Employee Performance Appraisal

Nearly every person who has held a job is aware of the employee performance appraisal. The vast majority of employees dread them, and simply hearing the words "employee performance appraisal" can provoke anxiety in both supervisors and employees. Unfortunately, there is much negativity attached to the process, but, if done properly, employee performance appraisals can be extremely beneficial for both the employer and employee.

The employee performance appraisal has been defined as a structured formal interaction between an employee and supervisor that normally takes place once or twice each year. The appraisal process is intended to identify strengths and weaknesses of the employee, as well as opportunities for improvement and skills development. It is also a time to highlight the employee's achievements and discuss performance goals.

While large corporations almost always have a structured review process, many smaller organizations have a less structured system and leave employee performance appraisals up to individual managers. As a result, managers frequently procrastinate in giving the review until problems get out of hand. Worse, employees who do not receive timely reviews or pay raises, oftentimes become disgruntled and create problems within the company. Therefore, all employers, regardless of their size, should establish and consistently administer performance appraisal systems that provide feedback to employees regarding skill level, work quality and productivity.

Developing a sound performance appraisal process can help the employer avoid legal liability and reap the benefits of improved communication. And, while it's important to have appraisal procedures in place, it's even more important to train supervisors in handling the appraisal efficiently and professionally.