Basic Concepts in Performance Appraisal
Learning Objective 1
Explain the purpose of performance appraisal.
Most companies have some means of appraising their employees’ performance. Performance appraisal may be defined as any procedure that involves (1) setting work standards; (2) assessing the employee’s actual performance relative to the standards; and (3) providing feedback to the employee with the aim of motivating that person to eliminate performance deficiencies or to continue the performance above par. Therefore, while you may equate filling out appraisal forms as in Figure 8.1 with “performance appraisal,” appraisal actually involves more. Effective appraisal also requires that the supervisor set performance standards. And it requires ...
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