Contents
Performance Appraisal Basics
The Performance Appraisal Form
The Performance Appraisal Process
1. Plan: Job Goals and Expectations
2. Perform: Work to Meet Goals
3. Evaluate: Assess Performance
4. Discuss: Meet to Review the Performance Appraisal Form
5. Finalize: Complete Appraisal Forms and Implement Changes
Tips for Successful Performance Appraisal Meetings
Performance Appraisals and the Law
How to Establish a Performance Appraisal Process
Performance Appraisal Language
Learn more with these titles from Barnes & Noble
 |
- Create and use an appraisal form
- Ensure open communication and run an effective appraisal meeting
- Reach resolutions and establish goals with your employee
|
 |
|
 |
|
Performance Appraisal Basics
Performance appraisal is a process that most companies use to evaluate an employee’s performance at work. The performance appraisal process involves several steps:
- The employer gathers information about the employee’s work performance during the past year.
- A supervisor (manager) evaluates the employee’s work across many different areas and documents his or her observations in a performance appraisal form.
- The supervisor conducts a performance appraisal meeting with the employee to discuss the employee’s performance and to review the appraisal form in detail.
The process is typically conducted by an employee’s immediate supervisor and occurs at least once per year. Companies often conduct the performance appraisal process at a regularly scheduled time, which may coincide with the end of the calendar year, the end of the company’s fiscal year, or the anniversary of the employee’s original date of hire.
The History of Performance Appraisals
Early performance appraisals focused on the employee’s day-to-day performance. This changed in the 1950s when management guru Peter Drucker introduced the idea of managing by objective (MBO). This concept shifted the focus of the performance appraisal from the employee’s day-to-day performance to the employee’s achievements and contributions relating to the company’s goals, strategies, and long-term objectives.
The Purpose of Performance Appraisals
The performance appraisal process has three main goals:
- To improve the employee’s performance
- To improve the overall performance of the company
- To allow employees to voice opinions and concerns
Companies also use the performance appraisal process to accomplish specific objectives. For example, they may wish to:
- Recognize top performers and improve others: The feedback provided during the process highlights strengths and weaknesses and provides a chance to reward superior performance or develop improvement plans for those who need them.
- Clarify the company’s values and goals: Supervisors can explain how the employee’s job furthers the overall goals of the organization and how the employee’s performance reflects or fails to reflect the company’s beliefs and objectives.
- Facilitate communication: Supervisors can answer employees’ questions on a regular basis, which can prevent frustration and misunderstanding.
- Encourage professional development: Supervisors can boost employee morale—and thus the company’s overall productivity—by using the appraisal process to help employees learn and grow.
- Plan personnel changes: Supervisors can assess how effectively each employee meets the company’s needs, which facilitates decisions about shifting, adding, and replacing personnel.
- Identify training needs: Supervisors can identify gaps in employees’ skills and address them by offering or recommending supplemental training.
- Make legally defensible personnel decisions: An official performance appraisal process enables companies to make personnel decisions—hirings, firings, and promotions—without fear of legal backlash.
| Acknowledgments & Disclaimer |
