Performance appraisal is the systematic evaluation of
the individual with respect to his or her performance on
the job and his or her potential for future development.
Performance appraisal is a formal, structured system of
measuring and evaluating employee\u2019s job, related
behaviour and outcomes to discover how and why the
employee is presently performing on the job and how
employee can perform more effectively in future.
\u2022To set objectives for individual performance.
\u2022To assess training and development needs.
\u2022To agree plan for employee\u2019s future development.
\u2022To assess future potential for promotion.
\u2022To give employees feedback on their performance.
To encourage managers to think carefully about the
performance of their staff in general and factors
influencing it, including their own style and behaviour
\u2022Unified appraisal procedure.
\u2022A tool of employee\u2019s development and stimulation.
\u2022Important personnel decisions.
\u2022Improvement in human behaviour.
\u2022Performance appraisal works as an evidence.
\u2022A tool in the hands of supervisors.
\u2022Improved quality of supervision.
\u2022Maintenance of industrial relation.
\u2022Establish performance standard.
\u2022Communicate standards to employees.
\u2022Measurement of actual performance.
\u2022Compare actual performance with standard.
\u2022Discuss the appraisal with employees.
\u2022Straight ranking method.
\u2022Paired comparison method.
\u2022Graphic or point method.
\u2022Forced distribution method.
\u2022Forced choice description method.
\u2022Free essay method.
\u2022Management by objectives (MBO).
\u2022Behaviourally anchored rating scales (BARS)
\u2022Human resource accounting method.
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