Role of performance appraisal

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I. Contents of getting role of performance appraisal

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Performance appraisals, or employee reviews, are useful tools for employee development
initiatives. Performance appraisals can identify a company's top performers to ensure the most
productive delivery of pay raises and promotions. Employee reviews also can reveal areas of
weakness and potential improvement in your workforce, helping to identify training needs.
Continually updating training programs based on performance appraisal feedback can boost your
workforce's productivity and efficiency over time.
appraisals fast and right!
Company and Departmental Trends
Employee appraisal results, taken together, can be useful in spotting performance trends across
an entire organization or in individual departments. This can help companies to fine-tune their
training programs for existing employees to address these areas of concern. Identifying
company- and department-wide issues and addressing them early can prevent a workforce from
becoming stagnant and accepting a subpar status quo for performance.
New Hire Training
The first performance appraisal new employees receive sheds light on the effectiveness of newhire orientation and training programs. New employees' performance during their first year on
the job is influenced by a mixture of their personal characteristics and the thoroughness of your
first-year training programs. If first-year employee reviews reveal that most of them struggle in a
specific area, you might consider placing more emphasis on that area in new-hire training
programs.

Individual Training Needs

In addition to revealing issues across the company, performance appraisals can shed light on
areas of needed improvement in individual employees. Managers can choose to work directly
with employees to help them address their personal blind spots, or they can pair experienced
employees with struggling team members to help them address any performance concerns they
may have.
Employee Feedback
Collaborative employee appraisal systems allow employees and managers to work together to set
goals, monitor progress toward goals and spot areas of needed improvement. In a review system
that truly encourages honesty and growth, employees can speak up about areas of needed
improvement they see in themselves, their department and the company as a whole. Employees
often have deeper insights into their personal struggles than their superiors do, but employees
must feel free to reveal these weaknesses without damaging their reputation or trust around the
office.
Employees also can provide valuable feedback on their managers, spotting potential areas of
weakness to be addressed with advanced, potentially one-on-one, training sessions.
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III. Performance appraisal methods

1. Essay Method
In this method the rater writes down the employee
description in detail within a number of broad categories
like, overall impression of performance, promoteability
of employee, existing capabilities and qualifications of
performing jobs, strengths and weaknesses and training
needs of the employee. Advantage It is extremely
useful in filing information gaps about the employees
that often occur in a better-structured checklist.
Disadvantages It its highly dependent upon the writing
skills of rater and most of them are not good writers.
They may get confused success depends on the memory
power of raters.

2. Behaviorally Anchored Rating Scales

statements of effective and ineffective behaviors
determine the points. They are said to be
behaviorally anchored. The rater is supposed to
say, which behavior describes the employee
performance. Advantages helps overcome rating
errors. Disadvantages Suffers from distortions
inherent in most rating techniques.

3. Rating Scale
Rating scales consists of several numerical scales
representing job related performance criterions such as
dependability, initiative, output, attendance, attitude etc.
Each scales ranges from excellent to poor. The total
numerical scores are computed and final conclusions are
derived. Advantages Adaptability, easy to use, low cost,
every type of job can be evaluated, large number of
employees covered, no formal training required.
Disadvantages Raters biases

4. Checklist method
Under this method, checklist of statements of traits of
employee in the form of Yes or No based questions is
prepared. Here the rater only does the reporting or
checking and HR department does the actual evaluation.
Advantages economy, ease of administration, limited
training required, standardization. Disadvantages Raters
biases, use of improper weighs by HR, does not allow
rater to give relative ratings

5.Ranking Method
The ranking system requires the rater to rank his
subordinates on overall performance. This consists in
simply putting a man in a rank order. Under this method,
the ranking of an employee in a work group is done
against that of another employee. The relative position of
each employee is tested in terms of his numerical rank. It
may also be done by ranking a person on his job
performance against another member of the competitive
group.
Advantages of Ranking Method
Employees are ranked according to their
performance levels.
It is easier to rank the best and the worst
employee.
Limitations of Ranking Method
The whole man is compared with another
whole man in this method. In practice, it is very difficult
to compare individuals possessing various individual
traits.
This method speaks only of the position where an
employee stands in his group. It does not test anything
about how much better or how much worse an employee
is when compared to another employee.
When a large number of employees are working,
ranking of individuals become a difficult issue.
There is no systematic procedure for ranking
individuals in the organization. The ranking system does
not eliminate the possibility of snap judgements.

6. Critical Incidents Method

The approach is focused on certain critical behaviors of

employee that makes all the difference in the
performance. Supervisors as and when they occur record
such incidents. Advantages Evaluations are based on
actual job behaviors, ratings are supported by
descriptions, feedback is easy, reduces recency biases,
chances of subordinate improvement are high.
Disadvantages Negative incidents can be prioritized,
forgetting incidents, overly close supervision; feedback
may be too much and may appear to be punishment.

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