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1. Performance appraisal definition
In this file, you can ref useful information about performance appraisal definition such as
performance appraisal definition methods, performance appraisal definition tips, performance
appraisal definition forms, performance appraisal definition phrases … If you need more
assistant for performance appraisal definition, please leave your comment at the end of file.
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I. Contents of getting performance appraisal definition
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What is your definition of performance appraisal? Far too many managers might believe that it’s
an annual review of an employee’s performance within an organization. Indeed, this is a
common definition so it’s hardly surprising that this is the case.
However, this definition is perhaps too simplistic if performance appraisal is to be truly effective.
In this article we consider five elements that form the foundation of an effective definition of
performance appraisal.
A performance appraisal needs to be a series of constructive, developmental discussions,
between line managers and their reports. They should focus on helping people to realize their
potential. To be effective, appraisals need to be a series of conversations that culminate in the
performance appraisal review. It’s much more effective (and easier) to appraise performance by
regular meetings to discuss progress and provide support, rather than to wait for a single, annual
appraisal meeting.
An appraisal should not be a top-down process, where one side asks questions and the other
responds. An effective appraisal meeting should consist of an open dialogue, more of a two-way
conversation. Performance appraisal needs to be a joint effort – it’s as much about self-appraisal
as it is about the manager’s view.
Appraisals are a shared assessment of performance, where performance is appraised jointly
and goals are agreed together. The individual’s goals need to be aligned with those of the team or
organization.
2. Performance appraisals should be based on trust and mutual respect. An appraisal works best
when manager and employee know each other and there is mutual respect between the two. Such
conditions need to be built over time with the manager taking the lead.
Appraisals are a key part of the performance management cycle. Appraisals are an important
part of performance management, but an appraisal in itself is not performance management.
Performance management is a broader process of which an appraisal is only one stage. For
example, in the performance management cycle, the review and planning elements typically
form an appraisal. However, the development and performance stages are part of the broader
performance management process. To manage performance requires more than just a
performance appraisal!
So, a definition of performance appraisal could be:
A process of mini reviews culminating in a one-to-one conversation betweeen managers and
their reports. These are used to develop a shared understanding of the individual’s performance.
At these meetings, the individual’s development and future goals are discussed, especially where
the best contribution can be made, based on the successes of the review period.
In summary a performance appraisal should be:
A series of conversations that culminate in the appraisal review
A two way conversation
A shared assessment of performance and of future goals
Based on mutual trust and respect
Part of the performance management cycle
We’ve discussed appraisals more widely in our article: ”What is Performance Appraisal?” You
can also find out more about a typical performance management process in our
articlePerformance Management Cycle.
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III. Performance appraisal methods
3. 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.
III. Other topics related to Performance appraisal definition (pdf download)
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