The document provides guidance on writing effective performance appraisals, including discussing the purpose of performance appraisals, preparation tips, different appraisal methods like ranking, rating scales, checklists, and examples of feedback phrases. It also lists additional resources on performance appraisal forms, templates, and techniques to help managers structure appraisals that motivate employees and assess performance over the review period.

1. Writing a performance appraisal
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I. Contents of getting writing a performance appraisal
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Many businesses use the performance appraisal process to manage employees toward achieving
organizational goals.
However, there seems to be a general consensus that performance appraisals are a painful
process and one of the least favored times of the year.
If done well, performance appraisals can be a positive experience for both the employee and the
manager. If done poorly, it can be a very stressful time and one of the most difficult
conversations of the year.
Successful organizations have learned the importance of training managers on performance
management techniques and the appropriate way to monitor and document employees
performance. This provides the supervisor with the necessary information that is needed to write
and deliver effective performance appraisals.
Why do performance appraisals?
Let’s start by discussing the why behind doing performance appraisals. The performance
appraisal process is meant be a time to reflect on the last year, celebrate successes and course
correct if an employee has gotten off track. Reinforcing the positive and celebrating the
successes can influence future positive behaviors.

2. Statistics show that an estimated 40% of workers never receive performance evaluations. And for
the 60% of the workers who do, most are poorly done. Wow, what a scary thing. The fact is
that employees want and need to know if they’re doing a good job. A formal performance
appraisal process forces managers to communicate both good and bad performance results to the
employees.
Desired performance behavior needs to be monitored in order to be achieved. Goals don’t just
happen; they need structured systems and processes. The performance appraisal process is a
critical component to achieving these critical end results.
Goals are important because they provide direction, clarify job roles, give something to strive
for, show how far you’ve come and help make the vision attainable. Having goals written down
makes it more real and achievable. It allows you to see where you are going and the steps to get
there.
The structured process should include a cycle that begins with writing goals, communicating
expectations in achieving those goals, monitoring performance toward goals, assessing
performance and ends with the performance appraisal.
Preparation for the performance appraisal is ongoing. A manager should always be thinking
about the process and whenever a problem is noticed with an employees’ performance, mention
it to them, make a note of it and drop it in their file. At the same time, whenever an employee
demonstrates a desired behavior or result, mention it to them, make a note and drop it in their
file.
The PA Should be Fair, Pertinent and Comprehensive
The appraisal needs to be fair and unbiased. This is challenging because sometimes we honestly
don’t like some of the employees who work for us. Not all managers will admit this, but it is so
true! But that bias must not influence the appraisal.
1. Fair
To be fair, you have to observe all employees and document behavior in the same way in terms
of frequency, type of language used, harshness of judgment and interim feedback.
Ask yourself:
 Would I have made the same note on a different employee?
 Are my observations the same or am I over-emphasizing a single event?
 Am I giving immediate feedback after a problem is observed so the employee has a
chance to change their behaviors and improve?

3. It is also important to give feedback as soon as you see a problem so you’re giving the employee
a chance to improve.
2. Relevant
The appraisal needs to be relevant to the entire evaluation period and to the performance of the
job and the specific standards and/or expectations that you and the employee have established.
To make the appraisal relevant, refer to internal policies, standards and employee goals (i.e.,
service standards, attendance policy, etc.). Focus on behavior and results. Ask the question, did
the employees finish their goals; did they contribute to the mission of the organization?
3. Comprehensive
The appraisal should be comprehensive in monitoring and observing behaviors that tell a story
about the employee through the entire performance period. All unusual events that affect
performance should be documented and filed. For example, if the organization experienced
some significant event that impacted the employee’s ability to achieve a goal, document it.
It is also important to make note of positive performance and major accomplishments in order to
be fair and balanced. The positive notes are important for celebration of successes at the
performance appraisal. Be very specific in your documentation so you don’t forget the details of
the observation. Use a third party occasionally to review your observations to help keep you
focused and objective.
Performance Appraisal Preparation
When its time to do the performance appraisal, determine what information should, and should
not, be included in the final appraisal from the entire period. Look for information that shows
patterns in behavior. For example, does the employee have a chronic problem with being late to
work or does the employee go above and beyond job expectations consistently? There should
never be a surprise when feedback is shared during the PA process, which is why it is so
important to make the employee aware each time you make a note for the file.
Make sure you block out ample time on your calendar to write the performance appraisal. A
good rule of thumb is to allow at least one hour per employee to review the file, organize content
and write the performance appraisals.
Take time to write and do an initial draft of the appraisal ahead of the deadline. Sleep on it and
look at the draft and test it against fair, pertinent and comprehensive.
Try to discuss the employee’s performance with the second level supervisor. This will help to
assure that you have no biases in your evaluation.

4. Schedule the performance appraisal at an appropriate time and a neutral location. Try to use a
conference room as a manager’s office can be intimidating to an employee.
When delivering the performance appraisal be sure that you will be free of interruptions. Be
prepared with specific incidents of effective and ineffective performance and be ready to answer
questions if asked.
Performance Appraisal Discussion
When you begin the conversation, be sure to state the purpose of the appraisal and the process
you will be using for the discussion. Review the appraisal with the employee while probing for
additional information, misunderstanding or views that differ from yours. Once the discussion is
finished, summarize the performance discussion; have the employee sign the form for the files.
Other Thoughts
 Managers must be willing to commit significant amounts of time to performance
management to be successful.
 A lack of clear performance expectation and detailed performance feedback is a major
source of stress for employees.
 Make sure employee’s job description reflects what is written in their goals.
Lastly, try to remember that most employees want to do a good job and it is your responsibility
as a manager to help them identify their boundaries and goals and to provide them with the
necessary resources to accomplish them.
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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

5. 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
3. Checklist method

6. 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

7. 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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