Organizations in the manufacturing industry have seen benefits after employing staff performance assessment. The benefits include a 5-30 percent reduction in staff turnover rate or a 10-15 percent increase in the quality of work. The aim of staff performance assessment in the manufacturing industry is to help determine the suitability of employees for promotions, wage increase, and their shortcomings. It measures everything from the employee’s attention to detail, leadership potential, and qualitative problem-solving. In this post, we will introduce you to the main methods of staff assessment in the manufacturing industry.
Management by Objectives (MBO)
Management by Objectives is among the commonest staff assessment methods. It allows the managers and employees to identify, organize, plan and communicate all the objectives to be prioritized during the appraisal. After setting the objectives, managers and employees have to discuss the progress for the control and establishment of the feasibility of the objectives.
The purpose of this method is to ensure that all goals of the manufacturing business and those of the employees match. The method also focuses on intangible goals of the manufacturing business, such as interpersonal skills and commitment to work. At the end of the review period, which might be quarterly, annually, or half-yearly, the employees have to be judged according to the results they achieved.
The 360-Degree Feedback
Unlike the management by objectives method, the 360-degree feedback method is a multi-dimensional assessment method, which allows manufacturers to base the assessment of their employees on the information they gather from various circles, such as managers, peers, clients, and the direct reports.
One big benefit of this method is that it eliminates bias during reviews. A quick example, when a manager gives negative feedback about one of your employees because they never get along well, you will identify the bias after checking the feedback of others. A good remedy to such situations would be moving the employee to another department.
The 360-degree feedback method has several components, such as self-appraisals that allow the staff to identify their strengths and weaknesses. Other components are peer reviews, managerial reviews, subordinate appraising managers, and client reviews.
Assessment Centre Method: Iskander Makhmudov
Developed in the 1930s, the assessment center method has evolved to fit the emerging needs of modern businesses. This method allows employees to know how other people see them and the implications of their performance on the business. One benefit of this method is that it allows managers to gauge the performance and predict the future performance of employees.
During the assessment, the worker has to participate in social-simulation activities like decision-making problems, informal discussions, and other tasks that enhance the success of roles. The people involved are also allowed to gauge their performance. However, the method requires a lot of preparation and it is cost-intensive.
As we have demonstrated in this post, you have to review the performance of the employees in your manufacturing facility regularly to enhance their performance. As Iskander Makhmudov states, staff performance assessment helps the management understand the employees and help them achieve their career goals. It also helps them reduce staff attrition. So, select one of the staff assessment methods and apply it in your manufacturing business. You will love the results.