Adapting performance appraisal systems to changed technologies

Abstract

As organizations adapt to changes in technology, the management systems of the organization change. The organization design and job designs change, moving toward a more hierarchic organization design with simplified, routine jobs requiring less responsibility and learning, or toward a more professional organization design with technical or professional knowledge acquisition, or toward a more entrepreneurial organization design with individual autonomy in goal setting and achievement, or toward a more group oriented organization design where responsibility and learning are shared to enhance performance. As these changes occur, the performance appraisal and reward systems of organizations adapt to suit the unique needs of the new organization and job designs. This study indicates that the four work designs require different performance criteria, unique measures of performance, appropriate communication processes, and congruent forms and procedures.