This document discusses performance appraisal and management. It defines performance appraisal as measuring and assessing an employee's job performance, while performance management integrates appraisal with other HR systems to align employee work with organizational goals. The key functions of appraisal are employee development through goal-setting and feedback, and administrative uses like determining rewards. Effective appraisal systems are valid, reliable, free from bias, and practical. Performance can be measured by results, behaviors, or traits, with results and behaviors usually being most appropriate. Common appraisal methods include objective metrics, subjective ratings scales, and management by objectives. Evaluators should have opportunity and ability to observe performance, as well as motivation to provide an accurate evaluation.

1. 1 PERFORMANCE APPRAISAL