The document discusses performance appraisal systems. It notes that performance appraisal aims to provide systematic planning, review employee performance with feedback, and guide management decisions. It outlines the key steps in performance appraisal as establishing standards, measuring performance, comparing to standards, discussing with employees, and taking corrective action. The document recommends making appraisals ongoing, looking at all aspects of performance, providing constructive feedback, keeping written records, and not letting marginal employees avoid scrutiny. It also discusses developing business plans, setting performance expectations, agreeing on objectives, communication, and recognizing good performance as part of an effective appraisal system.