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Performance Appraisal Simplified Revision Notes

Revision notes with simplified explanations to understand Performance Appraisal quickly and effectively.

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Performance Appraisal

Performance Appraisals

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HR is responsible for measuring the performance of employees

How HR measures employee performance:

  1. Agree targets: HR collaborates with employees to set clear and specific targets that align with the company's goals. This provides clear expectations for the employees' performance.
  2. Review progress: HR conducts regular check-ins to assess employees' progress towards their targets. This helps identify any challenges early and allows for timely support and adjustments.
  3. Discuss results: HR and the employee review the outcomes during formal appraisal meetings, covering achievements, areas of improvement, and whether the targets have been met.
  4. Identify any training needs employees may have: HR identifies skill or knowledge gaps during appraisal discussions and recommends relevant training or professional development opportunities to help the employee improve.
  5. Identify employees for promotion/pay rise: HR uses performance appraisals to spot high-performing employees who demonstrate potential for greater responsibilities, making them eligible for promotion or a pay rise.
  6. Improve communications between managers and employees: Regular appraisals foster open communication channels, providing a structured opportunity to discuss work-related issues, expectations, and feedback.

Benefits of Performance Appraisals

There are many benefits to performance appraisals such as:

  • Increased job satisfaction and productivity: Enhances employee motivation and satisfaction, leading to higher productivity.
  • Improved industrial relations: Opens communication channels, helps address and resolve issues, and reduces the likelihood of disputes.
  • Highlights areas for training and development: Identifies further training needs and assesses the effectiveness of existing training.
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