As (Drucker,1994; Barney, 1995) stated, the achievements of staff members can conclude the success and survival of a business, and as (Orpen, 1997; Martin and Bartol, 1998; Cook and Crossman, 2004) also concluded that appraisal is a method in which those achievements can be coordinated with the targets of an enterprise, where employees could be motivated and their performance managed and improved.
Among all the human resource (HR) practices, performance appraisal is the most important of all (Boswell and Boudreau, 2002; Judge and ferris, 1993; Yehuda Baruch, 1996) and is one of the most discussed and researched topics in the sphere of psychology for over 70 years (Fletcher, ...view middle of the document...
As (Erdogan, 2002) also stated, performance appraisal is the official method of evaluating and observing a worker’s performance.
According to Angelo S. Denisi and Robert D. Pritchard (2006) “performance appraisal” is a formal, considerate, organizationally sanctioned event, generally not following more regularly than once or twice a year, which has evidently declared performance dimensions and/or criteria that are practiced in the evaluating process. Additionally, it is an assessment method, where quantitative grades are frequently assigned based on the employee’s judged level of job performance on the criteria used, and the grades are also shared with the employee while being appraised.
Elements of performance appraisal
According to the Goodson and Sneed (1998), it is required to routinely submit a performance appraisal report, by the company’s officers. These reports deliver three purposes:
- To notify the employee and management of how well the employee is performing his obligations
- To structure a work development plan if the participant’s performance is below average
- To record the participant’s work history if disciplinary action is needed
Performance measures the subordinate’s attitude against business values for performance. Employees are examined by managers in a variety of work-associated functions and then evaluate the subordinates based on their performance and behavior. Employees are then provided with a formal feedback review on their quality and quantity of work performed.
Depending on the results of the evaluation, the feedback can be negative, positive or neutral. The feedback also provides an opportunity to create relevant work goals toward which the subordinate can aim in the coming year. When an employee’s performance is below average, a work improvement plan is introduced. This is a procedure of contract between the manager and the employee that determines particular performance to be enhanced. The department will provide an identified plan with precise training as well as periodic testing and observing techniques that will be used to appraise the subordinate’s development.
As Graham (2004) stated, manager’s observation on performance should be accurately filed throughout the evaluation period. These observations must be highly equitable. The policy must include guidance on how to collect necessary data from employees and other sources, how to assemble the document, and how to conclude the document. Finally, administration should analyze the prepared document before it is reviewed and signed by the graded employee. The review must also include auditing the meeting with the rated employee, evaluation for efficiency, seeking potential problem zones, discussing performance, and confirming level of knowledge.
In the employee guide, the appraisal method must be explained and well defined so that employees know how their performance will be evaluated. If the process is kept in secret, it would only cause future problems...