Select 3 different approaches to appraising the performance of employees and explore the advantages and disadvantages of each approach.
1. Definition of Performance Appraisal
Performance appraisal (PA) is one of the important components in human resource management. Performance appraisal is a tool to identify employees’ training and development needs. There are two primary purposes of PA, which are the evaluating and development.
In conducting appraisal, information of the current skills and job behavior will be recorded, evaluated and trained accordingly to their needs. Through performance appraisal, employees’ motivation level can be increased by obtaining feedbacks and companies can know the strength and weaknesses of their staffs. This will improve understanding between organization and employees on performance standards. Companies will be able to identify high flyers and perhaps transfer them to a more suitable post for development. As such, performance appraisal will help in justifying certain actions by the company such as promotion, transfer or dismissal of employees.
Information obtained from PA will aid the company in future recruiting and selecting new employees. Companies will be able to know the standard of existing staffs and will know what other talents or standards of staffs are required. Promotions or rewards for staffs that have done well can also be ascertained from PA and they will be given a chance to progress in their careers.
2. Types of Performance Appraisal
Many techniques have been developed for appraising the performance of employees. The human resource department usually decides which type of approach to be used by the manager in the assessment process. The appra ...