EXPERIENTIAL LEARNING IN HUMAN RESOURCES: A PERFORMANCE APPRAISAL APPLICATION Development In Business Simulation & Experiential Exercises, Volume 21, 1994 90 Experiential Learning in Human Resources: A Performance Appraisal Application Dawn Thorndike Pysarchik, Associate Professor Michigan State University 104 Human Ecology Building E. Lansing, Michigan 48824-1030 517-353-0650 Patricia Huddleston, Assistant Professor Michigan State University 204 Human Ecology Building E. Lansing, Michigan 48824-1030 517-353- 9907 ABSTRACT This paper describes an experiential exercise appropriate for a human resource management course. While the focus of this exercise was to develop a performance appraisal system for either a retail employee or an officer in a student organization, the exercise could be used in other application settings. The background, procedures and discussion of the experience is discussed. INTRODUCTION The advantages to students of experiential learning using a case study approach are varied and far-reaching. The application of textbook concepts and theories to real life situations allows students to realign their parochial views of the real world, and become more effective problem solvers (Henshaw and Jackson, 1984). There is probably no other area in human resource management where experiential analysis is more important than in performance appraisal. To have a first hand knowledge of how employees view their job responsibilities and duties is critical to their productivity, and ultimately, their performance evaluation. For employees, an understanding of the performance evaluation criteria and process increases the chances of success on the job because expectations are clear at the outset. Additionally, the opportunity to work as a group member on a problem- solving project provides a myriad of experiences in negotiating group dynamics and effecting compromise. While the number of human resource/personnel texts has expanded rapidly, the availability of human resource simulation and experiential learning materials is still limited. Kuzmits (1986) indicates that over 30 personnel/human resource texts exist, yet relatively few experiential exercise texts are available. This often means that instructors of human resource management courses must be very creative in developing their own experiential exercises to supplement course materials. The Experience: A Case Study Approach Students in a retail human resource management class at Michigan State University were given the opportunity to develop a performance appraisal system, including the instrument and the process, for (1) a retailer or (2) an officer in one of the student organizations. A choice of application was given because some students’ career aspirations were to work in the retail business world, yet others’ career interests were in agency or government work. While the application options for the project were different, student organization or retailer, both presented similar and appropriate learning objectives for the exercise. Both application settings offered the opportunity for reinforcement of key course concepts and extension of the learning process through skill building (Cascio, 1989). The first application setting evolved after local retailers approached the instructor for student input in tackling some of their human resource concerns. In an attempt to prepare students to enter the complex and dynamic field of retailing, the instructor felt that this experience would present an excellent forum for application of course content. The Merchandising Management Association is a student organization of 125 members. The goal of this organization is to expose the members to professionals in business, to provide opportunities to visit major market centers and to promote professionalism in the organization’s membership (Appendix A). There was dissatisfaction with the performance appraisal method for its executive board members, so the instructor of the human resource management course was approached to develop a performance appraisal system for its officers. Thus, the second application option emerged. In developing the experiential options, attention was given to structuring and developing the projects such that they would closely parallel real life situations. Consequently, the faculty advisor for the club was involved in the development of the experiential project for the club officers and either human resource personnel or managers were involved in the development of the retail performance appraisals. Because the overview of the project was extensive, students were divided into groups of four to six through a self-select process. In most cases, each group member was involved in all developmental steps of the performance appraisal to assure a holistic understanding of the project. The procedure utilized in each option was slightly different. Differences will be discussed separately. Club Officers’ Performance Appraisals Each group electing to develop a performance appraisal for the student organization selected a different office. There were seven offices: President, Vice President, Director of Special Projects, Director of Correspondence, Director of Alumni Relations, Treasurer and Director of Promotions, The first step was to conduct a job analysis of the position the group had selected. The job analysis entailed a thorough review of the organization’s bylaws (Appendix B), organizational structure and officers’ current position descriptions, followed by in-depth interviews with the officer currently holding the selected office and the faculty advisor (Appendix C). Development In Business Simulation & Experiential Exercises, Volume 21, 1994 91 Retail Employees’ Performance Appraisals Groups selecting to develop a performance appraisal for a retailing firm first identified the retailer and then the level of position they wished to study. Next, an in-depth interview was held with either the human resource manager or a person currently holding that retail position. Questions asked were similar to those in Appendix C. PROCEDURES After analyzing and synthesizing the Information gathered through the interviews, each group set out to develop the performance appraisal. Students were charged with reviewing class discussions of different approaches to performance review (for example, MBO, forced choice, BARS, BOS, and so on). After targeting two or three different performance appraisal techniques, students conducted further library research. Following analysis of the additional library information, groups developed both the appraisal form and the procedures for implementation. Each group was responsible for developing a written and oral presentation of the project. The written project encompassed the development of the actual performance appraisal form and an analysis of several points: rationale for why the specific performance appraisal approach was selected; advantages and disadvantages of the approach; and situations In which the selected approach would be most and least effective (Appendix D). Each group prepared a ten- minute oral presentation and discussed the form, appraisal process, and rationale, advantages/disadvantages and situations in which the system would be most and least effective. RESULTS Groups developed a variety of different approaches to