Topics: Performance appraisal, Human resource management, Evaluation Pages: 18 (1945 words) Published: November 10, 2014

Presented By-
Diksha A Kachhap


I am using this opportunity to express my gratitude to everyone who supported me throughout this project. I am thankful for their aspiring guidance, invaluably constructive criticism and friendly advice during the project work. I am sincerely grateful to them for sharing their truthful and illuminating views on a number of issues related to the project. I express my warm thanks to Dr. Taranum Ahmed for her support and guidance for the completion of this project. I would also like to thank my family for their never ending support towards me and my classmates for being so cooperative.

Thank you.


1. Introduction
2. Objective
3. Research methodology
4. Literature Review
5. Case study
6. Conclusion
7. Bibliography


Performance Appraisals is the assessment of individual’s performance in a systematic way. It is a developmental tool used for all round development of the employee and the organization. The appraisal measures skills and accomplishments with reasonable accuracy and uniformity. It provides a way to help identify areas for performance enhancement and to help promote professional growth. Performance appraisals are essential for the effective management and evaluation of staff. Appraisals help develop individuals, improve organizational performance, and feed into organizational planning. In spite of the difficulties, performance management is an essential tool for high per- forming organizations, and it is one of a manager’s most important responsibilities,


Objective of this project is to study why performance appraisal in an organization is necessary, and what purpose does it serve. Also what are the various methods of appraisal and problems faced while evaluating an employee and measures taken while evaluating them.

Research Methodology

The purpose of this study is to examine the uses and implication of performance appraisal, which is a tool used by most of the companies to evaluate their employees. All the study has been taken from secondary data except for the case study. Analyzing of the data has been done with reference to various text books and E-books.

According to Dale S. Beach, "Performance appraisal is systematic evaluation of the individual with respect to his or her performance on the job and his or her potential for development".  Performance appraisal in any organization will be done at a specific period, like annually or half yearly or quarterly or maybe regularly. It all depends upon the nature or size of the organization, and sometimes necessity of the managers decide the period of performance appraisal of their employees. Most of organizations are insisting employee appraisal should be a continuous process and should not be limited to a formal review once a year. The frequency of formal appraisals will depend on the nature of the organization and on the objectives of the system.


TRAINING AND DEVELOPMENT NEEDS: Poor performance may indicate the need for retraining. Likewise, good performance may indicate untapped potential that should be developed.

CAREER PLANNING AND DEVELOPMENT: Performance feedback guides career decisions about specific career paths one should investigate.

STAFFING PROCESS DEFICIENCIES: Good or bad performance implies strengths or weakness in the personnel department’s staffing procedures.

INFORMATIONAL INACCURACIES: Poor performance may indicate errors in job analysis information, human resource plans, or other parts of the personnel management information system. Reliance on inaccurate information may have led to inappropriate hiring, training, or counseling decisions....

Bibliography: All the data references and case study has been derived from the following sources-
1. K Aswathappa, Human resource and personnel management, Tata McGraw publication, 4th edition, 2005.
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