Performance Appraisal as a Positive Part of the Performance Management Process

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.

What are performance appraisals? Simply put, they are the evaluation of goals that are pre-determined and set by both the employee and organization (Harvard Business Press, 2009). They are used to measure an employee’s performance and team performance.

A performance appraisal is one of the most important factors in any organization and can be one of the greatest tools used to record employee production. Every organization has to have goals and objectives established and the employee has to be involved in this process. By conducting performance appraisal will improve productivity and also the morale of the employees.

Performance Appraisals will help to monitor standards, objectives, expectations, responsibilities, tasks, training needs and career succession planning. Also the employee appraisals are used for the evaluation of annual pay and grading reviews, which also coincides with the next year business planning.

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.

An effective performance appraisal system strives for as much precision in defining and measuring performance dimensions as is feasible. Some of the major problems with the Darby appraisal system are:

The purpose of a performance appraisal is to be used to improve employee performance. It should be used as a guide for recognizing outstanding behavior that is in line with departmental policies and work objectives, but should also be used as a tool for feedback to improve observed employee deficiencies. Performance appraisals should never be a surprise when it is presented to the employee. It is important for subordinates to understand what they are being evaluated on and what it takes to be successful.

Maintaining consistent performance appraisals help supervisors review and discuss an employee’s performance. The performance appraisal measures the employee’s accomplishments, skills, progress, and can provide training for problem areas. This process helps with effective communication and creates relationships with your employees. Correctly done appraisals will show the employee respect and improve work performance.

CIPD (2012) ‘While performance appraisal is an important part of performance management, in itself it is not performance management: rather, it is one of the range of tools that can be used to manage performance. However, it is a common mistake to assume that if organizations implement performance appraisals, they have performance management. Performance management is a holistic process bringing together many activities that collectively contribute to the effective management of individuals and teams in order to achieve high levels of organizational performance. The process is strategic, in that it is about broader issues and long-term goals, and integrated in that

Performance Management Within the Workplace The basis of the mainstream of performance appraisals within the modern workplace is one person (a manager or executive) rating one more, an intrinsically individual process. There are distinction such as 360 degree appraisals that include the judgment of others such as clientele and peers/colleagues in the process but it is the action of one person transitory judgment upon another that is subjective in nature and the root cause of many of the problems encountered in the research associated with performance appraisals. Performance appraisals are of importance to the organisation, as they often provide the only measure of an individual's contribution and

On the other hand, poor performance, or mediocre performance may lead to negative appraisals and consequences, including job termination or withholding of bonuses, awards, and promotions. Performance appraisals are a systemic means of ensuring quality of work performance, and thus achieving the strategic objectives and advancing the goals of the organization. These performance appraisals, in order to be effective, must be applied in a uniform, objective, fair and consistent manner over time. In addition, the expectations of the performance appraisal must be clearly understood and agreed upon by the supervisor and the employee. Objectivity and fairness in the appraisal system build trust in the organization as well as high morale among employees.

In a typical and effective process of performance management, as demonstrated in Figure 2.1, performance appraisal is not the only but a vital element because it is the activity which evaluate the outcome of the work, recognize the achievement and weaknesses and give employees and managers a straightforward result on these(Armstrong, 2009, Hutchinson, 2013). From a modern perspective, performance appraisal covers more areas not only on what have been achieved but also on the attitude and contribution of the operator (Hutchinson, 2013), which enhance the functions of identifying training needs.

Performance appraisal process if made clear and transparent can help a lot to avert low morale in employees. Fair, trustworthy, and transparent processes for performances management and resource allocation help to meet people’s drive to defend.

The workforce today is known to have lots of issues regarding the customer satisfaction, competitive advantage, the fight for power, technological advancements, and effective service in order to attain success. Performance appraisal is one of the most crucial and central human resource practices in organizations due to its critical linkage with selection, compensation, training and other employment practices (Elsevier, 2008). Performance appraisal is a Human resource practice which concentrates on the interactions between the supervisors and the subordinates. Performance appraisal is an important tool in order to improve the business performance and also to develop an organizational culture that foster competitive advantage, flexibility and innovation. As the definition explains, Performance appraisal is the systematic evaluation of the performance of employees and to understand the abilities of a person for further growth and development (MSG, 2013).Through the method of performance appraisal, the employee or the individual develops himself intellectually and he understands where he went wrong to correct it. The individual is being assessed based on the work he has done and his ability so that he could effectively attain the pre-established criteria and organizational objectives. This method is really important in adding value to the organizational goals and the company’s objectives. It is said to be a key factor of encouragement to the employees and it highly

Performance appraisal is a process of appraising the employee job performance. It also allows a continuing process of learning, studying, analyzing, and recording data about the value of the employee. Performance appraisals are a very useful tool for management and associates alike. Companies use performance appraisals for the purpose of evaluating and developing associates. An appraisal that has been properly executed acts as the basis for hiring new employees, training and developing current employees, restructuring of workflow, and aids in motivating employees as well.