantees of getting the most secure
method, the manager has to be careful about legal action against the performance
appraisal that has been adopted.
Table 6.9 shows the strengths and weaknesses of six performance appraisal
techniques. Please note that the cheapest and simplest method usually provides
rather inaccurate information. Researchers and human resource managers
generally tend to believe methods that are more sophisticated and take a longer
time offer more useful information although in reality it does not happen this
way. What is important is that the manager has to make decisions based on the
costs/benefits of the desired method.
Table 6.9: Strengths and Weaknesses of Several Performance Appraisal Techniques
Critical Assessment
Rating Ranking BARS MBO
Incidents Centre
Significant
Sometimes Seldom Sometimes Often Often Often
dimensions
Time needed Low Low Moderate High High High
Development
Low Low Low High Moderate High
costs
Potential for
errors in High High Moderate Low Low Low
rating
Approval by
Low Low Moderate High High High
subordinates
Approval by
Low Low Moderate High High High
top officials
Useful when
giving Weak Weak Moderate Good Good Moderate
arrears
Useful when
counselling Weak Weak Moderate Good Good Good
workers
Useful for
identifying
Weak Weak Moderate Moderate Moderate Good
potential for
promotion
Source: Nankervis, Compton and Baird (2002)

ACTIVITY 6.8
Design a table to show the methods of measuring performance complete
with explanations. Compare your work with that of your friends.
6.3 SOURCES FOR PERFORMANCE ASSESSORS

It is not easy to decide who is qualified to do the evaluation. In general, many
people think that the manager or supervisor is the person most qualified for the
task. Nevertheless, many organisations have engaged outside parties to do it,
while some have used various combinations.
ACTIVITY 6.9
In your opinion, who is qualified to evaluate performances? Elaborate.
6.3.1 Conventional Approaches

Let us now find out about other parties that can do the evaluation.
(a) Managers and Supervisors

Managers and supervisors are the most common source of assessors. This is
due to the common perception that the manager is the most qualified
person to carry out the duties of evaluating. It cannot be denied that the
manager is the person closest to the employees and is able to give a
realistic, objective and fair appraisal. Additionally, the manager normally
has the formal authority to implement the evaluation and control the
remuneration of the employees.
However, there are some disadvantages in using the manager or supervisor

as an appraisal source. Among the disadvantages are that he is unable to
give an objective evaluation, especially in cases where there are conflicts
between manager and employees, manipulation of rating for purposes of
job promotion or salaries, discrimination resulting from inefficient
management and sometimes the manager does not have the time to see all
the work done by his subordinates. In this case, he has to rely a lot on log
books and records to evaluate performance. If he does not have valid
documents to be used for evaluation purposes, the evaluation may not be
accurate.

(b) Subordinates
Although this approach is seldom used, it will nevertheless be used by
organisations that practise total quality management and are always
looking for ways of continuous improvement to evaluate the managers
performance. It cannot be denied that subordinates are the most
appropriate people to do the evaluation task because they frequently
interact with the manager and are in a position to observe work-related
behaviour, especially in leadership, oral communication, delegation of
authority and other aspects. However, not many managers would want to
implement this approach because they do not want to give the power to
evaluate to their subordinates, especially when the information given will
be used for promotion purposes. But if the information is used for
development purposes, the manager would be more than willing to use it.
Some of the advantages of this approach are:

(i) It generates unique information about the manager.
(ii) It increases communication and satisfaction among employees.
(iii) It gives the manager incentives to change.
(iv) It increases job satisfaction among employees.
(v) It reduces the power and status gap and creates a more democratic
workplace.
(vi) It identifies managers who are efficient and possess leadership
qualities.
(vii) It improves the performance of managers.
Some of the disadvantages of this approach are:

(i) The information given is limited to situations that involve interaction
among employees only.
(ii) The manager might feel pressured and would rather be popular than
make the right decision.
(iii) Employees are afraid to do any evaluation for fear of being punished
or perhaps feel that the task of evaluating is not part of their duties.
(iv) Some managers might not be able to accept negative feedback.

(c) Self-assessment
Although self-assessment is not suitable for all situations, there are times
when employees are required to fill up certain sections in the performance
appraisal forms. This method is useful if:
(i) The employer wants its employees to be involved in the process.
(ii) There are employees living far from their co-workers.
(iii) Employee has excellent and unique skills not found in other
employees.
Basically, this approach makes an employee reflect on his strengths and

weaknesses and try to have objectives in order to overcome whatever
weaknesses he or she has. Since many critics feel that employees would
tend to rate themselves highly using this system, self-assessment is more
suitable for personal development.
(d) Co-workers
Co-workers who are in the same job position as the one being assessed
could be an input for performance appraisals because they meet frequently,
interact and work together. Thus, they are able to identify each others
interpersonal skills, leadership skills as well as strengths and weaknesses.
This approach would be very useful if the supervisor or manager does not
have the opportunity to observe the performance of every employee. Some
organisations have found that this method increases the satisfactory level of
their employees, especially with regard to matters related to their self-
development.
However, peer evaluation is not very popular because of the fear that it
could lead to abuse by employees looking for popularity or to take revenge
against co-workers they do not like. In addition, those who have received
negative evaluations from their peers could adversely affect productivity,
team intimacy and job satisfaction. Another reason for its unpopularity is
that the manager himself is reluctant to surrender his evaluative power to
his subordinates.
(e) Team
Besides using peers as assessors, evaluation can also be done by team
mates. It is based on the total quality management (TQM) concept which
encourages workers to work in teams. Although co-workers are at the same
level, position-wise, they do not work as closely together as they would in a
team. Usually, the work produced as a result of teamwork would be
difficult to be judge individually. Therefore, team evaluation is normally
done by looking at the overall product, rather than individual effort.

Similarly, acknowledgement and remuneration will be given to the team

and not to each team member.
(f) Customers
Customers as a resource may be obtained internally as well as externally.
Internal customers refer to those inside the organisation who depend on the
work produced by the employee being assessed, while external customers
are those who buy or use the products or services of the organisation
(Faizuniah, 2002).
To a salesman and other services, for example, customers are regarded as

individuals who can give a true picture of his or her behaviour. Some
organisations use customer satisfaction as a yardstick for bonuses for their
employees. The use of customers as assessors is expected to continue in line
with the increasingly popularity of TQM and the service industry.
6.3.2 Multi-resource Approach/360 Degree Evaluation

Compared to traditional approaches which use only one evaluation resource, the
360 degree evaluation uses feedback from many sources such as the manager, co-
workers, customers and probably the employees themselves. In recent years, this
approach is becoming more popular among organisations which would like to
improve individual performance as well as that of organisation in order to be
competitive. This is because the feedback is able to:
(a) Help achieve business strategic objectives and make changes by identifying
the required knowledge, skills and capabilities;
(b) Design training and development programmes needed; and
(c) Keep track of the employees development, to see how much they have
applied what they have recently learned.
In addition to getting the competitive edge, other factors such as increase in

teamwork and emphasis on customer satisfaction resulting from improvement in
the quality of operations contribute to the employers acceptance of this
approach.
In general, the feedback obtained is more comprehensive and may be used for
self-development. Some organisations use it as an input in decisions on
compensations and other administrative purposes. However, problems arise if
the assessor is inefficient or biased. Glaring discrepancies in the evaluation marks
will create problems for the administration when tallying the results. The
following are the advantages and disadvantages of the 360 evaluation technique.
Refer to Table 6.10.

ACTIVITY 6.10
There are some samples of performance appraisal for an effective
human resource management such as the 360-degree, the Harrison, the
Campbells and the Myers-Brigg. Watch this video
http://www.youtube.com/watch?v=uJj91ycYdNg&feature=fvw title
Human Resources: Employee Performance Appraisal Samples and
answer the questions below:
(a) What are the key points of employee performance appraisal
samples mentioned in the video?
(b) Discover why the 360-degree sample is an effective performance
appraisal?
Discuss the answers in the class or the myVLE forum.
Table 6.10: Advantages and Disadvantages of the 360 Degree Evaluation
ADVANTAGES
Is a more comprehensive evaluation system because the feedback is obtained
from many sources;
Better quality information. (Respondents quality is more important than
quantity);
Is able to complement the TQM initiative by emphasising evaluation from
internal and external customers and teams;
As the feedback is from many sources and not from individuals, it can reduce
bias and prejudices; and
Feedback from co-workers and other sources may help in improving employees
self-development.
DISADVANTAGES
System will become more complex if various feedback is combined;
Feedback could create resentment if the employee knows the respondent is
trying to destroy him;
There could be contradictory opinions although all opinions are true from the
assessors perspective;
Employees might give an illegal evaluation of each other; and
Assessor might not be accountable for the evaluation he or she has made if his or
her name is not stated.
Source: Bohlander, Snell and Sherman (2001)

The process of designing the performance appraisal system is a critical one.

During the designing process, various issues such as how the performance is
going to be measured, who are going to be assessed, when it is going to be
done, etc. have to be considered.
In defining the performance standards, matters such as strategic relevance,
criterion deficiency, criterion contamination and reliability should be taken
into account.
As for the measurement criterion, the organisation may use the approach
based on judgment (relative or objective) or on the focus of the measurement
itself such as personality, behaviour or outcome.
The measurement criterion chosen will determine the measurement approach
to be used by the organisation.
Measurement methods can be divided into evaluation based on
behaviour/work, personality, outcome and those not included in any
category mentioned.
After selecting the evaluation method, the organisation has to decide on the
assessor.
It may apply the traditional method, i.e. using either the manager, supervisor,
subordinates, the employee himself, co-workers, team or customers or a
combination of all these (360 degrees) to do the evaluation.
360 degree evaluation Non-graphic rating scale

Behaviour observation scale (BOS) Paired comparison
Behaviourally-anchored rating scale Performance appraisal
(BARS)
Performance measurements
Critical incident
Performance standards
Forced choice approach
Ranking
Graphic rating scale
Weighted checklist
Management by objective

Essay Questions
1. Explain briefly four things that you need to pay attention to when
developing performance standards.
2. State the differences between the performance measurement criteria based

on relative judgment and the one based on objective judgment.
3. Although managers and supervisors are the most commonly used

evaluation resources, they have their disadvantages. Discuss.
4. Self-assessment may not be regarded as an appropriate method to be used

in any situation. Based on what you understand, under what conditions
may this method be considered appropriate and useful?
5. State two advantages and two disadvantages of the 360-degree evaluation

technique.
6. State three advantages of using subordinates as an evaluation resource.
7. Although an assessor is able to record the whole performance of an

employee in the critical incident method, it has its disadvantages. State
them.
8. List seven steps in designing a performance appraisal system.
1. The assessor usually does not know the weightage value allocated for each
item in the weighted checklist method.
2. Although employee performance may be measured by the sales volume
and total production, this method has the problem of criterion
contamination.
3. The behavioural-anchored rating scale method measures the frequency of
the expected behaviour only and does not require the assessor to select the
behaviour that contributes the most to the dimension of the job being
measured.

4. One of the disadvantages of the critical incident method is that it focuses

only on extreme behaviour.
1. The ____________ method requires the assessor to read carefully every item
that is paired before making a selection.
A. forced distribution
B. ranking
C. forced choice
D. paired comparison
2. The normal procedure used in this method is grading the overall

performance of an employee from the highest to the lowest.
A. Ranking
B. Forced choice
C. Paired comparison
D. Checklist
3. Evaluation by co-workers is seldom used because:

A. It could be used to take revenge.
B. The negative evaluation will affect the interrelationship between
employees.
C. The manager himself is reluctant to give up his evaluative power to
his subordinates.
D. All of the above.
4. The following are the advantages of the 360 degree evaluation resource
EXCEPT:
A. Information is of better quality.
B. The system will be more complex if the various feedback is combined.
C. The feedback obtained can help improve the employees self-
development.
D. It is a more comprehensive evaluation system.

5. ____________ refers to the performance standard criterion which is

developed beyond the employees control.
A. Criterion contamination
B. Reliability
C. Strategic relevance
D. Criterion deficiency

Topic Implementation
of Performance
7 Appraisal
System
LEARNING OUTCOMES
1. Identify two types of training for the appraiser;
2. Describe the purposes of performance appraisal interviews;
3. Differentiate the types of performance appraisal interviews;
4. Review the errors made by appraisers during the process of
evaluation; and
5. Summarise the three issues and challenges in developing an effective
INTRODUCTION
At this stage, you would have understood and have an idea of what a
performance appraisal is. By now, you should be able to explain the meaning of
performance appraisal, why it is implemented, the reasons for its failure and how
to plan and achieve a successful performance appraisal.
You have also learnt the process of designing a performance appraisal, such as
determining the criteria for the performance measurements, matters that should
be considered when developing performance standards, approaches to be taken
in measuring performance and selecting individuals as appraisers.

TOPIC 7 IMPLEMENTATION OF PERFORMANCE APPRAISAL SYSTEM 129
After knowing which approach to use for measuring performance and after
identifying the individuals who will be responsible for carrying out the
evaluation, now it is time for us to implement the evaluation that has been
designed. In this topic, we will continue discussing performance appraisals by
looking at the reasons why it is important for an organisation to educate the
appraiser and the individual to be appraised, and the ways of implementing it.
Other than that, a few common errors by appraisers will also be discussed. After
a performance appraisal has been implemented, it will be good to have a
performance interview because it gives the supervisor and the employees an
opportunity to find a way of improving the employees performance in future.
This topic will end by highlighting three issues and challenges in implementing a
7.1 EDUCATING THE APPRAISER AND THE

INDIVIDUAL BEING APPRAISED
An effective performance appraisal should be managed as objectively as possible.
However, since a big part of the evaluation element involves the judging of
human beings, this seldom happens. There are individuals who are purposely
biased or have a negative prejudice towards other people. A male manager for
example, may harbour thoughts that females are only qualified to stay at home
and thus will give them a low evaluation even though some of them might show
an excellent performance. Other managers, too, may have preconceived ideas
towards a certain group and will allow this matter to influence their evaluation.
It cannot be denied that there are managers who feel threatened by the presence
of younger officers and will give them a low evaluation.
However, not all errors are made consciously. There are errors that are not done
on purpose by the appraiser. This might be due to a lack of experience in
handling a performance appraisal or due to the weaknesses that are present in
the evaluation method developed by the organisation. Although it is difficult to
overcome all these errors over a short period of time, training can be given to the
appraiser from time to time.
An effective training programme will usually clarify the objectives to be attained

from the implementation of the performance appraisal, the methods of
measuring and implementing it, how often it will be carried out, who is
responsible for implementing it and the performance standards that need to be
followed. It is the responsibility of the appraiser to know the actual purpose of
carrying out the evaluation, whether it is to decide who is qualified to receive
training or for promotions and increase in wages. Other than that, the training
managed should also focus on the methods to eliminate errors that are subjective
in nature while carrying out the performance appraisal process.

130 TOPIC 7 IMPLEMENTATION OF PERFORMANCE APPRAISAL SYSTEM
Two kinds of training can be given to an appraiser namely the appraiser error
training and appraiser accuracy training.
(a) Appraiser Error Training

The training given tries to make the appraiser realise the errors he has made
and help him come up with a strategy that can minimise the errors. During
training, the activities carried out include watching videos on the errors
made during evaluation, practising how to do an evaluation and discussing
how the errors can influence the evaluation done. Appraisers will also be
given guidance on how to avoid the errors mentioned.
(b) Appraiser Accuracy Training

The appraiser accuracy training tries to stress the multi-dimension
evaluation and familiarise the appraiser with the actual contents of the
various dimensions mentioned. An example of each dimension will be
given and discussions on the actual level of performance visualised in the
example will be carried out.
Besides giving training to the appraiser, Noe, et.al (2000) has suggested a
few more methods to reduce the errors in managing a performance
appraisal. Among them are:
(i) Strengthening the support of the higher authority for the evaluation
system and actively discouraging the appraisers from deviating;
(ii) Giving the appraiser a little freedom to act and to measure the
performance objectives and the criteria of the employee being
appraised;
(iii) Recognising the achievement of the employee which is not self-
motivated;
(iv) Ensuring that constraints like budget do not obstruct the process;
(v) Ensuring that the evaluation process is consistent for the whole
organisation; and
(v) Instilling transparency to encourage employees to be honest about
their weaknesses.

ACTIVITY 7.1
If you have been an appraiser before, name five kinds of training that
were provided by the management for you before handling a
performance appraisal. Were you satisfied with the training given? If
your management had not provided you with the training, what
would you have done to ensure that the evaluation done was the best?
Below are among the errors commonly made by an appraiser and if they are not
given due attention, it will lead to dissatisfaction among employees. These errors
are shown in Figure 7.1.
Figure 7.1: Appraisers errors
(a) Halo and Horn Effect

The halo and horn effect occurs when an appraiser allows a character or
criteria of an employee to overcome a realistic appraisal over the other
characters and criteria. In other words, the manager will provide high
marks for all the items, just because of one character or criteria. For
example, if employee A is always early for work, a supervisor might
assume that employee A is very hardworking. This can influence the

appraisal given to employee A. Employees may get high marks for all
aspects including the quantity and quality of work because the appraiser
fails to value each item separately.
Other than that, there will be a negative halo effect or better known as horn
effect/devils horn in the appraisal. In this context, a supervisor will give a
low evaluation for all the items based on one bad performance displayed by
the employee. For example, if employee B always makes mistakes in taking
telephone messages, a supervisor will assume that employee B is inefficient
although he has no problems with the other duties. This problem can be
overcome by giving training to the appraiser and indicating the category
that should be evaluated clearly.
(b) Stereotype
Stereotypes are common errors in any evaluation method. It happens when
an appraiser places employees into categories or classes according to age,
sex, race, and disability or criteria related to the organisation, like seniority,
employees membership in the organisation, rank or his relationship with
the higher authority. For example, employees aged 50 and above will be
regarded as individuals who are difficult to train, unable to carry out a job
efficiently and difficult to accept changes. This negative perception will
then influence the overall performance appraisal of the employees.
Conversely, if an employee has a close relationship with higher authority, a
high evaluation will be given. Just like the halo effect, stereotype problems
can be overcome by giving specific training to the appraisers. Besides that,
the organisation must make sure that it does not set scales which are not
related to the appraisal standards.
(c) Attributes
An appraiser might justify every behaviour, which then influences the
employees performance. When a supervisor connects an excellent
performance with an external cause like luck, holding an easy post or
getting help from other friends, the evaluation given will be low.
Conversely, if the excellent performance of an employee is connected to an
internal cause like effort and ability, the employee will get high marks in
his performance appraisal. In short, a supervisor will give high marks in a
performance appraisal to an employee when it is connected to an internal
cause compared to an external one. The attributes error can be avoided by
using the scale method based on behaviour as this method requires an
appraiser to make an evaluation regarding behaviour and not to judge it.

