The Importance of Performance Appraisals and How to Conduct Effectively

 Performance Appraisal 

Figure: 1 PA

Performance appraisal is the systematic analysis of an employee's performance and understanding of a person's skills for future growth and development. In general, performance evaluation is done in the following ways:

  • Managers assess and compare employee pay to objectives and plans.
  • The supervisor looks at the factors that influence workers' work performance.
  • Employers are in a position to assist employees in improving their performance.

Purpose of Employee Appraisal

  • Provide effective performance feedback to the employee on his performance.

  • Identify any performance gaps and develop concrete actions to fix them.

  • Determine the employee's strengths and shortcomings.

  • Provide the employee with satisfaction and encouragement.

  • Assist in determining the appropriate Training and Development Program.

  • Budgeting and human resource planning advice.

Figure 2 Towards performance Appraisal 










Advantages of Performance Appraisal 

Performance appraisal is an investment for an organization which can be justifies by following advantages. 

Promotion: This helps the supervisors to find out efficient and inefficient workers in the promotion programs.

Compensation: Marking out compensation packages for employees. which includes bonus, high salary rates, extra benefits, allowances and prerequisites.

Employee Development: Helps the supervisors to setting future training policies and development programs evaluates strengths and weaknesses of employees.

Validating the Selection: Helps the supervisors to understand the validity and importance of the selection procedure and Future changes in selection methods can be made in this regard

Communication: For an organization it is very important to communicate among employees and employers.

Motivation: Motivation is the key it helps employees improve their performance in the future. 

 How to Conduct an Effective Performance Appraisal

 Be Prepared

Some employees feel their manager isn't well prepared for their performance appraisals. Research found that one in ten managers don't have time to prepare for the meeting. Find out what the purpose of the meeting, it can be more effective and efficient.

 Create a combined schedule

It will help to guide the direction of the discussion and support to ensure that cover everything intended to by preparing and establishing a purpose for the meeting. it is a good idea to create an agenda for the appraisal. Employee and invite them to add any additional points they would like to discuss it allows both to further prepare for the discussion.

Discuss Challenges and Success 

Employee may have some conclusion and have some ideas for how, or what need from organization. So important to ask their thoughts first and ensure that when discussing the employee's’ performance. an employee’s performance against a standard that they were unaware of they will be shocked.

Discuss ideas for development and action

A performance appraisal should focus on development and action and what the employee can do moving forward to achieve employees’ objectives and contribute in the direction of the company's goals. organization should find out the plans that the employee has for their career, skills they want to learn to enable them to do their job better and these should be bringing into line with the goals of the organization

Agree actions that need to be taken

This desires to be a reachable plan with actions for each individual, including deadlines, to be able to smooth the growth and development of the employee.

Summarize the meeting and express support

Summarizing should make sure to explain what has been discussed and who is in charge of taking action. It is a good idea to plan when meet again for the next performance appraisal. This gives the employee clarity and allows to start to develop a regular feedback habit. If organization has a problem with an employee's performance it is important to be clear about who is responsible for actions moving forward. Also 

Conclusion 

Performance appraisal is not just a process of evaluating a person's performance as a result of rewards / gifts. Rather, its purpose is to align and enhance an individual’s activism to meet the overall organizational goal.

 

References

Anon., n.d. BreathHR. [Online]
Available at: https://www.breathehr.com/en-gb/blog/topic/employee-performance/six-tips-on-how-to-conduct-an-effective-performance-appraisal
[Accessed 11 august 2021].

KUMAR, N., 2017. linkedin. [Online]
Available at: https://www.linkedin.com/pulse/conducting-effective-performance-appraisals-nirmal- 










Comments

  1. Provide Effective Feedback to employee on his performance. Identify any gaps in performance and create actionable plans to bridge those gaps. Determine the strengths & weaknesses of the employee. Provide satisfaction and encouragement to the Employee.
    Appraisals provide the opportunity to recognize and reward employees and to ensure they feel valued for the work that they do. By monitoring performance and progress against objectives employers can assess whether to reward staff with salary increases, promotions, or bonuses.

    ReplyDelete
  2. Nice article with nice arrangement.
    Appraisals are evaluations of the qualities, traits, and performance of others. We assess the worth or value of others based on these judgments and determine what is good or bad. Performance appraisal is a systematic evaluation of employees by supervisors in the workplace. Employees want to know where they stand in the organization.Appraisals are required for many administrative decisions, including selection, training, promotion, transfer, wage and salary administration, and so on.so having a proper and effective performance appraisal will help to the employer and as well as to employees.

    ReplyDelete
  3. This article helps to understand, As managers, they can be better at conducting performance reviews by communicating employee goals and expectations before going through with the review. Prepare questions ahead of time that will prompt discussion and aim to communicate with employees to set the stage for establishing a more productive team and a proper performance review that is worth the time of both themselves and the employee

    ReplyDelete
  4. Performance appraisals are also known as the performance reviews or the performance evaluation used by the organizations to assess an employee’s performance and appreciate him/her for his/her precious and dedicated contribution to the organization’s growth. Thus, the importance of performance appraisals can be defined as the process of evaluating an employee’s performance and personality as per the organization’s set of standards like versatility, quality of work, efficiency, cooperation, and teamwork. Based on the evaluations and assessment for the performance rating, the employee is rewarded in the form of promotions, cash awards, certificates, etc. Performance appraisals/reviews benefit both employees and employers as feedback is an important part of the performance evaluation.

    ReplyDelete
  5. Good article Thilina,Performance appraisals are useful tool for employee development. It can provides guidance to employees who are doing well and employees who may require improvement. Appraisals can also be used to improve employee's performance through goal setting. Performance goals aim to encourage workers to increase their productivity and efficiently.

    ReplyDelete
    Replies
    1. Yes Wathsala agree with you, thanks for your valuable feedback.

      Delete

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