performance apprisal mba topic - the content : pa definitions, importance , objectives , steps of pa , HRM

1. Performance Appraisal

2. What is PA?
It is the process of evaluating an employees current or past
performance in relation to the established performance standards
It involves
1. Setting work standards
2. Assessing the employees actual performance in
relation to set standards
3. Providing feedback

3. Features of PA
1. It is a systematic process: it involves three steps
2. Helps to identify how well an employee is performing on the job
3. Helps to establish a plan for further improvement
4. It is a future oriented
5. It is different from job evaluation
6. It may be formal or informal

4. 1. Compensation decision
It forms basis for pay
Could be paid money according to their ability to work
Payment is linked to performance
2. Promotion decision
3. Training and Development:
T&D programmes could be developed based on PA of employees
Helps to tell them the skills they need to posses

5. 4. Feedback
PA helps the employees to know how well they are
performing on various jobs
It tells what he could do to improve his present performance
5. Personal Development
It helps to identify the causes of good and poor
performance

6. Steps in PA
1. Establish Performance Standards
Performance standard is the benchmark to be
used to measure
It must be clear to the appraiser as well as the
apprise
2. Communicate the Standards
Appraiser must communicate the standards to the
apprise

7. Steps in PA
3. Measure the Actual Performance
Use objective standards to measure the performance
4. Compare the actual performance with set
standards
5. Discuss the appraisal
6. Take corrective action