This document discusses performance appraisal methods. It describes 8 common comparative performance appraisal methods: 1) straight ranking, 2) grading, 3) graphic rating, 4) forced choice description, 5) forced distribution, 6) checklist, 7) free essay, and 8) critical incident. For each method, it provides a brief overview and limitations. Overall, the document provides an overview of different performance appraisal techniques used to evaluate employee performance.

1. Performance Appraisal
By Shazia kazmi
Once the employees has been selected, trained and motivated, he is then
apprised for his performance. Performance appraisal is the step where the
management finds out how effective it has been hiring and placing employees. If
any problem is identified, steps are taken to communicate with the employees
and to remedy them. So “so a performance appraisal is a process of evaluating
an employees performance of a job in terms of its requirement “
Several methods and techniques of appraisal are available for measurement of
the performance of the employee. The methods and scales differ for obvious
reason. First they differ in sources of traits and qualities to be apprised. The
quality may differ because of difference in job requirements. Second they differ
because of different kinds of workers who are being rated .third the variation may
be caused by the degree of precision attempted in an evaluation. Finally they
differ because of the method used to obtain weighting for various traits.
The performance appraisal method is divided into three categories these are:
1. Trait-based method
2. Behavioral method
3. Comparative method
4. Result oriented method
The part concerned mostly is the comparative methods:
There are so many methods which are include in comparative method but the most
important and most popular are:
1. Straight ranking method
2. Grading method
3. Graphing rating method
4. Forced choice description method
5. Forced distribution methods
6. Check list method
7. Critical incident method
8. Free from easy method
1. Straight ranking method:
It is the oldest and simplest method of performance appraisal, by which the man
and his performance are considered as an entity by the rater. No attempted is to
made to fractionalize the rate; the whole man compared with the whole man; that
is the ranking of a man in a work group is done against that of another. The
relative position of each man is tasted in terms of his numerical rank.
Limitation-

2. this is the simplest method of separating the most efficient from the least efficient
and relatively easy to develop and use. But the greatest limitation of his method
is the,In practice it is very difficult to compare a single individual with human beings
having various behavior traits,The method only tell us how a man stands in relation to the
others in the group but does not indicate how much better or worse he is than another
It is difficult task when large number of person are rated,It does not eliminate snap
judgment.
2. Grading method-
Under this system, the rater consider certain feature and marks them accordingly
to the scale, train categories of worth are first established and carefully defined.
The selected feature may be analytical ability, cooperativeness, dependability,
self-expression, job knowledge, leadership, etc they may be
A- out standing B-very good C-average D-fair E-poor
These are used in the selection of candidates by the public service commission
Limitation-
in this method we can’t get the actual performance of the employee. for example
if consider that those employee who got 50 to 60 point is in average then the who
got 50 point may be de motivated and who got 51 point may be happy with that
appraisal .
3.Graphic Rating Method
This is the most commonly used method of performance appraisal. Under it a
printed form one for each person to be rated. The factors which are including in
this method are employee characteristics and employee contribution. In
employee characteristics are included are leadership, attitude, enthusiasm,
locality creative ability, analytical ability, co-ordination. In the employee
contribution are include the quantity and quality of work, the responsibility
assumed, specific goal achieved, regularity of attendance. These traits then
evaluated on continuous scale where in the rather place a mark somewhere
along a continuum
Limitation-
However this method also not free from limitation
The rating is generally subjective often the rating cluster on the high side when this
method is used,
Another severe limitation is that it assume that each characteristics is equally important
for all jobs
4. Forced choice description method
it attempts to correct a rater tendency to give consistently high or low rating to all
the employees under this method the rating elements are several sets of pair
phrases or adjective relating to job proficiency and personal qualification the

