The document outlines the process of performance appraisal, including methods, tips, and essential steps for conducting effective meetings. It emphasizes the importance of preparation, providing a comfortable environment, focusing on future goals, and utilizing various appraisal methods like ranking and rating scales. Additionally, it advocates for constructive feedback, setting developmental plans, and encourages the use of online resources for further assistance.

1. Process of performance appraisal
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I. Contents of getting process of performance appraisal
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The performance appraisal meeting is, by far, the most dreaded part of the performance appraisal
process. In order to handle the performance appraisal like a rock star, you must be doing the right
things year round. The foundation for an effective performance appraisal meeting is built one
stone at a time, throughout the course of the performance period.
During performance planning, individual performance goals and measures are agreed upon. This
process creates a mutually acceptable yardstick for evaluating performance effectiveness.
Through the monitoring of performance and periodic performance update sessions, the employee
acquires a clear understanding of interim performance. Thus, the path has been paved for
reduced subjectivity and stress in the performance appraisal meeting.
Steps for Conducting a Successful Performance Appraisal Meeting
1. Prepare in advance.
Schedule time in your calendar to prepare for each performance appraisal. Gather all
performance notes and documentation to assist you in completing your evaluation of
performance. Be thorough and thoughtful in completing the evaluation of employee
performance. Review employee job responsibilities and expectations. Compare actual
performance to the performance standards and expectations. Questions to ask yourself:
 Am I looking at performance over the entire evaluation period?
 What performance standards were not met? List specific examples. What can be done to
improve performance?

2.  What factors may have affected performance? What factors may have been beyond the
employee's control?
 Were expectations reasonable? Attainable?
 What performance expectations were met? Exceeded? List specific examples.
 How have I formed my opinions about the employee's performance? Have I been fair and
objective?
Lastly, set a positive tone. Schedule the performance appraisal meeting with your employee in
advance, allowing enough time for he/she to prepare for the meeting. Whatever you do, do not
downplay the importance of the performance appraisal process. Check out Joan Henshaw's
thoughts on this topic in her article: Performance Appraisal - 5 Sure Fire Ways to Fail.
2. Provide a comfortable and professional environment.
The performance appraisal meeting is an important business discussion. As such, you should
plan to hold the meeting in a professional and comfortable environment. Ideally, provide a
conference room, versus your office or a restaurant. Why do managers believe that holding the
performance appraisal discussion in a restaurant is a good idea? If you want to take an employee
out to lunch go ahead and do it, just don’t conduct the performance appraisal meeting at lunch.
Plan to make yourself unavailable for any interruptions during the meeting. Your focus and
attention should be on the employee, not other business issues, cell phone calls, text messages
and the like.
3. Emphasize the future.
While an important aspect of performance appraisal is the review and documentation of
accomplishments and overall performance for a given period of time, it is even more important
to focus on the future. Remember that “what’s done is done,” and that the primary focus should
be on the next performance period. During the discussion, place significant emphasis on how
future performance objectives can be achieved and how standards can be met or exceeded. Past
performance issues should be viewed as lessons for the future.
4. Start with the employee’s self-assessment.
Review the employee's self-evaluation to begin the meeting. Ask questions to ensure that you
understand the employee's perspective and listen closely to employee responses. Provide
supportive comments where your evaluation agrees with the employee’s. Also, comment on, but
don’t review in detail yet, those areas where there may be disagreement.
performance appraisal system5. Review your evaluation and provide feedback.
 Review your evaluation of performance.

3.  Provide feedback on results that have been achieved and performance as compared to
established performance standards.
 Highlight areas of agreement and then discuss areas where there may be disagreement.
Share your specific observations, including examples, and the rationale behind your
judgment.
 Give the employee the opportunity to share their perspective and provide facts or
circumstances that affected their performance.
Employees are more likely to react favorably to positive rather than negative feedback, even
when the employee is expecting negative feedback. As such, it is important to provide negative
or critical feedback concerning employee performance in a way that is constructive and helpful.
Constructive feedback is provided with the purpose of developing or enhancing the individual’s
performance or changing behaviors. Destructive feedback provides little developmental
direction for an employee and creates a relationship lacking trust, honesty, and compassion.
 Avoid destructive comments, accusation and blame.
 Offer specific, behavioral feedback rather than information that is unclear or wavering.
 Provide balanced feedback on both strengths and development needs.
 Offer support, assistance and access to necessary and available resources.
6. Set future performance goals.
In addition to covering the employee’s performance during the performance appraisal meeting,
plans should be made to begin the next performance period. Employees should be given an
opportunity to share their thoughts on future performance goals and managers should clearly
communicate performance standards for the upcoming performance period.
Learn more about setting goals: Download - Six Ways to be SMART in Setting Performance
Goals.
7. Create development plans to support performance improvement and professional
development.
The final portion of the discussion should be devoted to discussing plans for the employee’s
professional development and career growth. Employees should conduct a self-assessment of
their strengths and development needs. Managers should initiate a discussion of continuing
professional development, including:
Assessment of the employee’s strengths and development needs in his or her present position,
Plans for addressing needs and improving weaknesses in the present position, and
Future responsibilities or assignments of interest.

4. ==================
III. Performance appraisal methods
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

5. 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
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.

6. 5. Essay Method
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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