Introduction of Performance Appraisal - Human Resource Management | Human Resource Management - B Com PDF Download

Introduction
Performance appraisal or Performance evaluation is a method of evaluating the behaviour of employees in a work place, normally including both the quantitative and qualitative aspect of job performance. Performance here refers to the degree of accomplishment of the tasks that makeup an individual‘ job. It indicates how well an individual fulfilling the job demands. Performance is measured in terms of results. Thus, Performance appraisal is the process of assessing the performance or progress of an employee, or a group of employees on th given job, as well as his potential for future development. Thus, performance appraisal comprises all formal procedures used in organisations to evaluate contributions, personality, and potential of individual employees. In other words, performance appraisal includes the comparison of performance scales of different individuals holding similar areas of work responsibilities and relate to determination of worth of the scales for the achievement of organisaton objective.

Definitions of Performance Appraisal : Performance Appraisal has been defined as follows :
1. According to Edwin Flippo, 'Performance appraisal is the systematic, periodic and an impartial rating of an employee‘s excellence in matters pertaining to his present job and his potential for a better job.'

2. According to Cummings, 'The overall objective of performance appraisal is to improve the efficiency of an enterprise by attempting to mobilise the best possible efforts from individuals employed in it. Such appraisals achieve four objectives including the salary reviews the development and training of individuals, planning job rotation and assistance promotions.'

3. According to Wendell French, Performance appraisal and review in the formal, systematic assessment of how well employees are performing their jobs in relations to establish standards and the communication of that assessment to employees.

4. According to Dale Yoder, 'Performance appraisal includes all formal procedures used to evaluate personalities and contributions and potentials of group members in a working organisation. It is a continuous process to secure information necessary for making correct and objective decisions on employees.‖ Performance appraisal is a systematic evaluation of the employees performance at work.

Performance appraisal is a process of evaluating an employees performance on a job in terms of its requirement. It is a process of estimating or judging the value, excellence, qualities of status of some object, person or thing.
Performance appraisal is a formal programme in an organisation which is concerned with not only the contributions of the members who form part of the organisation, but aims at spotting the potential also. The satisfactory performance is only a part of the system as a whole and the management needs more information than mere performance ratings of the subordinates.

Performance appraisal is the systematic evaluation of the individual with respect to his performance on the job and his potential for development. Performance appraised is collcerned with determining the differences among the employees working in the organisation. Generally, the evaluation is done by the individual‘s immediate superior in the organisation and whose performance is reviewed in turn by his superior. Thus, everyone in the organisation who rates others below him is also rated by his superiors, Performance appraisal employs rating techniques for comparing individual employees in the work group, in terms of personal qualities or deficiencies and the requirements of their respective jobs
 

Characteristics of Performance Appraisal : The following are the characteristics of Performance Appraisal
1. A Process : Performance appraisal is not a one-act play. It is rather a process that involves several acts or steps.
2. Systematic Assessment : Performance appraisal is a systematic assessment of an employee‘s strengths and weakness in the context of the given job.
3. Main Objective : The main objective of it is to know how well an employee is going for the organisation and what needs to be improved in him.
4. Scientific Evaluation : It is an objective, unbiased and scientific evaluation through similar measure and procedures for all employees in a formal manner.
5. Periodic Evaluation : Although informal appraisals tend to take place in an unscheduled manner (on continuous) basis with the enterprises a supervisors evaluate their subordinates work and as subordinates appraise each other rand supervisors on a daily basis, yet the systematic (i.e., formal) appraisal of an individual employee is likely to occur at certain intervals through out that person‘s history of employment (say quarterly, six monthly, annually, etc.)
6. Continuous Process : In addition to being periodic performance usually is an ongoing process. It means that appraisals are regularly scheduled and are not dumped on the employee on whimsical dates without relevance. The process has not been broken in person‘s history of employment however, the periodicity of appraisal may be changed as per needs of the situation.
7. Employee Feedback : Performance appraisal system provides information to employees on how well they are doing their jobs, and this feedback is provided to them when it is relevant.
Performance appraisal is also called Employee Rating and Service Rating. Performance appraisal and merit rating are used synonymously. But strictly speaking performance appraisal is a wider term than merit-rating. In merit rating the focus is on judging the calibre and worth of an employee so as to place him on right job. On the other hand, performance appraisal focuses on the performance and future potential of the employee. Its aim is not simply to decide placement or promotion but to measures the value of worker in different job situations.