A performance appraisal, employee appraisal, performance review, or (career) development discussion[1] is a method by which the job performance of an employee

is evaluated (generally in terms of quality, quantity, cost, and time) typically by the corresponding manager or supervisor.[2] A performance appraisal is a part of guiding and managing career development. It is the process of obtaining, analyzing, and recording information about the relative worth of an employee to the organization. Performance appraisal is an analysis of an employee's recent successes and failures, personal strengths and weaknesses, and suitability for promotion or further training. It is also the judgement of an employee's performance in a job based on considerations other than productivity alone.

Methods
A common approach to assessing performance is to use a numerical or scalar rating system whereby managers are asked to score an individual against a number of objectives/attributes. In some companies, employees receive assessments from their manager, peers, subordinates, and customers, while also performing a self assessment. This is known as a 360-degree appraisal and forms good communication patterns. The most popular methods used in the performance appraisal process include the following:

Management by objectives 360-degree appraisal Behavioral observation scale Behaviorally anchored rating scales

Trait-based systems, which rely on factors such as integrity and conscientiousness, are also commonly used by businesses. The scientific literature on the subject provides evidence that assessing employees on factors such as these should be avoided. The reasons for this are twofold: 1) Because trait-based systems are by definition based on personality traits, they make it difficult for a manager to provide feedback that can cause positive change in employee performance. This is caused by the fact that personality dimensions are for the most part static, and while an employee can change a specific behavior they cannot change their personality. For example, a person who lacks integrity may stop lying to a manager because they have been caught, but they still have low integrity and are likely to lie again when the threat of being caught is gone. 2) Trait-based systems, because they are vague, are more easily influenced by office politics, causing them to be less reliable as a source of information on an employee's true performance. The vagueness of these instruments allows managers to fill them out based on who they want to/feel should get a raise, rather than basing scores on specific behaviors employees should/should not be engaging in. These systems are also more likely to leave a company open to discrimination claims because a manager can make biased decisions without having to back them up with specific behavioral information.

Performance appraisal methods

Performance appraisal management material.
I. Performance appraisal methods

(Tools of ) Performance appraisal methods include 11 appraisal methods / types as follows:

1. Critical incident method

The critical incidents for performance appraisal is a method in which the manager writes down positive and negative performance behavior of employees throughout the performance period
2. Weighted checklist method

This method describe a performance appraisal method where rater familiar with the jobs being evaluated prepared a large list of descriptive statements about effective and ineffective behavior on jobs
3. Paired comparison analysis

Paired comparison analysis is a good way of weighing up the relative importance of options. A range of plausible options is listed. Each option is compared against each of the other options. The results are tallied and the option with the highest score is the preferred option.
4. Graphic rating scales

The Rating Scale is a form on which the manager simply checks off the employees level of performance. This is the oldest and most widely method used for performance appraisal.
5. Essay Evaluation method

This method asked managers / supervisors to describe strengths and weaknesses of an employees behavior. Essay evaluation is a non-quantitative technique This method usually use with the graphic rating scale method.
6. Behaviorally anchored rating scales

This method used to describe a performance rating that focused on specific behaviors or sets as indicators of effective or ineffective performance. It is a combination of the rating scale and critical incident techniques of employee performance evaluation.

7. Performance ranking method

Ranking is a performance appraisal method that is used to evaluate employee performance from best to worst. Manager will compare an employee to another employee, rather than comparing each one to a standard measurement.
8. Management By Objectives (MBO) method

MBO is a process in which managers / employees set objectives for the employee, periodically evaluate the performance, and reward according to the result. MBO focuses attention on what must be accomplished (goals) rather than how it is to be accomplished (methods)
9. 360 degree performance appraisal

360 Degree Feedback is a system or process in which employees receive confidential, anonymous feedback from the people who work around them. This post also include information related to appraisal methods such as 720, 540, 180
10.Forced ranking (forced distribution)

Forced ranking is a method of performance appraisal to rank employee but in order of forced distribution. For example, the distribution requested with 10 or 20 percent in the top category, 70 or 80 percent in the middle, and 10 percent in the bottom.
11. Behavioral Observation Scales

Behavioral Observation Scales is frequency rating of critical incidents that worker has performed.
II. Related documents

Performance appraisal examples Purpose of performance appraisal Performance appraisal procedure Performance appraisal handbook
III. Best performance appraisal resources

