Performance Appraisal

Performance appraisal is an important issue in human resource management and has a significant effect in the performance of an organisation. It is the system of evaluating the performance of employees regarding the accomplishment of their responsibilities and determining their potential to grow and develop. Bias in the evaluation process can affect the accuracy and appropriateness of the performance appraisal. Bias is a serious issue because it affects the ability to make appropriate decisions about the promotion of employees. A performance appraisal system that works to the disadvantage of members of a group can also pose legal issues.

Performance appraisal is a method which is increasingly used to evaluate employees to determine the degree to which they are performing effectively and encourage them to direct their energies towards organizational performance. Although the appraisal is being practiced, there are criticisms made against the system which generally arise from within the Orthodox and radical management frame work.

Development of a performance appraisal system that is effective in a human service organization is of benefit for the organization and the employees. For a performance appraisal system to be effective, the system has to be strategic, designed to fit the specific needs of the organization, non-discriminatory, non-bias, with correct implementation and administration. Many different components, must to be incorporated to make this type of system beneficial for all who use it, and all who are evaluated by the system.

Leadership training helps supervisors and managers understand the importance of giving equal attention to operations and employees. Effective performance appraisals rely on performance standards to determine how well employees complete their job duties, tasks and responsibilities. Performance standards indicate what level of effort is required for an employee to meet or exceed her job expectations. For instance, a performance standard for an accountant might state: "Conduct two audits every 30 days." Accountants who conduct four audits every month are exceeding the company 's expectations, and accountants who conduct two audits every month receive evaluations that indicate they are meeting expectations. Performance standards are simple measurements used in the performance appraisal process. Discipline and recognition appear to be opposite ends of the performance management spectrum. Nevertheless, both are integral parts of a performance management system. Effective performance appraisals consist of constructive feedback for improvement as well as recognition for strong performance. The ability to address both within the performance appraisal enables a balanced employee assessment. In addition, both constructive feedback and recognition are requirements for determining employee skills and aptitude, training and development needs. Another element of an effective appraisal is what effect performance has on

There are many ways in which organizations often utilize performance appraisals. One of the most common ways in which they are utilized is as to track employees’ professional development and provide employees feedback on there over all performance year to year. Performance reviews provide an assessment of an employee’s ability’s in multiple different categories and

According to Zweig (1991), performance appraisal instruments are tools that are used to measure the performance of employees in the workplace. They are used to put employees up against one another or a predetermined standard, and the appraiser is required to give an evaluation. Practical and effective performance appraisal instruments are drafted when the company has already clarified its philosophy and performance management system. It is also imperative that the performance appraisal instruments are calculated accurately, and that the supervisors are empowered to produce

As today’s businesses continue to expand, workers are expected to perform well on their jobs. This is what truly happened to management who has a tendency to measure how well they are doing on their job. The job done in a certain period of time is frequently evaluated by performance appraisal. Performance appraisals lead to enhancing employee’s performance, internal communication (relationship), and quality improvements as well. Some experts argue that formal performance appraisal is somewhat useless and many of them contemplate performance appraisals can be detrimental to quality improvement and convey some negative perceptions to the management (David Law, 2007). Albeit many professionals pointed out disadvantages associated

Despite not being looked upon unfavorably by employees, performance appraisal systems have become common place in businesses today as a way for the employees and managers to determine if an employee is accomplishing their assigned duties and tasks. It is designed as a vehicle to convey what is expected of the workers and supervisors as well as establish standards of achievement (Lawler, Benson, & McDermott, 2012).

There are many different systems used for PA purposes, which can be categorised as either comparative or absolute. With most systems requiring the supervisor to rate the employee via methods such as ranking, forced distribution, or behaviour checklists, in addition to alternative methods, such as 360-degree appraisal and management by objectives (Yee & Chen, 2009;Aguinis, Performance Management, 2014). A relatively formal occasion, PA are typically conducted biannually or annually (DeNisi & Pritchard, 2006; O 'Boyle, 2013), and generally include a formal meeting between a manager and their direct reports (Zheng, Zhang, & Li, 2012). It is during these periodic meetings that the focus falls on identifying the strengths, weaknesses, successes, and failures, demonstrated by the employee throughout the review period, as well as any relevant opportunities, or threats present (DeNisi & Pritchard, 2006; Payne, Horner, Boswell, Schroeder, & Stine‐Cheyne, 2009; Zheng, Zhang, & Li, 2012). The PA meeting will include discussion of future employee goals and objectives, as well as the need for further training and development. Finally, the outcome of an employee’s PA allows for other administrative decisions to be made. For example, some organisations use PA as a basis of measurement to determine bonus payments, pay rises, promotions, and termination of employment (Davis, 2011;

Today performance appraisal has increasingly become part of a more strategic approach to integrating human resource activities and business policies and may now be seen as a generic term convincing a Varity of activities through which organization seek to assess employees and develop their competence, enhance performance and distribute rewards.

Today, performance appraisal is used for developmental and motivational purposes in the organization. It is not a stand still evaluation activity, but a dynamic process which should be viewed as follows- planning the employee’s performance and evaluation, and improving the performance of employees. The process brings the new concept Performance Management. Performance Management is essential for today’s organization to integrate the management goals and employees performance. It is a system for integrating the management of organization and employee performance in order to support and improve organization’s overall business goals.

Performance Evaluation and Appraisal is an essential and integral part of Human Resource Management. This study aims to measure the challenges/issues faced by ABC Pvt Ltd, Bangalore and the resolutions/workarounds to some of these challenges/issues. It also aims to measure the satisfaction level of the employees of ABC Limited, before and after the changes in the Performance

Appraisal performance of individual, groups and organizations is something important for all organizations to succeed and achieve its objectives. Also it is used to evaluate the performance of the employees and monitor them to achieve the desired goal.

Performance appraisal is defined as “a structural formal interview between subordinate and supervisor, that usually takes the form of periodic interview (annually or semi-annually), in which the work performance of the subordinate is examined and discussed, with the view of identifying the weaknesses as strengths as well as opportunities for improvement and development” (DEcENZO and Robbins, 1995).

Performance appraisal is a comparatively new approach to assess employee’s performance. It is commonly used in organisations to bring successive change in employee performance, and it is an opportunity for employees to participate and resolve all kinds of work related matters including wages, job recognition. The main objectives of this review for employers are to identify the areas of employees training and development needs.