How can appraisal improve performance

Finally, effective goals should be participative. Both manager and individual should be involved in the development of goals to ensure understanding and commitment. Goals should be documented, available for review, managed on a continuous basis and acknowledged. Goals should be flexible enough to account for changing conditions.

See Setting Goals and Objectives Training. Performance review is the process of assessing an employee's progress toward goals. Strengths and weaknesses of all employees are recorded regularly so that the organization can make informed and accurate decisions regarding an employee's contribution, career development, training needs, promotional opportunities, pay increases and other topics. Performance review and evaluation involve the objective and subjective consideration of how to measure and evaluate employee performance results.

Rethinking Stale Performance Management Practices. Ratingless Reviews and Pay Practices. Regardless of the type or format of the selected method to review an employee's behavioral and work expectations, clear definitions of each level of performance must be provided. Raters should be provided with examples of behaviors, skills, measurements and other performance factors to assist them in evaluating an employee.

Several types of performance review systems are in common use. Each system has its benefits and drawbacks. Regardless of the review system used, a variety of common rater errors exist. HR should take the lead to train managers on recognizing and ameliorating their effect on the system. Common errors include:. The use of a performance improvement plan PIP can range from employees who may be new to a role or who are unclear on performance expectations to employees who are regularly falling short of meeting performance expectations and whose performance may necessitate the beginning of a progressive discipline process regarding the performance level.

The document used to guide the process is a critical tool as it helps facilitate performance discussions, records areas of concern and ways to correct them, and serves as legal and decision-making documentation.

The format of the PIP will vary by employer and should include the following components:. A statement regarding expectations for sustained or consistent performance should be included to ensure that true performance improvement has been attained. This documentation may also prove helpful in protecting the employer should performance fail to meet expectations and should further disciplinary action need to be taken.

If the PIP is part of a progressive discipline process that may eventually lead to termination of employment, language in the document should specify that termination is a possible consequence of failure to meet expectations and that it may occur with or without the employee's signature on the PIP. Nothing should be surprising to the employee during the appraisal meeting.

Any performance issues should have been addressed as soon as those issues occurred, not left until the annual performance review.

After a performance appraisal, make sure to check in with the employee consistently to discuss his progress toward the goals set during the meeting. This will help keep employees motivated. Managers should allow the employee to offer input first, responding with their own input and then discussing any areas of disagreement.

To maintain records for compensation packages, wage structure, salaries, pay raises, or restructuring. To identify the strengths and weaknesses of employees. To assess and maintain the potential each person has for further growth and development.

To provide feedback to employees regarding their performance. To serve as a basis for improving working habits of employees. To review and retain promotional and other training programmes. Advantages of a Performance Appraisal Performance appraisals are an investment for both the company and the employee. Here are just a few of the advantages: 1.

Promotion : On one hand, performance appraisals help the supervisors to recommend promotion programmes for efficient employees.

On the other hand, inefficient workers can be dismissed or demoted. Compensation : Performance appraisals help to evaluate compensation packages for employees.

Packages, which include bonuses, higher salary rates, extra benefits and allowances, are dependent on how an employee is performing. Employees Development : Performance appraisals help supervisors to develop training policies and programmes based on strengths and weaknesses of employees so that new roles can be designed for efficient employees. Selection Validation : Performance appraisals help supervisors to understand the importance, strengths and weaknesses of selection procedures.

Future changes in selection methods can be made thanks to feedback from the employees. Communication : For any organisation, effective communication between employees and employers is very important. Through performance appraisals: a.

Employers can understand and accept skills of workers, b. Identifying areas for further training. Improving performance and profitability. Increased job satisfaction and motivation. Better morale and teamwork. Surface — and resolve — any grievances.

Improved planning for employee development. Fair assessment of pay increases. The goal of the feedback is to provide the employee a balanced view of how others view his or her work contribution and performance, in areas such as: Leadership. Interpersonal communication and interaction. Work habits. Top Posts. Fionnuala Hegarty June 30, Killian June 8, Killian December 7,