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Evaluation techniques allow companies to determine how well things are going in their businesses. Specific individuals are responsible for conducting evaluations and presenting results to those who can make changes if necessary. Common evaluation techniques include observational reports, practical exams, and practical skills evaluation. Other techniques may also work here, depending on the company, its process, and the purpose for engaging in an evaluation process. Evaluations may work on both programs and individuals in most cases.
Observational reports allow an individual to review programs or individuals through their own eyes. Evaluation techniques that require observation tend to take longer as the reviewer may only be able to look at one aspect at a time. The benefits, however, can be much better than other evaluations as the reviewer can gather firsthand knowledge about a project or individual. Immediate action to resolve issues may also be possible. For example, if a project or program is in definite need for a quick change, the reviewer can do so when engaging in the process.
Practical exams may focus more on employees rather than programs or projects. The exam may be a test on an employee’s knowledge or on compliance issues relating to a project. The purpose here is to demonstrate that all employees engaged in a business activity can meet the goal of evaluation techniques. These exams may or may not be frequent depending on the number of employees and importance of the project or program. Companies use this technique in order to determine how well evaluations approximate actual job performance.
Other popular evaluation techniques represent practical skills tests. Many companies in the manufacturing industry or other production industries may use these evaluations. These tests can evaluate judgment or decision making among other employee attributes. Reviewers may find these tests difficult to administer due to the physical presence required for the evaluation. Drawbacks also exist as a reviewer cannot duplicate the natural stresses of a job, which often make it harder for an individual to complete tasks and activities.
The frequency and selection of evaluation techniques depend on the company and its processes. Like any business activity, evaluation techniques cost money and time. Upper management needs to define the use of these techniques for a given purpose. Companies should also complete these techniques frequently enough in order identify trends in projects, programs, and employees. These techniques may need to change, however, with adjustments to the company’s activities in the business environment.