(d) Recency Effect

A recency effect will take place when an appraiser carries out an evaluation
based on the latest information on performance. Basically, an appraiser is
asked to evaluate a recent performance and not the past years
performance. However, in this context, when a supervisor is asked to
review an employees performance for the last six months or a year, almost
all supervisors are more likely to give comments on outstanding or obvious
behaviour or on recent events. If an employee displays an excellent
performance for the first two months only, and for the last month before the
evaluation is carried out, he fails to display an encouraging performance, he
will probably get a low evaluation. To avoid this from happening,
supervisors are advised to keep a log book to record everything that
happens. This will help the supervisor prepare a more comprehensive and
accurate performance report.
(e) Leniency/Strictness Errors

An evaluation will become less accurate if an appraiser is keen to use one of
the extremes (low or high) on the performance scale. A less experienced
and generous appraiser may take the easy way out by giving a higher
performance appraisal than needed to all the employees. This happens
because the supervisor thinks that by doing so, he is making the employees
happy and they will not act aggressively towards him. There are a few
supervisors who are not comfortable with confronting employees who are
dissatisfied with their low performance appraisal. Therefore, all employees
are given a high performance appraisal.
This situation can actually make the employees who are really excellent and
hardworking, feel dissatisfied. This can lead to the decline in their motivation
and productivity. The hire and fire rate will also rise as excellent employees
will migrate to other organisations which can afford to give them an accurate
performance appraisal as well as the acknowledgement that is due.
Besides having supervisors who like to give a high evaluation to all employees,
there are those who are too strict and give a very low evaluation to all
employees, although they have displayed good work performance. This
situation will also cause problems which are similar to the supervisor who is
lenient, although this error is not often done as compared to the leniency error.
(f) Central Tendency

Supervisors who have a wide control reach and do not have the
opportunity to observe all their employees behaviour, tend to give an
average evaluation for all the dimensions evaluated. This is considered a
safe strategy since no employee will get an evaluation which is too low or
too high. Some of the methods used will force an appraiser to give an

average evaluation to all employees as in the forced distribution method.

Besides giving training to supervisors, this problem can also be overcome
by developing an evaluation system based on job analysis. Since job
analysis is more focused on the details of the job content, then the
performance criteria for every job content should be developed.
(g) Contrast Error

If the criteria used is not clear or the ranking method is used, the contrast
error will happen. The evaluation given will usually be influenced by the
previous performance. For example, an employee who has an average
achievement will look more productive when compared to an employee
who has an unsatisfactory performance. The same thing will happen if the
particular employee is compared to an excellent employee. He will
definitely be seen as unproductive. We can overcome this problem if an
appraiser is given training to focus on using the same objective and relating
the behaviour to the performance measured.
(h) Similar-to-me Error

This problem arises when similar factors that are present in the appraiser
and the employee influence the evaluation carried out. For example, when
an appraiser and an employee come from the same village or school, the
employee will get a more positive perception from the appraiser. The
employee involved may be given a high evaluation even though his actual
performance is average. The effect of this similar-to-me error is enormous
especially when similarities are based on factors like community, sex and
religion. This eventually will lead to other problems or discrimination.
(i) Evaluation Politics

Evaluation politics is when an appraiser manipulates the scale in order to
achieve his personal objectives. It usually exists in the evaluation system and
also in the culture of the organisation. A number of factors that may contribute
to this problem include the evaluated employee being entrusted to the
appraiser, competition in the objectives set and a direct relationship between
the appraiser and the rewards. At the same time, evaluation politics will take
place if the manager on the higher level does not seem to protest the
manipulation done or is satisfied with the situation. Unfortunately, this
problem cannot be eliminated fully and research to overcome this problem is
limited.
Besides educating the appraisers, the individual being appraised should also be
educated and informed of the performance appraisal system practised by the
organisation; how it will be done, what kind of performance is expected by the
organisation, what will be measured and so on. Be doing so, the supervisors and
managers will not be accused of manipulating the evaluation conducted. An

individual who is clear about what is expected and what is desired will be more
satisfied and will usually perform excellently. The appraiser errors can be summed
up as shown in Table 7.1.
Table 7.1: Summary of Appraiser Errors
Errors Details
Halo and Horn Effect Halo Effect: Positive evaluation towards employees based on
one criteria.
Horn Effect: Negative evaluation towards employees based
on one criteria.
Stereotype Evaluation based on personal criteria
Attributes Evaluation based on the causes of an employees particular
behaviour
Recency Effect Evaluation based on employees latest performance
Leniency/Strictness Leniency error: evaluation given is higher than what it is
Errors supposed to be.
Strictness error: evaluation given is lower than what it is
supposed to be.
Central Tendency Average evaluation for all employees
Contrast Error Evaluation based on comparison among employees
Similar-to-me Error Evaluation based on the similarities between the appraiser
and employee.
Evaluation Politics Evaluation based on personal or companys interests.
ACTIVITY 7.2
In your opinion, what form of training is needed to educate the

appraiser and the individual being appraised? Discuss the errors
commonly made by an appraiser.

7.2 PERFORMANCE APPRAISAL INTERVIEWS

Performance appraisal interviews may be considered part of an important
process in performance appraisals. Performance appraisal interviews actually
give the manager a chance to discuss performance records with the employee
and discuss rooms for improvement. Other than that, it also gives the managers a
chance to know their subordinates attitude and feelings which may help
improve the communication flow.
Depending on the objectives of the evaluation system, the interview carried out
may try to fulfil a number of the following aims:
(a) To present the records or the summary of an employees work performance;

(b) To get feedback, ideas and suggestions from the employees and
information about their work aspirations;
(c) To inform employees about the position of their work performance in the
organisation;
(d) To evaluate employees for the purpose of promotions or transfers;
(e) For counselling purposes to discuss problems related to job performance as
well as to find ways of overcoming these problems;
(g) To get information for human resource planning; and
(h) To improve the job relationship between supervisor and employees.
Although basically a performance interview has a lot of advantages, many

managers feel that it is a burden. This is because managers have to carry out a lot
of discussions with every employee especially when they are asked to review
past performances and at the same time develop plans for the future. Therefore,
the interview sessions have been divided into two parts; one to discuss the
performance review and the other for the employees growth plans. This division
does not only help the managers carry out careful observation but it can also
lighten his task of acting as an appraiser and a counsellor at the same time.
A big part of the format of handling a performance interview is decided by the

reason it is carried out, the kind of performance appraisal interview that will be
used as well as the arrangement of the performance interview. A number of the
performance appraisal interviews carried out try to give feedback to the
employees about their job performance and try to make plans for their growth in
the future. The interviews implemented are well planned so that both parties are
ready to carry out a discussion. Employees usually will be informed of the
interview ten days or two weeks prior to the date it will be carried out.

SELF-CHECK 7.1
What is the purpose of interviewing an employee in carrying out a
performance appraisal? Explain.
ACTIVITY 7.3
Discuss with your coursemates the preparations of a sample format
for handling a performance interview in your organisation or in your
friends organisation.
7.2.1 Preparations for Handling a Performance

Appraisal Interview
Before handling a performance appraisal interview, below are a few guidelines
that can be followed:
(a) Understand the organisations objectives and policies;
(b) Make sure that the information on the work is updated and the employee is
ready to be interviewed;
(c) Inform the employees early about the date of the interview, its form and the
purpose of having the interview;
(d) Ensure that the location chosen is away from disturbances;
(e) Choose a suitable time. Usually, it is early in the morning and early in the
week;
(f) Make sure you know the attitude and behaviour of the employee to be
evaluated so that a suitable interview technique can be chosen;
(g) Make sure that enough time is given for handling the interview. This
usually depends on the kind of interview chosen and the kind of job or
employee interviewed;
(h) Ensure that every aspect that will be discussed is carried out separately,
that is, done one by one, for example discussing the outcome of the
evaluation done, identifying problems and making career plans; and
(i) Any evaluation decision about the employee must be done only after the
interview process is over.

ACTIVITY 7.4
In your opinion, what are the guidelines needed as preparation for

handling a performance appraisal interview? Discuss this.
7.2.2 Three Kinds of Performance Appraisal

Interviews
Norman R.F Maier may be the individual who has done the most research on the
various approaches in performance appraisal interviews. In his book titled The
Appraisal Interview, he has done a number of analyses on the relation between
the cause and effect on three kinds of interviews, which are:
(a) Tell and Sell Interview

This method usually gives very little chance to the employees to be
involved in the discussions held. Generally, it contains three stages:
(i) The appraiser gives his opinion on the employees work
performance;
(ii) Getting the employee to accept the said evaluation; and
(iii) The employee agrees to follow the plans for improving his
performance.
To ensure the effectiveness of this approach, the employee must first

believe that the evaluation done is fair. This is because the level of the
employees involvement in the evaluation outcome is limited. Therefore,
the skill needed in the tell and sell interview is the ability to influence the
employee to change as desired. The changes may involve developing a new
behaviour on the employees part and also the use of motivational
incentives on the part of the appraiser.
(b) Tell and Listen Interview

Unlike the tell and sell interview, this method provides the employees
opportunities to give feedback. It is the most used method compared to the
other two methods. Just like the tell and sell interview, it also involves
three stages:
(i) The evaluation outcome is presented to the employees;
(ii) Employees express their opinion of the evaluation outcome derived;
and

(iii) The opinions of both parties will be considered in drawing up plans

for future improvement.
(c) Problem Solving Interview

Listening, accepting and giving feedback of what one feels are among the
skills required in a problem solving interview. Maier encourages using this
method because it encourages an employees growth and development.
Through this method, the supervisor and employee will discuss matters
like problems, needs, innovation, satisfaction and dissatisfaction
encountered by the employee while implementing his job.
Although some of the techniques needed for this method, like questioning,
listening and summarising are the same as in the tell and listen interview,
some other techniques are also required:
(i) The ability to produce and receive ideas from employees and to
encourage them to carry out self-assessment;
(ii) Respect and be sensitive to the feelings of the employee;
(iii) Avoid criticising the employees;
(iv) The ability to maintain the flexibility of the interview so that new
problems can be explored; and
(v) The ability to look at the job from the eyes of the employee.
ACTIVITY 7.5
If you are an appraiser, which method would you propose to your

organisation? Why?
7.2.3 Implementation of Performance Appraisal

Interview
There is no fast and easy way of handling a performance appraisal interview.
Even so, there are a number of guidelines that can be followed by managers or
appraisers to improve employees acceptance of the feedback given, the
satisfaction on the interview carried out and the desire to improve the level of
performance in future. These guidelines can be summed up in Figure 7.2.

Figure 7.2: Implementing a performance appraisal
The details of Figure 7.2 are as below:
(a) Self-assessment
Before handling a performance appraisal interview, it would be better if the
employees are given the opportunity to carry out self-assessment first.
Although this particular information may not be used formally, it can
actually help the employees think about their achievements. After an
employee has conducted a self-assessment, the interview process that
follows will be easier, where both the supervisor and the employee will
find a way to solve the conflicting issues. In many of the researches done, it

is found that a number of employees are more satisfied when they are also
involved in the evaluation process.
(b) Encouraging Participation

The basic objective of having a performance appraisal interview is to encourage
a dialogue between the employees and the managers to help improve their job
performance. In other words, employees are encouraged to be actively involved
during the discussion. Only this way, the problems and obstacles faced by the
employees can be overcome and solved right to the roots.
(c) Show Appreciation

Praise is considered as one of the powerful ways of motivation. Employees
usually want positive feedback during the performance appraisal
interview. Therefore, the best way of handling the interview is to start off
by praising the employees past achievements. In this way, employees will
not try to hide the errors that they have made. They will also be more open
in discussing the problems they are facing in the process of carrying out
their jobs.
However, this method sometimes does not bring about a positive effect.
The employee already expects that he or she will be criticised after being
praised. So, it is better if the employees are given criticism first before they
are given positive words about their achievements. However, if the
employees are given continuous feedback, this technique need not be used.
(d) Minimise Criticisms

An employee who has a good relationship with the manager can accept
criticisms given with an open heart as compared to those who do not. Therefore,
before giving any criticism, please adhere to the following guidelines:
(i) Are the criticisms really necessary? Managers who are disappointed
with their employees performance may vent their anger by criticising
them. Make sure that the criticisms are really focused on the problems
that have taken place.
(ii) Do not blow the issues out of proportion. Try to give brief criticism that is
based on facts and focus on the problems that need to be solved.
(iii) Make improvements as your objective. Giving criticisms without
suggestions for improvement will make the discussions pointless. Any
criticism given should be followed by concrete support from the
management in overcoming the problems taking place.

(e) Change the Behaviour, Not the Individual

In general, managers try to become psychologists in looking for the reasons
why an employee acts in a certain way. But when we are faced with a
particular problem, we must remember that it is not the individual
personally that is the problem, but it is more of the actions displayed while
carrying out a job. Try to avoid giving suggestions that touch on an
individuals character. Suggestions should be focused on methods that are
more suitable for carrying out a certain job. As an example, managers can
focus the discussion on the reason for an employees absence, rather than
on personal issues like the employee cannot be trusted or is lazy.
(f) Focus on Solving the Problem

It cannot be denied that there are managers who try to blame the employees
in the process of solving the problems related to performance. Blaming and
finger pointing between the two parties will not bring any good. If this
situation persists, both parties will fail to see the reasons why the problem
exists. Therefore, during a performance appraisal interview, both parties
must analyse the reasons why the problem exists and try to find the best
solutions for them.
(g) Give Support

One of the techniques that can encourage an employee to be involved in the
problem solving process is by asking, How can I be of help to you?
Employees will then blame matters like bureaucracy or the lack of resources
for the decline in their job performance. In this case, managers should be
more open-minded and always give their support to help the employees
face the problems and to enable them to achieve higher.
(h) Develop Objectives

Since the main objective of having a performance appraisal interview is to
make plans for improvements, it is important for managers to focus on the
future. In preparing objectives for the employees, managers should pay
attention to matters like:
(i) Emphasise on the strengths that the employees can develop instead of
trying to overcome their existing weaknesses;
(ii) Focus on the opportunities for development in the employees current
situation;
(iii) Limit the opportunities for development to a few important matters
that can be achieved within a reasonable period; and
(iv) Develop specific action plans by stating how each objective can be
achieved.

(i) Day to Day Follow Up Actions

Ideally, performance feedback should be made part of the managers job.
Useful feedback is usually given promptly and specifically for a certain
situation. Unfortunately, managers and employees are seldom happy and
satisfied with the discussions held during a performance appraisal
interview. This can be overcome by using the guidance approach and by
giving informal advice regularly and continuously.
ACTIVITY 7.6
Based on the guidelines given above, which is the most effective in

your organisation? Why?
7.3 IMPROVING EMPLOYEES PERFORMANCE

In many situations, the outcome derived from a performance interview gives a
lot of information about the problems related to job performance which can be
used as a base for making plans for the future. As long as these problems are not
brought to the employees knowledge, they will continue to display a
performance that the organisation is not happy with. There are some employees
with low performance who are not aware of what is expected of them and in this
kind of situation, corrective measures are very much needed.
7.3.1 Causes of Ineffective Performance

Before taking any corrective measures, managers and supervisors should first
understand and know why employees are not able to perform as is expected of
them. There are a number of causes why they fail to perform excellently and
most importantly, managers and supervisors must bear in mind that every
employee is unique and have different strengths and weaknesses. Other than
that, factors like job environment, external environment like homes and society
as well as personal problems, can also contribute to performance problems. In
order to get a clearer understanding, Table 7.2 lists the sources that can influence
an employees performance level.

Table 7.2: Sources of an Ineffective Performance
Experience and Organisations Policies Personal Problems

Unsuitable job placement Stress
Lack of training Communication problems
Ineffective job experience Financial problems
Not firm in enforcing job policies Unstable emotions
and standards Conflict between demands of family
Employees needs are not taken care and job
of by the organisation Physical constraints like disability
Lack of communication Low work ethics
Employees are not sure who they Other family related problems
should reporting to
Lack of effort
Unclear job descriptions
Immature
Job Related External Factors

Job needs constantly changing and Extreme competition
unclear Rules constraints
Fed up with job Ethics
Lack of career opportunities Conflict between management
Obscure job functions and employee unions
Conflict between management and
employees
Problem with co-workers
Unsafe job environment
Lack of raw materials and tools
Inability to perform jobs
Excessive workload
Lack of job skills
Using drugs and alcohol
Health problems
Source: Nankervis, Comptom and Baird (2002)

Therefore, it is proposed that the diagnosis done on the employees should focus on
the three elements namely, skills, efforts and external situations. For example, if
Fauzan fails to display the performance determined by the organisation, the cause
for the failure may be due to skill problems (like knowledge, ability, technical
skills), problems related to effort (no motivation to carry out job) or problems
related to external environment (short of raw materials or economical factors).

ACTIVITY 7.7
In your opinion, what are the causes of ineffective performance?
ACTIVITY 7.8
Based on your experience and observation, what are the steps taken
by the management to handle employees with performance
problems?
7.3.2 Managing an Ineffective Performance

After knowing the causes for the decline in performance among employees, an
action plan can be drafted. Among the actions that can be taken are giving
training, moving the employees to another department or by asking them to do
another job that is suitable to the skills that they have. Likewise, managers can
motivate the employees to put in more effort.
One of the methods often neglected by the organisation is giving counselling to

the employees. Through counselling, a relationship between the employee and
the counsellor is developed to help them solve their problems, be it related to
their job or their personal life. Although counselling is considered a good
approach, the question is whether the managers or supervisors are qualified to
become counsellors. Normally, when employees come to see a manager or a
supervisor, it is to discuss their jobs and their performances. To overcome this
problem, organisations can use the services of a counsellor from outside to help
solve problems of a more personal nature. A counselling service is usually
needed when an organisation sets up a help for employees programme. This
programme is one of the examples of the initiatives taken by the organisation to
help its employees who have drugs, alcohol, family or financial problems. In
implementing the help for employees programme, attention should be given to
a few matters:
(a) If an employee has a personal problem and the problem does not influence
his job performance, the manager has no right to interfere in his employees
personal problems;
(b) The management may provide counselling services but it is up to the
employees to make use of it;

(c) It is important to provide staff that can voluntarily help employees who
need help;
(d) The supervisors intervention is only to carry out his responsibility in
ensuring that the employees display the desired performance and it is also
his responsibility to give them guidance, training and encouragement;
(e) Continuous monitoring of job performance is one of the ways for managers
and supervisors to have an objective evaluation. If it is found that the
employees performance is not satisfactory, the manager and supervisor
have the right to discuss this with the employee and advise him on how to
improve his job performance;
(f) Recommendations to see a counsellor will only be done if the manager and
supervisor fail to solve the problems through formal channels; and
(g) The procedure for help for employees programme should be adjusted
according to the organisations existing policies.
SELF-CHECK 7.2
What are the methods that can be used to handle ineffective work
performance?
7.4 ISSUES AND CHALLENGES IN DEVELOPING

AN EFFECTIVE PERFORMANCE APPRAISAL
Other than the nine kinds of errors done by an appraiser, there are also other issues
that should be addressed. To end this topic, below are the three issues that can be
considered collectively. These three issues are described below in Figure 7.3.
Figure 7.3: Issues and challenges in developing a performance appraisal
ACTIVITY 7.9
In your opinion, what are the issues and challenges that will arise in
developing an effective performance appraisal?

