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Abstract:
Performance appraisal has increasingly become a part of a more strategic approach used by HR executives and culmination of business policies to assess and analyze the employees and increase their competence level, enhance performance and distribute rewards, Fletcher (2001:24). Thus both practice and research have moved away from a narrow focus on psychometric and evaluation issues to developmental PA (e.g., Fletcher, (2001:24); Lefkowitz, (2000: 71-73); Levy and Williams,( 2004:118); Waal, 2003), which may be defined as any effort concerned with enriching attitudes, experiences, and skills that improves the effectiveness of employees (Boswell and Boudreau, 2002:11).
The purpose of our research was to examine various factors which makes performance appraisal all so more important in today’s business world as far as enhancing employee skills and competences are concerned. Along with that through this study we are trying to highlight various organizations who practice PA and various who doesn’t practice performance appraisal at all.
Through our survey we tried to find out various reasons why performance appraisal is deemed so important and what perception has it built in the minds of both employees and supervisors. In this study we took three important variables (Independent variables) Job satisfaction, importance to appraisal and organization which has some kind of an impact on the (Dependent variable) PA. Along with that we have based our research on mainly hypothesis and its testing; we have categorized our sample population to those who work in different organization (MNC’s and local) and their perception towards this growing system.
We also tried explaining the relationship between motivation, performance appraisal and its traits namely Job satisfaction, Rewards, job security and allowances. We certainly created a link between performance and PA system and how not only its presence but the effectiveness is also mandatory.
INTRODUCTION
Performance appraisal (PA), which can also be termed as performance review, performance evaluation or employee appraisal, in its various dimensions, is a method by which the job performance of an employee is evaluated. PAs are a part of routine career development and consists of regular reviews of employee performance within an organizational framework..
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