Overcoming the Challenges of Employee Performance Assessment with Digital HRMS

Performance assessment is one of the most important functionalities of the HR department, as it is instrumental in defining the employee appraisals and affects the levels of employee engagement and employee morale. Hence, it is of utmost importance for the HR department to ensure that the approach to performance assessment is a fool proof one that is free from errors and inconsistencies.

However, there are a handful of challenges that the HR team often face when assessing the employee performance. This often results in inaccurate performance assessments.

According to a study by Salary.com, almost 90% of performance assessment approaches are not good enough.

Given below are some of the key challenges faced by the HR team when analysing the performance of the employees in the organization.

  • Lack of accuracy and consistency
  • Lack of transparency and an open approach to performance assessment
  • Systems often not updated to reflect the true and relevant goals
  • Employees often look at it as a stressful event
  • Unfair or inaccurate appraisals lead to drop in employee motivation levels and employee morale

An Automated Performance Assessment System is the Solution

The challenges that we observe above, can be overcome with the help of an automated Performance Assessment System. Digital HRMS is an advanced HR software platform that automates the entire process of performance assessment, which results in higher levels of efficiency, among other positive impacts.

The Digital HRMS Performance Assessment module consists of 2 sections, as follows:

  • Confirmation Assessment: This applies when the employee has completed his/her probation period and the confirmation process is pending.
  • Self Assessment: This applies for every employee at the time of the appraisal cycle every year, or any other time period that may apply.

One of the most remarkable points about the approach of Digital HRMS towards Performance Assessment is the fact that for both the types of assessment mentioned above, the assessment begins with the employee. The employee gets to see a self-assessment form with different parameters and a rating scale next to each. The employees simply need to rate themselves on the pre-defined parameters, on a scale of 1 to 10 (which can be customized) and add justifications for the self-ratings with proof of achievements. It is only after the employee completes the form within the provided deadline, does the form move to the L1 and L2 managers of the employee, for their ratings and feedback.

Advantages of Performance Assessment with Digital HRMS

There are many ways in which Digital HRMS simplifies the process of employee performance assessment and following are the key advantages of performance assessment with Digital HRMS.

  • Unique self-assessment form for performance appraisal.
  • Performance based on average score for different competencies
  • Modifiable appraisal cycles, rating scales, competencies, KRAs and goals
  • Smooth transition from appraisal/confirmation initiation to closure
  • Easy-to-explore confirmation status – approved, extended, pending or submitted
  • Modifiable rating scales

Want to explore how Digital HRMS can help your business implement an effective and accurate employee performance management system? Visit our website www.digitalhrms.com or drop us an email on marketing@digitalhrms.com and our team will get in touch with you.

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