7.4.1 Managing Marginal Employees Performance

Marginal employees are employees that have a low level of performance. They
are not able to display a high work performance due to a lack of ability and/or
motivation (Noe, et.al 2000). Therefore, appropriate actions should be taken to
overcome this problem.
Figure 7.4 shows the suggested actions that can be taken by a manager on four
categories of employees. To make sure that the actions taken are relevant,
managers should take into account factors like ability and motivation. In
determining the level of ability, managers must make sure whether an employee
has the knowledge, skills and ability that will enable him to carry out his job
effectively. For a new employee or an employee who has been transferred to a
new post, this matter can pose a problem.
Figure 7.4: Ways of managing an employees performance

Source: Noe (2000)

From the aspect of the employees motivation level, a manager must first make
sure that the employee gets a suitable job match besides getting a salary that
commensurates with the job done. If all these matters have been considered,
then,any sudden changes that occur in an employees performance may show
that he is having personal problems.
Now let us look at the four categories of employees that are based on their ability
and motivational level. An employee with a high level of ability and motivation
are in the same category as other employees who have a solid performance. In
many cases, this type of workers are usually marginalised from training and self-
development programmes by managers because they assume that employees
with solid performances do not need guidance or training. However, it would be
best that training and development programmes are continued even though the
managers know that these employees are in the same category as the employees
with solid performances. This is to enable them to continue being successful and
to maintain their existing performances.
Employees in the second category have a high level of motivation but lack ability
(misdirected efforts). They can be helped through training. Employees in the
third category who have the ability but lack motivation (low use), can be helped
by focusing on problems between individuals and incentives. For work
performance that is chronic(deadwood) i.e. employees who lack ability and
motivation, termination may be the best solution.
7.4.2 Performance Appraisal that is Valid and in

Accordance with the Law
In handling a performance appraisal, a manager should pay serious attention to
his position from the legal aspect. An employee who is dismissed as a result of a
low job performance may make a legal claim to get his job back. Since there is
potential for an unjust dismissal, an organisation must form a performance
appraisal system that can be defended legally.
For the last few years, the Industrial Court is very consistent with its message to
employers. It cannot be denied that the employer has the right to dismiss any
employee who fails to display a satisfactory performance, but the employees
must be treated as fairly as possible. The Industrial Court has demanded that
employers take the following actions before dismissing an employee.
(a) An employee should be told in writing that his job performance cannot be
accepted. The letter to the employee should contain:
(i) An accurate elaboration on what is lacking in his current
performance;
(ii) A warning that unless there is an improvement in performance, the

employee may be dismissed; and
(iii) A time frame for the employee to show a marked improvement in his
performance.
(b) The management must discuss with the employee the problems related to
their performance and develop an action plan together to overcome the said
problem. Depending on the nature of the problems faced, the employer
may be forced to give training, retraining or counselling to the employee
concerned.
7.4.3 Use of Technology in Performance

Management: Electronic Monitoring
How would you feel when you are told that all your movements are being
observed by the management through a camera fixed in your office? Some
companies, like General Electric in America, record and review telephone
conversations of their agents at the customer service centre for the purpose of
improving its customer service. American Airlines also monitors telephone calls
made by their agents at reservation centres. The manager can listen to every
conversation carried out by their agents and see how they enter the reservation
details into the computer. Although electronic monitoring has its own
advantages, it can weaken the spirit, lower the dignity and gives pressure to the
employees being monitored. To avoid negative effects such as these, the manager
should inform the employees of its real purpose.
Other than electronic monitoring, nowadays, we have performance appraisal

software that can help managers develop assessment forms according to the
needs of every job. The application of this performance software can help to
overcome certain performance problems. Managers only need to set the standard
for every job and make an evaluation based on the relevant standards. After that,
the computer will process and give a brief report of the strengths and weaknesses
of the employee being evaluated. During the process of diagnosing, managers
need to give information related to performance problems like whether the
employee that has the skills and training has caused problems in the performance
measured, information related to the job environment or whether an employee is
working under a time constraint. In short, this software can help lessen the
managers duties in processing and handling a performance appraisal.

ACTIVITY 7.10
In your opinion, is it proper for an employer to monitor your
movements in the office through a closed circuit camera? Give
justifications.
Since performance appraisal involves the judging of human beings, we

sometimes fail to implement it objectively and effectively.
A number of errors like the halo and horn effects, stereotyping, attributes,
recency effect and various other errors are, either consciously or
unconsciously, often done by appraisers.
Therefore, appraisers need to be educated and trained to avoid making these
errors.
Among the training that can be handled by the management are appraisers
errors and appraisers accuracy training.
Besides the appraisers, the individuals being evaluated should also be trained
and informed of the evaluation system used by the organisation.
The individual being evaluated has the right to know when and how the
performance appraisal will be carried out, what the expectations of the
management are, what is to be measured and so on.
This way, the supervisors and managers will not be accused of manipulating
the evaluation.
After a performance appraisal has been carried out, a performance appraisal
interview is carried out to give the supervisor and the employee a chance to
sit and discuss a solution to improve future performances.
Issues like managing employees marginal job performance, a performance
appraisal which is valid according to the law and the use of technology in
managing performance appraisal should be given attention This is to enable
the management to develop an effective performance appraisal.

Central tendency Recency effect

Electronic monitoring Self assessment
Halo and horn effects Stereotype
Performance appraisal interviews Tell and listen interview
Problem solving interview Tell and sell interview
Essay Questions
1. If you want to give criticisms during a performance appraisal interview,

what are the factors that you should pay attention to?
2. List five techniques that are needed when handling a problem solving
interview.
3. Give two causes for the decline in performance among employees from the
sources below:
A. Organisations practices and policies
B. Job related
C. Personal problems
D. External factors
4. List nine guidelines in implementing performance interviews.
5. Give four purposes of implementing a performance interview.
6. Explain two methods of managing employees in the following categories:

A. High potential employees
B. Misguided efforts
C. Low use
D. Deadwood

7. Explain briefly the matters that should be looked into in implementing the
help for employees programme.
1. Kamil gave Razak a high performance because they were in the same
university. Kamil has committed a leniency error.
2. Hasnah obtained low marks for her evaluation performance because her
supervisor assumed that she has an easy job and is always helped by her
friends. This is an attribute error.
3. Azizul was so busy with his new project that he forgot to prepare the
performance reports for 10 of his employees. As a result, he hurriedly wrote
a report only based on facts that were fresh in his mind. The error
committed by Azizul is a halo error.
4. Suhaini is not satisfied with the performance appraisal marks that she
obtained, although the marks are high. This is because her co-worker, who
always plays truant, also obtained the same marks. The error committed by
her supervisor is called contrast error.
5. Jaja always gets a negative perception from her manager who thinks that
she is not efficient in doing her job and that she cannot work under
pressure because she is a female. This is an example of a stereotype.
1. Employees in the _____________ category have the capability but lack

motivation.
A. high potential
B. misdirected efforts
C. low use
D. deadwood

2. Azmin failed to display an excellent performance because the organisation

where he works often failed to provide sufficient raw materials and tools.
Azmins declining performance is caused by:
A. Organisational practices and policies
B. Personal problems
C. Job-related problems
D. External factors
3. In making preparations for handling a performance appraisal interview, the

following steps should be taken EXCEPT:
A. Understand the organisations objectives and policies
B. Choose a suitable time
C. Make sure the venue chosen is away from disturbances
D. Any evaluation outcome should not be delayed until the interview
process is over.
4. Tipah is considered as a hardworking employee by her employer because

she often stays late at the office. Tipah obtained a high performance
appraisal; so, which error has her employer made?
A. Halo effect
B. Recency effect
C. Central tendency
D. Stereotype
5. Employees in the low use category can be helped through the following
EXCEPT:
A. Counselling
B. Increment freeze
C. Training
D. Direct and sincere feedback

Topic Introduction
to Career
8
Planning
LEARNING OUTCOMES
1. Describe the key terms related to the process of career planning;
2. Explain the processes involved in career planning;
3. Discuss the major roles of career planning; and
4. Summarise the six types of career paths.
INTRODUCTION
Career planning is a continuous process in which an individual sets his career
objectives and identifies the steps he should take to achieve them. It is a difficult
process because, nowadays, an average worker who graduates from an
institution of learning will change jobs at least three times during his career. This
is due to changes in technology, environment, economy, politics as well as the
individual himself. Employees nowadays want a job that is challenging and
different than that of other people. This is because when the individual is
exposed to various tasks and responsibilities, he will acquire more skills, abilities
and capabilities. This will expose the employees to a variety of job environments
and at the same time, they can gain valuable experience.
When we were young, we were often asked what we would like to be when we
grow up. The common answers would be a teacher, nurse, soldier or doctor. This is
because when we were 10 years old, we could not differentiate between the
concept of adult and career. We would always give this answer because these
were the people that we often came across and in our eyes, they have great careers.
However, as we grew up, we became more curious about careers. As teenagers,
we would explore many things to find out what activity interests us the most.
Then, we started to think of a career that is closest to the activity that we like.

TOPIC 8 INTRODUCTION TO CAREER PLANNING 155
Thus, teenagers who like to draw are keen on taking up architecture or art as
their career.
Nevertheless, we have to realise that the working world of today is far different
from that of yesterday. If our parents had only one job throughout their working
lives, we, on the other hand, have to perform a multitude of tasks in different
organisations during our 30-year career span. Things such as globalisation,
technology and innovation are reasons for the changes in our jobs as well as in
our careers. These indirectly have caused retrenchment and downsizing which
have made it almost impossible for the individual to remain in the same job in
the same organisation. In view of the challenges of todays working world, this
topic is thus important for us to examine and study.
The focus of this topic is on the concept of career planning itself. Students will be
exposed to what career planning is, its role from the perspective of the individual
and the organisation and the different types of career path.
Career planning is a process that involves the individual and covers activities
such as self-appraisal and assessment of career opportunities. It is also an
opportunity to improve ones self and help one to achieve the objectives and
aspirations of ones career.
Career planning may be said to be an important activity for an organisation as

well as for the individual. For the latter, it can help him realise his career
objectives so that these are in line with the objectives of the organisation. For the
organisation, it can reduce the turnover rate of workers, the cost of recruiting
workers as well as help to develop its employees.
8.1 DEFINITION OF CAREER

Before we look at career planning in detail, we need to first understand the
terminology of career itself.
The Dewan Bahasa dictionary defines career as:
...the journey or development in ones life that he has chosen as his field of
work as a means of livelihood. It is also an activity that is done continuously
to earn an income to support ones life.

156 TOPIC 8 INTRODUCTION TO CAREER PLANNING
DeSimone, Werner and Harris define career as:
... the pattern in the journey that is related to work during someones
working life.
Mondy and Noe (2005), define career as:
.... a job that has been chosen to be accomplished during someones working
life.
A career is an action to determine the direction of ones work. An individual may

change his career once or many times depending on various factors such as
technological changes, interests, environment, marriage or his or her own desire
for change. We may have met or heard of an engineer-turned-businessman or an
accountant who has switched to teaching. Why did they switch careers? There
are many reasons for this including interests, skills, experience and
opportunities.
In general, a career is a sequence of related job designations held by someone

until he retires, although not necessarily with the same organisation. For
example, someone started work as a clerk in organisation A, and was then
promoted to chief clerk after working for five years in the same organisation. Ten
years later, he moved to another organisation, B, and was made an
administrative executive officer.
What comes to your mind when you hear the word career? You might think
that a career is the same as a job. Actually, these are two different concepts. A
career refers to all the types of work that a person has held throughout his
working life. Normally, an individual with a career will try to improve his
knowledge, skills and capabilities in order to get a higher position in an
organisation compared with an individual who has a job. At the organisation
level, what the human resource manager does to help the employee achieve his
career objectives is known as career development.
To help students understand the full meaning of career, we will explain the terms
related to it. There will be a detailed explanation of some of these terms in Topic
9 and 10. These terms are explained in Table 8.1.

Table 8.1: Terms Related to Career
Terms Definition
Career Something that someone chooses to do throughout his or her

working life.
Career Planning A continuous process done by an individual in defining his
objectives and identifying the steps to meet these objectives.
Career Path Inter-related sequence or network of jobs in an organisation. It

refers to the levels of improvements in a job held by an
employee.
Career Anchors The things or values that an individual places priority on in his
career. Besides support, great importance is placed on
autonomy, independence, creativity and job assurance.
Career Audit Review of career planning and achievements. It is normally
done annually, semi-annually or quarterly. It is also regarded
as a company strategy in helping an individual understand
why he or she is doing what he or she is doing, how to be
accountable for his or her own career and how to identify the
resources required to manage a career in an ever-changing
environment.
Career A programme that helps employees understand and learn
Counselling about his or her capabilities, assets, limitations, interests and
objectives. It also helps the employee identify his or her
position in the organisation, internal and external
opportunities as well as the training required to enable him or
her to exploit his talents. In addition, it helps him or her
develop his or her career planning using the information on a
particular career and identifying the organisations needs,
development opportunities as well as his or her own needs
and interests.
Career A process that assesses, coordinates and balances the needs,
Development capabilities, opportunities and challenges of the organisation
and individual. It also focuses on the individual who carries
out and adapts himself to the various job roles. The
programmes main interventions include conducting self-
assessment and carrying out the development process that can
influence both organisation and individual to formulate an
optimistic match between the job and the individual.
Career Mobility Desire to make several changes in ones career instead of
being committed to only one aspect of the career.

Career Plateau A level in ones career where the prospects for job promotion
no longer exist. This could be because the individual has
reached the highest level in the same organisation or industry
or because of age discrimination, downsizing, restructuring or
lack of skills or motivation.
Career Stages Levels experienced by employee throughout his working life.
ACTIVITY 8.1
Discuss with your friends the meaning of job and career.
8.2 THE CONCEPT OF CAREER PLANNING

Career planning may help an individual explain his ideas. Having a career plan
indicates that one has a clear picture of his future.
According to Byars and Rue (2000) career planning means:
...a process in which an individual develops his career objectives and

formulates a specific plan on how to achieve them.
Lau and Pang, define career objectives as:
Something that may exist in the short or long run. Long-term plans are
between seven and ten years, while short-term plans are more current in
nature and are between one and three years.
Career planning is a process that determines career objectives as well as career

paths. It refers to the efforts made by an individual to realise the interests,
abilities, values, opportunities, limitations, choices and consequences resulting
from decisions made about his or her career. During this process, an individual
identifies a career which suits his or her interests and formulates an appropriate
plan in order to achieve his or her objectives. In this context, career planning is
related to career management and development.

Career planning is concerned with matching an individuals career aspirations

with the opportunities offered by an organisation. It encompasses and identifies
ways of getting the desired results based on the existing career path.
It also helps the employee in his self-development in terms of his or her interests
and skills. In addition, it may give greater job satisfaction because it helps the
employee identify the job that matches his or her interests and plans. From the
perspective of the organisation, it may save time in terms of staff recruitment,
helps in the planning of staff replacement, identifies the capable employees, and
helps the employee identify his objectives and self-development in order to reach
his targets.
Career planning also covers the process of assessing someones strengths and
weaknesses and is related to career objectives. This process also identifies the
necessary measures which one must take to achieve ones career objectives.
Thus, from the explanations above, we may conclude that career planning is the
relationship between an individuals efforts to manage his career and his efforts
to develop his career. These efforts include:
(a) Determining career objectives, i.e. what the employee wants in his career;
(b) Assessing ones strengths and weaknesses from many aspects such as skills,
expertise and self-potential; and
(c) Developing specific planning to reach the objectives by taking into account
ones strengths and weaknesses.
There are three processes involved in career planning:

(a) The individual knows himself, is aware of the opportunities and choices
available to him and the consequences of his choices;
(b) The individual identifies the career objectives; and
(c) The individual goes through the work, educational and other experiences
that can help him determine his target and what he should do in order to
achieve his career objectives.
SELF-CHECK 8.1
Try to explain what you understand by career planning. Why does
an employee need to plan his career?

ACTIVITY 8.2
As a career person, what are your objectives for the next five and ten
years? What do you plan to do to meet these objectives?
8.2.1 Organisations Career Planning

In your opinion, why should an organisations career planning be in line with
that of its workers?
An organisations career planning is a continuous process. It takes into account

the changes that take place in an individual, organisation and the environment.
Such flexibility is essential to a dynamic organisations environment. It is not
only the organisations needs that change but the individual, too, who might
change his career expectations.
Although the responsibility for implementing his or her career plans lies on the
individual, the organisations career planning has to be in line with that of the
individual so that it can retain its best and most productive employees.
Employees have to view the organisations career planning as an effort to help
them achieve their career objectives as well as guarantee their jobs. The
organisation should provide opportunities to its employees to further their
education and perform various jobs because if they repeat the same tasks year in
and year out, it will not do much for their self-development.
An organisations career planning has to start with defining how a job is done.
Creativity, flexibility, innovation and adaptability are becoming more important
than the ability to perform a particular task. An organisation would be able to
develop the existing structure for future development through effective career
planning. Thus, an organisation should implement its career planning in a way
that can contribute towards realising its current and future objectives. The
approach to and reasons for having the plans differ from one organisation to
another. Career planning programmes could achieve one or more of the
following objectives:
(a) Effective development for talented individuals.
(b) Opportunities for self-assessment which takes into consideration new or
non-traditional career paths.
(c) Career path development that is a cross-section between the department
and its geographical location.
(d) Show of a clear commitment.

(e) Satisfaction towards the development needs of specific individuals.

(f) Improved performance.
(g) Increase in loyalty among employees and a reduction in employee
turnover.
(h) Methods of determining training and development needs.
Effective career planning depends on the organisations ability to satisfy those who
it views as important for employee development and the realisation of its
objectives. We all have our own plans for what we want and ways of achieving
them. We also have our own ways of doing what we want. If there is some
planning, our methods will be clearer and indirectly, we would have a framework
which would help us determine when and how we are going to reach our target.
For a career-based individual, such a planning would help him or her assess
whether he or she is able to get the post that he or she wants and when he or she
would be able to get it. If he or she has done some planning, he or she would be
able to improve his or her existing skills, expertise and capabilities. There are
many paths open to him or her in order to do this, such as taking up certain
courses, furthering his or her studies or getting a mentor.
Career planning is a systematic process of examining and developing the

objectives of human resources and methods of achieving them. Why then is
career planning essential to an organisation? It is because with the process, it is
able to formulate plans on promotion, staff training and also for the performance
of employees who show the potential of being promoted.
8.3 THE ROLE OF CAREER PLANNING

The role of career planning can be seen from two perspectives, that of the individual
and that of the organisation. For an organisation, its workers are an asset and a
valuable property. Therefore, it has to take good care of the workers affairs and
welfare to ensure their loyalty. Career planning provides mutual benefit to both the
employees and organisation in that the former can develop their potential and
capabilities while the latter can plan its manpower needs. You may refer to Figure
8.1.

