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.....
DOU run.I ,,"UInUIU.I I
CiP Complex S. Osrldia Blvd" N. Reclamation Area, Cebu City
Telephones : 96281; 231-6856; 231-6857 s. 70757
-x No, : 231-6848 .

4 March 1996

CPA MEMORANDUM CIRCULAR

NO. 10:- 96

TO ALL OFFICIALS AND EMPLOYEES

SUBJECT PERFORMANCE EVALUATION SYSTEM

Pursuant to the provisions of Rule IX of the Omnibus Rules

Implementing Book V of Executive Order 292 which took effect on
February 14. 1992. and in accordance with CSC MC No. 12s. 1993
the Pe~formance Evaluation System is hereby established. The
System shall have the following integral components:
1. OBJECTIVES :
1. To serve as reference in performance planning and review;

2. To promote the most effective use of manpower in the

organization in order that the employee makes his/her
optimum contribution in the delivery of basic services;

3. To serve as an objective basis for all personnel actions

such as promotion, transfer. reassignment. demotion and
s epar-at ion; and

4. To serve as reference in the grant of performance-based

salary step increment as provided for by eSe-DBM Joint
Chrcular No.1. s. 1990; and for other incentives and
rewards that may be provided under the approved Employee
Suggestions and Incentive Awards System of the agency.

II. BASIC POLICIES :

1. The Performance Evaluation System shall be made an integral
part of the Human Resource Development program of this
agency.

~ppraisal shall focus on results/outputs rather than on ~

2.
activities/processes. o
recogn i t1 on f or- thei r <.;t;;,.~
3. Employees
performance
shall be given appropriate
and contribution to the overa 11 effect iveness~ 't" 0'''''
and efficiency of the organization.

4. Each supervisor and subordinate shall be informed of his

rights and obligations under the Performance Evaluation /
System and be periodically informed of his progress.

training opportunities shall be continually

facilitate effective implementation of this
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III. SCOPE

The System shall apply to all career employees.

Non-career employees may also use the PES for pur-po ses of
future p~rsonnel actions.

IV. RATING PERIODS

Perfrirmance evaluation shall be done every six (6)

months ending on June 30 and December 30 of every year.
However. if there is a need for a shorter or longer period.
the minimum appraisal period shall be at least ninety (90)
days or three (3) months while the maximum shall not be
longer than one (1) year.

V. MECHANISMS OF THE SYSTEM

The Performance evaluation procedure shall follow

processes

1. P lanni n9

There shall be a planning session at the start of

the rating period during which targets or expected
outputs shall be set jointly by the supervisor and
employees. Furthermore. the supervisor and employees
define the job of each member of the group, agree on
the duties and responsibilities attached to a
particular job. and establish the standards on which
specific work outputs and behavior shall be measured.

2. Setting Commitments

Targets/major duties and responsibilities

established during the planning session shall be listed
in the Performance Evaluation Report Form under the
PLANNED column. Agreements shall be jointly signed by
both par-t, ies.

Pr-o qr-e ss Rev iew

This process involves a discussion between

supervisor and a subordinate using the following steps:

1. Subordinate reviews the progr~ss of all the jobs

assigned to him.
 - 3 -

Supervisor reinforces progress on ,job goals

already accomplished by recognizing employee's
efforts and praising him for specific
achievements.

3. They both discuss goals and standards not being

met and identify causes.

4. They identify and agree on appropriate action to

overcome causes of difficulties.

5. They renegotiate goals and s t andar-ds wher-e

necessal~y.

4. Appraisal Discussion

There shall be highly interactive performance

appraisal discussion and feedback mechanism to foster
better working relationship between supervisor and
subor-d inate.

Major Steps in the Appraisal Discussion

1. Establish rapport with the subordinate employee.

2. Get the employee's view of his own performance.

3. Present your view with emphasis on strength~ and

development areas.

4. Get react ion from the subord inate. r

5. Discuss areas of agreement and disagreement.

6. Resolve the differences.

7. Summarize and conclude.

Write down agreements re : rating. strengths and

development areas. plans for improvement.

9. Acknowledge agreement by sign1ng the Performance

Appraisal Report (PAR).
 - 4 -

To ensure the success of the discussion the

specific roles that supervisor and employees must play
are her-eby set.

Subordinate's Role

1. Summarize his achievements for the whole rating

period and/or failures.

2. Defend the rating he thinks he deserves.

3. Offer suggestions to improve his own performance.

4. Offer suggestions on how his/her supervisor can

help to make him more productive and effective.

Supervisor's Role

1. Make the employee feel at ease during [Link]

discussion.

2. Inform the employee on whether or not he is

meeting job expectations.

3. Summarize the employee's performance during the

rating period.

4. Defend the rating he thinks [Link] employee

de s er-ve s •

5. Give proper degree of praise and constructive

criticism.

