Performance appraisal is a systematic process of evaluating and assessing an employee’s job performance over a specific period of time. The main objective of performance appraisal is to measure and improve employee performance, identify areas of strengths and weaknesses, and provide feedback to employees about their performance.
Performance appraisals typically involve setting specific goals and objectives for employees at the beginning of a performance cycle, followed by ongoing monitoring and evaluation of the employee’s progress toward those goals. The appraisal process usually culminates in a formal review, where the employee and manager discuss the employee’s performance over the review period, and the employee receives feedback on their strengths and areas for improvement.
Performance appraisal can be conducted using various methods, including self-assessment, peer assessment, and manager assessment. Common appraisal methods include rating scales, critical incident techniques, and behaviorally anchored rating scales.
The results of performance appraisals can be used for a variety of purposes, such as determining employee promotion and compensation, identifying training and development needs, and informing succession planning. However, it is important to ensure that the appraisal process is fair, objective, and consistent across employees to avoid bias and ensure that all employees have an equal opportunity to improve their performance.