Question

I have a philosophical question for you: How often should a formal performance appraisal be done and why?" I think there are certain advantages and disadvantages to more or less often.

Answer 1

Formal Performance Appraisal

Performance appraisal can boost the performance , efficiency of an employee. But that should be done in a formal way to motivate an employee. Performance appraisal is not only a report but also a self assessment for an employee. Performance appraisal is a tool for better controlling to achieve organizational effectiveness.

How it is to be done ?

• It is very important to design a perfect performance appraisal from for appraisal which consists A to Z information of an employee and also philosophical issues towards his job work
• Performance appraisal should start from an employee joined the company. Periodical review helps to brush up his skills
• There should be consistency between job description and performance appraisal
• Maintaining performance appraisal records of each employee since he had been starting a job
• Performance appraisal meetings can help to take suggestions from employees and improves communication between employee and employer

Why ?

• It can remove communication blocks
• It can enhance the organizational effectiveness as a whole
• Accomplishment of objectives
• Possible to meet expected work standards
• Conducive working climate
• Employee self assessment
• Create a transparent working culture
• It can show case the talent of an employee
• It sheds light on focal issues

Advantages :

• Increasing level of performance
• Motivation
• Best controlling technique
• Balancing performance
• Enhancing team effort
• Employee engagement
• Base for designing financial incentives

Disadvantages:

• It wastes time sometimes
• Initially employee fells happy, but if it is in regular intervals, employee may lost interest as he feel stress
• It may create organizational stress
• Every time it may not be possible to an employee to balance his emotions at work place
• Sometimes appraisal may fail to promise financial incentives. This may disappoint employees who expect financial benefits for their performance.
• Sometimes even management / managers not shown interest to review as they are engaged in their tasks. Then performance appraisal purpose will not solve.