Performance Appraisal

 It is a regular review of an employee’s job performance and overall

contribution to a company .

 Also known as annual review or performance review .

 It is the systematic evaluation of performance of employees .

Objectives

 Maintaining records

 Strengths and weakness

 Maintain and assess the potential

 Influencing working habits

 Review and retain

Advantages

 Promotion
 Compensation
 Motivation
 Communication
 Employees development
Factors influencing

It includes 4 basic factors

 Organizational structure
 Organizational leadership
 Environmental constraints
 Interdependence of subsystems
Difference b/w

Performance management Performance appraisal

 Meaning of PM  Meaning of PA

 Process  System
 Flexible  Rigid
 Managers  HR department
 Continuously  Annually
 Holistic  Individualistic