Performance appraisal is a systematic process used to evaluate employee job performance and potential. It involves determining performance standards, measuring actual performance, comparing performance to standards, and providing feedback. The objectives of performance appraisal include evaluation for decisions around pay, promotion, and providing counseling to develop employee potential. It can also be used to guide training programs and provide feedback to employees. Performance is appraised using individual methods like rating scales, critical incidents, or MBO, as well as multiple rater methods like ranking or paired comparison.

1. PERFORMANCE APPRAISAL
PRESENTED BY
GROUP 3

2. What is performance appraisal?
• IDENTIFICATION :Means determining what areas
of work the manager should be examining when
measuring performance – essentially focusing on
performance that affects organizational success.
• MEASUREMENT: Entails making managerial
judgment of how good or bad employee
performance was
• MANAGEMENT: Appraisal should be more than a
postmortem examination of past events. It must
take a future oriented view of what workers can
do to realize their potential.

3. PERFORMANCE APPRAISAL
(clevaland;bernardin; murphy;baker)
• It is a method of evaluating the behaviour of
employees in the work spot , normally
including both the quantitative and qualitative
aspects of job performance.
• It is a systematic and objectives ways of
evaluating both work related behaviour and
potential of employees.

4. • It is a process that involves determining and
communicating to an employee how he or she
is performing the job and ideally , establishing
a plan of improvement.

5. OBJECTIVES
• It could be taken either for evaluating the
performance of employees or developing
them.
• Evaluation :Telling the employee where he
stands and using decisions concerning pay,
promotion etc.
• The developmental objectives focus on finding
individual and organizational strength and
weakness.

6. • Developing healthy superior-subordinate
relations
• Offering appropriate counseling to the employee
with a view to develop his potential in future.
• Training and development programmes : It can
serve as a guide for formulating a suitable
training and development programme
• Promotion decisions: It can serve as a useful basis
for job change or promotion.

7. • Personal development: It can help reveal the
causes of good and poor employee
performance.
• Compensation decisions: It can serve as a
basis for pay raises .
• Feedback : It enables the employee to know
how well he is doing on the job.

8. CHARACTERISTICS
• It is a systematic process
• It tries to find out how well the employees
performing the job and tries to establish a plan
for further improvement.
• Performance appraisal may be formal or informal
• It is not limited to calling the fouls.
• It is not job evaluation.
• It is not a past oriented activity

9. PERFORMANCE APPRAISAL PROCESS
• Establish performance standards.
• Communicate the standards.
• Measure actual performance.
• Compare actual performance with standards
and discuss the appraisal.
• Taking corrective action , if necessary.

10. PERFORMANCE APPRAISAL METHODS
• Individual evaluation methods
• Multiple person evaluation methods
• Other methods

11. Individual evaluation methods
• Confidential report
• Essay evaluation
• Critical incidents
• Checklists
• Graphics rating scale
• Behaviorally anchored rating scales
• Forced choice method
• MBO

12. Multiple person evaluation method
• Ranking
• Paired comparison
• Forced distribution

13. Other methods
• Group appraisal
• HRA
• Assessment centre
• Field review