Performance appraisal is an indispensible part of most organizations. Companies all over the world believe that employees need to be compensated according to their performance report. Also, most HR managers believe that it is through performance appraisal that one can motivate employees to work harder and achieve the overall objective of that organization. There are indeed many types of performance appraisal methods. In some companies, performance appraisal processes are highly formal and policy oriented. This type of performance appraisal is usually carried out in financial and industrial sectors where every step of the procedure is highly structural and well-defined. In other cases, especially in media and entertainment world, performance appraisal methods are informal, unstructured and are usually a part of their daily routine. Supervisors observe, interact and discuss the performance of every employee on regular intervals to evaluate them on a continuous basis. This ensures that employees keep performing on a consistent level rather than performing only before the performance appraisals are announced.
Apart from the procedure, there are different types of performance appraisal systems classified on the basis of the parameters chosen to evaluate the employee. Some evaluators believe to judge an employee’s performance on the basis of personal qualities and work profile while others believe in choosing parameters such as organizational ethics, punctuality, honesty and integrity, focus at work, work pace, leadership skills, competence and ability to take initiative, innovation and overall performance devoid of the above parameters. There may be times when an employee may not agree with certain criteria chosen while appraising him/her. For supervisors and evaluators, it is best to choose parameters that fit the bill appropriately without any bias. One should also encourage performance appraisal feedback from the employees to understand their point of view about the process followed.
One of the most common and widely used methods to evaluate employee performance is an objective based method of performance appraisal. Employees are asked to set an objective for themselves or the supervisors and immediate bosses set an objective for a particular employee and at the end of the year, the employee is graded based on the accomplishment of that objective and how well has he/she performed to achieve that same objective. Such appraisals are easier because the supervisor has a clear idea on the objectives set and what has been achieved. However, care needs to be taken while setting the objective. Your objective can neither be too far-fetched nor should it be too easy to achieve. This means that a lot of planning and discussion goes into the process before an employee is given his/her objective. Performance evaluation by objectives helps the evaluators to organize, control and lead their staff. It indicates that within a given period of time, how much and how well has the employee achieved the objective.
Any type of performance appraisal system needs the employee to fill the appraisal form. This form should be studied by the employee well in advance so that there is clarity while filling the same. Most appraisal forms have well-defined parameters on which the employee is going to be judged for his/her performance. These appraisal forms also indicate key areas on which the employee will be questioned.