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Why is a performance appraisal system important?

Updated: 10/10/2023
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EncofBizandFinance

Lvl 1
13y ago

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importance of job evaluation:-


1.rational wage structure

2.removal of inequalities

3.good industrial relations

4.proper emphasis on job factors

5.scientific selection and recruitment

6.performance appraisal

7.training and development

8.multifarious use

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Wiki User

11y ago
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14y ago

In short......

When you are given a performance appraisal, it is a feedback process the company implements to ALL employees, from a Junior level, all the way up to the Vice President or even the President or CEO, depending on who owns the company. These scheduled appraisals ensure that the company has people who contribute real value, enabling them to be the best at what they do, and the best has a better financial outcome.

In more detail.....

What it means to you is positive, hopefully. If you are being given an appraisal, then you haven't been terminated or you would be having an unscheduled, exit interview,

:( ...or a "Write up", which is an official warning notice that a problem or occurrence was severe enough to singularly pull you aside and warn you that the offense is unacceptable and must stop.

In a positive appraisal, the company believes you do indeed have the potential to be valuable to them, and feel it's necessary to honestly give you feedback in an areas that need improvement. Everyone needs improvement, and it's usually through making mistakes that allows you to learn what was correct to begin with. With feedback, you could hear positive strengths about yourself that the company admires, and that is reassuring to you that in that area you are a good match for each other. You may also receive honest feedback on areas that need improvement. Sometimes it's not evident to yourself until someone gives you examples for clarification. I have found that the best employees are ones who take a deep breath, step back and look honestly at how/what they have been doing, own up to it, and start to affect the changes as soon as possible. Those employees are usually the ones who ask for an "informal" follow-up on how they have been doing after they have made needed changes in their performance or responsibilities. A good time is perhaps when you are half-way to the next appraisal and you know you have made suggested changes, but are unsure if you are going about it the correct way. You may even see that the changes you made are working or not based on any differences in how your Superiors or Co-workers are now reacting to you.

That being said, the flip side of an appraisal could be a possible negative. An appraisal is also an opportunity for the company to officially document, in writing, performance or communication problems, that if not changed, could indicate that you are simply not a good fit for the company and may not have the job skills or communication skills they need. This is very different from getting "written-up" for the third (and last) time for a serious event(s), which by company policy could mean an immediate termination.

If you do not make progress in repeated appraisals, it is in the company's best financial interest, or to improve an environment that is causing negative morale problems, to find a different, more appropriately suited person to handle that position. It could be just the wrong job for you, and your talents lay in a different area altogether!

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12y ago

Performance appraisal is going over how employees have worked. This is important because it can highlight problems that there have been. This can be through low production figures and then any issues that employees could have had can be raised. This will then motivate them as they know a problem will be solved and that they will not get the blame. It is also another chance for employers to motivate employees if they do not have many opportunities in the workplace.

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9y ago

A job appraisal is important because it helps you correct problematic areas. Once you correct what you are doing wrong, you can move up in the organization.

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13y ago

Without a reliable performance appraisal system, a human resource management system falls apart, resulting in the total waste of the valuable human assets a company has

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11y ago

Performance appraisal is nothing but the measuring of skills and knowledge at work place, based on this we are giving pramotions, job rotation, incentives,training everything

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