Performance Appraisal Process

by Grace Ferguson; Updated September 26, 2017
Performance Appraisal Process

Starting the Appraisal Process

Many companies require that their employees undergo a performance appraisal during a specific time of the year. Generally, the employee's manager or supervisor conducts this appraisal. Before a performance appraisal can actually occur, management has to implement the process.

Implementing Standards

Management or the human resources department typically implements the standards that the employee will be judged by. This process involves setting up criteria to judge the employee's level of contribution to the goals and objectives set by the company. Management or HR constructs this system so the employee is judged to be satisfactory or unsatisfactory. They must write the standards in a clear, descriptive and understandable manner and in terms capable of being measured.

Communicating the Standards

Management or HR must provide the performance appraisal standards to performance evaluators or appraisers as well as the employees themselves. Management or HR will consider feedback received from theevaluators or employees at this point and make necessary changes to the standards.

Measuring the Performance

This is the toughest part of the performance appraisal process. Measuring the actual performance of employees is an ongoing process; generally the evaluator must monitor the performance throughout the year. The evaluator must judge the employee's performance in a manner that allows her to receive a fair evaluation. For example, if the evaluator has a personal bias against the employee, he must not allow that to override his judgment when evaluating the employee. He must also measure the employee's quality of work and any other factors relating to the position. He has to grade the employee based on her overall work performance during the evaluation period, not based on particular situations.

Making the Comparison

The evaluator is responsible for comparing the employee's job performance with the standards set for the position. This comparison lets the evaluator know whether the employee has adhered to the standards set or if she has deviated from them. Generally, the results will show if the employee has exceeded the expectations or fell below them.

Conducting the Meeting

The evaluator meets with the employee to discuss the result of the performance appraisal. The evaluator relays the results to the employee; both parties discuss problems and solutions. The reason for the appraisal meeting is to address any issues the evaluator or the employee may have regarding the employee's job performance and to find ways of helping the employee to perform better.

Making Decisions

Managers take corrective steps to enhance the employee's performance or decides on promotions, transfers and demotions.

About the Author

Grace Ferguson has been writing professionally since 2009. With 10 years of experience in employee benefits and payroll administration, Ferguson has written extensively on topics relating to employment and finance. A research writer as well, she has been published in The Sage Encyclopedia and Mission Bell Media.

Photo Credits

  • robynmac: stock.xchng