The Pros And Cons Of Performance Appraisal

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.

After reviewing exhibit 7.4.2, list what you regard as the major problems with the Darby appraisal system. Make specific recommendations about changing the system.

At too many organizations, the performance appraisal has degenerated into a mere formality. Employers and employees are jointly complicit, dutifully sitting across from one another but simply going through the motions, ticking off goals and targets achieved over the past 12 months, those that weren’t, and a new set of goals and targets for the next 12 months. As performance management tools, these by-the-numbers appraisals don’t hold much value for most companies, and they do little to raise employee engagement, commitment or satisfaction levels. However, rather than simply abandoning performance appraisals altogether, as some have implied, a growing number of employers are turning around this state of affairs. They’re reinventing performance reviews and reaping substantial rewards.

Performance appraisal is an evaluation and grading exercise undertaken in organizations to achieve several objectives such as employee motivation, identification of training needs, rewards and remuneration, employee development through feedback etc. [Fig. 1]. All methods for performance appraisal have several advantages and disadvantages based on location of the firm, socio-economic environment, vision and mission of the firm, organizational structure and other factors. Organizations in different industrial sectors may have different focus areas of work and different values and thus, expectations from employees vary across sectors.

First, we need to ask what performance appraisals are. They are “The identification, measurement and management of human performances within an organization.” (GOMEZ-MEJIA, 2010) Performace appraisals are popular and used world wide to measure personal and team performace. Performance management has increased with the gripping economy and having less to do more. Managers have always thought of optimal performance, yet a poorly written performce appraisal has a devistating impact on the employee, the manager, and the company.

Most managers that I know, get a tight feeling in their stomach every time they are reminded that they need to begin working on their performance reviews. Depending on how large your team is, completing performance reviews can be a daunting task. Hopefully you have been good at recording your employees’ individual successes and failures over the course of the year. Performance appraisals serve many purposes within an organization. Answering the questions below will help us understand why they are a standard at most companies.

In today’s business world, performance appraisals are still widely used, yet at the same time very criticized. One of the reasons appraisals are criticized is some feel that they are a waste of time and are not value added. Samuel Culbert, author of the book,“Get Rid of Performance Reviews” states, “This corporate sham is one of the most insidious, most damaging, and yet most ubiquitous of corporate activities” (Culbert). He goes on to say that, “Everybody does it, and almost everyone who’s evaluated hates it” (Culbert). He feels that appraisals are worthless and should never be a method used for giving employees feedback. After doing more

“Performance appraisals can enhance employee performance as well as advance the mission and goals of an organization. There are many advantages of performance appraisals if they are applied fairly, consistently and objectively. Performance appraisals not applied fairly can be counterproductive and even destructive to

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).

Trent has several facts that he needs to consider about how he handled Ms. Smith’s appraisal. The purpose of the performance appraisal is to advise the employee concerning the value of their performance. Performance appraisals should reinforce the manager and employee relationship. Trent’s method of presenting Smith’s appraisal was discouraging and upsetting because she stormed out of the office. He only stated her weaknesses and hinted that she did not really fit in his department. He did not set any short-term improvement goals and a follow-up date to ascertain if Ms. Smith had shown any improvement. He did not give her a copy of her appraisal. One of the facts that Trent needs to consider is that he did not follow the performance appraisal guidelines. In fact, everyone should receive a copy of their appraisal. Another fact that Trent should consider is that he did not have enough documentation available to confirm that she had an inadequate work performance and an unpleasant attitude. He is basing her performance from his negative personal feelings about Ms. Smith. Trent felt that Ms. Smith was a “problem” employee. If Trent did not record any oral warnings or written reprimands in her record, this is another fact that he needs to consider. He has to record the exact times and dates that he has spoken to Ms. Smith about her attitudes and performance. Additionally, he has to provide specific and objective facts in her employee file to prove that

an appraisal system is a regular review of employees performance in work. The main objective of this study therefore, is to examine performance appraisal and workers performance.

Performance appraisal is the systematic, periodic and an impartial rating of an employee’s excellence in matters pertaining to his present job and his potential for a better job”

Performance appraisals are needed in the healthcare facility to ensure that the staff members can perform according to the organization’s standards. Performance appraisals help managers prepare their staff to walk in excellence. The performance appraisal process is one that few look forward to. However, understanding the process can help managers and employees conduct a more fruitful appraisal. At the University of Texas at Dallas, managers are taught that "A chief purpose of any performance appraisal program is employee development. This goal is accomplished by helping the employee to do a better job and by developing in the employee the knowledge and skill to meet the future needs of the work unit and the institution." (Mayhew, 2014)

Performance appraisals (PA) have long been considered fundamental to the organisational effectiveness of human resources (Yee & Chen, 2009). However, a macro shift towards a knowledge-based economy, the advancement of technology, and generational workforce changes, have prompted an evolution of the traditional PA practise. The purpose of this literature review is to highlight the reasons why traditional PA practices are inadequate and unfulfilling for today’s millennial employees. Firstly, an overview of the traditional PA process will be presented followed by a discussion regarding the drawbacks of PA. The literature review will then discuss millennials and PA, followed by research