1. Features of performance appraisal
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I. Contents of getting features of performance appraisal
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Performance appraisals are a human resources tool used to provide feedback to employees about
their performance over a specific period, generally one year. Managers use performance
evaluations to help employees set goals to improve their productivity, accuracy or any other
component of performance. Companies also use appraisals to identify and reward high
performers and candidates for advancement. The most effective performance appraisal systems
all have a number of key characteristics in common.
Measured Results
Effective performance appraisals rely on measured results rather than personal opinions.
Individuals can find it difficult to ignore emotional, political and personal issues when writing a
performance appraisal. Requiring managers to use documented records of employee performance
recorded throughout the year can help to avoid biased influences.
Range of Input
The most effective performance appraisals consider input from a range of sources for each
employee under review, rather than relying on a single manager for the entire process. Relying
on a single individual for appraisals invites political complications and feelings of resentment
into your workforce. The popular 360 feedback technique collects input from employees under,
over and at the same level as the employee being reviewed, soliciting feedback from
subordinates and coworkers in addition to supervisors.
Feedback

2. To ensure that performance appraisals are thorough, accurate and fair, collect feedback from all
parties involved in the appraisal process. Assess whether managers feel that the appraisal system
allows them to fully express their insights about an employee. Discover whether employees feel
that their managers' appraisals reflect the reality of the situation. Also keep track of how
successful employees are after being promoted due to an appraisal to ensure that the system is
identifying candidates with high potential. Bring a cross-functional team together once every five
to 10 years to review the appraisal process. Alter the process when necessary to ensure that it
meshes with your company mission, vision and strategies, and that it is robust enough to
accurately assess performance in your company.
Past-Year Records
Effective performance appraisals collect records of each year's results for each employee,
allowing managers and employees to spot long-term trends in performance, including individual
strengths and weaknesses. Relying on memory causes managers to place emphasis on recent
experiences rather than taking the big picture into account. Using past performance data, as well
as current-year performance records, keeps the process as unbiased as possible and also protects
you against complaints against the process, such as claims of discrimination in promotion
policies.
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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.

3. 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
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. 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
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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