Free Essay Discussing the Role of Performance Evaluation in a Project Environment

Performance evaluation in project management refers to the systematic and periodic appraisal of the effectiveness and efficiency of project facilitators using pre-determined organizational objectives and criteria (Ousterhout, 2018). Performance evaluation plays a critical role in setting the standards measures of progress within a specified project schedule. The principles established helps to create a good working relationship between project supervisors and employees by defining and limiting their levels of expectations. The set performance standards guide the relationship between project facilitators and eliminate the occurrence of interpersonal conflicts. Performance evaluations are also informative to the project supervisors, employees and other stakeholders such as the financiers (Hermel, 2015). Data and information from the exercise are presented to sponsors at the request to enhance the growth of trust and confidence in the investment. The evaluation sheets serve as documentary evidence to oversee and direct the project in favor of the investors' interests. The evaluation also serves as a legal point of reference in the staffing and recruitment processes of a corporation. Excellent performance in projects is used to aid in employee promotions or to give access to additional fringe benefits. Such appraisals promote the rate of employee satisfaction and motivate them to stay committed to the objectives of the project and the overall organization (Gomes &Yasin, 2013).

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Approaches to performance evaluation

The method used in project performance evaluations greatly depend on the nature of the information that the supervisors seek to obtain. Majority of facilitators prefer to use different forms of assessment to broaden the scope of knowledge. One of the practical approaches that one can use is self-evaluation and reviews. This perspective allows the employees to rate their performance rate. Self-evaluations mainly comprise of questions and answers in multiple choices or essay-type questions through which an individual rates their capabilities (Hermel, 2015). However, self-evaluation and reviews are subject to personal bias, and thus employees can get dishonest. Despite this shortcoming, the approach provides deep insights into the existing gaps and skills of employees. Project managers can also use rating scales when similar job tasks are involved. The rating scales mainly comprise of one to five levels with one being poor and five is an excellent performance. Rating scales are subject to bias since they are administered by managers who may not be impartial in the evaluation. The approach is useful when evaluating a large employee population since it saves on the cost of financial and time resources (Gomes &Yasin, 2013).

The feedback that performance evaluations provide

Performance evaluation provides essential information that improves the outcome of corporate projects in the future. The use of self-evaluations and reviews give the employees an opportunity to gauge their levels of competency. The management can use such feedback to derive existing gaps and skills in the workforce. Such observations aid in the creation of adequate training and development plans which reflect the needs of an organization (Ousterhout, 2018). When employees are evaluated on their career aspirations, the information provided assists to measure the individual and overall job satisfaction of the employees. Managers can use this information to create a better work environment that is motivating and encouraging to their employees. Performance evaluations also provide insight into the nature of the social relationship among employees and the project managers. The completion of good quality projects in the set time implies the existence of good working relationships between the involved project stakeholders (Chatfield, 2014).

References

Chatfield, A. (2014). Performance Evaluations: The best tool you may not be using effectively. Business NH Magazine, 31(5), 9.

Gomes, C. F., & Yasin, M. M. (2013). An assessment of performance-related practices in service operational settings: measures and utilization patterns. Service Industries Journal, 33(1), 73-97.

Hermel-Stanescu, M. (2015). The Role of Performance Appraisal in the Context of Performance Management Systems. SEA: Practical Application of Science, 3(1), 275-281.

Ousterhout, J. (2018). Always Measure One Level Deeper. Communications of the ACM, 61(7), 74-83.