6. Listen to employee's concerns.

7. Provide encouragement and motivation.

8. Counsel on improvement areas.

9. Secure employee's acknowledgement of the

employee's rating.
 - 5 -

VI. MECHANICS OF RATING

A. Appra 1sa 1

1. The employee evaluate his own work performance and

behavior using the standards set for specific work
outputs and behavioral factors affecting
per-f or-martc e •

This evaluation shall be based on the

in f o r-ma t, ion contained in the division logbook.
attendance records, production/accomplishment
reports and other relevant documents.

2. The supervisor and employee meet to discuss and

agree on the rating and develop plans for work
i rnpr-o vernerrt ,

3. The rater and employee complete the Management by

Objective and Result Evaluation Form (MORE) and
accomplish the Performance Appraisal Report Form.

4. The fully accomplished forms are submitted to the

authorized official for review. If the authorized
official agrees with the employee's rating. he
signs the PAR. Otherwise. he .shall notify the
employee and rater and discuss the change in the
rating with them. The revised rating shall be
initialed by the employee. rater and reviewer.

5. The original copy of the final rating shall be

sent to the Personnel Unit/Resource Management
Division. copy furnished the employee and the
rater.

6. If the employee disagree with the final rating of

his p er-f or-rnarrc e , he shall also' sign [Link] r-epo rt. 1"\-(
and/or initial the changes. He may then appeal his O~
rating in accordance with the rules and pr-oc edur-es .~
f or- the pur po se . -:\."- j
~
 - 6 -

8. How to Compute the Rating for Job Accomplishments

The Performahce Appraisal Report Form sha 11

contain the statements of major duties and
responsibilities of an employee.

1. To get the Average Point Score. add all the scores

assigned under Quantity. Quality and Time divide
by the total number of entries.

2. Multiply the Average Point Score by .75 (75%) to

get the Weighted Point Score.

3. Add all the corresponding scores and divide the

sum by the total number of behavioral factors to
get the Average Point Score.

4. Multiply the Average Point Score by .25 (25%) to

get the Weighted Point Score.

D. How to Determine the Overall Rating

The overall rating is computed by adding the

Weighted Point Scores for both Job Accomplishment and
Behav io r-, The sum is the overall rating. Use the
following rating scale to find the equivalent
adj ec.t. i va 1 rating of the obtained overall rating.

Over a 11 Rati nSI Adj ec t, iva 1 Ra t, ing

-------------- -----------------
1. 1.0 1.5 Outstanding

2. 1.6 2.4 Very Sat isfao tor-y ~.(.

3. 2.5 3.5 Sat isfect.o ry C'

4. 3.6 4.5 Unsatisfactory ;:.~~
5. 4.6 5.0 Poor
 - 7 -

The adjectival ratings are defined as follows:

Outstanding An employee shall be given this

rating when he exceeds his target
by at least 50%. It repre,ents an
extraordinary level of achievement
and commitment in terms of quality
and time. technical skill and
knowledge. ingenuity. creativity
and initiative. Employees at this
performance level should have
demonstrated exceptional job
mastery in all major areas of
responsibility. His achievement and
contributions to the organization
are of marked excellence which even
his peers recognize through a
forced comparison/distribution
method established by this agency.

Very Satisfactory- An employee shall be given this

rating when he exceeded his
expected output/performance by at
least 25% but fails short of what
is considered an outstanding
p er-f o r-marro e , In add it ion. hi s
competence and contributions shall
be recognized by his peers also
through a forced comparison/
distribution method based on the
criteria established by this
agency. Those screened out in the
force comparison/distribution for
outstanding performers shall be
included in this category.

Only employees with Outstanding and Very

Satisfactory performance rating shall be considered for
promotion.
 - 8 -

Satisfactory An employee shall be given this

rating when he meets 100% of the
standards or ordinary requirements
of the duties of the positioh.
Those screened out in the forced
comparison/distribution method for
Very Sati.~factory performers
shall be included in this category.

Unsatisfactory - An employee shall be given this

rating when his performance is 51%
to 99% of the minimum requirements
but could. stand improvement. It 1.s
expected that in the next rating
period. the employee. under close
supervision. will either improve
his performance for which he shall
be given at least a satisfactory
rating. or if not. he shall get
I another Unsatisfactory rating. Two
I (2) successive Unsatisfactory
rating shall be a ground for
I separation from the service.
I
Poor An employee shall be given this
I rating when he fails to meet
I performance requirements or meets
I 50% below of the minimum
requirements and there is no
evidence to show that he can
improve his performance. A rating
of Poor shall be a ground for
separation from the service.

VII~ MECHANISM OF APPEAL

I
An employee whoI expresses dissatisfaction with the rating
given to himl may appeal to the Grievance Committee
established und~r CSC MC No. 45. s. 1989 within fifteen (15)
days after receipt of his copy of Performance Appraisal
RepOl~t. ~(

~~ '1
 - 9 -

Who May Appeal a Performance Rating

Only those employees who received an overall 'rating

equivalent to Poor, Unsatisfactory, Satisfactory and Very
Satisfactory shall have the right of appeal to the Grievance
Machinery.