1. Phrases For Performance Appraisals. Benefits of this ebook include: A collection of hundreds of ready-to-use impactful appraisal comments and phrases; Phrases to highlight your key strengths and achievements; Phrases to downplay your weaknesses to soften the impact on your overall performance; A comprehensive list of phrases covering most of the

categories of KPIs used by many companies; Guidebook provided in Microsoft Word softcopy for your easy copy, paste and modify in your appraisal form; Guidebook provided in Microsoft Excel spreadsheet so that you can use it also for your employees appraisals and easy moderation! etc 2. Employee Performance Appraisals Forms. Benefits of this ebook include: Make your fair help good & make your good help great; Improve efficiency; Save hours upon hours of time; Get what you want out of every hourly dollar you pay your employees! Even your best employees need to know they are appreciated; Impress your boss or, if you are the boss, motivate your staff by giving them the feedback they NEED to be a better employee etc 3. Employee Performance Review: Tips, Templates & Tactics. Contents of this ebook include: Probation policies and templates, performance review tips, performance appraisal tips; Performance review tips, performance appraisal tips performance review policies and templates; Performance review tips, performance appraisal tips learning & development policies and templates; Performance review tips, performance appraisal tipspoor work performance policies and templates etc 4. Managers Guide to Performance. Contents of this ebook: How to deal with an employee who displays negative behavior.help them deal with their own issues and change their behavior; How to coach an employee to higher performance.employees want your leadership and will follow a strong manager; How to be clear about what you expect from them.an employee always wants to know how to best perform; How to give your employees the opportunities to performif they cant or wont, then how to let them go. Author: Davi Ngo, hrvinet.com

performance appraisal

Definition
Process by which a manager or consultant (1) examines and evaluates an employee's work behavior by comparing it with preset standards, (2) documents the results of the comparison, and (3) uses the results to provide feedback to the employee to show where improvements are needed and why. Performance appraisals are employed to determine who needs what training, and who will be promoted, demoted, retained, or fired.

Performance Appraisal is the systematic evaluation of the performance of employees and to understand the abilities of a person for further growth and development. Performance appraisal is generally done in systematic ways which are as follows:
1. The supervisors measure the pay of employees and compare it with targets and plans. 2. The supervisor analyses the factors behind work performances of employees.

3. The employers are in position to guide the employees for a better performance.

Objectives of Performance Appraisal

Performance Appraisal can be done with following objectives in mind:

1. To maintain records in order to determine compensation packages, wage structure, salaries raises, etc. 2. To identify the strengths and weaknesses of employees to place right men on right job. 3. To maintain and assess the potential present in a person for further growth and development. 4. To provide a feedback to employees regarding their performance and related status. 5. To provide a feedback to employees regarding their performance and related status. 6. It serves as a basis for influencing working habits of the employees. 7. To review and retain the promotional and other training programmes.

Advantages of Performance Appraisal

It is said that performance appraisal is an investment for the company which can be justified by following advantages:
1. Promotion: Performance Appraisal helps the supervisors to chalk out the promotion programmes for efficient employees. In this regards, inefficient workers can be dismissed or demoted in case. 2. Compensation: Performance Appraisal helps in chalking out compensation packages for employees. Merit rating is possible through performance appraisal. Performance Appraisal tries to give worth to a performance. Compensation packages which includes bonus, high salary rates, extra benefits, allowances and pre-requisites are dependent on performance appraisal. The criteria should be merit rather than seniority. 3. Employees Development: The systematic procedure of performance appraisal helps the supervisors to frame training policies and programmes. It helps to analyse strengths and weaknesses of employees so that new jobs can be designed for efficient employees. It also helps in framing future development programmes. 4. Selection Validation: Performance Appraisal helps the supervisors to understand the validity and importance of the selection procedure. The supervisors come to know the validity and thereby the strengths and weaknesses of selection procedure. Future changes in selection methods can be made in this regard. 5. Communication: For an organization, effective communication between employees and employers is very important. Through performance appraisal, communication can be sought for in the following ways: a. Through performance appraisal, the employers can understand and accept skills of subordinates. b. The subordinates can also understand and create a trust and confidence in superiors. c. It also helps in maintaining cordial and congenial labour management relationship. d. It develops the spirit of work and boosts the morale of employees. All the above factors ensure effective communication.

6. Motivation: Performance appraisal serves as a motivation tool. Through evaluating

performance of employees, a persons efficiency can be determined if the targets are achieved. This very well motivates a person for better job and helps him to improve his performance in the future.