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What are the characteristics of effective performance appraisal system?


I am sure all organizations have performance appraisal system set up for evaluating employee performances and for their annual appraisals. But have you looked into the performance appraisal system that you have implemented is effective or not? We come across a lot of performance management and appraisal systems with varied features and high price tags. Organizations should understand that performance appraisal systems with varied features are not always effective. Certain characteristics put together will make an effective performance appraisal system.

Following are the characteristics of an effective performance appraisal system.

  • Objectives should be clear: The objectives of appraisal should be clear and specific. An effective performance system will always have specific appraisal attributes to match the employee's job description. 
  • Data should be valid and reliable: An effective performance appraisal system provides data that is consistent, reliable and valid. It supplies data according the objective that serves the purpose of performance appraisal and succession planning.
  • Performance criteria should be well defined: Effective performance appraisal has standard appraisal forms, rules and appraisal procedures. It will have well defined performance criteria and standards.
  • Economical and less time consuming: Effective performance appraisal systems are designed to be economical and less time consuming to bring maximum benefits.
  • Should initiate follow up: A post appraisal talk should be arranged for employees to get feedback from their managers. It also helps the organization to learn about the problems and difficulties the employees might be facing and discover suitable training.

Performance appraisal is one thing that not done properly can harm the organization and the employees by creating conflicts. Organization that has conflicting teams at work can never prosper. Therefore, choosing an effective performance appraisal system is a wise thing to do, and it is now easy with Synergita Software that brings performance management closure to people and business.

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