April 3, 2011
Developing A Performance Appraisal System
In order for the design and administration of a performance appraisal system; to be effective; managers and employees must communicate on a regular basis. Allan and Rosenberg (1981) stated, “Performance appraisal system plays a number of roles in an organization that’s geared towards achieving the company’s goals and mission. Beginning at the corporate level, values, behaviors, and goals should be identified; these must support the company’s strategic mission and promote the success of the business. The basic purpose of performance appraisal system involves two parts, (1) an evaluation system, the evaluation system is to identify the performance gap (if any). This gap is the shortfall that occurs when performance does not meet the standard set by the organization as acceptable. (2) The feedback system aim is to inform the employee about the quality of his or her performance. The appraisers also receive feedback from the employee; about job problems and other related issues. (Allan & Rosenberg, 1981). Performance appraisals effectiveness can be seen through accurate assessments of employee productivity and quality of work performed; it can also motivate employees to higher levels of performance. A performance appraisal system needs to be nondiscriminatory; the focus should be on the essential features of the job. This appraisal system can be used as a tool, which helps increase the productivity of each employee. Thereby benefit the organization as a whole”. Performance appraisals assist managers when making decisions concerning several matters such as: * Identifying employees with the potential for advancement * Planning for human resource needs in the future
* Deciding on pay increases based on job performances
* Improving work performance of employees
Suggestions for Effective Performance Appraisal...