Within fifteen (15) days after receiving an official

,copy of his rating, an employee may file an appea 1 in
writing Specifying what his performance rating should be,
the reasons therefore, and supporting documents to support
hi s appea 1.

[Link] :

Administrative action shall be filed against an

employee using the performance evaluation system to giveI

undue advantage or disadvantage to the employee they rate.

Pr-ocedur-e of filinq comp la t rrt s and imposing sanctions

shall be in accordance with CSC MC No. 30, s. 1989, MC No.
32. s. 1989 and the Omnibus Rules Implementing Book V of EO
292.

The following general standards for Timeliness. Quality and

Quantity of outputs shall be adapted in the preparation of.
specific standards for different functions.

GENERAL STANDARDS

A. Timeliness
-l--------
1 Task completed within 1/2 of the time required to
finish it.

2 Task completed within 2/3 of the time required

finish +t ,

3 Task completed just before or on the deadline.

4 Task partly completed at the deadline.

5 Task not yet begun at expected date of completion.

 - ...
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B. Quality of Written Work

1 No mistakes or deficiency; every aspect of work

assignment well covered; clearly presented; well
organized.

2 One or two minor errors or deficiencies; work in

accordance with instructions, clearly presented:
well organized.

3 More than two minor errors or deficiencies

partial minor revision needed.

4 One or two major errors or deficiencies;

major revision need.

5 Work not acceptable; needs total revision.

c. Quality of Non Written Assignment

1 Excellent results: all aspects of work assignment

thoroughly covered.

2 One or two minor errors in the execution of work

assignment; results still very good.

3 More than two minor errors or deficiencies in the

execution of work assignment results are
acceptable.

4 One major error or deficiency that can be overcome

with help from supervisor.

5 Haphazard or careless execution of

assignment; unacceptable results.
 - 11 -

D. Volume of Work

1 Target or quota exceeded by 50% or- more.

2 Target or quota exceeded by W%-4Q'Yc.

\ ss (/,_i\.q 7~)
3 Tar-qe t, or quota accomplished as expected.
{/c' t: (/ (, ";..'j
4 Only 60% - 9~% of target or quota accomplished. \Wo ~

5 Less than 60% of quota or target accomplished.

When to Give An Overall Rating of "Outstanding"

An "Outstanding" rating will be recommended only by

rater when performance evaluation indicates that all of
following conditions are fulfilled:

1. In all aspects of his work. the employee exceeds

t'equi t'ements so fat' that .he shou ld be cons lde.t'ed f or-
commendation for each aspect;

2 It can be demonstrated that positive constructive

results have been achieved;

3. This performance is typical of the entire pel~~od over

4.
which the rating extends; and

It represents
ex tr-e e f f ort .
actual accomplishment rather tJ mer-e ly

When the supervisor feels he can justify each of the

points mentioned above. he should attach to the performance
report form the following:

1. Current job description;

2. Pel~formance for- sa t, isfactory

pe r-f o r-ma nc e ;

3. Statements des cr-f b t nq specific pe r-for-ma nc e dur f nq ~'\,

the r-at t nq pe r Lod which sufficient ly exceeded [Link] ~V'
standards and r-equ t r-ernerrt.s (150%); and :\. '

4. Ev idence to strpp or-t. above statements such as ~

copies of production records. logbook.
commendations. description of incidents of unusual
results achieved.

)
 - 12 -

HOW TO COMPUTE THE RATING

PART I PERFORMANCE (75%)

1. Add all the total rating obtained under Quantity,

Quality and Timeliness.

2. Divide the sum by the number of rating to get the

Average Point Sco~e.

3. Multiply the Average Point Score by .75 to get the

Weighted Point Score.

PART II BEHAVIORAL DIMENSIONS (25%)

1. Add all the total ratings obtained for each behavioral
f ac t.o r , 1-
2. Divide the sum by the number of behavioral factors to
get the Average Point Score.

3. Multiply
.
the Average Point Score by .25 to get the
Weighted Point Score.

To get the Overall Point Score, add the Weighted Point Score
of Part I and Part II. Convert the overall Point Score into
Equivalent Adjectival Rating by referring to the table below:

Overall Rating Adjectival Rating

1. 1.0 1.5 Outstanding

2. 1.6 2.4 Very satis1actory

3. 2.5 3.5 Sat i s f ac to r-y

4. 3.6 4.5 Unsa t [Link]

5. 4.6 5.0 Poor I

remain l~ce
Th is Memor'andum Circular
unless
shall take effect
sooner revoked
immediately
or amended.
and sha 11

SANTOS
11anager
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