The Human Resources department play a crucial role in designing and conducting performance appraisals. The department acts as an intermediary between the executive managers or the audit authorities and the employees. The Human Resources team has to ensure a simple implementation of the evaluation process. The first and most important task of the Human Resources team is to design the whole evaluation process (Cappelli & Conyon, 2018). The HR department also ensures that it knows the responsibilities of each employee. This helps them to create and design a system that can be used in describing the overall results concerning key areas of responsibility.
Components of an Effective Appraisal
An effective performance appraisal should always have feedback. Feedback allows employees to know areas that they have performed good and areas that they have not performed effectively. This will encourage them because they won't feel that the evaluation process is biased (Cappelli et al., 2018). Under feedback, the management should not use negative feedback; instead, it can apply the rule of stating areas that employees need to improve.
An effective appraisal should allow employees to have self-assessment. This is because the employees can be able to highlight areas they feel they have improved (Cappelli et al., 2018). Self-evaluation also helps the employees have a time frame for reviewing themselves hence assisting in accountability.
The appraisal would contain the discipline measures that would be taken to enhance performance evaluation (Cappelli et al., 2018). For example, those who would be spotted to be reporting late can be encouraged to be time conscience.
Advantages of Performance Appraisal
Improving the Relationship Between Management and the Employees
Performance evaluation is one of the critical factors in an organization. It helps the management team to be able to know or identify those employees that are working best and reward (Kamphorst & Swank, 2018). The management would always ensure that they are close to their junior staff to keep a record of their performance. This improves the relationship since employees would always share their views on areas they feel the management is not working well.
Encourages Employee Improvement
Once an appraisal is done, the employee can know his or her strengths and can also be able to identify areas that he or she needs to improve. This is an ideal way of doing it without making the employees feel discriminated in any way as compared to organizations that lack appraisal.
Helps in Decision Making
Once there is enough information on what employees have been doing. It is easy for an organization to make decisions such as feeling a vacant position. It also helps in decisions such as layoffs or compensation. Lack of information could lead the organization in a wrong way since they could layoff good employees.
Cappelli, P., & Conyon, M. J. (2018). What Do Performance Appraisals Do?. ILR Review, 71(1), 88-116. https://journals.sagepub.com/doi/full/10.1177/0019793917698649
Kamphorst, J. J., & Swank, O. H. (2018). The role of performance appraisals in motivating employees. Journal of Economics & Management Strategy, 27(2), 251-269.
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