The purpose of a performance appraisal system is to evaluate and find areas within the organization and employees that need improvement. A performance appraisal system measures accuracy, performance, conflicts, competition, and poor efforts among the employees. This allows the organization to give feedback to the employees and make them aware of their performance and what areas need improvement if any. The organization can get employees the proper assistance or training that is needed to help improve. Being able to monitor the performance within the employees in the organization gives the opportunity to improve and a greater chance for success. The performance appraisal system benefits the organization in many ways. This gives the organization the opportunity to correct any issues before they get worse. This also gives managers and the employees the chance to communicate, share ideas, opinions, and information that could benefit the organization.
Communication between management and employees creates somewhat of a relationship and an understanding among each other. This makes employees more comfortable and more likely to ask questions when needed. An employee that is comfortable within their work environment is usually motivated and works harder. Elements of a good appraisal system are to set objectives, manage performance, carry out the appraisal, and provide remedies and rewards. When setting objectives steps are created for each employee and what is required of them. The objectives need to be clear and specific. If the objectives are specific the chance for accomplishing the set goals will be greater. The objectives need to be evaluated to determine the progress.
When the objectives are evaluated this gives a better idea of what is needed to accomplish them and how much time is needed. The objectives that are created should be ones that can be...