Performance appraisal is a nightmare for most of us. It is because the employees consider it as a process to judge them rather than to improve them. The management focuses more on the completion of the process rather than reaping the benefits of the process.
With technology advancement, at least the time taken to complete the appraisal has reduced. It usually would take months to complete the process; sometimes, it would even go into the next financial year. With technology and automation, the HR personnel can complete the process sooner and within the given time.
The effectiveness of performance evaluation process can be increased by adopting an effective
performance management system that includes processes, which would help in conducting a fair appraisal process.
The pros of an effective appraisal process.
Increased productivity
Employee engagement
On-time completion of projects
Trained workforce
Upskilling and cross-skilling to face future challenges
Openwork culture
Collaboration
Motivated high performers
The cons of an appraisal process when the execution fails.
Disengagement of low performers
Increased employee attrition rate
A decrease in business profits
Waste of time and effort
Low performance
