Human Resource Management - Performance Appraisal

Human Resource Management - Performance Appraisal

Performance appraisal is a systematic process in which employee performance at work is evaluated in relation to the projects on which employee has worked and his contribution to the organization.

It is also known as an annual review or performance review.

Performance Appraisal Process

• Setting performance standards

• Set up measurable goals

• Measure actual performance

• Compare with preset standards and goals

• Discuss with the employee – if met / did not / exceeded the expectations

• Take corrective actions

• Set standards for next cycle

A systematic appraisal system helps the managers to properly identify the performance of employees in a systematic manner and their areas of talent and areas where they are lacking.

However, managers are sometimes not qualified enough to correctly assess the employees and their abilities.

Thus, these mistakes can be very detrimental to the growth of the company.

Multiple Choice

Performance appraisal helps employees identify the areas in which they need to improve.

• True

• False

Multiple Choice

Managers can use performance appraisal information to provide constructive criticism of the way employees perform their work.

• True

• False