Project Report on Performance Appraisal

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INDEX

1. LEARNING OBJECTIVE

2. INTRODUCTION

3. OBJECTIVE OF PERFORMANCE APPRAISAL

4. DEVELOPING THE PERFORMANCE APPRAISAL SYSTEM

5. INTRODUCING & OPERATION OF PERFORMANCE APPRAISAL SYSTEM

6. MONITORING & EVALUATING PERFORMANCE APPRAISAL

7. PROCESS OF PERFORMANC APPRAISAL

8. PERFORMANCE CRITERIA

9. BENEFITS OF PERFORMANCE APPRAISAL

10. CONSTRAINTS

11. NEW TRENDS IN PERFORMANDE APPRAISAL SYSTEM

12. 360o APRAISAL SYSTEM OR FEEDBACK

13. NEW APPRAISAL SYSTEMS

LEARNING OBJECTIVES

This lesson is an insight into the following topics related to performance appraisal:

• What is performance appraisal
• What are the objectives of performance appraisal
• What are the different types of performance appraisal

INTRODUCTION:-

Organizations are run and steered by people. It is through people that goals are set and objectives realized. The performance of an organization is, thus, dependent upon the sum total of the performance of its members. According to Peter Drucker, an organization is like a tune. It is not constituted by individual sounds but by their synthesis. The success of an organization, therefore, depends on its ability to accurately measure the performance of its members and use it objectively to optimize them as vital resources.

The performance of an employee is his resultant behavior on task which can be observed and evaluated. It refers to the contribution made by an individual in the accomplishment of organizational objectives. Performance can be measured by combining quantity, quality, time and cost. People do not learn unless they are given feedback on the results of their actions. For learning to take place, feedback should be provided regularly and it should register both successes and failures. It should also follow soon after the relevant action or actions. Performance appraisal system provides management an opportunity to recall as well as give feedback to people. This feedback is pertaining the performance of the worker. This helps them to correct their mistakes and acquire new skills.

Performance appraisal (PA) refers to all those procedures that are used to evaluate the personality, the performance and the potential of its group members. Evaluation is different from judgment. The former is concerned with performance and the latter is concerned with the individual. While evaluation deals with achievement of goals, a judgment has an undercurrent of personal attack and is likely to evoke resistance. Performance appraisal could be informal or formal. Informal performance appraisal is a continuous process of feeding back information to the subordinates about how well they are doing their work in the organization. The informal appraisal is conducted on a day-today basis. For example, the manager spontaneously mentions that a particular piece of work was well performed or poorly performed. It is due to the close connection between the behavior and the feedback on it, the informal appraisal quickly encourages desirable performance and discourages undesirable performance before it becomes permanently ingrained. Therefore, informal appraisal should not be perceived merely as a casual occurrence but as an important activity and an integral part of the organization’s culture. The formal performance appraisal occurs usually annually on formal basis and involves appraise and appraiser in finding answers to the following questions:

1. What performance level has to be achieved during the period? 2. Has it been achieved?
3. What has been the shortfall and constraints?
4. What are we going to do now?
5. How will we know that we have done it?
6. What kind of feedback can be expected?
7. What assistance can be expected to improve performance?
8. What rewards and opportunities are likely to follow from the performance appraisal?

When the employees have this type of information, they are aware of the...
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