The Presentation depicts on the performance appraisal system and its various methods/Techniques/Procedure

2. PERFORMANCE APPRAISAL
Performance appraisal is the assessment of
individual performance in a systematic way. The
individual performance can be measured against
factors as job knowledge, quality and quantity of
output, initiative, leadership abilities, supervision,
denpendability , cooperation, judgement, versatility,
health and many more.
“The performance appraisal is the process
through which managers assess employee’s present
performance and potential for future development.
--------------- J.E. POST

3. “Performance appraisal is the systematic
evaluation of individual with respect to their
performance on the job and their potential for
development.”
--------------- Dale S. Beach
Thus in sum we can say that performance
appraisal is an objective assessment of an individual’s
performance against well defined benchmark
(standard performance). It is a developmental tool
used for the overall development of the organization
and the employees. The performance appraisal
defines the overall performance of the employees
toward the job by comparing between the actual
performance and the standard performance.

4. Uses/Advantages of performance appraisal
• Promotion and transfer decision
• Training and development decision
• Reward and punishment decision
• Compensation, pay and fringe benefit decision
• Performance feedback
• Improvement in understanding
• Making correct decisions
• Providing guidance to correct the mistakes and
employees development.
• Flow of effective communication

5. Performance Appraisal Process
1. Establishment of Standard performance
2. Communicating the standard performance
3. Measurement of actual performance.
4. Comparing the actual performance with the
standard performance.
5. Taking the corrective actions

6. Technique/Methods/procedure of
PERFORMANCE APPRAISAL
1. Assessment Center method:
An Assessment centers is a central
location where managers may come together to
have their participation in job related exercises
evaluated by trained observers. The main idea is
to evaluate managers over a period of time
observing their behaviour across a series of
selected exercises or work samples. Assesses
(participants) take part in work groups, computer
simulations, role playing and other similar
activities which requires the same attributes for
successful performance, as in the actual job.

7. The typical assessment centre includes
assertiveness, persuasive ability, communicating
ability, planning and organizational ability, self
confidence, resistance to stress, energy level, decision
making , sensitivity to the feeling of others,
administrative ability, creativity and mental alertness.

8. 2. Management By Objective(MBO):
Under this methods of
performance appraisal the objectives of each and
every employees towards the works they can
perform is known and asked by the management.
The rating is done of the performance against the
achievement of objectives stated by the
management. The MBO follow
• Establish goals and desired outcomes of each
employees.
• Setting the performance standards.
• Compare the actual performance with standard
performance.
• New goals and stratregy formulation for
unaccomplished goals.

9. 3. Behaviourally Anchored Rating Scales(BARS):
It is also called behavioural
expectation scale in which as per the statements of
effective and ineffective behaviours plays a vital
role in determining scales points .In this actual job
behaviour of an employee is evaluated against the
predetermined behaviour. A range of descriptive
statements of behaviour varies from the least to
the most effective.

10. 4. 360 Degree appraisal:
It is another methods of performance
appraisal in which multiple raters are involved in
evaluating performances of an employees.It is a
systematic collection of performance data on an
individual or group, derived from a number of
stakeholders like supervisors, team members,
peers, customers, and self. It provides a broader
perspective about an employees performances and
self development of the employees. It makes the
employees much more accountable to his /her
internal or external customers.

11. 5. Rating scales:
This is the most simplest and most
popular techniques used by the management for
the performance appraisal. The rating scales
consists of severals numerical scales each
representing job related performance like
dependability, initiative, output, attendance,
cooperation and many more. Each scales ranges
from excellent to poor.

12. 6. HR Accounting Methods:
It is a methods of performance
appraisal which evaluates performance from the
monetary returns the employees yields to his/her
organization. A relationship is established between
the cost included in keeping the employee and the
benefit the organization derives from him or her.