Performance Appraisal

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Performance Appraisal
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Performance Appraisal Meaning and Definition
Meaning It is a regular assessment used to
verify the contribution of employees performance
to the organization
Definition Performance appraisal is defined as
system which communicate about the ideal
performance of the employee and the actual
performance of the employee.
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Types of Employee Performance Appraisal

• Self assessment Rating of the performance by
  employee themselves.
• Peer assessment Peers act as a rater of the
  performance of the employee
• 360-degree performance appraisal All the
  stakeholders of the organization provides
  performance review of the employee
• Negotiated appraisal A mediator acts as a
  performance reviewer.

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Methods of Performance Appraisal

• Traditional Methods
• Rating Scales
• Checklist
• Forced Choice Method
• Forced Distribution Method
• Critical Incidents Method
• Behaviorally Anchored Rating Scale
• Field Review Method
• Performance Tests and Observations
• Confidential Reports
• Essay Method
• Cost Accounting Method
• Comparative Evaluation Approaches

• Modern Methods
• Management by Objectives
• Psychological Appraisals
• Assessment Centers
• 360-Degree Feedback
• 720-Degree Feedback

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• Objectives of Employee Performance Appraisal

Keep records to decide salary of employees
Determine the strengths and weaknesses of the
employees
Know about future growth potential of the
employee
Objectives of Performance Appraisal
Provide feedback of employee performance
Makes employees work oriented
Inputs about the training needs
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Advantages and Disadvantages of Performance
Appraisal

• Advantages
• Helps in promotion and dismissal decisions
• Provide framework and information to decide
  compensation
• Helps to decide the developmental programs for
  employees
• Guide the hiring process to make selection more
  accurate
• Effectively convey the performance status to
  employee
• Motivates the employee to improve their
  performance

• Disadvantages
• Many times the vital factors are ignored while
• measuring the performance.
• Emotional and psychological factors are difficult
  to
• quantify.
• If the evaluation is carried out by less
  qualified person
• then the process is of no use to the
  organization.

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Thank You