The document provides an overview of performance appraisals, focusing on both individual and team evaluations, methods, and their impacts on organizational performance. It discusses various appraisal techniques, such as the ranking method, rating scale, and checklist method, detailing their advantages and disadvantages. Additionally, the document emphasizes the importance of aligning appraisals with organizational objectives and the transition from individual to team-based evaluations.

1. Performance appraisal introduction
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I. Contents of getting performance appraisal introduction
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Performance appraisals, whether team or individual, provide feedback to workers or
organizational teams. Traditionally, performance evaluations provide information to help
improve performance, increase efficiency and define management's expectations. Performance
appraisals compare work performed against measurable objectives that the employee and
supervisor agreed to at the beginning of the appraisal period. As work has become more team
oriented, performance appraisals now measure how a team of workers perform rather than just
how an individual performs his job.
Definition of Team Performance Appraisals
As jobs become more intricate, organizations must rely on teams of people to accomplish tasks.
To evaluate job performance by teams of people, organizations institute team performance
appraisals. Team performance appraisals assess the performance of teamwork on organizational
performance. Team performance appraisals can range from recognition of individual
performance and its contribution to group outcomes to only an assessment of the organization's
performance. When only an organization's performance is evaluated, no individual appraisals are
completed and individuals do not receive performance ratings.
Types of Team Performance Appraisals
The culture and organizational structure of the workplace environment influence the type of team
performance appraisal best suited to evaluate and measure performance. If work teams exist in
the organization, but are used only occasionally to accomplish projects, individual performance

2. measurements are used to determine a final rating of the employee. When an organization uses
teamwork more frequently, performance appraisals still emphasize individual performance but
introduce an assessment of the worker's contribution to the team effort. If an organization uses a
significant amount of teamwork to accomplish its objectives, team performance appraisals link
team productivity measurements with individual performance measurements. Organization's with
only a team approach do not utilize individual performance appraisals. Team performance
measurements determine monetary rewards.
Elements of Individual Performance Appraisals
Individual performance appraisals are the traditional appraisals that measure individual
performance against measurable objectives. Individual performance appraisals provide an
opportunity for employees and supervisors to share ideas and reach mutually agreed upon
objectives. Individual performance appraisals focus on the skills required to perform the current
job and skills that must be acquired for promotion. Individual performance evaluations are tools
to determine monetary compensation. This type of performance appraisal provides feedback and
recognition to the individual.
Comparison of Individual and Team Performance Appraisals
Individual performance appraisals measure an employee's work against standard performance
measures. Standard performance measures are derived from individual job descriptions. Often, a
direct link exists between performance and pay based on an employee's job rating from the
appraisal. Team performance appraisals assess an individual's contribution to the team. Team
performance appraisals are appropriate to support an organization's efforts to transition from an
individual-based organization to an team-based organization. Team performance appraisal, for
example, assess whether the team met its goals, produced a quality product and worked well
together.
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III. Performance appraisal methods

3. 1.Ranking Method
The ranking system requires the rater to rank his
subordinates on overall performance. This consists in
simply putting a man in a rank order. Under this method,
the ranking of an employee in a work group is done
against that of another employee. The relative position of
each employee is tested in terms of his numerical rank. It
may also be done by ranking a person on his job
performance against another member of the competitive
group.
Advantages of Ranking Method
i. Employees are ranked according to their performance
levels.
ii. It is easier to rank the best and the worst employee.
Limitations of Ranking Method
i. The “whole man” is compared with another “whole man”
in this method. In practice, it is very difficult to compare
individuals possessing various individual traits.
ii. This method speaks only of the position where an
employee stands in his group. It does not test anything
about how much better or how much worse an employee
is when compared to another employee.
iii. When a large number of employees are working, ranking
of individuals become a difficult issue.
iv. There is no systematic procedure for ranking individuals
in the organization. The ranking system does not eliminate
the possibility of snap judgements.
2. Rating Scale
Rating scales consists of several numerical scales
representing job related performance criterions such as
dependability, initiative, output, attendance, attitude etc.
Each scales ranges from excellent to poor. The total
numerical scores are computed and final conclusions are
derived. Advantages – Adaptability, easy to use, low cost,
every type of job can be evaluated, large number of
employees covered, no formal training required.
Disadvantages – Rater’s biases

4. 3. Checklist method
Under this method, checklist of statements of traits of
employee in the form of Yes or No based questions is
prepared. Here the rater only does the reporting or
checking and HR department does the actual evaluation.
Advantages – economy, ease of administration, limited
training required, standardization. Disadvantages – Raters
biases, use of improper weighs by HR, does not allow
rater to give relative ratings
4. Critical Incidents Method
The approach is focused on certain critical behaviors of
employee that makes all the difference in the
performance. Supervisors as and when they occur record
such incidents. Advantages – Evaluations are based on
actual job behaviors, ratings are supported by
descriptions, feedback is easy, reduces recency biases,
chances of subordinate improvement are high.
Disadvantages – Negative incidents can be prioritized,
forgetting incidents, overly close supervision; feedback
may be too much and may appear to be punishment.
5. Essay Method

5. In this method the rater writes down the employee
description in detail within a number of broad categories
like, overall impression of performance, promoteability
of employee, existing capabilities and qualifications of
performing jobs, strengths and weaknesses and training
needs of the employee. Advantage – It is extremely
useful in filing information gaps about the employees
that often occur in a better-structured checklist.
Disadvantages – It its highly dependent upon the writing
skills of rater and most of them are not good writers.
They may get confused success depends on the memory
power of raters.
6. Behaviorally Anchored Rating Scales
statements of effective and ineffective behaviors
determine the points. They are said to be
behaviorally anchored. The rater is supposed to
say, which behavior describes the employee
performance. Advantages – helps overcome rating
errors. Disadvantages – Suffers from distortions
inherent in most rating techniques.
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