Figure 8.1: The role of career planning
(a) Role of Individual

When an individual plans his or her career, it is not just to help the
organisation, but also to plan his or her future career. This is because his or
her desires and needs are different from and sometimes not in line with the
needs of the organisation.
When he or she is making such plans, of paramount importance is his or

her own continuous efforts. In fact, it is better that he or she makes plans
before he or she starts working, i.e. while he or she is still studying. This is
so that his or her planning can be identified early on and can help him or
her to look for an organisation that best suits him or her.
Among the steps he/she has to take are:
(i) Identify Own Interests and Abilities

This can be done by critically examining oneself and recognising ones
abilities, interests and capabilities in a particular field. For example, if one
is interested in painting, is good at it, and has won art competitions, then
a suitable career would be an artist, architect or art teacher.
(ii) Plan Own Objectives and Job
This is useful as the objectives would generally be in line with those of
the organisation. With such a plan, an individual would strive to
improve his or her skills, capabilities and knowledge, and these
improvements would certainly enhance his or her opportunity for a
promotion.

(iii) Assessing Career Path Inside and Outside the Organisation

An individual should study the opportunities for self and career
improvement in the organisation he or she is working for. If the
opportunities do exist, then he or she should perform well in order to
get a career boost. If, on the other hand, no such opportunity exists,
then he or she has to look for another organisation which offers better
career opportunities.
(iv) Realising Changes in Interests and Objectives When Career and

Conditions of Life Have Changed
The environment has a tremendous influence on ones life. If an
individual experiences changes in his interest in his job, then he ought
to make other plans so as to not affect his career. For example, take a
clerical worker who is more interested in business than performing
his tasks as a clerk. He has to reassess himself and if he decides to
leave, he should make preparations and plans to change his career.
Studies have shown that an individual who plans his/her career is

usually more successful and feels and reacts positively towards
his/her career compared to someone who does not.
(b) Role of Organisation

An organisation does career planning to prove to the employees its
seriousness, as well as its concern for the latters welfare and future. Career
planning is an indication that it is interested in the employees future as
well as acknowledges their contribution to the organisation.
An organisation can provide various programmes, training and support to

help employees plan their career besides providing space for them to
develop their potential. One of the ways of helping employees is by
providing experts to help, encourage and provide help to them in their
career planning.
Among the roles of an organisation in career planning are:
(i) Preparing Programmes and Plans for Employees

One of the programmes that can be carried out is a career seminar that
discusses aspects that would help employees plan their career, self-
assessment and career objectives.
(ii) Setting up a Career Centre

A database or an information centre can be set up to help employees
search for information on their job and training related to their tasks.

(iii) Career Counselling

Experts/career counsellors can be provided to help employees plan
the future of their career.
(iv) Career Path

A framework on the employees future career path with the
organisation is formulated with emphasis on the skills needed to
improve their tasks and responsibilities, promotion opportunities and
self-potential.
Organisations ought to do some monitoring to ensure that the manager

and employees use the system created besides assessing its effectiveness.
This is crucial to ensure that all the planning done by the organisation for
its employees reach their objectives. Furthermore, it ought to have policies
and information on the job so that employees can do some checking while
planning their career. Unified support from senior management is also
important to facilitate the career planning process.
ACTIVITY 8.3
Read the following situation and suggest the adjustments Ana should
make regarding her problems and the actions she should take. You
may share your thoughts with your friends.
Ana is a clerk in an organisation in Kuala Lumpur. She is a STPM

holder, she does not have any special skills other than the capability of
managing her job. She has an attractive personality. She does not have
any specific career planning although she wants to improve her
economic status. Realising that she lacks academic qualifications, she
registered for a management degree at a learning centre. Lectures are
held after office hours and during weekends.
In addition, she has taken the opportunity to apply for other posts
advertised by the organisation she is working at although she does not
have some of the skills and knowledge required for the post. She failed
to get the post several times; in fact, she was not even called for the
interview. Then, she started to change and became depressed as
compared to her previous cheerful self. This has badly affected her job
performance.

8.4 CAREER PLANNING AND CAREER PATH

What is career path? It can be defined as a particular job sequence or network that
is related to career opportunities in an organisation. It refers to the levels of
advancements in a job held by an employee in his working life.
DeSimone, Werner and Harris (2002) define career path as:
... a continuous process which involves the movement of individuals through

several stages of life, with each stage having its own issues, themes and
tasks.
There are many types of paths which can be taken by an individual in his or her
career. It is related to the advancements he or she experiences in his or her career.
Normally, after working for a number of years, an employee would be promoted
provided he/she has performed well. His or her seniority in a particular post would
also be a factor. However, changes in time, technology and environment have
changed all that.
In general, a career path may be seen as a job sequence or network related to the
career opportunities of an employee. According to Mondy and Noe (2005), there
are six types of career paths, which are:
(a) Traditional
In this type of career path, an individual experiences vertical career
advancement from one post to another. This means that an employee moves
step by step from one post to another to gain knowledge and experience. For
example, an employee starts off as an executive and after five years is promoted
to senior executive, and three years later becomes the chief executive. As we can
see, the career path takes an individual from a low rung of the ladder to a
higher one. This type is seldom used now because it does not promote loyalty
towards the organisation and is less appropriate for a working environment
that requires new skills which can develop consistently.
(b) Network
This type of career path is characterised by vertical career advancement and
lateral career opportunities. It acknowledges internal transfers at a certain
career level and requires one to gain experience at each level before being
promoted. This type is more realistic in that it offers the employee the
opportunity to develop his career as compared with the traditional type. For
example, an employee who has been working as an inventory manager for
several years becomes a shift manager before being promoted. The

drawback to this type is the difficulty in explaining to the staff the particular
path they have to go through at the same job level.
(c) Lateral Skill Path

Refers to lateral movement in the organisation. Employees are encouraged to
find new challenges, but there is no promotion involved. Nevertheless, an
organisation which practises this type of career path may still increase a
workers value by encouraging him to learn various types of duties. Employees
are given the opportunity to develop new skills, while organisations may
acknowledge them based on the type and number of skills acquired.
Organisations also need to make a particular job more challenging, more
meaningful and create a great desire for achievement among their employees.
(d) Dual Career Path

Refers to a method of acknowledging expert workers and technical
professionals without them having to be transferred to management positions.
This type of path is especially developed to solve the problem of technical
workers who are not interested in holding management posts. Such
employees are able to increase their knowledge in their specialised field,
contribute to the organisation and are acknowledged. Studies have found that
this type of path may be able to reduce the turnover rate of employees. It can
save the organisation from incurring huge losses due to skilled workers
leaving because they do not wish to hold management posts.
(e) Demotion
Demotion is normally due to failure. It can also be due to limited
opportunities for future promotion and technological changes. However, it
may be a career opportunity someday, especially if there is a dead-end career
path. It also helps senior employees lessen their pressures at the workplace.
(f) Free Agent (Own Boss)

This is when the employee is his or her own boss or works for someone
whose principles or objectives are in line with his or hers. Free agents may
work full-time or part-time. They usually work hard to increase their skills,
as the more qualified they are, the greater their job opportunities.
Based on the types of career path mentioned above, we can see that there are
many ways for an individual to choose his or her career. Factors which may
influence an individuals career path include interests, opportunities for self-
improvement, the organisation he or she works for and the working environment.
If the career path in a particular organisation is not satisfactory, he or she may
choose to work in another organisation where he or she can develop his or her
own career. You may refer to Figure 8.2.

Figure 8.2: Factors influencing ones career path
Career and career planning are two different concepts.

While career refers to all types of jobs that a person holds in his or her
working life, career planning, on the other hand, refers to a process which
determines career objectives and career paths.
It is the effort made by an individual in order to realise his or her interests,
abilities, values, opportunities, limitations, choices and consequences obtained
as a result of the decisions he/she makes in his/her career.
Career planning is essential because it can help the organisation make plans
on promotions, train employees as well as the job performance of talented
employees who have shown the potential to be promoted.
Individuals and organisations have their own role to play in the process of
career planning.
A career path is essential in helping employees plan their career
systematically.
Nevertheless, there are many factors influencing ones career path including
interests, opportunities for self-improvement, the organisation he/she works
for and the working environment.
All these factors will have an impact on an individuals career planning and
career path.
Career Career planning

Career anchors Career plateau
Career audit Career stages
Career counselling Demotion
Career development Dual career path
Career mobility Lateral skill path
Career path
Essay Questions
1. Explain the differences between a career and career planning.
2. Briefly explain three types of career paths in career planning.
3. Explain three roles that an organisation should play in planning its

employees career.
4. Explain two reasons why career planning is important for an individual.
1. A career is important in ones life.
2. Career planning helps an individual achieve his self-objectives and potential.
3. Career planning is a process in which an individual develops his career

objectives and formulates a specific plan to achieve the objectives.
4. Long-term planning is between one and three years.
5. Current employees need jobs which are more challenging.

6. Career planning is a systematic process of studying and formulating the

objectives of human resources and methods of achieving them.
7. A career is someones choice of job in his or her lifetime.
8. Career planning is a match between an individuals career aspirations and

the opportunities offered by an organisation.
9. Career planning evaluates ones physical appearance and relates it to the

career objectives desired by that person.
10. Employees may increase their potential and abilities while the organisation
may plan its manpower needs.
11. An organisation has career planning for its employees to show that it is
serious in taking care of the workers welfare and future.
12. Studies have shown that an individual who plans his career is usually more
successful than one who does not plan.
13. When an individual plans his career, it will help him plan his future from all
aspects.
14. Organisations should provide career counsellors to help employees look for
jobs.
1. Adib is holding the post of General Manager at Omega Corporation. Before

that, she was a senior executive at the same firm. When Adib started
working there 10 years ago, she was only a trainee executive. Which type of
career path is Adib following?
A. Network
B. Traditional
C. Free Agent
D. Dual career
2. There are three processes in career planning. In the process where an

individual knows himself, the focus is on _______________ .
A. taking care of his own needs

B. identifying his career objectives

C. undergoing the apprenticeship phase
D. being aware of the opportunities and choices available to him
3. Which of the following is related to career management?

A. Office management
B. Career development
C. Task expansion
D. Job expansion
4. Aishah has just completed her sixth form. She has just started working as a
clerk and finds that the job is not challenging. Deep inside her heart, Aishah
desires to be a nurse. What steps should she take to plan her career?
A. Identify her own interests and abilities
B. Stop working
C. Work as a clerk at other organisations
D. Talk about the negative aspects of her present career
5. The type of career path where an employee becomes his own boss is
___________ .
A. demotion
B. lateral
C. free agent
D. insurance agent

Topic Career
Development
9
LEARNING OUTCOMES
1. Explain the concept of career development;
2. Differentiate the stages of career development;
3. Discuss the main processes of designing a career development
programme;
4. Link the choice of career with a persons personality; and
5. Formulate four career development strategies.
INTRODUCTION
Azri has been working as a technician at Syarikat Posim in Kuala Lumpur for
almost eight years. He is an excellent employee and performs his job well.
However, for the past year, Azri has been disappointed and has lost his trust in
the company. Throughout his service with the company, he has always hoped for
a promotion.
Last year, when his office supervisor retired, he was hoping to take over the
vacant post. He voiced out his interest in the post to Encik Lutfi, his Unit
Manager and was given the assurance that the matter would be considered.
Unfortunately, the post was given to an employee who had just been recruited.
Azri was very disappointed and upset. He did not understand why he was not
successful in getting the post. In his opinion, he performed excellently
throughout his service with the company. He has a lot of knowledge and
technical skills and has always achieved the targets set by the organisation.
A few weeks after the incident took place, Azri decided to meet Encik Lutfi for an
explanation. Encik Lutfi was surprised as he did not expect Azri to be very keen on
the vacant post. The excuse that Encik Lutfi gave was that the new employee was

172 TOPIC 9 CAREER DEVELOPMENT
more qualified than Azri. Encik Lutfi also advised Azri to carry on trying and
believed that eventually Azri would get the job that he wanted. Disappointed with
the explanation, Azri planned to get another job in a different organisation.
What Azri went through is a common scenario that occurs in many organisations. In
reality, many managers do not know the aims and aspirations of their employees.
Although there are some employees who have unrealistic aims and aspirations, the
lack of opportunities for employees to develop and build their careers will have a
negative effect on their work performance and that of the organisation too. In
addition, the responsibility for career development should be shared by the
employer and employees. Having realised this matter, we will look at a number of
issues and challenges that managers and employees have to go through when
developing a career in an organisation.
Realising how big the challenges are in the current working world, this topic is
considered very important for us to study. In this topic, our main focus is more
on understanding the concept of career development. Students will be exposed to
the various stages of career development as well as the three processes of
designing the programme. The discussions will end by looking at the link
between the choice of career and personality.
9.1 DEFINITION OF CAREER DEVELOPMENT

There are individuals who equate career development with training. Actually,
career development and training are different concepts. Career development has
a bigger focus and scope and covers a longer period of time. The purpose of
training, on the other hand, is to improve an employees job performance.
However, in career development, the main objective is more towards producing
employees who are capable and competitive in all aspects. Therefore, a career
development programme cannot be implemented within a short period of time.
It is more of a continuous effort which is formal and organised.
Mondy and Noe (2005) define career development as:
...a formal approach used by organisations to ensure employees have the

desired qualifications and skills when required.
A formal career development is crucial to ensure that the workforce is motivated

and committed towards the organisation. Specific career development tools in
career planning and career development programmes are used. This includes
various forms of training and the application of the organisations development
techniques.

TOPIC 9 CAREER DEVELOPMENT 173
DeSimone, Werner and Haris (2002), on the other hand, define career development
as:
... a continuous process that involves the progression of an individual

through many stages of life and every stage has its own issues, terms and
tasks.
In general, we can say that career development is a continuous effort and is

focused towards developing an individual into skilful, capable and experienced
one. The organisation and the employee must both be involved in career
development because there are a lot of advantages to both parties.
ACTIVITY 9.1
What are the efforts that you have made towards your career
advancement? Were you successful in your efforts?
9.2 CAREER DEVELOPMENT STAGE

Many of us went through a form of education that is organised and formal, such
as in schools, vocational schools and colleges as preparation to face the working
world. We then began our career by accepting the first job offer and through the
opportunity given, we continue to advance in the same organisation or in other
organisations. Slowly, we will stick to one job till we retire. The time frame for
every stage of our career varies from one individual to another but most
individuals will go through the stages as shown in Figure 9.1.
Figure 9.1: Career stages and main needs

Source: Adapted from Ivancevich (2004)

According to Ivancevich (2004), there are four stages that every individual must
go through at certain age levels. A persons needs and expectations will also
change when he goes through the stages shown in Figure 9.1. Below are brief
characteristics of all the stages.
(a) First Stage: Apprenticeship Phase

(i) Known as the establishment phase.
(ii) Time frame the first five years after an apprentice joins the
organisation
(iii) The main focus is on job guarantee and security aspects.
(iv) Individuals at this stage must co-operate with those who are more
experienced and must display ability in learning and following the
rules given.
(b) Second Stage: Advancement Phase

(i) Individuals at this phase are usually between the ages of 30 45 years.
(ii) The main focus of employees at this phase is towards the
achievement, pride and autonomy aspects and less stress is given to
the job security and guarantee aspects.
(iii) The employees at this phase depend less on other individuals in
carrying out their jobs.
(c) Third Stage: Maintenance Phase

(i) At this phase, individuals will work to stabilise their past
achievements.
(ii) Although there are no new achievements, the maintenance phase is
regarded as the phase for a person to be more creative.
(iii) Individuals also feel more satisfied because many of the physiological
and financial needs that they require have been achieved in the earlier
phases.
(iv) The individuals focus is more on pride and achieving self-desire.
(v) Many will experience mid-career crisis because they are not satisfied
with their job achievement and will usually experience psychological
stress.
(vi) Employees who are in this phase will become mentors for those at the
apprenticeship phase.
(vii) The main activities will focus on interacting with other individuals.

(d) The Fourth Stage: Strategic Thinking Phase

(i) Also known as the retirement phase.
(ii) Focus at this phase is more on achieving self-desire.
(iii) Activities are more focused towards society like social service or
careers which are more challenging.
(iv) Leadership aspects are more prominent.
While Ivancevich (2004) has divided the career in an organisation into four levels,
Bohlander, Snell and Sherman (2004) have divided career development into five
phases. Figure 9.2 shows a summary of these phases.
ACTIVITY 9.2
Think of the various stages of career development from the time you
started work until your retirement.

Figure 9.2: Phases in career development

Source: Adapted from Bohlander, Snell and Sherman (2004)
The first stage i.e. the preparation for work covers the period until the individual
reaches the age of 25. During this period, an individual will acquire the
knowledge, ability and skills needed to compete in the working world. It is
during this period, too, that careful planning is done.
The second stage is where an individual will concentrate fully on getting job
offers and choosing the right job. The next three stages involve adapting to the
job and organisation chosen, making changes to the objectives made, making a
few career choices, maintaining productivity and getting ready to retire.

ACTIVITY 9.3
After learning the stages in career development, try to identify which

stage you are at now. Discuss its characteristics briefly.
9.3 CAREER DEVELOPMENT PROCESS

The three processes of designing a career development programme are shown in
Figure 9.3.
Figure 9.3: Career development process

Source: Adapted from Gomez-Mejia, Balkin and Candy (2004)
(a) Evaluation Phase

The evaluation phase involves activities like self-assessment and
assessment by the organisation. The objective of having evaluation is to
identify the employees strengths and weaknesses. Indirectly, this can help
an employee choose a career which can be attained and one which is
suitable for him. Through evaluation, an employee can also identify the
weaknesses that he needs to overcome in order to achieve his career goals.
Below are a few tools or methods that can be used for self-assessment as
well as assessment by the organisation.
(i) Self-assessment
When carrying out self-assessment, employees can use career planning
workbooks that contain the organisations policies, work procedures and
career opportunities in the organisation. Besides using career planning
books, employees can also attend career planning workshops managed
by the human resource department or outside parties like consultant
firms and local universities. These workshops are able to provide
information about career opportunities in the organisation and will also
give the employees feedback on their career strategies and aspirations.

Whatever method an employee uses, self-assessment usually involves

skill evaluation training, completing the job interest inventory and
clarifying their values. Skill evaluation training is formulated to
identify the skills of an employee. An employee is usually asked to list
all his achievements before this, after which, he is required to match
the skills that he has with his achievements.
The interest inventory measures the career interest of an employee so

that a suitable career can be decided. A number of inventories can be
used to measure an employees interest. One of the popular
inventories is the Strong Vocational Interest Inventory. This inventory
usually measures a persons interest in many things, like managing
employees who are older, giving speeches and collecting donations
for charity. The total marks from this inventory will be used to decide
the kind of job that is suitable for the employee. Please refer to the
discussions on the choice of career and personality for more details.
The last method which is clarifying values involves the choice of

career according to self-values. A number of values will be listed and
the employees are required to rate the importance of each value. For
example, an employee will be asked to list matters like job security,
power, money and family according to its importance in his life. This
will help the employee choose a career that will give him satisfaction.
The methods used in self-assessment can be summed up in Table 9.1.