performance appraisal. Analysis of data gathered from the job analysis, class discussions and library research guided each group in the development of an appropriate appraisal. The following types of performance evaluations were developed for the student organization: President- - combination graphic rating scale and Management By Objectives (MBO) approach Vice President- -Graphic rating scale Treasurer- - Behaviorally Anchored Rating Scale (BARS) Director of Special Projects- - combination graphic rating scale and MBO approach Director of Correspondence- -BARS Director of Membership- -Graphic rating scale Student groups developed a variety of different appraisals for retailers: sales associate- -rating scale, sales manager- - BOS, sales associate- -BARS. Two examples of performance appraisal forms are contained in Appendix E and F; one for a student organization officer and one for a retail employee. EVALUATION A discussion period followed each presentation with class members, club officers and the club advisor asking questions about the appraisal form and its implementation. Further, club officers and, in some instances, store personnel, were asked to evaluate the final appraisal system. The evaluation form used by the course instructor was given to each group in the class prior to submitting the project (appendix G). Additionally, each group member completed a peer evaluation of their own and fellow group members’ input on the project (Appendix H). CONCLUSIONS Regardless of the application option selected, students reported that both experiences allowed them to expand their understanding of course concepts. They also indicated that since they were focused on human evaluation, a straightforward “textbook application” was, in some instances, inappropriate. A systems approach and flexibility surfaced as key considerations. Therefore, several groups selected to blend two different performance appraisal approaches to provide for, in their estimation, an optimal performance appraisal system. Lastly, students felt motivated after having direct involvement in the development of a product to assist their “clients” in solving existing problems. Aside from the educational benefits of the experience, the students enjoyed working on the project. APPENDICES Appendices will be furnished upon request. REFERENCES Henshaw, Richard C. and James R Jackson (1984), The Executive Game Homewood, Illinois: Richard D. Irwin, Inc. Additionally, each group member completed a peer evaluation of their own and fellow group members’ input on the project (Appendix H). Kuzmits Frank E. (1986), Experiential Exercise in Personnel/Human Resource Management Columbus, Ohio: Merrill Publishing Co. Cascio, Wayne F. (1989), Managing Human Resources. New York: McGraw-Hill Book Co. Table of Contents Volume 18, 1991 Personality Types and Total Enterprise Simulation Performance Using DIS 'n DAT as a Decision Support System for a Marketing Simulation Game Theoretical Derivation of a Market Demand Function for Business Simulators The Ethnographic Case Study: An Experiential Approach to Teaching Retail Management Electronic Bulletin Board Systems (BBS): Support Software for Computer Simulations The New Budget Game Negame: A Cross-Cultural Role-Play to Introduce Students to the Familiarization Stage of Negotiations Modeling Short-Run Cost and Production Functions Using Sheppard's Lemma in Computerized Business Simulations Increasing Simulation Realism through the Modeling of Step Costs Predicting Simulation Performance: Differences Between Groups and Individuals A Facility Location Case to Stimulate Classroom Interaction Educational Effectiveness of Business Simulation Gaming: A Comparative Study of Students and Practitioner Perspective Ethical Dilemmas in Experiential Learning: Issues and Strategies A Critical Review and Assessment of ABSEL's Award-Winning Procedures and Protocols Political Risk: A Simulation for Business Practitioners Upside Down: A Cross-Cultural Game in Experiential Learning Gorby's Dilemma: From Communism to Free Enterprise in Two Hours Strategic Market: Planning with the COMPLETE Product Portfolio Analysis Package: A Marketing Decision Support System Career Concepts and Total Enterprise Simulation Performance Experiential Learning in Human Resources: A Performance Appraisal Application Managerial Motivation and Realism Among MBA Student as Viewed through The Looking Glass, Inc. Simulation An Experiential Approach to Teaching Data Analysis Using MYSTAT: Rationale, Procedures and Results Practicing What Was Preached: A Sequential Learning Model put to the Test Student Attitudes about Policy Course Simulations An Investigation of the Relationship Between Simulation Play, Performance Level and Recency of Play on Exam Scores The Effect of Leadership and Cognitive Processing Styles upon Peer Performance Evaluation: Implication for the Utilization of Simulations in Business Pedagogy On the Transfer of Market Oriented Business Games to Socialist Cultures An Application of Financial Analysis of the Business Firm in a Simulated Competitive Environment Collective Bargaining Simulation: An Exercise based on a Familiar Theme Making Business Policy a Strategic Management Experience A Student Exercise for Intergrating the Concepts of Power and Motivation The Boundaries Extended: An Experiment Comparing Dialectical Inquiry, Devil's Advocacy and Consensus Using the Executive Game Using a Simulation Package to Develop a Simulation Exercise in Cost Accounting Success Factors in Experiential Training for Creative Problem-Solving Teams An Experiential Approach for teaching Quality management Critical Success Ratios: A Comparison of Two Business Simulations in a Multi-Year Environment Stocklogs: A Classroom Exercise for Teaching the Logistical Relationship of Location and Inventory The Organizational Leadership Program Simulating Business Decision-Making: Using Statistical Cases for Classroom Exercises Scripting for the Classroom Upgrading the Business Strategy and Policy Game Developing Student Team-Building and Leadership Skills Using Computer-Aided Experiential learning Strategies Organizing and Outward Bound Field Trip An Architecture for Extensible Simulation Games Performance in the Capstone Business Course: What is the effect of Pedagogy, Learning Styles, and Student Motivation? Operational Strategy with Participant-Modifiable Parameters An Example of a Personal Selling Case Transformed into a Role Play Scenario Instructional Software: It's Evolution and Current State of the Art in the Business Curriculum Ascertaining Performance Variables for use in Determining Student's Grades in Courses Employing a Business Simulation Designing Management Seminars Using Business Simulations The Accounting Information Systems Course: Bridging the Gap between the Classroom and the Real World The Good Cooks Guide to Training Excellence: Working with Passion A Demonstration on Multiple Data Collection Methods: Seeing Strategic Issues Through the Looking Glass Simulation Systems Analysis and Design: Why Undergraduate Education gets a Failing Grade Accommodating Organizational Culture: An Evaluation of Management Development Delivery Modes in Varying Organizational Cultures Modeling Total Quality into Business Simulations The Political Futures Game Meeting Meeting Objectives