What is defined as a performance appraisal?

A performance appraisal is an evaluation of an employee's job performance and contributions. It involves assessing the employee's work against predetermined standards, measuring their skills, achievements, and areas for improvement. This process is essential for organizations as it helps to identify strengths and weaknesses in an employee's performance, fosters communication between employees and managers, and informs decisions related to promotions, compensation, and professional development.

The purpose of a performance appraisal is to provide structured feedback that supports employee growth, sets future performance goals, and aligns individual objectives with organizational goals. This systematic evaluation process can also help employees understand their roles better and encourage a culture of continuous improvement within the organization.