Table 9.1: Self-assessment Methods
Methods Details
Career Planning Contains organisations policies, career procedures and career
Workbooks opportunities in organisation.
Managed by human resource department or external parties
Career Planning
and gives information on career opportunities and feedback to
Workshop
employees regarding their career strategies and aspirations.
Skills Evaluation
Identifies employees skills.
Training
Measures employees interests so that a suitable career can be
Interest Inventory chosen. One of the popular inventories is the Strong Vocational
Interest Inventory.
Involves choice of career according to the priorities of self-
Clarification Values
values.

(ii) Evaluation at Organisational Level

In carrying out an evaluation at the organisational level, a few tools or
methods used during the selection process can be applied. Among
them are evaluation centres, psychological tests, performance
evaluation, prediction of promotions, and replacement plans. The
evaluation centre is a situational training like interviews and business
games used to choose a talented manager. Although this method is
widely used in choosing employees, it is also used as a part of the
career development programme. Usually the evaluation centre is used
to measure the skills needed for a particular job. At the same time, it
also gives feedback on the employees strengths and weaknesses
which are found through training. Through this feedback, employees
will better understand the skills required and it can also help them
formulate a more realistic career objective and plan.
A psychological test helps an employee to understand his skills and

interests. Among the tests included in the psychological test is a test
that measures an employees personality and attitudes. A
performance evaluation can be used as a valuable source of
information in career development. Unfortunately, a performance
evaluation is limited to past performances only instead of focusing on
efforts to improve future performances.
Another method that can be used is the promotion prediction method.

This method enables the manager to select potential employees for
promotions. Lastly, we have the replacement programme. It is a
highly challenging career development programme and is more
focused on preparing a suitable candidate to fill an executive post.
Organisations will usually identify suitable candidates inside or
outside the organisation for the post. After being short-listed, the
potential candidate will be tested on his or her skills and his or her
performance will be monitored until the position that needs to be
filled becomes vacant. Evaluation methods at the organisation level
can be summed up in Table 9.2.

Table 9.2: Evaluation Methods at Organisation Level
Methods Details
Situational training is used to select managers and used for career
development. The evaluation centre is also used to measure the
Evaluation
ability required for each job and to prepare feedback for the
Centre
employees regarding their weaknesses and strengths that are not
found in any training situation.
Psychological
Helps employees to understand their skills and interests.
Test
Performance
Carry out evaluations on past performances.
Evaluation
Promotion
Enables managers to decide on potential employees for promotions.
Predictions
Replacement Career development programme to prepare suitable candidates to fill
Planning executive posts.
(b) Direction Phase

The direction phase involves determining the career desired by the
employee and the steps that should be taken in order to realise his career
objectives. This can be done by using two approaches individual career
counselling and information service.
(i) Individual Career Counselling
This is a one-to-one session helping employees examine their career
aspirations. Among the topics discussed are current job responsibilities,
interests and career objectives. This counselling session will usually be
handled by the manager, the human resource staff or a trained
counsellor. Some of the advantages that can be obtained if the manager
himself handles this session are that the manager will know his
employees strengths and weaknesses, it will create trust between
manager and employee and increase employees level of commitment.
(ii) Information Service
This can be implemented through the job dissemination system, skills
inventory, career path and career resource centre. Through the job
dissemination system, the organisation can announce job opportunities
to all employees through the notice board, computer system and
company bulletins. The advantage of this system is that it can improve
employees motivation and performance and reduce the level of hire
and fire. Skills inventory is a record which contains data of the
employees ability, skills, knowledge and background, kept by the
organisation. Next, career path refers to a chart which shows the career

opportunities in the organisation and the steps that need to be taken to

achieve them. Lastly, career resource centre is a centre for collecting
materials on career development like workbooks, tapes and printed
materials. This centre helps the employees determine their strengths
and weaknesses, career choice, education and training opportunities.
The information dissemination methods can be summed up as shown
in Table 9.3.
Table 9.3: Information Service Methods
Methods Details
Organisation announces job opportunities through notice board,
Career
computer system and companys bulletins. The benefit is to
Dissemination
motivate employees performance in order to reduce staff turn-
System
over.
Records that contain data of employees skills, knowledge,
Skills Inventory
education and background which is kept by the organisation.
A chart which shows career opportunities in the organisation
Career Path
and the steps that need to be taken to achieve them.
Career Resource A centre for collecting career development materials like
Centre workbooks, tapes and printed materials.
(c) Development Phase

The development phase involves activities to develop and enhance the
employees skills as preparation for future jobs. Among the development
programmes that are commonly carried out in organisations are:
(i) Mentoring
Mentoring is a constructive relationship between a senior employee
and a new employee. This mentor-mentee relationship can take place
at every level and in all kinds of jobs within an organisation.
Generally, it involves aspects like advisor, role modelling, support in
general and others. Mentoring can be done voluntarily and informally
or in a compulsory and formal manner. Usually, informal mentoring
is more effective. Other than that, team mentoring which is managed
by a professional body is also used to overcome problems like
difficulty in getting a mentor for minority groups and women in big
firms, employees from small organisations or for those who run their
own businesses.

(ii) Coaching
Coaching is a spontaneous and continuous discussion between the
manager and the employee about his job objectives and career
development. There are five characteristics of an employee that will
allow coaching to take place:
An employee who shows new interests and skills;
An employee who requires feedback;
An employee who shows interest in the changes that take place in
the organisation;
An employee who experiences unsuitable job experiences; and
An employee who expresses the desire to get development
opportunities.
(iii) Job Rotation

It is a system to widen the skills of every employee. This system
enables the employees to choose a suitable career path. However, this
system cannot equip an employee with the specific skills of any job as
the time allocated is very short.
(iv) Tuition Assistance

The main objective of this programme is to reinforce the education
and career development of an employee. All study costs will either be
borne fully by the organisation or partly borne by the employee
himself. All this depends on the achievement of the employee in
programmes like seminars, workshops and furthering his education at
institutes of higher learning.
This career development programme can be summed up as shown in
Figure 9.4.

Figure 9.4: Career development process
SELF-CHECK 9.1
The career development process involves three phases, the evaluation,
direction and development phases. Elaborate the three phases.
ACTIVITY 9.4
Based on your own experience, try to recollect the methods you used
to choose a career. Make a list of the factors which influenced your
choice. Then, state whether you are satisfied with your current
career. You can share your opinions with your friends.
9.4 CHOICE OF CAREER AND PERSONALITY

A few years ago, when Peter Drucker was asked about choice of career, he
answered: The chances of getting a job suitable to your needs are one in a
million. He added, If you consider your first job as the best and the most
suitable, you are actually someone who is lazy. (Bohlander, Snell, Sherman,
2001). If we look more closely, there is some truth in his statement. A person
should continue trying and is able to change his career path in order to get a
higher level of satisfaction from the psychological and financial aspects.

In choosing a desired career, an individual can get help from various sources. A
university counsellor or consultant, for example, can help in making evaluations
on attitudes, abilities, interests and the values related to the career chosen. Other
than that, success in career development also depends partly on the individuals
ability to carry out an accurate self-evaluation. In carrying out self-assessment,
the individuals personal factors like academic level and achievement, job
attitude and skills, social skills, communication skills, the ability to be a leader,
interests and values are important. These factors can be measured using the tools
developed by psychologists like the Strong Vocational Interest Blank (SVIB) and
Campbell Interest and Skill Recovery (CISS). SVIB was developed by E.K. Strong
Jr. and is regarded as the earliest measurement for testing an individuals
interests. SVIB is now known as Strong Interest Inventory.
Other than that, John L. Holland, an expert in career counselling, has carried out
research and has proposed a career choice theory. According to Holland, the
choice of career actually displays a persons personality and is not caused by an
event although sometimes opportunities do play a part. Holland also believes
that every achievement in an individuals career depends on his personality and
his work environment. Therefore, he believes that all of us have at least one of
the six kinds of personalities as mentioned in Table 9.4.
Table 9.4: Hollands Career Choice Models
Personalities Job Environment

Realistic
Farming, forestry, building, wood
Enjoys using tools and machines, wood
work, enjoys using physical strength
Investigative
Biology, mathematics, engineering,
Likes to observe and understand data, does
geology
not enjoy social activities
Social
Enjoys activities involving people,
Psychology, social work, preaching
education, likes to give training, and share
information with other people
Conventional
Enjoys working in a structured situation,
Accounts, finance, military, clerical
likes to receive instructions
Enterprising
Management, law, sales, employee
Enjoys oral activities and influencing other
relationship
people
Artistic
Enjoys own creative sayings, does not like Arts, music, drama, interior decoration
repeated activities
Source: Adapted from Kossek and Block (2000)

After making a career choice, although tentatively, the next step is to decide
where you want to work. The choice of organisation is usually based on factors
such as location, the job vacancy that is to be filled, salary and others.
According to Douglas Hall, an individual will normally choose an organisation

based on the environment and how far it fulfils his desires (Bohlander, Snell and
Sherman 2001). An individual who has a strong desire to succeed may choose an
organisation that is aggressive and is achievement-oriented. An individual who
enjoys power will look for a more prestigious organisation and is power-oriented
while a passive individual will choose an organisation that is friendly, easy and
will always give support. However, the effects of the various changes taking
place have denied the individual the opportunities to remain only in one
organisation throughout his career. To continue being successful in his career, an
individual should be more flexible and ready to work in various organisations.
ACTIVITY 9.5
In your opinion, does personality influence an individuals choice of

career? Why?
ACTIVITY 9.6
What are your comments on Hollands career choice model? You can
discuss and exchange ideas with your friends.
9.5 CAREER DEVELOPMENT STRATEGIES

To end the discussion on this topic, we will look at a number of strategies which
can be applied by an organisation in helping an employees career development.
The strategies can be summed up as shown in Figure 9.5.

Figure 9.5: Career development strategies
(a) Information System and Career Path

To ensure more effective career development, many organisations try to get
comprehensive and accurate information on the career opportunities
available in the organisation. The presence of computer technology has
enabled organisations to display job vacancies and also to accept
applications electronically. Organisations, too, have used the career
management committee to review employees job achievement and develop
objectives and career planning that is more realistic and systematic.
(b) Skills Evaluation and Continuous Training

The key factor to achieving an effective career management is to have
continuous improvement in employees skills. Besides that, the organisation
can help in defining the needs in career development, designing corrective
measures and organising training programmes.
(c) Career Development for Marginalised Group

A workforce that is made up of various backgrounds in terms of gender,
community and citizenship that has been denied its rights to rise in the
organisation must be given more opportunities to attend career
development programmes. Organisations that are planning to increase their
various workforces should recruit, give feedback, additional training and
counselling to this group as well as develop a special mentoring
programme for them.

(d) Career Counselling for All Employees and Career Development Workshops
for All Managers
The first time an organisation starts a career development programme, the
focus is more towards efforts in giving career counselling for every
employee. The human resource experts will be given the responsibility of
handling one-to-one counselling to discuss interests, objectives and other
important factors for career progress. Nevertheless, when the programmes
scope becomes wider, the high dependency on individual counselling will
lead to an increase in costs. However, when an organisation becomes more
experienced in handling career development programmes, group career
development workshops can be used.
SELF-CHECK 9.2
What do you understand by career development strategies?
ACTIVITY 9.7
Discuss with your friends the best strategies in planning your
present career.
Career and jobs are two different concepts. Career can be referred to all the
jobs held by an individual throughout his working life.
In an organisation, the efforts carried out by the Human Resource Manager to
help an employee achieve his job objectives is known as career development.
An individuals career begins when he accepts the first job offer and through
the opportunities given, will rise in the same organisation or in a different
one.
Although the time frame for every stage of the career is different for every
individual, many of them will go through the same stages.
In the process of designing a career development programme, three main
phases i.e. the evaluation phase, the direction phase and the development
phase need to be followed.
The evaluation phase involves self-assessment activities and evaluation on
the part of the organisation.
The direction phase involves defining the kind of career desired by the
employee and the steps to be taken so that the career objectives will become a
reality.
The development process, on the other hand, involves activities for
developing and improving the skills as preparation for getting job
opportunities in the future.
Lastly, John L. Holland, a career counselling expert, believes that the
achievement of every individual depends on his personality and his job
environment.
Therefore, each of us has at least one of these six personalities: realistic,
investigative, sociable, conventional, enterprising and artistic.
Advancement phase Maintenance phase

Apprenticeship phase Mentoring
Career counselling Strategic thinking phase
Coaching Tuition assistance
Job rotation
Essay Questions
1. Elaborate the differences between career and career development.
2. Give two differences between the apprenticeship phase and the strategic
thinking phase.
3. In the process of designing a career development programme, three phases,

namely the evaluation phase, the direction phase and the development
phase will be followed. Name the programmes that are usually carried out
in the development phase.

4. State briefly the characteristics of an individual listed in the conventional

personality. Give an example of a job environment that is considered
suitable.
TRUE (T) and FALSE (F) Statements
1. The improvement phase is also known as the development phase.
2. The maintenance phase is considered as the phase for an individual to be

creative.
3. An individuals leadership is more obvious while at the strategic thinking

phase.
4. Those who are still learning about their jobs, the organisations rules and
norms are actually at their mid-career level.
5. One of the characteristics of an employee who is at the final stage of his/her

career is that he/she is still productive in his/her job.
6. The key needs at the improvement phase are pride and realising self-desire.
7. Many employees will undergo a mid-career crisis at the maintenance phase.
8. In making preparations for the working world, an individual would

normally choose a suitable job based on complete and accurate information.
9. Individuals at the improvement stage are usually between the ages of 30

45 years.
10. If Linda were to get a job offer from an organisation of her choice, Linda has
actually entered the second phase which is joining an organisation.
11. The evaluation phase involves deciding on the kind of career desired by
the employee and the steps that should be taken to achieve the career
objectives.
12. One of the characteristics that will allow guidance to take place is that an
employee needs feedback.
13. Career development workbooks contain the organisations policies, work

procedures and job opportunities available in the organisation.

14. The skills inventory collects materials for development like workbooks,
tapes and printed materials.
15. Spontaneous and continuous discussions between a manager and an

employee on career objectives and career development are known as
mentoring.
16. While carrying out evaluation at the organisation level, career development
workbooks can be used.
17. A career planning workshop organised by the department of human

resource or an external body can give information on the jobs available in
the organisation as well as feedback on the employees career strategies and
aspirations.
18. Among the advantages of using the job dissemination method are that it
can improve employees motivation and work performance as well as
reduce the hire and fire rate.
19. Job rotation is able to equip employees with specific skills in a particular
field because the time frame allocated is sufficient.
20. Team mentoring can be carried out to help women and the minority groups
that have problems in getting a mentor.
1. Muslim has just completed his Form Five. He is beginning to imagine a job
that he desires and is evaluating some job opportunities in the local
newspapers. Which stage of the career development is Muslim at?
A. Early career
B. Preparation for work
C. Joining an organisation
D. Mid-career
2. At which career phase does an employee concentrate on his security needs?

A. Improvement phase
B. Retirement phase
C. Apprenticeship phase
D. Maintenance phase

3. According to Holland, a _______________ personality has a liking for

manipulation activities and likes to work with objects, machines or enjoys
working in open areas.
A. realistic
B. social
C. artistic
D. conventional
4. The career development process that involves spontaneous and continuous

discussions between a manager and an employee about career objectives
and career development is _________________.
A. mentoring
B. career rotation
C. guidance
D. career path
5. The tool that enables an employee to identify his strengths and weaknesses
by answering and completing questions and the training given is known as
_________________.
A. training workbooks
B. self-assessment books
C. career workbooks
D. skills evaluation books

Topic Career
Management
10
LEARNING OUTCOMES
1. Identify the important roles of career management;
2. Discuss the steps in the process of career management;
3. Review the phases of effective career management system; and
4. Summarise the three key issues in career management and
development.
INTRODUCTION
Career management can be seen as a continuous process in which an individual
prepares, implements and controls his career plans individually or jointly with
the career system of the organisation he works for. Career management covers
activities which enable the individual to develop and implement his career plans,
but the focus is more on the ways the activities are carried out to achieve the
plans. Greenhaus, Callhan and Godshalk (2002) define career management as:
... all the levels of career development, from the aspect of knowing oneself to
developing its objectives and planning up to the implementation of the plans.
Career management is important from the perspective of both employee and

management. From the latters perspective, failure to motivate employees to plan
their career may result in too few workers to fill in job vacancies, low
commitment and a waste of financial resources on training and development.
From the employees perspective, poor career management may lead to
frustration, the feeling of not being appreciated by management, and failure to
look for a suitable job (in another organisation) when the need arises due to
mergers, restructuring or downsizing.

TOPIC 10 CAREER MANAGEMENT 193
How can we know whether a person has managed his career well? Usually,
success in doing so would be reflected in an improvement in his rank, position,
finances, power and status. We can say that those who are successful have
managed their career effectively? How about those who are not happy at the
workplace? Does it mean that they do not have effective career management? In
fact, there are two criteria for measuring the effectiveness of career management:
(a) Whether an individual has chosen a career that suits his values, talents,
interests and lifestyle; and
(b) Whether an individual can adapt himself to the changes in him and the
environment, and adapt his experiences with his values, talents, interests
and lifestyle.
Career management is a method which may be used to manage the career of an

individual or that of an organisation. A well-planned and organised career
management will facilitate career development. By encouraging their employees
to manage their career, an organisation is also strengthening the hopes and
aspirations of its employees. Effective career management involves many parties,
and everyone involved has his part to play and to carry out his responsibilities
systematically to ensure that the career objectives will be achieved.
An important aspect of career management is the needs and aspirations of the

individual and the organisation. If an individual has high aspirations and strong
interests, then the chances for him to succeed are high. In general, we can say that
career management is the process of decision making to improve ones lifestyle
through his experience and values.
10.1 ROLE OF CAREER MANAGEMENT

There are many parties involved in career management, namely the employees,
manager and organisation. Everyone has a part to play in managing a career.
(a) Role of Employees

Employees are responsible for managing their own career by knowing how
to appreciate the regulations of the organisation, having good strategies for
managing and developing their career as well as implementing them.
Employees have to ensure that all the career plans and development will
succeed. Career management may be seen as an indication of an
individuals progress and abilities which should be in line with the
organisations needs. Employees have to be informed of their career
opportunities to help them plan their career objectives. This is important to
ensure that their objectives do not clash with those of the organisation.

