1) Performance appraisal (or performance review) is an opportunity for individual employees and those concerned with their performance,

typically line managers, to engage in a dialogue about their performance and development, as well as the support required from the manager.While performance appraisal is an important part of performance management, in itself it is not performance management: rather, it is one of the range of tools that can be used to manage performance.Because performance appraisal is usually carried out by line managers rather than ! professionals, it is important that they understand their role in managing performance and how performance appraisal contributes to the overall aims of performance management. "ee our factsheet on performance management for more information on that topic.#rocedures for appraising performance are usually based on an appraisal meeting. $his should not be a %top down& process or merely an opportunity for one person to as' questions and the other to reply, but should ta'e the form of a free(flowing conversation during which a range of views is e)changed.#erformance appraisals usually review past actions and behaviour and so provide an opportunity to reflect on past performance. But to be successful they should also be used as a basis for ma'ing development and improvement plans and reaching agreement about what should be done in the future. #erformance appraisal is generally done in systematic ways which are as follows:a)$he supervisors measure the pay of employees and compare it with targets and plans.b) $he supervisor analyses the factors behind wor' performances of employees. c) $he employers are in position to guide the employees for a better performance. *) +anagers need to appraise their subordinates because of many reason. $here are some reason i would li'e to say is

a) Building Relationships #erformance appraisals give the employer and employee the opportunity to sit down and discuss performance. ,n busy companies, where everyone is ta'ing care of business, periodic meetings between supervisor and employee allow them to form or strengthen a relationship. -eveloping this rapport opens a line of communication for the employee to use in ma'ing future suggestions for the company or applying for promotions. ,t also help in develop the spirit of wor', and boosts the moral of employees

b) Motivating Employees #erformance appraisals often serve as motivational tools for employees. $he company may offer a bonus or other per' to employees who are able to improve their performance appraisals from one period to the ne)t. ,t is important to offer improvement opportunities, such as training seminars, mentorships or classes to employees desiring to improve their performance appraisals.. .or e)amples, employee will get e)tra bonus money when he having a good performance at /ob so the employee will have moticvation to go wor' and ta'e the bonus. c) Validation of Selection Process #erformance appraisal is a means of validating both internal (promotions and transfers) and e)ternal (hiring new employees from outside) sources. 0rganisations spend a lot of time and money for recruiting and selecting employees. 1arious tools used in the selectionprocess are application blan's, interviews, psychological tests, etc. $hese tools are used to predict (guess) the candidate2s performance on the /ob. 3 proper performance appraisal finds out the validity of the various selection tools and so the company can follow suitable steps for selecting employees in future. $he manager come to 'now the validity and thereby the strengths and wea'nesses of selection procedure..or e)amples, through the performance appraisal manager can 'now e)actly what the ability and potential for the employess and they can ma'e right decision for this employee is suitable for their wor' or not. 4) $he performance appraisal process is li'e the following Establish a File .or managers to be effective and help employees develop s'ills and capabilities, it&s essential to begin the performance management process on the employee2s first day. 5reate a file for each employee and record the accomplishments, areas for improvement and regular feedbac' throughout the year. Provide Regular Feedback !egular feedbac' should occur at least once each quarter and more frequently if an employee needs encouragement or motivation. 3ccording to the 3merican "ociety for 5linical 6aboratory "cience, 7$he performance management process starts with employee planning and ends with an evaluation of employee progress. +anagers and employees should meet to discuss planning and goals throughout the year. ,f possible, formally sitting down with your supervisor or manager on a quarterly basis is optimal. $he process, at its best, is a collaborative one which should add value for both the employee and the employer. 8mployee to get feedbac' because it ensures they are

performing /ob duties and responsibility according to the company. Discipline ssues $hroughout the year, an employee may engage in behavior that warrants disciplinary action. 9our company procedure for addressing discipline should include a requirement to document every disciplinary action ta'en. 3ll disciplinary issues and improvements are ta'en into account during the annual performance appraisal meeting. Management by !b"ectives +anagement by ob/ectives, or +B0s, is another step in the performance appraisal process used for some employees who have defined goals and steps to achieve each goal. $hese +B0s really should be reviewed quarterly to trac' progress or redefine the goal if neither of you see enough progress. +B0s are also particularly helpful to employees who are on a professional career trac' within your business. #onduct the $ppraisal Meeting 3s the time nears for scheduling the appraisal meeting, begin preparing the performance appraisal document. +any companies have lengthy forms that require managers to record relatively detailed information about the employee performance in all areas of the /ob. #erformance is rated in areas such as /ob proficiency, interpersonal relationships, communication s'ills and aptitude. "ome employers consider employee self(evaluations. ,n these cases, the employee should prepare her comments about her performance during the past year. Both the manager and the employee should feel comfortable during the appraisal meeting. $ension will /ust ma'e the meeting agenda much more difficult and uncomfortable than it needs to be. Follo% &p $ction 3fter the performance appraisal meeting, there will li'ely be follow up matters such as discussing areas for improvement, establishing goals for the ne)t year and confirming the employee salary or wage increase. ,n addition, the manager and employee may schedule another time to discuss unresolvable issues that arise during the performance appraisal meeting.