The document discusses performance appraisals, which involve evaluating an employee's performance, sharing that information with the employee, and identifying ways to improve performance. A performance appraisal is a systematic evaluation of an employee's current and past job performance as well as future potential. The appraisal process involves establishing performance standards, communicating expectations, measuring actual performance, comparing performance to standards, reviewing the appraisal with the employee, and initiating corrective actions if needed. Various methods are used for performance appraisals, including rating scales, checklists, forced distribution, and 360-degree feedback from supervisors, peers, subordinates, and customers.

1. PERFORMANCE
APPRAISAL

2. INTRODUCTION
▪ Performance appraisal is a process of evaluating the performance of employees,
sharing that information with them and searching for ways to improve their
performance.
▪ Performance appraisal can be defined as a systematic evaluation of
an employee's current, or past performance as well as future potentials by
supervisors or those familiar with his/her performance.
▪ Performance is also know as Performance assessment or sometimes synonymous
to performance management.

3. FEATURES
▪ The appraised is a systematic process.
▪ Find out how employee is performing the job and tries to establish a plan for further
improvement.
▪ The appraisal is carried out periodically.
▪ Not job evaluation.
▪ Not limited to ‘calling the fouls’
▪ May be formal or informal

4. QUESTIONS IN PERFORMANCE APPRAISAL
▪ What do we Evaluate?
▪ Who will Evaluate?
▪ When to Appraise?

5. PERFORMANCE
APPRAISAL
ERRORS
▪ Leniency/Strictness Error
▪ Contrast Error
▪ Central Tendency Error
▪ Recency Error
▪ Halo Error
▪ Spill-Over Error
▪ Perceptual Error
▪ Rater Effect Or Similar-to-me Error

6. PROCESS PERFORMANCE APPRAISAL
Step 1 Establish
Performance
Standards or Goals
Step 2
Communicate
Performance
Expectations to
Employees
Step 3
Measure Actual
Performance
Step 4
Compare Actual
Performance with
Standards
Step 5
Discuss and
Review the
Appraisal with
the Staff
Step 6
Initiate Corrective
Action

7. 1. Paired comparison
2. Rating scales
3. Forced Distribution Method
4. Checks lists
5. Confidential Report
6. Cost Accounting Method
7. Ranking
8. Critical Incidents Method
1. Assessment Center
2. Appraisal by Results or Management
by Objectives
3. 360 Dergree Method
METHODS OF PERFORMANCE APPRAISAL

8. RATING
SCALE
METHOD

9. CHECKLIST
METHOD

10. FORCE
DISTRIBUTION
METHOD
No.
of
employees 10% 20% 40% 20% 10%
poor Below
average
average good Excellent
Force distribution curve

11. PERFORMANCE APPRAISAL UNDER AN MBO PROGRAM
1
Organization’s common goals
Measures of organization
performance
2
Department-specific goals
Measures of department
performance
3 3
Supervisor lists goals and
measures for subordinate
Subordinate proposes goals
and measures for his or her job
7 4
Review of
organization
performance
Joint agreement on subordinate
goals and measures
5 5a
Interim review periods
providing feedback on interim
results measured against
established goals
New inputs provided
Inappropriate goals
eliminated
5b
6
Final review of subordinate
results measured against
established or revised goals

12. The 360º Appraisal Interview
Individual Staff
Self-Assessment
Supervisor
Peers
Teams
Sub-Ordinates
Customers

13. ESSENTIAL
CHARACTERSTICS
OF EFFECTIVE
APPRAISAL
SYSTEM
1. Reliability & Validity
2. Job Relatedness
3. Standardisation
4. Practical Viability
5. Legal Sanction
6. Training to Appraisers
7. Employee Access to Result
8. Due Process

14. CONCLUSION

15. Any Confusion?

16. THANK
YOU!Have A Nice Day!