194 TOPIC 10 CAREER MANAGEMENT
Employees should accept the responsibilities that come along with the
career they have chosen. Thus, they should choose a career which suits
their interests, expertise, abilities and values. They should also obtain the
information and sources of their career as well as develop their own career
plans. They ought to get the views of the manager and discuss their careers
with him. They can do this by taking followup actions on their career to
ensure that their career management is achieved. The following are some of
the actions:
(i) Taking the initiative to get feedback from the manager and colleagues
about the strengths and weaknesses of their skills.
(ii) Identifying the stage of their career development and its needs.
(iii) Getting exposure to the various learning opportunities such as
marketing tasks, product development tasks and administrative tasks.
(iv) Interacting with employees from different work groups inside and
outside the organisation.
After we have studied the role of the employees, let us now look at the role
of the manager.
(b) Role of the Manager

A manager plays an important role in determining the effectiveness of
career management in an organisation. In many cases, an employee gets the
advice of the manager about his career. Why is this so? This is because it is
the manager who assesses the employee on his mobility (e.g. promotions).
Furthermore, the manager is the main information source regarding job
vacancies, courses, training and other development opportunities.
However, many managers avoid taking part in career planning activities
with employees because they feel they are not qualified to answer career-
related questions, have limited time to help employees face career-related
issues and do not have the interpersonal skills required to understand such
issues.
To help employees face career-related issues, the manager has to be more

effective in playing his role as coach, assessor, advisor and referral agent.
The manager also has to be responsible for helping employees manage their
career through interviews which discuss individual as well as
organisational needs. This last-mentioned role is an essential one to be
carried out at every stage of the employees career. Employees who are at
the early stage of their career need to know whether their performance
matches the expectations of the clients, while longer-serving employees will
be able to get ideas and views about the transfer of tasks and career paths
from the manager.

The human resource manager needs to inform or advise employees about

training and development opportunities. He or she also ought to inform
them about special services such as assessments and tests to assess their
interests, skills and values besides assisting them to look for a job or
counsel them in order to solve their problems that are work-related/
Having studied the roles of the employees and manager, let us now look at
the role of the organisation in career management.
(c) Role of the Organisation

Every organisation is responsible for providing materials required to
ensure effective career management. This is to show that it cares about the
welfare and future of its employees. It is also an indication that it is
interested in their needs and their futures. It should also provide
information on procedures, policies and various choices of careers. By
carrying out career management programmes, an organisation will benefit
from the employees potential and skills.
An organisation should also inform its employees about its mission,

policies and procedures so that they know about its objectives. This is
important to employees for them to be able to make plans that align with
the organisations objectives. In addition, the organisation needs to provide
opportunities for career training and development as well as information
about the programmes available. It also has to allow its employees to
participate in various programmes which could help them develop their
career such as workshops, seminars and self-development training. They
should also be provided with various career choices to enable them to make
the correct choice.
The organisation is responsible, too, for providing employees needs to

assist them in their career management. Among the resources which could
be useful in career management are:
(i) Career Workshops

An example is a seminar on career management systems, self-
assessment, determination of objectives and helping managers
understand and implement their roles in career management.
(ii) Information on Career and Job Opportunities

Information on career planning and development is given out at
assessment centres or in newspapers. Information is also prepared
using a database or a website to make it easier for employees to get
the relevant information on career or training programmes.

(iii) Career Planning Books

These are published guidelines on training, discussions and views on
career planning to be given to employees.
(iv) Career Counselling

This involves professional advice from professional counsellors to
help employees handle problems and career issues.
(v) Career Path

Plans jobs as well as identifies the skills required for job advancements
and movements within jobs.
We have seen the roles of employees, manager and organisation in managing

careers. All three have different roles to play, but they are, in fact, inter-related.
SELF-CHECK 10.1
What are the roles of the organisation, manager and the employees
themselves in managing the career of employees in an organisation?
ACTIVITY 10.1
Discuss with the Human Resource Officer from your organisation, the
measures being taken by the management and organisation to assist
employees in their career development.
10.2 PROCESS OF CAREER MANAGEMENT

Career management is a process in which an individual is able to make
important decisions about his job. In a model suggested by Greenhaus, Callahan
and Kaplan (1995) as shown in Figure 10.1, we can see how, according to career
management principles, an individual manages his career and not necessarily
how he should manage his career.

Figure 10.1: Model of career management

Source: Adapted from Greenhaus, Callahan and Godshalk (2000)
From this perspective, an individual should be involved in different types of

career exploration so that he may understand more about himself (values,
interests, abilities and preferred styles) as well as about the environment (job,
tasks, career path, organisation, industry and family constraints). With greater
understanding about himself and the environment, he would be able to set career
objectives which are more realistic and aligned to his personal qualities. This
would enable him to develop his own career strategies and planning in order to
develop his career. The development of career strategies requires some reactions
to achieve a particular objective in career management. The implementation of
career strategies should provide feedback on whether the objective has been met.
Career evaluation which provides additional information on career management
will, in turn, become the career strategy and objective.

The following is a detailed explanation of career management activities based on

the model mentioned earlier:
(a) Career Exploration

This covers the gathering of information on an individual and his
environment. For example, a woman who is exploring careers will gather
information on her skills, values and priorities as well as information on
potential posts and organisations which could offer her the opportunities to
apply for a post in an environment that she likes.
(b) Knowledge of Self and Environment

Success in career exploration will lead an individual to the stage where he
knows himself and is aware of the opportunities and obstacles he faces.
This will make him reflect or re-evaluate his career objectives, or if he has
not yet set the objectives, it will enable him to develop his strategies.
(c) Defining Objectives

Career objectives are the desired outcome of an individual. They can be
specific (e.g. I would like to be a partner in this business when I am 35 years
old) or general (e.g. I would like to be a successful and well-known chef).
They are the foundation of an individual or the environment and are
usually realistic.
(d) Development Strategies

Development strategies are the action plans for achieving career objectives. An
effective strategy should contain actions and a schedule for its implementation.
There are many human resource development practices and programmes
which may be used by an individual as his career strategy. For example, a
soldier whose objective is to be an officer with the rank of sergeant may
formulate a strategy including enrolling in a college or attending courses and
training besides sitting for tests for promotion. This strategy will be more
effective if it is based on a realistic view of the self and the environment.
(e) Implementation Strategies

These cover those formulated by the individual. To ensure career objectives
are achieved, strategies ought to be implemented according to the
individuals needs. It is much easier to implement something which we
have made plans for. Implementation strategies may contribute towards the
achievement of objectives besides being able to get feedback from the
workplace as well as from other sources.
(f) Advancing towards Achieving Objectives

This is the stage where an individual is very close to achieving his career
objectives.

(g) Feedback from the Workplace and Other Sources

Valuable information on the achievement of career objectives may be
obtained from the workplace, for example from colleagues, supervisors and
managers as well as from other sources such as friends, family and
teachers.
(h) Career Assessment

The feedback and information on the progress of an individuals career
objectives make it possible for his career to be assessed. This assessment
will result in a convergence of career exploration, process of career
management and the start of the cycle of activities.
From the model and explanations on the activities in the career

management process, it can be seen that career management enables both
employees and the organisation to have a clear understanding of what is
required to manage a career more effectively. In conclusion, career
management is a process in which employees identify their interests,
values, strengths and weaknesses; obtain information on career
opportunities within the organisation; identify career objectives and
formulate an action plan in order to achieve their objectives. This process
may be summed up as shown in Table 10.1.
Table 10.1: Process of Career Management
Process Explanation
Gathering of information on individual and his

Career exploration
environment
Knowledge of self and environment Understanding opportunities and obstacles
Defining objectives Determining desired outcome
Preparing an action plan to achieve career
Development strategies
objectives
Implementation strategies Implementing action plan
Advancing towards achieving Individual is close to achieving desired
objectives objectives
Feedback from workplace and other Employee gets feedback from workplace and
sources other sources
Use of information and feedback to measure
Career assessment
career achievement

ACTIVITY 10.2
Discuss with your friends in what way the process of career
management can help an individual and the organisation.
10.3 EFFECTIVE CAREER MANAGEMENT

SYSTEM
A career management system enables employees, managers and the organisation
to identify the needs of career development. This system is sophisticated, with
different emphasis on the process components, as shown in Figure 10.2. The
process is composed of a self-assessment, a reality check, determination of
objectives and action plan.
Figure 10.2: Process of career management

Source: Greenhaus and Callahan (1994)
(a) Self-assessment
Self-assessment refers to the use of information by individuals to identify
their interests, values and behavioural tendencies. They assess themselves,
for example, by identifying their strengths and weaknesses on a piece of
paper. They could also find out their likes and dislikes. In addition, they
have to identify their true personality and understand themselves, their
interests, style and likes. This would help in facilitating the process of self-
assessment.
The organisation can assist employees by preparing various types of self-

assessment. One such example is the personality test which tests an
individuals behaviour. Another method is an interview to determine his
psychological attributes, attitudes and the ability to interact with others.
Observation is a good technique for observing an individuals style,
attitude and the way he carries himself at work. With the help of the
employer, an employees self-assessment can be done smoothly and the
results will also be more accurate.

(b) Reality Check

After the self-assessment, an employee must do a reality check. In this
process, the employee will usually assess the opportunities within the
organisation. These opportunities are not confined to promotions only, but
extend to training or self-development. He could also ask other parties who
are close to him about his personality, strengths and weaknesses.
Information may be obtained from his family, colleagues, close friends or
even the manager. These people know more about him than those who do
not interact much with him.
The employer, on his part, will ensure that the organisation has developed
and defined the criteria to be achieved.
(c) Defining Objectives

This is the third and most important step in an employees career. It can be
on a short-term or long-term basis. The objectives have to be developed
carefully, taking into account the finances, abilities, interest and period of
time as well as the environment. This means that they ought to be flexible
and able to be amended. The objectives should take into account job
satisfaction and not just monetary returns. Thus, the objectives have to be
logical, measurable and achievable. For example, the objectives have to be
developed based on the employees abilities and capabilities as well as on
his adaptability, behaviour and interest in the job. This is to ensure that the
objectives can be an inspiration to the employee.
The employer or organisation has to define the objectives based on the right
foundation so that they can be achieved. For example, one objective could
be an increase of 10% profit the following year.
(d) Action Plan

An action plan refers to actions that have to be performed to achieve the
objectives. It has to be done carefully, taking into account several aspects. In
drawing up the plan, an employees direction and objectives have to be
very clear. It outlines how an employee can achieve his objectives and how
he goes about achieving them. He may have to attend workshops, seminars,
talks or go for further studies to achieve the objectives. Networking is also
important.
The employer, on its part, will set the career plan strategies to achieve the
objectives. These strategies are usually in the form of a blueprint and will be
related to the employees. Some examples of strategies are providing
various training programmes for employees such as workshops, on-the-job
training and allowing them to attend seminars.

We have seen an effective career management system from the perspective

of the individual as well as from that of the organisation. Let us now look at
career management and development issues.
SELF-CHECK 10.2
What are the measures that should be considered when developing
effective career management?
ACTIVITY 10.3
Review your own career development and management. Have you
managed your career well so far? If yes, share your success story
with your friends. If no, what measures should you take to develop
your career?
10.4 CAREER MANAGEMENT AND

DEVELOPMENT ISSUES
Figure 10.3: Career management and development issues
(a) Career Development for Women

The beginning of the industrial age saw women being actively involved in
various sectors of the economy. Presently, the number of women entering the
workforce has increased two-fold since a decade ago. Nevertheless, what is
frustrating is that for decades, women of high calibre and who are highly
educated have been denied their rights and have not been given equal
opportunities as men in competing for higher positions. In reality, many
important posts in organisations are being monopolised by men. The following
are some of the obstacles women face in their career advancement.

(i) Stereotyping for Women Managers

One of the reasons preventing women from advancing their career is
mens negative perception of them. Some men think that women do
not have the abilities, capabilities and background to be effective
managers. Some of the negative perceptions commonly held against
women are:
Women work only to supplement the family income. Therefore,
they do not need equal pay or equal benefits as men. Men have to
be paid more because they have to support the family;
Women do not want to be managers because a heavy work load
may prevent them from carrying out their family responsibilities;
and
Women are incapable of meeting some of the job demands such as
emotional stability and strength because of their psychological
make-up. Women are usually sensitive, cry when reprimanded,
feel frustrated or are too firm when making decisions.
As a result of these negative perceptions, many of the highly capable

and highly skilled women have been denied important positions in
the organisation. Even if there are women who have been offered
higher positions, many have to turn it down because of the conflict
between career and family.
(ii) Old Boys Network

Another reason why women lack the opportunity to hold higher
position is that they are not part of the old boys network. This
network refers to an informal network in which seniors can help their
juniors in the latters promotion and share their views on available
career opportunities. For women, however, they lack role models who
could be their mentor because there are few women who hold high
positions. Thus, many women do not know how to plan their career
and consequently lose out on promotions.
(iii) Glass Ceiling

The term glass ceiling was officially defined in a U.S. Department of
Labour report in 1991. Carrell, Elbert and Hatfield defined it as:
... an unclear obstacle based on bias in attitudes or an organisation that

prevents qualified individuals from advancing to management positions
in the organisation.

Unlike Malaysia, the United States is more firm in handling this

problem. Under the monitoring of the U.S. Department of Labour,
every employer is advised to prepare a written report on the glass
ceiling audit. This is to ensure that employers do not practise certain
aspects of corporate culture which prevent women or minority groups
from advancing in organisations. Among the measures mentioned in
this process are:
Obtaining information on the statistics of women and minority

groups;
Analysing the corporate culture and top management to observe
career opportunities for women and minority groups;
Identifying the obstacles for promotion; and
Doing a qualitative analysis on the working environment to
observe the opportunities for promotion for women and minority
groups in the organisation.
To overcome the problems mentioned above, the organisation has to

play a more active and firm role to increase the number of women
having the potential to hold important positions. This can be done by
reducing the obstacles faced by women in their efforts to advance
their career, assisting women in preparing for higher positions such as
providing them related courses and helping them balance their career
with their family by providing a crche or introducing flexible
working hours.
(b) Dual-career Couples

As mentioned earlier, the number of highly educated women entering the
workforce is increasing. This phenomenon has indirectly created a new
problem for organisations, namely the problem of dual-career couples.
Therefore, whether they like it or not, organisations have to find a solution
to the problems which are a consequence of couples working. One of the
problems which demands a solution is when one person in a couple is
promoted and has to relocate. If the organisation takes too firm a stand
without considering the problems that would be faced by the couple, then it
might lose a talented worker.
To overcome such a problem, most organisations have implemented a

career planning programme specifically for dual-career couples in which
issues such as moving to a new location is emphasised. Some organisations
even try to find a job for the husband or wife who has to relocate to be with
the spouse.

Other measures taken by organisations to help solve problems faced by

dual-career couples include paternity leave, introducing flexible working
hours, telecommuting, job sharing and providing a crche. Campbell Soup
Company in Camden, New Jersey, for example, has introduced a three-
month paternity leave.
(c) Retrenchment and Downsizing

In an economic crisis, many organisations experience huge losses and some
even have to close down. One of the common measures that an
organisation takes to reduce operation costs is doing away with positions
which are redundant. Although downsizing may seem to reduce
bureaucracy, some experts say it could have negative effects in the sense
that it destroys human values and workers commitment to the
organisation. Realising this danger, some organisations have taken a more
humane approach such as retaining their employees, employing them on a
part-time basis or transferring them to another location.
Downsizing may bring about two effects on employees i.e. job lay-off and
job loss.
The former occurs when:

(i) There is no work at that time and employees are asked to return
home;
(ii) Management expects the situation to be temporary; and
(iii) Management plans to call back all its employees.
Thus, lay-offs do not put a lot of pressure on employees. Nevertheless,

compared to 25 years ago, there are now three big changes in the features of
lay-offs. Before, blue-collar workers were the victims of lay-offs. Nowadays,
white-collar workers and management suffer the same fate. Lay-offs
happen because organisations fall short of financial resources. However,
nowadays they also occur in organisations which are financially sound. The
intention is to increase profits, not reduce losses. If in the past, a lay-off
meant employees would be called back when the condition of the
organisation was back to normal, most white-collar workers nowadays are
permanently dismissed.
The loss of a job is something which puts a lot of pressure on an individual.

Psychologically, someone who has lost his job would be under a lot of
pressure and would feel anxious. Physiologically, he would experience
difficulty in sleeping, smoke, drink, eat a lot and would frequently suffer
from headaches and stomach-aches.

In these two situations, career development cannot be continued. Although

job losses are inevitable in any organisation, it still has to find ways of
preventing them from happening often. The best time to prepare for lay-
offs and job losses is when the organisation is in a stable economic
condition. Management should define the characteristics of employees who
are going to be laid off or dismissed. Usually, seniority is used by many
organisations when they are deciding who should leave. With an
outplacement programme, the organisation concerned is able to help
reduce the pressures felt by those who lose their jobs. Among the services
offered by this programme are helping employees prepare a resume,
allowing them to use office facilities in looking for other jobs, giving them a
recommendation letter as well as career counselling.
ACTIVITY 10.4
Discuss with your friends the issues in career management and
development. Begin the discussion by looking at the three issues in
career management faced by organisations today. The issues are
career development for women, dual-career couples, retrenchment
and downsizing. These are shown in Figure 10.3.
ACTIVITY 10.5
Most women consider the corporate culture that is dominated by
men an obstacle in achieving a higher position in the organisations
structure, although they are as highly qualified as the men. In fact,
many studies have shown that gender difference is not related to job
performance. List five human resource management practices that
you feel can handle the dilemma faced by women employees and
make them feel that they are getting fair treatment from the
organisation.

We started the discussion by stating that career management is a method of

managing the career of both the individual and organisation.
Career management which is planned and organised will facilitate career
development.
An organisation will strengthen the hopes and aspirations of the workers by
encouraging them to plan their career.
Effective career planning involves many parties, namely the employees,
manager and organisation. Each one has to play its part and carry out its
responsibilities systematically to ensure that the objectives are achieved.
We then discussed the process of career management, in which an individual
is able to make important decisions about his job.
The model suggested by Greenhaus, Callahan and Kaplan (1995), shows how
an individual manages his career and not necessarily how he should manage
it.
A good career management system helps employees, the manager and the
organisation identify career development needs.
This system is sophisticated and emphasis is given to the process
components.
The process of career management is composed of self-assessment, reality
check, defining objectives and action plans.
Our discussion concluded with discussion on career management issues such
as dual-career couples, job loss and downsizing.
Career assessment Glass ceiling

Career exploration Old boys network
Career planning Books Reality check
Downsizing Retrenchment
Dual-career couples Stereotyping

Essay Questions
1. Why do you think it is difficult for women to hold important positions in

an organisation?
2. Explain briefly the differences between development strategies and
implementation strategies.
3. Explain four aspects of career planning strategies.
1. An employee makes a career choice according to what his friends say.

2. Follow-up actions in career planning are to ensure that career
developments are achieved.
3. Workshops and information on career are resources which can help career
planning.
4 Interacting with employees from various work groups inside and outside
the organisation can help them plan their careers.
5. An organisation has to help its employees manage their careers to get
something from them.
6. Employees have to be informed of the organisations objectives to enable
them to choose their job.
7. A manager functions as a guide, assessor, advisor and referral agent.
8. An organisation has to provide training and development opportunities to
employees.
9. Career counselling is information on careers given by management.
10. An employee has to take the initiative to obtain feedback about himself so
that he can manage his career.
11. Career management shows how someone implements his tasks.
12. Self-assessment refers to the use of information by an employee to identify
his interests, values and behaviour.

