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By, 
SHINU .G. MATHEW
Simply, we can say that Performance 
evaluation is evaluating the employees by the 
manager’s after the training provided by them. 
Performance evaluation is a system influencing the 
behaviour of employees.
 Theoretical difficulties 
 Research Methodology 
 Superfluous Classification Scheme 
 Chain of causation in hierarchy 
 Needs-crucial determinants of behaviour 
 Individual Differences
 Helps the management to take General Human 
Resource Decision. 
 It is basis function for Reward allocation. 
 It point out the employees skill and competencies that 
are currently in-adequate but for which remedial 
programmes can be developed. 
 It provides feedback to employees on how the 
organisation view their performance.
 Individual Task Outcomes 
 Behaviour 
 Traits
Performance Appraisal
Four typical steps in MBO 
 Objective Setting : Future performance of 
employees 
 Action Planning : How to reach on objectives 
 Periodic review : Progress towards objective 
 Annual Evaluation : Analysing for the 
achievement of the 
employees to do more
Employee Performance Evaluation and Management by Objectives (MBO

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Employee Performance Evaluation and Management by Objectives (MBO

  • 1. By, SHINU .G. MATHEW
  • 2. Simply, we can say that Performance evaluation is evaluating the employees by the manager’s after the training provided by them. Performance evaluation is a system influencing the behaviour of employees.
  • 3.  Theoretical difficulties  Research Methodology  Superfluous Classification Scheme  Chain of causation in hierarchy  Needs-crucial determinants of behaviour  Individual Differences
  • 4.  Helps the management to take General Human Resource Decision.  It is basis function for Reward allocation.  It point out the employees skill and competencies that are currently in-adequate but for which remedial programmes can be developed.  It provides feedback to employees on how the organisation view their performance.
  • 5.  Individual Task Outcomes  Behaviour  Traits
  • 7. Four typical steps in MBO  Objective Setting : Future performance of employees  Action Planning : How to reach on objectives  Periodic review : Progress towards objective  Annual Evaluation : Analysing for the achievement of the employees to do more