Appraisal and Performance Management

Appraisal and Performance Management

The appraisal process has been seen as a key component of performance management for many years, though managers are prone to forgetting they are two distinct concepts. Too much weight is placed on appraisals as being sufficient to amount to a performance management process, when in reality companies should be applying a more comprehensive and broad policy which would be beneficial not only for their employees, but the business as a whole.

An annual review in the form of an appraisal is not going to give managers the insight they need into their work force or enable them to support the development of their employees. Employees need regular feedback; coaching and performance support in order to fulfill their potential, the risk of a sole annual review is stagnating and frustrated employees who may walk out the door to use their untapped talent elsewhere.

A detailed appraisal and performance management structure focusing on the business plan, linked to employee competencies with scope for personal development would see employees nurtured and assist managers to make more informed decisions regarding poor performers. A supported environment where performance is managed can make the different between an employee who is able to thrive but has been badly managed, and an employee who is not up to the job.

A well utilised appraisal and performance management policy can also provide businesses with not only the framework to run the personal development of their work force, but also a safety net if the worst happens and the business is answering to a tribunal for the dismissal of an employee based on performance. Provided a policy is followed, documented and implemented in a genuine manner, a performance management system could mean the difference between an unfair dismissal and a fair dismissal for by means of capability.