13. Definition of objectives is the outcome desired by an individual in

implementing his tasks.
14. In the process of doing a reality check, an individual has to assess his
opportunities for promotion, training courses and self-development.
15. Self-exploration leads an individual to the level of knowing oneself and
understanding opportunities and obstacles in an environment.
16. An action plan is carefully designed by taking into account aspects of
finances, abilities, interests, period of time and environment.
17. The career management system helps employees, managers and the
organisation identify career development needs.
18. Organisations should ensure that employees are on the right track in order
to achieve its objectives.
19. Implementation of the career strategy gives feedback on the decline in the
achievement of career objectives.
20. The career management process encompasses self-assessments, reality
checks, defining objectives and action plans.
1. A layoff will only be implemented when all these factors take place
EXCEPT:
A. There is no work
B. The 'no work' situation is temporary
C. Excessive manpower
D. Employees will be called back
2. _________________ refers to a source that can be used in career

management.
A. Work-books
B. Career planning books
C. Accounts books
D. Workshop books

3. _________________ refers to the gathering of information about an

individual and his surroundings.
A. Defining objectives
B. Implementation strategy
C. Career exploration
D. Career evaluation
4. An employee who evaluates the opportunities available in the organisation,
including the opportunity for promotion and for undergoing training is at
which level of the management process?
A. Self-assessment
B. Reality check
C. Defining objectives
D. Action plan
5. Issues that exist but are not apparent and are a hindrance to an individual
who is qualified to progress and hold a position at a higher level are
known as:
A. Glass ceiling
B. Old boys' network
C. Stereotyping of managers
D. Retrenchment and downsizing

ANSWERS 211
Answers
TOPIC 1: INTRODUCTION TO TRAINING AND
DEVELOPMENT
Self-Test 1
Essay Questions
1. Training and development is one of the key functions of the human

resource management to equip employees with the skills required in order
to attain the objectives of the organisation.
2. The differences between training and development are:

Training is the process of learning that is organised and carried out by an
organisation to equip employees with the knowledge, skills and attitudes
required to carry out their jobs and to improve their current job performances.
Development can be viewed as the learning process to develop the employee
in general and is not necessarily related to his current job.
3. Learning concept can be viewed as a change from the cognitive,

behavioural or affective aspects, taking place in an individual as a result of
his experience with other people as well as the environment. The changes
are continuous until a new and relevant learning takes place.
4. The differences between the behaviour and cognitive theories are:

The behaviour theory focuses on the learning outcome which can be
observed, that is, the behaviour shown by an individual as a result of
training and development. Meanwhile, the cognitive theory looks at the
learning process, that is, how an individual learns in order to improve the
said learning outcome.
5. The transfer of training concept refers to the use of knowledge, skills and
abilities learnt from the training programme at the place of work.
Self-Test 2
1. C 2. D 3. D 4. B 5. A

212 ANSWERS
Essay Questions
1. A number of changes that take place like advances in technology,

globalisation and knowledge management forces an organisation to equip
its workers with the knowledge, skills and abilities needed to help the
organisation achieve its objectives and give it a competitive edge. This is
necessary so that the existing knowledge and skills are not outdated but are
always improved according to the current needs of the individual, the job
as well as the organisation.
2. Among the implications of the adult learning theories towards training and
development are:
(a) Employees must have the interest and desire to learn in order to give
full concentration;
(b) All the parties involved in the training programme including the
management, trainers and employees need to understand and know
the objectives and expectations of the training outcome clearly;
(c) Training must be designed, implemented and evaluated
systematically based on the needs and objectives of the organisation
and must fulfil the objectives as well as the needs that have been
identified;
(d) It has to be adapted to the desires and needs of the participants; and
(e) The methods used to implement the training programme should be
varied because every individual has his/her own learning style.
3. The three factors that have been identified to influence transfer of training
are the characteristics of the participant, the training design and the job
environment.
(a) Characteristics of the participants refer to the ability, personality and

motivation of the participant. Employees who undergo a training
programme must be motivated to learn and be able to apply whatever
that has been learnt at his place of work immediately. A participants
personality, for example, his preparedness to learn is also important
because it can influence active participation in the programme and
improve the chances of learning and the transfer of training taking
place.
(b) The training design stresses on the aspect of the adult learning
principle, arrangement and also the contents that need to be given
attention to when designing and developing the training programme.
This is important to ensure that the participants are interested and are
ready to learn and apply what is learnt in their jobs.

ANSWERS 213
(c) Job environment refers to the employees job environment which

supports or prevents the effectiveness of the transfer of learning
including the support of managers, supervisors, colleagues,
subordinates,,other employees, and also the opportunities to put into
practice whatever has been learnt at the workplace.
4. The differences and similarities of the three training models discussed in
this topic are:
(a) The stress or focus of each model Critical Event Model stresses the
learning aspect in training in order to equip the employees with the
knowledge, skills and abilities required. General System Model
stresses the validity aspect of the training carried out. The training
programme development process stresses on the learning
environment aspect and the transfer of learning.
(b) Steps proposed Critical Event Model proposes nine steps. General
System Model encompasses four key phases. The training
development programme process proposes seven main steps that
have to be taken in the training process.
(c) Generally, the activities in all three models can be divided into four
phases that are inter-related. Close attention is given from the first
step to the last in the said process.
(d) Every model stresses on the evaluation aspect to identify any
weaknesses or errors that exist and to ensure that the objectives of the
programme are attained.
TOPIC 2: NEEDS ANALYSIS AND DESIGN PHASE
Self-Test 1
1. False
2. True
3. False
4. False
5. True
6. False
7. False
8. False
9. True
214 ANSWERS
Self-Test 2
1. B 2. C 3. B 4. D
Essay Questions
1. Needs analysis has to be carried out to identify a deficiency or gap in the

performance of an organisation, job or employees. The information
obtained can determine whether training is necessary, where it is required,
the appropriate type of programme, the people involved in the programme,
the conditions under which it is held and which type of evaluation is
appropriate for the training programme.
2. Organisational analysis involves an overall analysis which takes into

consideration the internal as well as external environment that influences
its operational flow in its efforts to achieve its aims and objectives. Task
analysis, on the other hand, is more to do with the analysis of a particular
job in order to identify the type and level of knowledge, skills, attitude and
capabilities needed to perform the job efficiently and effectively. Finally,
individual analysis looks at the employee to determine whether he or she
needs any kind of training in order to acquire the necessary skills.
3. Four common methods used in needs analysis are questionnaires,

interviews, observations and examination of documents:
(a) Questionnaires use forms and involve many people in a short time,
are cheap, easy to administer and analyse However, the responses
cannot be controlled and it is difficult to get detailed information.
(b) Interviews are effective for gathering more detailed information.
However, they are time-consuming and difficult to analyse.
(c) Observations can provide more accurate information about a
particular job, but are time-consuming.
(d) Documents which are available may provide accurate information
about something, but it may be obsolete, inappropriate, difficult to
obtain and time-consuming if the filing system is poor.

ANSWERS 215
Four sources of information which can be used in the needs analysis phase
are:
(a) Human resource inventories, which can determine vacancies that
need to be filled as a result of resignations, retirement etc.
(b) Skills inventories, which show the number of employees in a
particular position, the skills required and the training that has been
and will be done.
(c) Organisation indexes, which involves data such as the rate of
grievance, turnover, absenteeism, productivity and customers
complaints which may indicate existing problems that may determine
the needs for training.
(d) Efficiency indexes, which involve data such as the costs of resources
used, quality of products produced, dismissal rate, repair rate and
delays in deliveries may indicate true performance as opposed to
expected performance.
[Students may choose any information source discussed in this topic]
4. The main activities involved in the training programme design phase are:
(a) Determining/defining objectives
(b) Selecting programme and trainer
(c) Preparing training programme
(d) Preparing training materials
(e) Managing logistics
5. Three important components of training objectives are:

(a) Performances or achievements that participants have to show after
their training programme;
(b) Conditions or requirements which explain limitations or needs so that
learned behaviour can be exhibited; and
(c) Criteria which state the performance level that has to be achieved and
exhibited by participants before they can be considered successful.

216 ANSWERS
TOPIC 3: IMPLEMENTATION AND EVALUATION

PHASE
Self-Test 1
True (T) and False (F) Statements
1. True
2. False
3. False
4. False
5. True
Self-Test 2
1. A 2. C 3. D 4. A
Essay Questions
1. (a) Four training techniques that can be used for on-the-job training are:
The job rotation technique to improve job-related skills. This requires
an employee to work in a department for a certain period of time
under the supervisor of that particular department before being
transferred to the other departments in the organisation. The main
purpose of using this technique is to familiarise the employee with the
activities of all the departments and understand the entire running of
the organisation. Normally, an employee who undergoes this kind of
training is at the lower management level as preparation for climbing
the managements hierarchy.
(b) Job instruction training is the organised learning procedure used by

trainers to train participants to carry out the jobs and responsibilities
given. This job instruction explains in detail the matters to be learnt
and carried out by the participant for the whole of the training. It is
usually divided into four main steps beginning with preparing the
participants so that they understand and know what the expectations
of the organisation are. Then, the tasks are introduced carefully to
enable them to carry out the said tasks. In order to become skilful in
the job, a participant must have a lot of practice. Feedback on the

ANSWERS 217
performance shown should be given continuously so that the

participants know the level of their performance.
This will give them the opportunity to rectify their weaknesses.

Lastly, we should monitor the progress of the participants job
performance until they are able to stand on their own.
(c) Guidance and counselling is the training technique that is used in a

face- to- face situation with the participants involved. The main
purpose of this technique is to improve their job performances so as to
achieve the level set. Through effective guidance, problems related to
job performance of the participants can be solved. Through
counselling, problems of a more personal nature that can influence job
performance can be overcome.
(d) The mentor technique involves a senior employee who will be paired
with a young employee with the intention of giving advice and
support and helping him/her learn the duties until he/she becomes
proficient and is able to carry heavier responsibilities. Normally, a
new employee will observe a senior employee do his/her job. Then
the senior employee will give the junior employee a chance to try the
particular task while being observed by the senior employee. Any
weaknesses or errors will be corrected immediately so that the junior
employee will understand what is to be done and the level of
performance that needs to be displayed.
2. Noe (2002) divides the training methods into three categories:

(a) Presentation methods refer to the teaching techniques that can be used
to convey information to the participants without any participation
from them, as in the lecture technique and the audio-visual technique.
(b) The hands-on methods refer to the training techniques that require
active participation from the participants like the simulation
technique, case studies, role play, behaviour models and business
games techniques.
(c) The group building methods involve training techniques that can
improve the effectiveness of the team or group like team building and
motivational training.

218 ANSWERS
3. The Kirkpatrick model proposes four stages where training programme

evaluation can be done. They are:
(a) Reaction this stage is evaluated to get the feedback and opinions of
the participant about the programme carried out. Among the
information evaluated is their perception of the programmes
contents, the trainers performance and the way the training is
managed. This is the easiest stage to evaluate and the most commonly
used.
(b) Learning this stage is evaluated to measure the participants level of
learning from the training. It is easier to measure the objectives of the
training at this stage because we can evaluate whether the knowledge,
skills, attitudes and the capabilities of the participants have improved or
otherwise after undergoing the programme. The method normally used
is through written and practical Self-Checks. Written Self-Checks are
suitable for measuring the level of knowledge while practical Self-Checks
are more suitable for measuring the skills of the participants.
(c) Behaviour this stage measures the transfer of training taking place to
see whether the participant can apply what has been learnt at their
own place of work or otherwise. Therefore, it should be done a few
weeks after the training programme is over. This is to give the
participants sufficient time to try and use the things that they have
learnt. Evaluation can be done through observation, interviews and
also job records. Observation can be done by supervisors and co-
workers who can evaluate any change in the participants job
behaviours. Interviews can be done by supervisors as well as
subordinates or employees from other departments.
(d) Outcomes evaluation at this stage tries to measure the effectiveness
of the training carried out. This evaluation is important to the
management who wants to ensure the returns on the investment
made. The information for measuring this improvement can be
obtained from records, reports as well as the organisations index.
However, this evaluation is rather difficult to carry out because we
cannot determine whether the outcome of the organisation is the
effect of the training or other factors.
4. Formal evaluation methods involve questionnaires, oral Self-Checks, practical

Self-Checks and tasks. The informal methods are carried out through
discussions, monitoring and feedback. The method commonly used is
questionnaire forms.

ANSWERS 219
TOPIC 4: TRAINING MANAGEMENT
Self-Test 1
Essay Questions
1. The training manager is responsible for all the activities of the training unit
or department. All the staff members will report on their developments and
problems to him/her so that he/she can solve them immediately.
Normally, he/she would be involved in meetings with the management
and be responsible for giving them reports on training activities. He/she is
also responsible for applying for financial approval for training purposes
within the organisation.
2. Things which need to be done at the start of the training programme are:
(a) Welcome the participants
(b) Start ice-breaking session
(c) Explain learning aims, objectives and process
(d) Make sure participants understand
(e) Explain logistics toilet, telephone, breaks and refreshments,
materials etc.
(f) Use name tag/card
(g) Explain rules and expectations
(h) Explain your role
3. Five categories of essential skills in order to play the various training roles
are:
(a) Training skills these involve knowledge, abilities and capabilities in
order to carry out all the steps of the training process.
(b) Communication skills verbal or non-verbal skills necessary for
trainer.
(c) Interpersonal skills skills for understanding the needs and wishes of
the organisation and individuals to ensure that all needs are identified
and appropriate actions are taken.
(d) Computer skills skills required to facilitate preparation of materials
such as participants notes and slides or transparencies so that they
look professional.

220 ANSWERS
(e) General skills broad knowledge, other skills and capabilities such
as knowledge about the organisation or the industry that one is in as
well as knowledge about marketing to ensure the accuracy of needs
analysis being done.
4. After the training is completed, an analysis is done based on the analysis

forms received from participants. The feedback received should be given
due consideration and every training record of participants should be
updated. The final action is preparing a report on the training programme
as well as implementing a monitoring system.
5. Among the changes which may influence and those which demand
preciseness and promptness in the production process and work system are
customers demands, which are becoming more challenging. To ensure that
these demands are met, the organisation may have to re-evaluate and
adjust the existing production process and work system. When there are
such changes, employees involved have to be retrained so that they
understand and are able to carry out their job according to the new work
system and procedures.
Self-Test 2
1. C 2. D 3. B 4. A
TOPIC 5: INTRODUCTION TO PERFORMANCE

APPRAISAL
Self-Test 1
Essay Questions
1. The difference between the performance management concept and the

performance evaluation are:
The performance evaluation can be defined as a process of building the

written standard for performance criteria where the employees must be
told of the standards. From time to time, employees will be told of the
status of their job performances based on the standards that have been
developed. The performance evaluation is a part of the performance
management process which can be carried out following a set time or
schedule.

ANSWERS 221
Performance management on the other hand, encompasses all the processes

mentioned above and includes aspects like defining responsibilities, setting
expectations, providing the resources needed, giving continuous feedback,
giving regular performance evaluations, and using the information in
making decisions, solving employees and organisational problems and in
the development of the employees and the organisation.
2. Two advantages and two disadvantages of an informal performance

evaluation are:
Advantages:
(a) More friendly as evaluation is done personally.
(b) Immediate evaluation and feedback are given at the same time
(c) Flexible does not have to follow any guidelines or procedures
(d) Cheap and easy to administer
(e) In a small organisation, it is easy to maintain communication with all
employees
Disadvantages:
(a) Too subjective in nature and can lead to bias
(b) Depends too much on one appraiser
(c) No checks done to ensure its objectivity and sincerity
(d) Not comprehensive in nature
(e) Appraisers may forget important matters because no records are kept
(f) Difficult to determine whether it is properly implemented or otherwise
(Choose any two of the above answers)
3. Four implications of the performance evaluation if managers fail to

implement it effectively.
(a) Individuals may resign as a result of the way they are treated in the
organisation;
(b) Untrue and false data may be made up;
(c) Performance evaluation carried out may destroy the confidence level
of the individual being evaluated;
(d) A waste of time;
(e) The relationship between the individual involved in the performance
evaluation process will be affected;

222 ANSWERS
(f) Employees motivation will decline especially if no rewards are given

for a performance which is considered bad;
(g) a waste of money especially to support activities like training; and
(h) The organisation might have to face the law when a dissatisfied
individual makes a report in court.
(Choose any four of the answers above)
4. The factors that should be considered when planning a performance

evaluation system are:
(a) Determine whether a formal performance evaluation is needed in the
organisation. At the same time, clarify the objectives to be attained by
the system to be developed, and list the characteristics of the
organisation that can influence the particular system;
(b) Get the opinions of the employees about the evaluation system to be
developed;
(c) Determine who will be responsible for handling the evaluation
process;
(d) Determine the employees to be evaluated;
(e) Make sure the support of the higher management has been obtained;
(f) Determine the kind of performance evaluation system to be
developed;
(g) Inform all the employees of the performance evaluation system that
will be used;
(h) Develop performance evaluation standards for all employees;
(i) Make sure the administration of the system to be developed is well
managed especially in developing evaluation forms, monitoring the
said system, instructions, training and so on;
(j) Ascertain suitable training for supervisors and employees;
(k) Run a pilot test of the chosen performance evaluation system to
identify any weaknesses; and
(l) Provide guidelines and instructions for appraisers.
5. Five criteria of a successful performance evaluation include:

(a) Clear objectives
(b) Certified by the management and employees
(c) Adaptable

ANSWERS 223
(d) Predictable
(e) Performance dialogue
(f) Suitable evaluation forms
(g) Continuous checking system
(h) Job related criteria
(i) Standard evaluation instruments
(j) Trained appraisers
(k) Continuous open communication
(Choose any of the five answers above)
6. Five reasons why a performance evaluation fails to be implemented:

(a) Managers lack information about the actual performance of the
employees
(b) Standards set for job evaluation are obscure
(c) Managers do not carry out the evaluation seriously
(d) Managers are not ready to comment on employees performances
(e) Managers are not honest in carrying out the evaluation
(f) Managers are incompetent in carrying out the evaluation
(g) Employees do not receive continuous feedback
(h) Insufficient source of rewards provided for the performance
evaluation
(i) Discussions on employees development ineffective
(j) Managers use obscure language while carrying out the evaluation
process
(k) Managers feel that it is useless to waste time and energy to implement
the said process
(l) Managers do not like to confront employees face-to-face
(m) Managers are not adept at giving performance feedback
(n) Conflict between the role of judging and the role of helping to
develop employees
(Choose any five of the answers above)

224 ANSWERS
7. Three advantages and three disadvantages of having a formal performance

evaluation are:
(a) Gives the picture that the evaluation carried out is fair and objective
(b) Able to provide comprehensive and accurate information of the
performance of the employees
(c) Less biased if developed and implemented properly
(d) Is a commonly used method and is holistic in nature
(e) Able to provide systematic and comprehensive information
(f) Able to help less competent and inexperienced managers
(g) Provides better information
(h) Suitable for big and complex organisations
(i) As a way of controlling the activities of the organisation
Disadvantages:
(a) Too taxing, for example, in the case of performance forms that are too
difficult to understand or forms that are too long
(b) Too formal and bureaucratic in nature
(c) Can be misused
(d) Difficult to modify evaluation forms that are found to be ineffective
(Choose any three of the answers above)
Self-Test 2
1. D 2. D 3. C 4. A 5. A

ANSWERS 225
TOPIC 6: DESIGNING PERFORMANCE APPRAISALS
Self-Test 1
Essay Questions
1. There are four things to be considered when developing performance

standards:
(a) Strategic relevance refers to the correlations between standards used
and strategic objectives of organisation.
(b) Criterion deficiency refers to how much the performance standards
being developed take into account the responsibilities of the
employees.
(c) Criterion contamination refers to how much control employees have
over performance standards being developed.
(d) Reliability refers to how consistent and stable the standards used are
when they are used at a different time.
2. Differences between relative and absolute judgment in measurement

criteria:
In an evaluation system based on relative judgment, the supervisor is

required to make comparisons between an employee and another doing the
same job, whereas one based on absolute judgment requires him to assess
employees based strictly on performance standards.
3. Among the disadvantages of using the manager or supervisor as assessor

include not being able to make an objective evaluation especially if there
are manager-employee conflicts, manipulation of rates given in cases
involving promotion or salary, discrimination due to inefficient managers
and managers who are unable to observe all the work done by his or her
subordinates.
4. Although the self-self-test is not suitable for some situations, it is

nevertheless useful if:
(a) Employer wants employees to be involved in the process;
(b) Employees are working somewhere far from the others; and
(c) Employees have superior and unique skills.

