Performance Management System

2974 Words Mar 23rd, 2011 12 Pages
HUMAN RESOURCE MANAGEMENT

PROJECT on

PERFORMANCE APPRAISAL SYSTEM

Submitted to: Dr. Pampari Venkataswamy

Submitted By: TARUNA CHAWLA Enrol.No.-08BSHYD0892 Section-B

INDEX

1. Executive Summary ------------------------------------------------------------------------- 3
2. Scope of the Project------------------------------------------------------------------------- 4

3. Introduction----------------------------------------------------------------------------------- 5 4. Process of performance appraisal---------------------------------------------------------- 6 5. Purpose of performance appraisal--------------------------------------------------------- 7 6. When and Who to conduct
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The self-appraisal is followed by a joint discussion with superior and then a decision is taken by the department head on his promotion, pay hike etc. The feedback relating to his performance is directly given to the employee. Thus performance appraisal process has gone through the phase of non-transparency to transparency.

PROCESS OF PERFORMANCE APPRAISAL

PURPOSE OF PERFORMANCE APPRAISAL
The objectives of performance appraisal fall in two categories: 1. Administrative 2. Self-improvement

1. Administrative Objectives

(i) Promotions: This is the most important use of performance appraisal. It is to the common interests of both the management and employees to promote employees into positions where they can most effectively utilize their abilities.

(ii) Transfers: In an organization, it may be necessary to consider various types of personnel actions such as transfers, layoffs, demotions and discharges. Such actions can be justified if they are based on performance appraisal.

(iii)Training & Development: An appropriate system of performance appraisal can be helpful in identifying the areas of skills or knowledge in which certain employees are not up to par, thus

pointing out general training deficiencies, which presumable should be corrected by additional training, discussions or counseling.

(iv)Wage and Salary Administration: In some cases, the wage increases are based on the