Performance appraisal

Performance appraisal is a systematic and objective way of judging
the relative worth or ability of an employee in performing his job. It
emphasizes on two aspects; systematic and objective. All performances
are to be evaluated in the same manner, utilizing the same approaches.
This would facilitate appraisal of different persons comparable. This
makes it systematic, as such an appraisal is taken periodically according
to plan; it is not left to chance. This makes the system objective.

Objectives of performance appraisal

  1. Salary increase
    Normally salary increase depends on how the employee is performing his job. The hike in salary to different employees may be according to their efficiency.

2.Promotion
1.Performance appraisal proceeds promotion decision.
2.Depends on how he is performing his job.
3.Continuous evaluation of the employee’s performance either formally or informally.

3.Training and development
Performance appraisal tries to identify weakness and strength of an employee.
This info can be used for devising training and development programmes appropriate for overcoming the weaknesses of the employees.

4.Feedback
Performance appraisal provides feedback to employees about their performance. If they know their weaknesses,they will perform better and try to overcome their weaknesses.

  1. Pressure on employee’s
    Performance appraisal puts a sort of pressure on employees for better performance. If the employees are conscious that they are being appraised in respect to certain factors, they tend to have positive behavior in this respect.