Personnel evaluation system in Indonesia | Fairness
What kind of personnel evaluation system does your company have in Indonesia?
Companies conduct personnel evaluations with the aim of increasing employee motivation and fair treatment, but this is easier said than done, and there are many cases where employees are inundated with complaints about the evaluation results.
This time, we will explain the key points about Indonesia's personnel evaluation system to ensure that employees are satisfied with it and can lead to growth.
1. Clearly separate evaluation criteria between “basic salary” and “bonus”
Not only in Indonesia,Personnel evaluations send a message to employees about what the company values.is.
Therefore, when using comprehensive five-point evaluations or scoring out of 10, the evaluator's subjective impression becomes stronger and the company's message is not conveyed.
First,It is important to separate the meaning of base salary and bonus and change the evaluation points.is.
| Implications of evaluation | Evaluation points | |
| Wage (basic salary) | Reflection of “ability” Evaluate what abilities are needed and how well they are in relation to the standards. |
For those in charge of practical work, we will evaluate them with emphasis on their specialized skills and knowledge.
Managers are evaluated based on their professional skills and knowledge, as well as their management ability. |
| Bonus | Reflection of “performance” Evaluate the degree of goal achievement and contribution to activities other than set goals. |
Set a calculation formula that takes into account the difficulty of the goal and the weight (time) to devote to the task. Also included in the evaluation is whether the employee is able to perform daily tasks properly. |
2. The rule is that "leaving later" is strictly prohibited! Sharing ahead of time is key
Suddenly changing the evaluation method and making evaluations based on after-the-fact reports can lead to strong dissatisfaction among employees, who feel that it is unfair.
before the year begins``This year, we will be evaluating students based on these criteria, so we hope they will do their best to meet these standards.''Explain in advanceThe golden rule is to do so.
The greatest motivation is to make the evaluation criteria open and to show employees the direction of their efforts in order to receive high evaluations.It leads to
3. to maintain fairnessstructure
Although it is easy to objectively judge ``100% achievement'', judgments such as ``70% or 80%'' tend to depend on the subjectivity of the evaluator.
fairnessIn order to maintain this, the following measures are necessary.
- Verbalize “what can be done”
Clarify competency standards for each position and job.
Objectivity is increased by setting specific criteria, such as comparing the ``standards of the current position'' and ``the standards one rank below,'' and determining whether the current situation exceeds 50% of the difference. - System prevents “evaluation bias”
Essentially, employees should be evaluated based on clear criteria and the amount of pay increases should be balanced.
However, in reality, the evaluators' psychology of ``I don't want to be disliked'' or ``I would be in trouble if I quit'' comes into play, and more than 80% of employees often end up in the ``middle (average evaluation)'' category.
To prevent this, it is also effective to assign a percentage of the number of people for each evaluation (relative evaluation) in advance, such as "A: 5%, B: 15%, C: 60%, D: 15%, E: 5%".
4. Evaluating small departments and eliminating long-term “feelings of unfairness”
It is easier to adjust evaluations in departments with a large number of employees, but in departments with a small number of employees, flexible responses are required.
Particularly in small departments, each person is responsible for a wide range of tasks and the need for them increases, so it tends to occur that a certain person is always rated highly.
A sense of unfairness in evaluations is the point where employee dissatisfaction is most common.
In addition to single-year evaluations,Confirmation of evaluation trends including history over the past 5 yearsThe key to operating a sound evaluation system is to do so and maintain a balance throughout the organization.
summary
Personnel evaluation is a factor that directly affects employees' trust in the company and motivation.
Why not take another look at your company's personnel evaluation system and try to create an organization where people don't quit?
Please leave it to our company, Keystone Consulting Group, for support in creating personnel evaluation systems and work rules in Indonesia.
We provide services tailored to your company.
[For inquiries, please contacthereFrom (free initial consultation!) ]
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