This document provides information about performance appraisal statistics, including definitions, methods, tips, and forms. It discusses how performance appraisals can help organizations measure employee performance, provide feedback, and identify ways to improve employee engagement and goal achievement. Specific statistics are presented showing areas where many employees feel undervalued or that opportunities are lacking. The document recommends using performance appraisal software to collect and analyze employee performance data over time to track improvements or declines.

1. Performance appraisal statistics
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I. Contents of getting performance appraisal statistics
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A world-class workforce can only be determined through previously established benchmarks,
and by following the development and progress of a workforce up to achieving world-class
status. This is a lot of work and it must be done accurately.
There are many organizations operating in highly competitive environments that hope to achieve
world-class ranking in their performance. However, most of them struggle with the metrics, and
this is simply because they don’t possess a way of gauging employee performance and the
individual and at the collective level.
In order to measure any type of progress, it’s imperative to have some means through which
quality standards can be applied, such as effective performance appraisals. Such a system must
not only benefit the organizations implementing them but they must also count towards
employee performance. The best forms of appraisals used today exist as performance appraisals
software that possess immense flexibility and capability for recording and analyzing employee
performance data.
Employee Feedback is Ideally Attained through a Performance Appraisal Form
While organizations can gain from measuring employee performance in terms of determining
how they have performed, they can also use it for boosting the confidence level of employees,
which can have short-term and long-term benefits. For employee feedback, organizations usually
use a performance appraisal form that helps them learn about what employees have to say.

2. The questions in these forms may differ based on each the organization’s needs, but they are
recorded and analyzed against other data to produce a comprehensive report that organizations
and employees benefit from.
Effective Performance Appraisals Seek to Bridge Communication Gaps
Benefits in using performance appraisals software are visible in the shape of employee
motivation, goal development and goal achievement produced through various statistics, which
are stored and retrieved for analysis against newer data at any stage. A few statistics below point
towards the way employees feel about their jobs:
 61% say they don’t feel the employer values them
 46% feel their efforts are not appreciated/recognized
 42% believe there isn’t enough career advancement opportunities
 53% say they aren’t paid well enough
Going by the above statistics, you can see how important it is to understand what employees
think about themselves and their jobs. These statistics are helpful particularly when you have
other important and supporting data that point towards each employee’s performance. This
record of statistics at one point in time can be used at a later stage when analyzing a new set of
data.
The comparative analysis managed through performance appraisals software will help to
determine improvement or deterioration in the way employees feel about their roles. This in turn
helps the organization what it should do in order to make adjustments for improving employee
morale and furthering goal achievements.
An Annual Performance Appraisal Aids Organizational Progress
When goals are laid out through communication between the organization and employees, gaps
in understanding are bridged, which can help produce better employee engagement that benefits
the organization and the employees too.
Successful organizations with a world-class workforce ensure this through things like an annual
performance appraisal, which helps employees and organizations understand more about the
overall organizational and employee performance.
- See more at: http://blog.bullseyeengagement.com/build-a-world-class-workforce-with-
performance-appraisal-software/#sthash.hAUUedxy.dpuf
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3. III. Performance appraisal methods
1.Ranking Method
The ranking system requires the rater to rank his
subordinates on overall performance. This consists in
simply putting a man in a rank order. Under this method,
the ranking of an employee in a work group is done
against that of another employee. The relative position of
each employee is tested in terms of his numerical rank. It
may also be done by ranking a person on his job
performance against another member of the competitive
group.
Advantages of Ranking Method
i. Employees are ranked according to their performance
levels.
ii. It is easier to rank the best and the worst employee.
Limitations of Ranking Method
i. The “whole man” is compared with another “whole man”
in this method. In practice, it is very difficult to compare
individuals possessing various individual traits.
ii. This method speaks only of the position where an
employee stands in his group. It does not test anything
about how much better or how much worse an employee
is when compared to another employee.
iii. When a large number of employees are working, ranking
of individuals become a difficult issue.
iv. There is no systematic procedure for ranking individuals
in the organization. The ranking system does not eliminate
the possibility of snap judgements.
2. Rating Scale
Rating scales consists of several numerical scales
representing job related performance criterions such as
dependability, initiative, output, attendance, attitude etc.
Each scales ranges from excellent to poor. The total
numerical scores are computed and final conclusions are
derived. Advantages – Adaptability, easy to use, low cost,
every type of job can be evaluated, large number of
employees covered, no formal training required.
Disadvantages – Rater’s biases

4. 3. Checklist method
Under this method, checklist of statements of traits of
employee in the form of Yes or No based questions is
prepared. Here the rater only does the reporting or
checking and HR department does the actual evaluation.
Advantages – economy, ease of administration, limited
training required, standardization. Disadvantages – Raters
biases, use of improper weighs by HR, does not allow
rater to give relative ratings
4. Critical Incidents Method
The approach is focused on certain critical behaviors of
employee that makes all the difference in the
performance. Supervisors as and when they occur record
such incidents. Advantages – Evaluations are based on
actual job behaviors, ratings are supported by
descriptions, feedback is easy, reduces recency biases,
chances of subordinate improvement are high.
Disadvantages – Negative incidents can be prioritized,
forgetting incidents, overly close supervision; feedback
may be too much and may appear to be punishment.
5. Essay Method

5. In this method the rater writes down the employee
description in detail within a number of broad categories
like, overall impression of performance, promoteability
of employee, existing capabilities and qualifications of
performing jobs, strengths and weaknesses and training
needs of the employee. Advantage – It is extremely
useful in filing information gaps about the employees
that often occur in a better-structured checklist.
Disadvantages – It its highly dependent upon the writing
skills of rater and most of them are not good writers.
They may get confused success depends on the memory
power of raters.
6. Behaviorally Anchored Rating Scales
statements of effective and ineffective behaviors
determine the points. They are said to be
behaviorally anchored. The rater is supposed to
say, which behavior describes the employee
performance. Advantages – helps overcome rating
errors. Disadvantages – Suffers from distortions
inherent in most rating techniques.
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