226 ANSWERS
5. Two advantages and two disadvantages of using the 360-degree evaluation

source are:
Advantages:
(a) It is a more comprehensive system because the feedback is obtained
from all parties;
(b) Quality of information is better. (Quality of respondents is better than
quantity);
(c) It complements the initiatives of TQM by emphasising customers
evaluation and internal and external teams;
(d) Problems of bias and prejudice can be reduced because feedback is
from all parties; and
(e) Feedback from co-workers and other parties can help employee
improve his self-development.
Disadvantages:
(a) System will become more complex if all the feedback is combined;
(b) Feedback may cause resentment among employees when they learn
that respondents are trying to sabotage them;
(c) Possibility of contradictory opinions although all opinions are true
from the perspective of the assessor;
(d) Employees may give invalid opinions about one another; and
(e) Assessor may not be responsible for his evaluation if he is not named.
(Choose any two of the advantages and disadvantages above)
6. Three advantages of using subordinates as an assessor:

(a) Generates unique information about manager;
(b) Enhances communication and satisfaction of employees;
(c) Provides initiative for manager to improve;
(d) Increases satisfaction of employees;
(e) Narrows the power and status gap and the workplace is more
democratic;
(f) Identifies efficient manager and one who has leadership qualities;
(g) Improves managers performance.
(Choose any three from above)

ANSWERS 227
7. Disadvantages of using critical incident method:

(a) Focuses only on extreme behaviour and not on actual performance;
(b) Encourages overly-close supervision that causes discomfort to
employees and has adverse effects on their performances;
(c) May lead to bias when the assessor records too much negative
behaviour at any one time.
8. Seven steps of designing performance evaluation:

(a) Select a suitably qualified candidate.
(b) Determine a process which will be useful to you when designing.
(c) Evaluate current situation of organisation.
(d) Develop aims and objectives of evaluation system.
(e) Design performance evaluation system.
(f) Test system through implementation.
(g) Evaluate and monitor the developed system.
Self-Test 2
1. True
2. True
3. False
4. True
1. D 2. A 3. D 4. B 5. A

228 ANSWERS
TOPIC 7: IMPLEMENTATION OF PERFORMANCE

APPRAISAL SYSTEM
Self-Test 1
Essay Questions
1. The factors that should be given attention to before giving criticism are:
(a) Is the criticism really necessary? Managers who are disappointed
with their employees performance may vent their anger through the
criticism given. Make sure that the criticism given is really focused on
the problems that take place.
(b) Do not blow the issues out of proportion. Try to give brief criticism
based on facts and focus on the problems that need to be solved.
(c) Make improvements as your objective. Giving criticism without
giving suggestions for improvement makes the discussions pointless.
Criticism given should be followed by full support from the
management to overcome the problems that exist.
2. The five techniques required in handling a problem-solving interview are:

(a) The ability to create and accept ideas from employees and to
encourage employees to carry out Self-Self-Check;
(b) Respect and be sensitive to the feelings of the employees;
(c) Avoid criticising employees;
(d) The ability to make sure the interview sessions remain as flexible as
possible so that new problems can be explored; and
(e) The ability to look at a job from the eyes of the employees.
3. Two causes of a decline in performance among the sources below:

(a) Experience and organisations policies
(i) Unsuitable job placement
(ii) Lack of training
(iii) Ineffective job experience
(iv) Not firm in implementing job policies and standards
(v) Inefficient management
(vi) Employees needs are not well taken care of by the organisation

ANSWERS 229
(vii) Employees are not clear who they should report to

(viii) Obscure job descriptions
(b) Job-related
(i) Job needs are always changing and are not clear
(ii) Fed-up with the job
(iii) Lack of career opportunities
(iv) Obscure job functions
(v) Conflict between management and employees
(vi) Problems with co-workers
(vii) Unsafe job environment
(viii) Lack of raw materials and tools
(ix) Inability to perform a job
(x) Excessive workload
(xi) Insufficient workload
(xii) Lack of job skills
(c) Personal problems

(i) Stress
(ii) Communication problems
(iii) Financial problems
(iv) Unstable emotions
(v) Conflict between demands of job and family
(vi) Physical constraints like disabilities
(vii) Low work ethics
(viii) Other family-related problems
(ix) Lack of effort
(x) Immature
(xi) Using drugs and alcohol
(xii) Health problems

230 ANSWERS
(d) External problems

(i) Extreme competition
(ii) Legal constraints
(iii) Conflict between job demands and standards of ethics
(iv) Conflict between management and workers unions
4. Nine guidelines for implementing a performance evaluation interview are:

(a) Self-assessment
(b) Encourage participation
(c) Show appreciation
(d) Minimise criticism
(e) Change the behaviour, not the individual
(f) Focus on problem-solving
(g) Give support
(h) Develop objectives
(i) Carry out day-to-day follow-up actions
5. Four reasons for implementing a performance evaluation are:

(a) To present employees job performance records and summaries;
(b) To get feedback, ideas and suggestions from employees as well as
information on their job aspirations;
(c) To inform employees of the status of their job performance in the
organisation
(d) To evaluate employees for promotions or transfers
(e) For counselling purposes, to discuss problems related to job
performance and to find ways of overcoming them;
(f) To improve employees overall job performance;
(g) To obtain information for human resource planning; and
(h) To improve the job relationship between supervisors and employees.
(Choose any four of the above answers)

ANSWERS 231
6. Two ways of managing employees in the following categories are:

(a) Employees with strong potential
(i) Rewards for good performance
(ii) Identify opportunities for development
(iii) Give direct and sincere feedback
(b) Misguided efforts

(i) Guidance
(ii) Giving regular performance feedback
(iii) Setting objectives
(iv) Temporary training or duties for skills development
(c) Low use

(i) Giving direct and sincere feedback
(ii) Giving counselling
(iii) Using team building and conflict solving
(iv) Offering training for knowledge required
(v) Stress management
(d) Deadwood
(i) Stopping increment
(ii) Demotion
(iii) Termination of job
(iv) Direct and specific feedback for handling performance problems
(Choose any two of the above answers)
7. Matters that need to be addressed in implementing the help for

employees programme are:
(a) If an employee is facing a personal problem and the problem does not
influence his job performance, the manager has no right to interfere in
the employees personal matters;
(b) The management may provide counselling services but it is up to the
employees to use them;

232 ANSWERS
(c) It is crucial to provide staff that can help employees who voluntarily
ask for help;
(d) Supervisors interference is confined to implementing his
responsibilities in ensuring employees display the desired
performance and it is also the responsibility of the supervisor to give
guidance and training in encouraging them;
(e) Continuous monitoring of job performance is one of the methods for
managers and supervisors to carry out an open evaluation. If the job
performance is found to be unsatisfactory, managers and supervisors
have the right to discuss with the employees and advise them to
improve their performance again;
(f) Recommendations to see a counsellor will only be done if managers
and supervisors fail to solve the problems through formal channels;
and
(g) The procedure for the help for employees programme should be
adapted to the managements existing policies.
Self-Test 2
1. False
2. True
3. False
4. False
5. True
1. C 2. C 3. D 4. A 5. B

ANSWERS 233
TOPIC 8: INTRODUCTION TO CAREER PLANNING
Self-Test 1
Essay Questions
1. Differences between career and career planning:

A career is something which someone chooses to do throughout his
working life. Career planning, on the other hand, is a process which
involves an individual and covers activities such as Self-Self-Check and
Self-Test of career opportunities. It is also an effort to improve an
individuals self-aspects and helps him achieve his careers objectives and
aspirations.
2. Three types of career path in career planning are:

(a) Traditional Type
Under this type, an individual experiences a vertical movement in his
career from one position to another. This means he moves step by step
from one position to another in order to gain experience and
knowledge.
(b) Network Type

This involves career movement characterised by vertical movement in
levels of positions and lateral career opportunities. Such a path
acknowledges exchange of experiences at a certain career level and
the need for lots of experience at a particular level before being
promoted to a higher level. This type of path is usually more realistic
than the traditional type in that it provides career development
opportunities to an individual.
(c) Lateral Skill Path

This is lateral movement in an organisation. This path calls for
employees to always try to find new challenges. It does not involve
promotions. Nevertheless, an organisation which practises this path
may still increase the value of its employees by encouraging them to
learn various types of tasks. They are also given the opportunities to
develop new skills. The organisation can acknowledge them based on
the types and number of skills they have. It should also increase the
challenges for a particular job, making the job more meaningful and
creating a high desire for achieving something.

234 ANSWERS
(d) Dual Career Path

A method in which specialised workers and technical professionals
are shown appreciation by not being asked to move to management
positions. This type of path is specially developed to overcome the
problem of technical workers who are not interested in holding any
management post.
(e) Demotion
This is usually due to failure. It may also be due to future
opportunities for promotion which are limited and technological
changes. It could be a career opportunity someday, especially if the
career path is a dead end. It could also help senior employees lessen
their pressure at the workplace.
(f) Free Agent (Being Own Boss)

Refers to employee who is his/her own boss or works for someone whose
principles or interests are the same as his/hers. Free agents work part-time
or full-time. They usually work hard to improve their skills. The more
qualified they are, the more job opportunities are open to them.
(Choose any three answers from the above)
3. Three roles an organisation has to play in planning their employees career:
(a) Preparing Plans and Programmes for Employees

Among the programmes are career seminars which discuss aspects
that could help employees plan their career, Self-Self-Test, Career Self-
Test and career objectives.
(b) Creating a Career Centre

An organisation may provide a database or information centre to help
employees search for information about their jobs and information on
jobs and training related to their tasks.
(c) Career Counselling

Provides experts/career counsellors who can help employees plan
their future career.
(d) Career Path

Designs a framework on their future career path with the organisation
by emphasising the skills required to improve their tasks and
responsibilities, opportunities for promotion and self-potential.
(Choose any three roles from above)

ANSWERS 235
4. Here are two reasons why career planning is important to an individual:

(a) Identifies Abilities and Interests
This can be done by critically examining oneself and recognising ones
capabilities, interests and abilities in a particular field. For example, if
someone is interested in drawing, is good at it, has won art
competitions and is qualified in the field, then a suitable career for
him is an artist, architect or art teacher in a school or institution of
learning.
(b) Plans Objectives for Self and Job

This can help an individual plan his self-objectives so that they align
with those of the organisation in general. With such planning, he or
she would be able to work hard to improve his skills, abilities and
knowledge. Thus, when this happens, the opportunities for him or her
to be promoted would be brighter.
(c) Assessing Career Path Inside and Outside the Organisation

An individual has to study the opportunities for self and career
improvement in the organisation he/she is working for. If they do
exist, he/she has to show good performance to achieve them. If they
do not exist, then he/she has to look for other organisations that
would offer him/her career opportunities which are better than the
one he/she has.
(d) Realising Changes in Interests and Self Objectives When Career and
Living Conditions Change
Environmental factors have a big influence on an employees interests
and self-objectives. If he/she has lost interest in the job he or she is
doing, then he or she has to make plans so as not to affect his or her
career. For example, take a clerk who is more interested in business
than in performing his or her clerical duties. Thus, he or she has to re-
evaluate himself or herself. If he or she decides to leave, he or she
should prepare and plan for a career change.
(Choose any two answers from the above)

236 ANSWERS
Self-Test 2
1. True 9. False
2. True 10. True
3. True 11. True
4. False 12. True
5. True 13. True
6. True 14. False
7. False 15. False
8. True
1. B 2. D 3. B 4. A 5. C
TOPIC 9: CAREER DEVELOPMENT
Self-Test 1
Essay Questions
1. Career development has a wider scope and focus and encompasses a longer
time frame. If the main objective of training is to improve the employees
performance, the career development objective is more towards producing
employees who are capable and competitive in all aspects. Therefore, a
career development programme cannot be implemented in a short span of
time and is more focused on continuous efforts that are formal and
organised in nature.
2. Two differences between the apprenticeship phase and the strategic

thinking phase are:
Apprenticeship Phase:
(a) Also known as the development phase
(b) Time frame is the first five years after the apprentice joins an
organisation
(c) Main focus is more on the job security and job guarantee aspects

ANSWERS 237
(d) Need to co-operate with those who are more experienced

(e) Need to show ability in learning and understand instructions given
Strategic Thinking Phase:

(a) Also known as the retirement phase
(b) Main focus is on achieving self-desire
(c) Activities are more community-oriented, like community services or
more challenging careers
(d) Leadership aspects are more prominent
(Choose any two of the answers above)
3. The programmes that are regularly carried out in the development phase
include mentoring, guidance, job rotation and personal help.
4. Conventional individuals like instructions and working in a structured

situation. These kinds of individuals are more suitable for jobs in accounts,
finance, military and clerical fields.
Self-Test 2
1. False 11. False

2. True 12. True
3. True 13. True
4. False 14. False
5. True 15. False
6. False 16. False
7. True 17. True
8. False 18. True
9. True 19. False
10. True 20. True
1. B 2. C 3. A 4. C 5. C

238 ANSWERS
TOPIC 10: CAREER MANAGEMENT
Self-Test 1
Essay Questions
1. There are several reasons why women find it difficult to hold important
positions in an organisation. First, negative perception. Many people
believe that women do not have the capabilities, style and background for
them to be effective managers. Second, women do not have a network or
role model. Men have an old boys network in which more senior members
of an organisation will offer opportunities for promotion and share views
on careers with junior members. Furthermore, women do not have many
role models who can be their mentors. Thus, they often miss the
opportunity for promotion.
2. Job layoffs are often temporary in nature and do not bring much pressure
to employees. Job layoffs happen when there is no work to be done at that
time and employees are asked to go home. The Management expects it to
be temporary and plans to call them back. On the contrary, they would not
be called back when conditions improve. Workers who lose their jobs will
usually be under pressure and feel extremely sad.
3. Four strategies adopted by organisations in developing employees are:

(a) Information system and career path
(b) Continuous skills evaluation and training
(c) Career development for marginalised groups
(d) Career counselling for every employee and career development
workshops for managers

ANSWERS 239
Self-Test 2
1. False 11. False

2. True 12. True
3. True 13. True
4. True 14. True
5. False 15. False
6. False 16. False
7. True 17. True
8. True 18. True
9. False 19. False
10. True 20. True
1. D 2. B 3. C 4. A 5. A

240 REFERENCES
References
Ibrahim, Mamat. (2001). Effective design and successful management of training.
Selangor: Eastview Publications Sdn. Bhd.
Murphy, K. R., & Cleveland, J. N. (1998). Powerful performance appraisals: How

to set expectations and work together to improve performance. USA: Career
Press.
Sidek, Mohd Noah. (2002). Perkembangan kerjaya: Teori & praktis. Serdang:
Universiti Putra Malaysia.
Wilson, J. P. (2005). Human resource development: Learning and training for

individuals and organisations (2nd ed.). Kogan Page.
Zuraidah Omar & Maimunah Aminuddin (Eds.). (2001). Managing performance

in Malaysian organisations in HRM toolkit for Malaysian practitioners.
Kuala Lumpur: McGraw-Hill.

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1. E-mail your comment or feedback to modulefeedback@oum.edu.my
OR
2. Fill in the Print Module online evaluation form available on myINSPIRE.
Thank you.
Centre for Instructional Design and Technology

(Pusat Reka Bentuk Pengajaran dan Teknologi )
Tel No.: 03-27732578
Fax No.: 03-26978702


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OUM Business School

Copyright Open University Malaysia (OUM)

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Module Writers: Assoc Prof Dr Khulida Kirana Yahaya

Moderators: Prof Dr Shaari Abd. Hamid

Reviewed by: Dr Rosmah Mohamed

Developed by: Centre for Instructional Design and Technology

First Edition, August 2007

Copyright Open University Malaysia (OUM)

Topic 1 Introduction to Training and Development 1

Topic 2 Needs Analysis and Design Phase 22

Topic 3 Implementation and Evaluation Phase 40

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Topic 4 Training Management 58

Topic 5 Introduction to Performance Appraisal 70

Topic 6 Designing Performance Appraisals 89

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Topic 7 Implementation of Performance Appraisal System 128

Topic 8 Introduction to Career Planning 154

Topic 9 Career Development 171

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Topic 10 Career Management 192

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COURSE GUIDE DESCRIPTION

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Table 1: Estimation of Time Accumulation of Study Hours

Copyright Open University Malaysia (OUM)

Topic 1 introduces the first activity in human resource development. Discussions

Topic 3 discusses the phases of training programme implementation and

Topic 6 touches on matters related to designing a performance appraisal system

Topic 7 will discuss the implementation of a performance appraisal system. This

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Topic 9 introduces the concept of career development. You will be exposed to

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TEXT ARRANGEMENT GUIDE

Self-Check: This component of the module is inserted at strategic locations

Activity: Like Self-Check, the Activity component is also placed at various

References: The References section is where a list of relevant and useful

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encouraged to read or refer to the suggested sources to obtain the additional

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TAN SRI DR ABDULLAH SANUSI (TSDAS)

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Copyright Open University Malaysia (OUM)

Training and development have been accepted as a much-needed function,

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followed by the importance and need for training and development in an

1.1 WHAT IS TRAINING AND DEVELOPMENT?

To understand the functions and process of training and development, we

Mc Lagan (1989) recommends three approaches in human resource development:

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Through the organised learning activities, an employee will be equipped with

Human resource development encompasses the learning process organised by

Human resource development involves three learning activities, namely,

Let us have a look at what is meant by training:

Training is a learning process that is organised in a systematic way to equip

According to Nadler (1985), training is closely related to the job currently

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However, Blanchard and Thacker (1999) look at training as a systematic

Figure 1.1: An employees development and education

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In Malaysia, there are many local universities, hundreds of colleges and

To facilitate the learning and understanding of training and development,