What does the article on appraisals cover?
Appraisals are yearly performance reviews between employees and their managers, aimed at identifying strengths, weaknesses, and training needs. They help motivate staff, improve retention, and can lead to rewards like bonuses or pay increases.
What are appraisals?
Appraisal and training helps motivate staff and so improves Staff are happy to stay working at the same firm, rather than leaving to find alternative employment..
Staff appraisal is a yearly performance review between an employee and their line manager.
What are the reasons for appraisal and why is it important?
to discover strengths and weaknesses of employees
to give the employee feedback on their performance
to use as a basis for rewarding an employee
to decide on level of pay
to identify training requirements
Where the appraisal shows previous targets have been met, the employee may receive a bonus or another financial reward.
What are the methods of an appraisal?
observation: employee is watched doing their job
interview : one to one discussion between employee and supervisor or manager
self-appraisal: looking critically at one’s own work
Try the appraisal benefits quiz
Methods of appraisal
Observation
Employee watched doing a job
Advantage
Honest assessment of employee working
Disadvantage
Employees may be resentful / feel stressed
Interview
One to one discussion
Advantage
Scope for back and forth conversation; employee can explain what is going well / badly.
Disadvantage
Once a year unlikely to be enough to give clear picture of employee performance
Self-appraisal
Employee reviews own work and seeks ways to improve/ make more efficient
Advantage
Employee has an input into performance; can give feedback about aspects they finds difficult or identify training needs.
Disadvantage
Bias, they may overstate how well they are performing.
Appraisal is beneficial for employees because it:
gives them opportunities for promotion and sets pay levels
makes sure they receive training if necessary
lets them communicate with the employer on a one-to-one basis
gives them the opportunity to discuss problems
provides clear objectives and acts as a motivator
allows them to achieve their full potential
Appraisal is beneficial for employers because it:
helps in the planning and development of the firm’s human resource provision
shows up staff strengths and allows the firm to use the best employees efficiently
identifies staff weaknesses and helps the firm to plan an effective training programme
increases staff competence and overall productivity
improves the profitability of the firm as a result
Try the appraisal quiz
Final checks
What is one advantage and one disadvantage of the self-appraisal method in employee performance reviews?
Advantage: Employee has an input into performance and can identify training needs.
Disadvantage: There may be bias, as the employee could overstate performance.