University of Phoenix
• What is the purpose of a performance appraisal system and how does it benefit the organization?
Performance appraisal systems are designed to serve the company's and employee's interests. They are used to inventory the abilities and resources of employees and to let an employee know where he stands so that he will be stimulated to improve his performance. This gives the employer and the employee both the opportunity to open the doors of communication and let each other know how they are doing and what can be done to improve the performance. Appraisals offer a valuable opportunity to focus on work activities and goals, to identify and correct existing problems, and to encourage better future performance. I would say that the appraisal system benefits the organization due to improving performance of the employee; the amount of production can also improve. An employer can also learn what areas of training the company needs to focus more on and what types of certifications and education to look for in prospective new hires. (Peter M. Kettner)
• Outline the elements of good appraisal systems.
I. Set objectives
a. Decide what is expected of the employee
b. Set a timeline for which the expectations should be met II. Manage performance
a. Provide the resources for training
b. Establish a timeline that said training should be complete III. Carry out the objectives of your appraisal
a. Monitor the employee performance
b. Discuss the performance of the employee with them on a regular basis IV. Provide rewards
a. Consider pay awards or even promotion for performance
b. Have a plan of action for poor performance
• Determine the criteria for each element that should be present in an appraisal system.
Carroll and Schneier (1982) surveyed a group of human resource experts on eight different...