Performance appraisal is a process that assesses an individual employee's job performance and productivity in relation to certain pre-established criteria and organizational objectives.
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2. Flow of Presentation
• Importance of Performance Appraisal Policy
• Purpose and Objectives of Performance
Appraisal Policy
• Scope of Performance Appraisal Policy
• Responsibilities
• Guidelines to Conduct Performance Appraisal
• Scheduled, Grading and Further Actions
• Mandatory Actions
3. Importance of Performance Appraisal
Policy
Why organization should have
Performance Appraisal Policy
It creates
performance
oriented
work
environment
Helps the
employees to
understand
the level of
performance
expected
from them
Act as a
motivational
tool to
encourage
performance
It supports
talent
management
process in the
organization
It is backbone
of successor
planning
4. Purpose and Objectives of
Performance Appraisal Policy
Providing review
of performance to
every employee
Fair conduct of
performance
appraisal
Trust building
among employees
Promote job
satisfaction
Discuss the
aspiration and
potential of the
employees
5. Scope of Performance Appraisal Policy
Performance appraisal policy is applicable to all
the employees working in the organization.
Generally the permanent employees are
considered for performance appraisal.
6. Responsibilities
Individual
employees
• Attend appraisal
meetings
• Submit the
evaluation form
• Complete the
assigned training
courses
• Generate proof of
achievement
• Follow the
Personal
Development Plan
(PDP)
Appraisers
• Conduct appraisal
meetings
• Provide feedback
on performance
and behavior
• Provide fair grades
to the team
members
• Take action for
successor planning
• Maintain yearly
appraisal data
Management/HR
Department
• Compiling the self-
assessment record
• Compiling the
grades provided by
appraisers
• Generate the data
regarding hike in
salary, incentive
and bonus for the
employees
7. Guidelines to Conduct Performance
Appraisal
• Resources should be provided to achieve set objectives or to improve
performance
• Performance appraisal should be conducted for every employee
• Grading should be centered around the specific job skills
• Appraisal process should be thoughtful and meaningful
• Managers should encourage discussion on achievements, potential and
aspiration of team members
• Performance, behavior and contribution score should be calculated in fair
manner
8. Scheduled, Grading and Further
Actions
Scheduled
Grading
Further Action
•Twice a year
•Month of March and September
•Scores are calculated against the
set objectives
•Three important scores are-
performance score, behavior
score and essential skill
compliance
•Salary hike, incentives and bonus
are provided as per overall
performance score
•Training session are suggested for
the poor performance score
9. Mandatory Actions
Submission of
appraisal
forms and
grading
before
deadline
Providing
proofs of
achievements
Verification of
scores
Assessment
of score and
grade
generation
Clarification
about grades
from
grievances
cell