Performance Appraisals have been around for several years. Every year employees and managers both dread this time of year. The employees dread it because they are not looking forward to the feedback they will hear from their boss. The boss is dreading it because they are wasting time filling out the “standard” form, and basically checking the box that the appraisal has been completed. In our textbook it states, “Giving performance feedback is the No. 1 dreaded task of managers (Kreitner 283). Performance appraisals should not be a dreaded part of the job for the employer or employee. Employers this it is hard to remember all of the different aspects throughout the year, as well as finding time to present it to the employee. There are many studies that list out the positives and negatives of giving performance appraisals, as well as other alternatives for giving feedback to employees. I feel that performance appraisals, if given correctly, can be positive for both the employee and the company as a whole. My focus for this paper is to learn why performance appraisals are not working and researching other methods such as Management by Objective, Graphic Rating System, as well as 360 Degree Feedback. I will also discuss the history of performance appraisals, as well as the pros and cons.
When performance appraisals came about, the process was a way to determine if the wage of the employee was equal to their performance. “Appraisals were used to decide whether or not the salary or wage of an individual employee was justified”
(Archer North). If after the appraisal, the employee still does not meeting the requirements that their boss was grading them on; they would be docked in pay. The reverse is true if you were going above and beyond the expectations, you would receive a pay increase. Back then, there were not much motivational techniques to push employees to grow, and keep striving for excellence. Their bosses thought that by giving them a bonus or pay increase would suffice, and they would continue doing a good job. “Sometimes this basic system succeeded in getting the results that were intended; but more often than not, it failed” (Archer North). As researchers dug more into the details, they found that employers really needed to look more into what motivates employees and not to assume that money is the only motivator. From their studies, they were able to see that companies should look more at the morale and self-esteem of their workforce. Once this information was revealed, the use of rewards as the main motivator was pushed to the side. “The general model of performance appraisal, as it is known today, began from that time” (Archer North).
In today’s business world, performance appraisals are still widely used, yet at the same time very criticized. One of the reasons appraisals are criticized is some feel that they are a waste of time and are not value added. Samuel Culbert, author of the book,“Get Rid of Performance Reviews”...