9) Performance Appraisals in the Workplace

What is a Performance Appraisal?

In every organisation there is a need to understand the abilities of the employees to perform and grow, performance appraisal acts as a tool to check the development opportunities for the employees. It is a systematic evaluation of the work performed by the employees. 


The performance assessment often includes both the core competencies required by the organisation and also the competencies specific to the employee’s job.

The appraiser, often a supervisor or manager, will provide the employee with constructive, actionable feedback based on the assessment. This in turn provides the employee with the direction needed to improve and develop in their job.

Objectives of performance appraisal

  • This is an essential first step towards promoting an employee, based on the subjective and objective factors- performance and competency. 
  • To identify the training and development needs of an employee.
  • To provide confirmation to those employees who were recently hired and are on their probation period. 
  • To take a concrete decision what should be the percentage of hike in the salary of an employee based on the work done by them. 
  • To encourage a proper feedback system between the manager and employees. 
  • To help employees understand where they stand in the current year and what is the scope of improvement.


Performance Appraisal Process

The performance appraisal process is defined as a process under which periodic assessment is undertaken to evaluate the performance of an employee. The input by an employee is compared with the output as per pre-defined performance goals


                                                        Image source: MBA Skool


Modern method of performance appraisal

There are some common and modern appraisal methods that many organisations gravitate towards, including:

1. Self-evaluation

In a self-evaluation assessment, employees first conduct their performance assessment on their own against a set list of criteria.

2. Behavioral checklist

A Yes or No checklist is provided against a series of traits. If the supervisor believes the employee has exhibited a trait, a YES is ticked.If they feel the employee has not exhibited the trait, a NO is ticked off. If they are unsure, it can be left blank.

3. 360-degree feedback

This type of review includes not just the direct feedback from the manager and employee, but also from other team members and sources.The review also includes character and leadership capabilities.


4. Ratings scale

A ratings scale is a common method of appraisal. It uses a set of pre-determined criteria that a manager uses to evaluate an employee against.Each set of criteria is weighted so that a measured score can be calculated at the end of the review.

5. Management by objectives

This type of assessment is a newer method that is gaining in popularity. It involves the employee and manager agreeing to a set of attainable performance goals that the employee will strive to achieve over a given period of time.

Sample of Performance appraisal form

                                                        Image Source: SampleForms

Benefit for organization

Employee assessments can make a difference in the performance of an organization. They provide insight into how employees are contributing and enable organizations to:

  • Identify where management can improve working conditions in order to increase productivity and work quality.
  • Address behavioral issues before they impact departmental productivity.
  • Encourage employees to contribute more by recognizing their talents and skills
  • Support employees in skill and career development
  • Improve strategic decision-making in situations that require layoffs, succession planning, or filling open roles internally

Benefit for employee

Performance appraisals are meant to provide a positive outcome for employees. The insights gained from assessing and discussing an employee’s performance can help:

  • Recognize and acknowledge the achievements and contributions made by an employee.
  • Recognize the opportunity for promotion or bonus.
  • Identify and support the need for additional training or education to continue career development.
  • Determine the specific areas where skills can be improved.
  • Motivate an employee and help them feel involved and invested in their career development.
  • Open discussion to an employee’s long-term goals.


REFERENCES

Bhasin, H,(2021) Performance Appraisal Process: Meaning, Types, and Objectives [online] Available from https://www.marketing91.com/performance-appraisal-process/ [Accessed on 01 December 2022].

Question pro, (2022) Performance appraisal: Definition, Objectives, Process, Methods, Advantages & Disadvantages [online] Available from https://www.questionpro.com/blog/performance-appraisal/ [Accessed on 01 December 2022].

Kissflow, (2022)16 practical performance Appraisal Methods for the Modern Workforce (With Examples) [online] Available from https://kissflow.com/hr/performance-management/employee-performance-appraisal-method/ [Accessed on 01 December 2022].




Comments

  1. Nandun Narayana2 December 2022 at 22:28

    It is also important to identify impact of performance appraisals toward employee turnover reduction or increase. A successful performance management approach ensures employee retention by strategically preparing for their professional development and advancement in addition to recognizing employees for their hard work.

    ReplyDelete
    Replies
    1. Udara Dilshan3 December 2022 at 20:23

      Agreed Mr Nandun.Thank you for the valuable feedback.

      Delete
  2. Nimna3 December 2022 at 00:25

    Also the performing appraisals processes should be developed in a way that everyone is treated not equally but fairly .

    ReplyDelete
    Replies
    1. Udara Dilshan3 December 2022 at 20:44

      Yes Mr Nimna,Performing appraisals processes should be developed in a way that everyone is treated not equally but fairly.Having fair performance appraisals is important because they establish a sense of fairness among employees and let them make and employers alike, and they can help improve the work environment.

      Delete
  3. Asfara Banu3 December 2022 at 03:44

    What are your thoughts on contemporary performance appraisal methods?

    ReplyDelete
    Replies
    1. Udara Dilshan4 December 2022 at 09:35

      Modern performance management brings team members into the process as collaborators. Instead of simply taking orders, they must also have a chance to voice their opinions.I think it is more transparency and fairness.

      Delete
  4. Aruna3 December 2022 at 11:15

    performance appraisal is directly hit to achieving company goals and objectives.According to your idea,is there any standard guideline to performance appraisal ?

    ReplyDelete
    Replies
    1. Udara Dilshan4 December 2022 at 09:47

      Thank you for the comment Mr Aruna. Proper evaluator,Proper timing,proper feedback,proper weight age and reliability are the guidelines to performance appraisal.

      Delete
  5. Madusha4 December 2022 at 05:58

    When performing a performance appraisal, it is possible for the assessor to create prejudice in favor of or against an employee, either consciously or unintentionally, which might affect the performance appraisal's outcome.

    ReplyDelete

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