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About Performance Appraisal

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Reasons For Appraisal

The main objective of an appraisal system is improving the performance of the employee and thus improving organizational performance - an well designed system can help in achieving both. Actually, information gathered through the performance appraisal exercise are potentially valuable for practically all human resource functional areas; therefore, performance appraisal can be used for Human Resource Planning, Recruitment and Selection, Training and Development, Career Planning and Development, Internal Employee Relations, and Assessment of Employee Potential.
Human Resource Planning

Human Resource planning is a process where human resource requirements are systematically reviewed to make sure that the number of employees who possess the required skills for the smooth functioning of the organization are available. It includes conduction skills inventories, developing succession plans and acquiring information for further personnel needs. Managers and supervisors decide the employees who are to be promoted, demoted, transferred, laid-off and who would need training. They also assist individuals with career planning and ascertain whether the skills needed in the organization are lacking (www.opm.gov). An appraisal system that is properly constructed profiles the organization’s human resource strengths and weaknesses to support these efforts - data collected over a number of appraisal periods could be used in evaluating if the overall workforce quality is improving, constant or declining.
Recruitment and Selection

Recruitment is the method of finding, identifying and attracting a pool of capable persons either from the wider workforce or by promotion or transfer within the organization to apply for vacant positions. Selection is a process of choosing from this pool a person most likely to perform well on the job through:

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