Assignment No.

6 (1MKTG-3)

1. What barriers might prevent an appraisal having a positive impact on

performance?

- Performance appraisal is beneficial for assessing strengths and

weaknesses of an employee. It enables to find out tasks in which the employee is
competent. Basically, the process is useful for identifying true potential and
interests of the employees. The manager/team head shares evaluation result
with the respective employees. Such feedback is useful as it enables employees
to focus on improving their strengths. The managers also suggest ideas and
methods through which employees can overcome their weaknesses. The process
involves recognizing & rewarding employee’s efforts and performance. It boosts
their morale and confidence. Further, greater awareness of one’s true potential
motivates employees to give their best performance. The organization
acknowledges efforts of employees by giving higher salary, higher
responsibilities, certificates and other monetary and non-monetary benefits.

2. What are the problems to avoid in performance appraisal?

 Unclear Standards – Ambiguous traits and degrees of merit can result in

an unfair appraisal.
 Halo Effect – The influence of a rater’s general impression on ratings of
specific qualities can be a problem.
 Central Tendency – This occurs when supervisors stick to the middle of the
rating scales, thus rating everyone average.
 Leniency or Strictness – Supervisors have the tendency to rate everyone
either high or low.
 Bias – The tendency to allow individual differences such as age, race, and
sex affect employee appraisal ratings is a problem.
3. How can performance appraisal biases be avoided?

-Use 360-degree feedback, overcome any one rater's biases by inviting

multiple people to participate in an employee's evaluation. Create career
development avenues. Discuss career goals with employees at every level of the
organization and be a partner in their professional development.

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