Discover the critical advantages of a performance appraisal that encourages the staff to achieve more

17 critical advantages of performance appraisal

Both employees and managers often question why organizations follow through with the performance appraisals.  Many think that carrying out theses appraisals is ineffective and a total waste of precious time.  Performance appraisal is very important in every company and should never be taken for granted.  The effective feedback that comes from undertaking the evaluation is what drives the employee's for the company to thrive.  This process is what makes the company recognize what talent they have and what they are missing.  It's what makes them understand why the business is growing in the manner it is growing.  Without knowing the advantages of making a performance appraisal, we cannot follow through with it. 

Advantages of the Performance Appraisal

  • Creates an opportunity for the employee to discuss any issues and clarify any expectations with their supervisors.
  • Provide a record of performance over a long period.
  • Offers an opportunity to think about the upcoming year and develop the staff's goals.
  • Is a motivational program if used with the support of a good reward and compensation system.
  • Provides an opportunity for a Manager to meet and discuss performance with the staff.
  • Provides the employees with honest individualized feedback about their performance and goals without telling everyone else.
  • Provides a structural program where the manager is allowed to meet and discuss the way forward with the staff.
  • Provides an overall report of employee performance within a specific period.
  • Allows the supervisor the opportunity to provide the employee's with feedback about their performance and discuss how well the goals will be accomplished.
  • Provides a clear structure of thinking through and planning for the upcoming period and developing employee goals.
  • Provides a structured process for an employee to clarify their expectations and discuss any upcoming issues with their managers.
  • Provides an opportunity for communication to improve both for managers and their employees.
  • Provides a clear understanding of the employee's career path addressing both short and long-term goals.
  • Encourages good work and improvement to all employees through individual attention by building confidence in each of them.
  • Improves the decision-making the ability for both managers and employees especially in helping those that need much improvement. 
  • Provides an easy way to fire those employees who are underperforming.
  • Creates more face time that both parties use to create a strong bond between them.

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