Bebel Without a Clause

Bebel Without a Clause

Sunday, November 20, 2011

Appraisal, Training Need Analysis (TNA) and Bonus Calculations for construction and software industries


Appraisal, Training Need Analysis (TNA) and Bonus Calculations for construction and software industries
Benefits using AHP is that AHP creates ratio scales. On this basis, we can deduce the relative contribution to the company success. Each contribution can then be translated to the ratio of the bonus declared to the company’s employees.
1.       Create a hierarchy for appraisal using competency based model, ASK:
a.       Attitude
b.      Skills
c.       Knowledge
Attitude is defined as the way a person views something or tends to behave towards it, often in an evaluative way. As an example, punctuality, clientele empathy (Identification with and understanding of customer's situation, feelings, and motives), teamwork, sharing of knowledge, PR, etc.
Skills (special ability in a task, sport, etc., especially ability acquired by training) refer to hard skills directly involved to the success of implementing the day-to-day operations required by the job assigned to or demanded of him. Depending on the nature of work, the skill criteria varies.
For a Software Engineer knowing C++ may be a direct requirement, while Design skill using AUTOCAD is requisite for a construction engineer.

Knowledge is best explained as:

1. The state or fact of knowing.
2. Familiarity, awareness, or understanding gained through experience or study.
3. The sum or range of what has been perceived, discovered, or learned.
4. Learning; erudition: teachers of great knowledge.
5. Specific information about something.
In this example, knowledge is those that are not direct skills but awareness that may be used indirectly to accomplish certain job specifically assign to him. For a design engineer, the knowledge of safety hazards can be construed as an important knowledge.

2.       Add sub-criteria each of the top-level criteria
3.       Do pair wise comparison (PWC) between ASK and also the criteria
4.       Create Scales and assign the right weights using PWC methods.
5.       Rate the candidates using the assigned scales. If there is more than 8 candidates then used External Sources (Excel or Access) to enter the list of candidates. This method is faster and less cumbersome. Refer to special section in the manual to do this.
6.       If you are doing the bonus calculations, export to reports by using feature Reports. You will get a table of results in the word documentation format which can then be exported to Excel. These scores represent individual contributions that are ratio scales and therefore you can actually add these scores and then normalized to 1 or 100%.

Training Need Analysis
Use Weighted Gap function in 1Decision Software to analyze the training needs.

Bonus Calculations
Create a model for the appraisal of the whole employees in the company. Normal approach is that the management award into at least two categories depending on how the organization is organized and interact within the organization: 
·         Individual based and/or,
·         Project-based, and/or
·         Group based. Each group can be divided into sub-groups. For example, a division can be further sub-divided into smaller departments and sections.
Allocation for each category can be justified using the only made in Malaysia software using AHP, 1Decision. To download, the software please go to the company’s website, http: //

For individual contribution calculation, appraisal on individual yearly performance can be used as a basis.

Project-based performance analysis can be used to appraise the team members in context of delivering major projects which is largely time based. Criteria such as project delivery schedule, quality, project management, customer’s satisfaction, etc should be taken into account.

Group based performance calculation will use different set of criteria, namely those that are involved in how well each department performs with regards to the functionality of the division  with respect to managing the division overall function and its relationship with other divisions. For each division appraisal, the appraisers shall be the top-level management and shall not comprise the head of division in question. Criteria shall include function delivery to the Top Management, Quality of service to other divisions, Divisional KPIs, etc.

The total bonus for each individual shall be based on the summation of each. For more details on finally how to on how to finally come to the dollar and cents, please contact us at

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