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Getting the Performance Appraisal Right

Guest post by: Gireesh Sharma

Article Overview: This article discusses how HR Managers can create a Performance Appraisal System that adds true value to the organization and becomes a useful and strategic employee development tool.

Getting the Performance Appraisal Right

April 19th, 2010 Tushar Bhatia

Most companies want to appraise their employees on a periodic basis and their Human Resources department is generally responsible to manage this process. I have often seen that the buy-in and participation from the Line managers is not as much as one would expect. Based on my meetings with a large number of HR managers, Line Managers & Senior Level Executives, I have come to realize that there is much more to a Performance Appraisal than what is truly understood by all stakeholders.

Define the Objectives Do HR managers understand why organizations need to carry out the Performance Appraisal process?

Some of the common reasons are:

1.Salary Increments: Commonly believed to be the only purpose from an employee's perspective and typically the least important from the management's perspective.

2.Goal achievements and related bonuses/commissions.

3.Promotions and transfers

4.Succession Planning

5.Identification of Top Performers and Non-performers

6.Identifying Competencies Gaps for Training Management

7.Confirmation of probationers

The objectives may differ for different levels of employees but together these help in defining the appraisal content, forms, ratings, weights & scales, employee evaluation parameters and the appropriate process for conducting the appraisal.

Read the rest of this entry at my blog

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Article Tags: development tool, Employee Appraisals, HR Best Practices, hr managers, Human Resources, performance appraisal system, true value



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