Advantages of Performance Appraisal

Performance appraisal is a systematic and structured system for measuring and evaluating job related behaviors to discover reasons for performance and identify potential for improvement of an individual(Brucks, 1985).

Performance appraisal is advantageous to both the organization and worker. The advantages of performance appraisal can be categorized into two as (Singh, 2015).

·         Advantages to the organization

·         Advantages to the employee.

Advantages of performance appraisal to the employee.

1.      Performance improvement.

Appraisal systems always aim at improving the performance of employees (“Advantages and Disadvantages of Performance Appraisal of Employees,” 2014). It helps to improve the performance of the employee and also it will increase the technological skills and social behavior and work interest of the employee. Therefore, when considering these advantages performance appraisal is a very important system in an organization (Lavanya and Kumar, 2019).

 

2.      Development of the employee

Appraisal systems determine which employee needs more training and becomes primary source of information regarding the strengths and potentialities of the employees. And it make the employee aware about the strengths and weakness of and employee. It will give a self-asset to the employee (Singh, 2015).

 

3.      Right Placement

The appropriate job can be given chosen by and employee with the results of the performance appraisal system (Lavanya and Kumar, 2019).

 

4.      Improve their performance

The results of the performance appraisal system will be given to the employees once they get the results it will help the employees to develop their performance and develop their career. And also the managers can advise the employees to develop their career (Murphy and Cleveland, 1995).

 

5.       Personal development

This leads employees to acquire new skills and improve their career performance. This also encourages employees to do challenging tasks (Singh, 2015).

 

6.      As a motivator

Performance appraisal helps to motivate all employees in their own work because every employee wants to get good results for the performance (Sharon Lea Green, 1992).

Advantages to the organization

1.      Planning and designing training programs

The assessment of strengths and weaknesses of employees is useful for HR department to plan and design training programs. The employees are provided with right training at right time to overcome their weaknesses and to develop their strengths. The content and method of training can be modified according to the human resource requirements (Armstrong and Taylor, 2020).

 

2.      Improves Employee and Management Relationship:

Performance appraisal is also an opportunity for the employees to discuss work related problems with their superiors & to find out ways to resolve them. Promotions and transfers are done on the basis of performance of employees. The fair promotion and transfer policies improve relationship between employees & management. It also facilitates good work atmosphere which directly benefits the final output (Sandler and Keefe, 2003).

 

3.      Promotions and Transfers

Performance appraisal helps to identify the strengths and weakness of and employee which will aid the organization to give promotions and transfers to the relevant employees according to their performance (Eder, 1982).

In conclusion, I work for of one of the leading Animal Feed production company, in early 2019 even if the management set up many targets for those who are in each department in its annual budget proposals. But that could not be achieved many times. And also, management involvement is very low in the organization’s operation works. Eventually it is proposed to introduce annual performance appraisal system to evaluate their employees and later management understood that when the time to time evaluate the performance of their employee’s targets will be able to be achieved easily than the previous.

References

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