TABLE OF CONTENT
                                                              Page

LITERATURE REVIEW   3

COMPANY OVERVIEW   7

HUMAN RESOURCE FUNCTION 10

DESCRIPTION, ANALYSIS AND RECOMMENDATION OF THE
HUMAN RESOUCE MANAGEMENT PRACTICE 15

CONCLUSION   23

REFERENCE                                                 24

APPENDIX

LITERATURE REVIEW

1. Performance Appraisal

Performance appraisal (PA) is widely considered to be a vital component in the rational and systemic process of human resource management. According to Stephan and Dorfman (1989), the outcomes of effective performance appraisal are noted improvements in the accuracy of employee performance as well as the establishment of a strong relationship between performance on tasks and a clear potential for reward. The information obtained through performance appraisal provides the foundation for recruiting and selecting new hires, training and development of existing staff besides motivating and maintaining a quality work force by adequately and properly rewarding their performance.

This is agreed by Nurse (2005) as it was viewed that the adequate provision of developmental information (as a result of proper performance appraisal) is in line for the further development of managerial staff and therefore vital for the training and development purposes particularly as it has direct connotations to employee motivation as well. In addition, Teratanavat, Raitano and Kleiner (2006) also found that effective performance appraisal results in outcomes like reduced employee stress, review of overall employee progress, linkage between current performance and employee’s goals, and the development of specific action plans for the future. This view is almost similar to the one held by Dobbins, Cardy and Platz-Vieno (1990) when they mentioned that the five main outcomes of performance appraisal are mainly use of evaluations as feedback to improve... [continues]

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