Discuss the process of performance appraisal?
The process consists various steps: Setting performance standards
Communicating standards set to the employee
Measuring performance
Comparing performance with standard Discussing result
Collective action Implementation and review
⦁ Setting performance standards :-
In this very first step in performance appraisal the HR department decides the standards of performance i.e. they decide what exactly is expected from the employee for each and every job. Sometimes certain marking scheme may be adopted eg. A score 90/100 = excellent performance, a score os 80/100 = good. And so on.
⦁ Communication standard set to the employee :-
Standards of performance appraisal decided in 1st step are now conveyed to the employee so that the employee will know what is expected from him and will be able to improve his performance.
⦁ Measuring performance :-
The performance of the employee is now measure by the HR department, different methods can be used to measure performance i.e. traditional and modern method. The method used depends upon the company’s convenience.
⦁ Comparing performance with standard :-
The performance of the employee is now judged against the standard. To understand the score achieved by him. Accordingly we come to know which category of performance the employee falls into i.e. excellent, very good, good, satisfactory etc.
⦁ Discussing result :-
The results obtained by the employee after performance appraisal are informed or conveyed to him by the HR department. A feedback is given to the employee asking him to change certain aspects of his performance and improve them.
⦁ Collective action :-
The employee is given a chance or opportunity to improve himself in the areas specified by the HR department. The HR department constantly receives or keeps a check on the employee’s performance and notes down improvements in performance.
⦁ Implementation and review :-
The performance appraisal policy is to be implemented on a regular basis. A review must be done from time to time to check whether any change in policy is required. Necessary changes are made from time to time.
