You are on page 1of 18

Get paid according to what you contribute.

MBA NIT Kurukshetra



Performance appraisal is the process of obtaining, analyzing and
recording information about the employee. The focus of the
performance appraisal is measuring and improving the
actual performance and also the future potential of the employee.

According to Flippo, a prominent personality in the field of Human
resources, "performance appraisal is the systematic, periodic and an
impartial rating of an employees excellence in the matters pertaining
to his present job and his potential for a better job."

Link between organizations strategy and results.
Directed toward a purpose.
Can be beneficial for both the employer and the
employee.
Can serve administrative or developmental purposes.
Feedback can help in enhancing performance.
To review the performance.
To judge the gap between the actual and the desired
performance.
Helps to strengthen the relationship and communication.
To diagnose the strengths and weaknesses of the
individuals.
To identify the training and development needs.

To judge the effectiveness of the other human resource
functions of the organization such as recruitment,
selection, training and development.
To reduce the grievances of the employees.
Allocate rewards.
To motivate employees.
To provide feedback.


Establishing
Standards
Measuring
Actual
Performance
Comparing
with
Standards Providing
Feedback
Corrective
Actions
Communicating
Standards &
Expectations
Critical incident method.
Weighted checklist method.
Paired comparison analysis.
Graphic rating scales.
Essay Evaluation method.
Behaviorally anchored rating scales.
360 degree performance appraisal.
Forced ranking (forced distribution).
Behavioral Observation Scales.
Performance ranking method.
Management By Objectives (MBO) method.

Promotion.
Compensation.
Employees Development.
Selection Validation.
Communication.
Motivation.
1. Halo effect.
2. Horn effect.
3. Central tendency.
4. Leniency and strictness.
5. Spill over effect.
6. Fear of loosing subordinates and spoiling relations.
Training is a process, by which efforts are made to increase
the knowledge and skills of employees for the successful
accomplishment of a specific job.
According to FLIPPO, Training is an act of increasing the
knowledge and skill of employees for doing a particular job.
Expense on training is investment and not the wastage.
Related to a specific job.
Beneficial to both the organization and the employees.
Continuous Process.
Essential for both the new and the old employees.
Development means to improve overall effectiveness of the
employees at their current posts and to prepare them for
handling more responsibility in future.


The objective of development is to prepare those types of
managers who not only perform well in the present but also are
able to handle more responsibility at higher posts in the future,
more emphasis is laid on future, that is why it is called future
oriented process.

Related to managers.
More focused on future.
Emphasis on all around development.
More emphasis on education than training.
Used to develop hidden talent.
To train employees for accepting challenging jobs.
Both on job and off methods are used.
Emphasis on reasoning and critical ability.
Optimum Utilization of Human Resources.
More focused on future.
Development of Human Resources.
Productivity.
Team spirit.
Organization Culture.
Organizations Image.
Quality.
Morale.
Profitability .
Customer Satisfaction.

You might also like