Performance Appraisal: Concept, Definition, Importance

1. PERFORMANCE
APPRAISAL
Dr Arti Sharma
Assistant Professor,
Department of Business
Studies,
LSM Govt PG College,
Pithoragarh

2. Performance
• Performance is about how things are done as well as
what is done.
• Performance is the degree of accomplishment of the
tasks of a particular job. It reflects how much and
how the requirements of the job have been fulfilled.
• Performance is measured in terms of results. It is the
achievement of quantified objectives. It also includes
appropriate behavior and the effective use of the
required knowledge, skills and competencies.

3. Performance Appraisal is an objective assessment of an
individual’s performance against well defined benchmarks.
The performance is measured against factors like job
knowledge, quality and quantity of output, initiative,
leadership abilities, supervision, cooperation, versatility, health
and many other factors. Assessment should not be confined to
the past performance. The potential of the employee must also
be assessed.

4. • The other terms used for performance
appraisal are employee assessment,
performance rating, performance evaluation,
merit rating.

5. Dale S. Beach, “Performance appraisal is the
systematic evaluation of the individual with respect
to his performance on the job and his potential for
development.”
Dale Yoder, "Personnel appraisals refer to the
formal procedures used in working organizations to
evaluate the personalities and contributions and
potential of group members.

6. 3.1. It is the systematic evaluation of an employee’s strengths and weaknesses
in terms of job requirements.
3.2. It is a scientific study. Formal procedures and actual data are used in this
study.
3.3. It is a continuous process wherein the evaluations are made periodically
according to a definite plan.
3.4. The main objective of performance appraisal is to provide timely and
accurate evaluations of the capabilities of the employees with a forward
look towards future needs.
3.5. It is a means of self control, judgment and evaluating “potentiality”.
Characteristics of Performance appraisal

7. Importance of Performance appraisal
• Human Resource Planning
• Recruitment & Selection
• Training & Development
• Career Planning & Development
• Compensation programs
• Internal Employee Relation
• Assessment of Potential of Employee

8. References
• www.epgp.inflibnet.ac.in