3. following statement are illustrative of the type of statement that are used
Organize the work well
Lacks the ability to make people feel at ease
Has a cool even temperament
Is punctual and careful
Is a hard worker and co-operative
Limitation-
Trained technicians are required prepare sets of series for each occupational group
Most of the raters become irritated with the test because they are not being trusted
The result of evaluation don’t prove useful for training purposes because the rater
is ignorant of how he is evaluating the individual.
5. Forced distribution method
This system is used to eliminate or minimize rater’s bias so that all the personnel
may not be placed at the higher end or lower end of the scale. It requires the
rater to apprise an employee according to a predetermined distribution scale
under this system it is performance and promo ability. For this purpose a five
point performance scale is used with out any descriptive statement. Employees
are placed between the two extreme good or bad job performances. For ex 10%
given to outstanding, 20% given to good and 40% given to satisfactory.
Limitation-
This method use in wage administration leads to low morale and low productive
6. Checklist method
Under this method the rater does not evaluate employee performance; he
supplies report about it and the final rating is done by personnel department. A
series of question are presented concerning an employee to his behavior. The
rater then checks to indicate if the answer to a question about an employee is
positive or negative. The value of each question may be weighed equally or
certain question may be weighed more heavily then others.
Example
Is the employee really interested in job? Yes/no
Is he regular on his job? Yes /no
Is he equipment maintain in order? Yes /no
Does he ever make mistake? Yes/no
Does he follow instruction properly? Yes/no
Limitation-
This method suffers from bias on the part of the rater because he can distinguish
positive or negative question
Process can be expensive and time consuming
Separate checklist must be developed

4. 7. Free essay method
Under this method the supervisor makes a free form, open ended appraisal of an
employee in his own words and put down its impression about the employee. He
takes note of these factors
Relation with fellow supervisor
General organization and planning ability
Job knowledge and potential
Employee characteristics and attitude
Production, quality, and cost control
Physical condition and
Development needs
Limitation-
It contains a subjective evaluation of the reported behavior of an individual may
effect such employment decision as promotion, lay-off. Etc.
Some appraisal may not write a descriptive report
The appraisal may be loaded with flowery language about the quality of rate then
the actual evaluation
8. Critical incident method
The essence of this system is that it attempts to measure workers performance in
terms of certain events and episode that occur in the performance rates job.
These events are known as critical incident method. The supervisor keeps a
written record of the event that can easily recalled and used at the time of
performance appraisal
Limitation
Negative incident are generally more noticeable than positive ones
The supervisor may be put off and easily forgotten
Very close supervision may be required and it may not be like by the employee
Performance Appraisal Process
What is Performance Appraisal?
A performance appraisal is a review and discussion of an employee's performance of
assigned duties and responsibilities. The appraisal is based on results obtained by the
employee in his/her job, not on the employee's personality characteristics. The appraisal

5. measures skills and accomplishments with reasonable accuracy and uniformity. It
provides a way to help identify areas for performance enhancement and to help promote
professional growth. It should not, however, be considered the supervisor's only
communication tool. Open lines of communication throughout the year help to make
effective working relationships.
Each employee is entitled to a thoughtful and careful appraisal. The success of the
process depends on the supervisor's willingness to complete a constructive and objective
appraisal and on the employee's willingness to respond to constructive suggestions and to
work with the supervisor to reach future goals.
Why Appraise Performance?
Periodic reviews help supervisors gain a better understanding of each employee's
abilities. The goal of the review process is to recognize achievement, to evaluate job
progress, and then to design training for the further development of skills and strengths.
A careful review will stimulate employee's interest and improve job performance. The
review provides the employee, the supervisor, the Vice President, and Human Resources
a critical, formal feedback mechanism on an annual basis, however these discussions
should not be restricted solely to a formal annual review.
A Pay-for-Performance Structure
Annually, the appropriate supervisor evaluates each employee's performance. In the case
where an employee has changed jobs part-way through the appraisal period, both of the
employee's supervisors during the appraisal period should submit an appraisal of the
employee's performance. During the performance evaluation process, the most recent job
description on file with Human Resources will be reviewed and updated if necessary, by
both the employee and the supervisor.
Employees are reviewed for a salary increase, annually, effective July 1st. The amount of
the salary increase pool of funds is recommended by the administration and approved by
the Board of Trustees. The method for allocating funds is based on rewarding meritorious
performance. Merit increases will be awarded on a pay-for-performance basis and are
based on individual performance. When used as intended, a pay-for-performance
structure achieves the goal of rewarding truly top performers with merit increases that
match their achievements and contributions.