QS Study

Performance Appraisal is the methodical assessment of the performance of employees and to understand the abilities of a person for further development and progress. It is also known as performance rating, performance evaluation, employee assessment, performance review, merit rating, etc.

Performance appraisal means evaluating an employee’s current and/or past performance relative to his or her performance standards. – Gary Dessler,

Performance appraisal is the process by which organization evaluates individual job performance. Keith Davis and William B. Werther.

Traditional Appraisal systems are:

  • ‍Typically based on a review of how a person completed their job for the prior year
  • Sometimes a review for bonuses
  • Sometimes an assessment of the employee for promotion
  • Typically conducted annually or less frequently
  • Typically paper-based where HR is the custodian of the information.

It is a normal evaluation of an employee’s job performance and overall contribution to a company. They can be conducted at any given time but tend to be annual, semi-annual or quarterly.