what is the Performance Appraisal process: Concept, tips and common mistakes

Performance Appraisal process

Performance appraisal process is a method that helps the development of employees. It is a way of valuing human capital within your company, through a structured process, guided by metrics, and that improves results.

Through performance evaluation it is possible to identify strengths and points to be developed by employees. When used correctly, performance evaluation is one of the best ways to identify problems, such as:

  1. Leadership failures;
  2. Team integration;
  3. Lack of training;

Employee performance appraisal process.

In general, it is a fundamental resource that the organization’s HR department uses to plan the mapping of procedures, practices and result indicators. Thus, it is possible to create a dictionary of competencies, essential for HR planning. If you want to apply better performance appraisal process analysis to your business, understanding the concept as well as good practices and common mistakes, read on to find out how!

Importance of Performance appraisal process

Performance Appraisal process

In the HR department of companies, performance appraisal process evaluation is a tool capable of measuring the performance of employees or sectors of a company. It is an in-depth analysis of the professional’s deliveries, understanding the practical and psychological aspects behind his performance.

Thus, it is possible to draw an assertive professional profile of each one, understanding their level of performance and their alignment with the organization’s expectations. This deliverables analysis is based on a range of technical and behavioral skills, as well as your soft skills and hard skills. Although, for many, it doesn’t seem like it, the performance evaluation has a primordial function in the strategic development of the companies.

That is, based on the data collected during the analysis, it is possible, for example, to accurately assess the needs of each employee. Thus, your HR can design a personalized strategic plan, based on the needs of each individual, seeking to remedy their weaknesses and enhance their strengths.

More than that, in addition to proposing a personal development plan, from the performance evaluation the company is able to identify possible internal processes that can be improved, evaluating common pains that its employees present. Just to give you an idea, among the appropriate solutions, it is not uncommon to find suggestions for training and recycling, promotions, bonuses or even dismissal.

In particular, we’re talking about a form of recognition—something that matters a lot. Not least, looking at the positive side of the evaluation, 69% of workers said they would work better if their efforts were more recognized. It’s not just a pat on the back. This recognition must come in several more engaging ways that create value for the employee and the company.

In the same way that its results generate intelligence to guide employees in their self-development, it also helps the company, serving as input to direct its strategic planning. Thus, it makes the company’s level of deliveries more transparent, as well as enabling greater power of productive predictability. It is a way of mapping the growth of the organization itself, while providing insights for employees and the entire C-Level to develop.

What is the purpose of a Performance appraisal ?

The evaluation of employee performance has among its main objectives to aggregate, apply, reward, develop, monitor and retain talents – a very important part for the good progress of teams. Management needs concrete information on the state of integration and identification of employees with their respective activities.

Employees, in turn, need to be recognized for the value they add to the organization, while receiving training to further develop themselves. With performance indicators, HR reads the needs of employees and management professionals. In this way, it is possible to know more clearly the points that affect the stability of the company, putting strategic actions into practice before problems arise in the way.

Identify strengths and weaknesses

Objectively or subjectively, Performance appraisal process evaluation has the ability to uncover the strengths and Performance appraisal process weaknesses of each employee. The analysis is full of questions, which must be related to performance indicators, and aim to deepen this understanding. It is a strategic hunt in search of opportunities for professionals to improve.

Evaluate possible advances

With the profile in hand, it becomes feasible for the HR team to analyze the skills and abilities of each employee in search of the best actions for them to improve is Performance appraisal process. After all, not everything that works for an individual, works for the colleague next door. The same can be said of sectors. On a day-to-day basis, this is reflected in a more engaging work routine, with less rework and assertive communication.

Support employee and team development

One of the most emblematic techniques of performance appraisal is feedback. For the success of a company, good feedback is essential. But calm down, we’re not just talking about positive feedback. Good reviews can generate value, even if they are still critical! But they must be conveyed in the right way, with constructive content.

Valuing employees

Finally, Performance appraisal process is an excellent tool to promote employee appreciation. And this both on a more practical level, which reflects on bonuses, but also on a psychological level, as it motivates you to produce better.

It is an essential factor in reducing the turnover rate of Performance appraisal process, for example. No wonder, according to the HR Daily Advisor, companies that have implemented a culture of frequent performance appraisal have up to 14.9% lower turnover than organizations without this practice.

It is important to contextualize the employee in the midst of so many processes, often serving as a compass for their performance.

Think carefully

15, 20, 25 years ago, Performance appraisal process corporate processes were much more straightforward. We are not talking about simplicity, after all the operations were almost exclusively analog.

However, Performance appraisal process the market was not so volatile. And when we talk about “market”, try not to think only of the big players. Consider micros, smalls and mediums — where your business might find itself.

Performance appraisal process is a method that helps the development of employees. It is a way of valuing human capital within your company, through a structured process, guided by metrics, and that improves results. Through performance evaluation it is possible to identify strengths and points to be developed by employees. When used correctly, performance evaluation…

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