Performance evaluations have a long history; each year, employees and managers anticipate this period with a sense of unease. In human resources (HR) and management, performance assessments are crucial for evaluating employee job performance and their contribution to corporate goals (Feldmann, 2017). Since HR and the board are in charge of performance evaluation, they are also accountable for performance assessment. Therefore, a performance appraisal among the staff is required to assess and compare the performance level to the expected performance (Alsuwaidi et al.,2021). For the performance appraisal to accurately reflect actual performance, it must be effective. The goal of this essay is to examine the many facets of performance reviews, including their role in human resources and management, the essential components of an effective appraisal system, their contribution to organizational goals, the advantages they offer in terms of training and development, and the potential for discrimination based on labor laws and regulations.
Performance appraisals as a function of HR and management
Human resources (HR) departments often develop performance evaluations as a tool for workers to grow in their careers. They provide feedback on how well employees perform their duties, ensuring they are managing and reaching the goals set for them and helping them if they fall short (Youssef, 2015).
The components of a performance evaluation
Clear appraisal procedure: Employers are responsible for making the appraisal process transparent. Being comfortable with the process reduces worry and improves the tools’ efficiency. The lack of clarity and concealment helps to end the distrust between the staff and the manager (Alsuwaidi et al.,2021).
The consistency of performance standards across all organizational levels is important for maintaining the objectivity of the standards applied equitably and acknowledging responsibility.
Objectives and performance standards should be clearly stated in the appraisal process to let employees know what is expected of them. Clear expectations facilitate fair evaluations.
Regular Feedback: Throughout the year, not just at the time of the annual review, continuous feedback is necessary to track employee progress and offer suggestions for improvement (Feldmann, 2017). Before the appraisal begins, the staff must bring up the issues and carelessness to implement any necessary modifications. The appraisal turns into a review since the employee must receive feedback on the discussions made during the appraisal before it runs.
Two-Way Communication: Managers and staff members should talk openly about their strengths, weaknesses, and future goals during performance reviews (Alsuwaidi et al.,2021).
Setting goals: Setting specific, attainable goals for the future is an essential component of performance evaluations that inspires employees to work toward development (Helmold et al.,2019).
Contribution
The assessment of the actual performance with the predicted performance provides information on the areas that need to be improved in order to ensure the organizational goals and objectives are met, which is how these performance appraisals contribute to organizational goals and objectives (Alsuwaidi et al.,2021).
Alignment: Performance evaluations ensure alignment between individual contributions and the corporation’s strategic goals by comparing employee performance to organizational objectives.
Identification of Training Needs: HR and management can identify skill gaps and training needs within the workforce through performance reviews, enabling focused development initiatives.
Motivating employees: Appraisals can encourage an excellence-oriented culture by praising and rewarding top performers. In addition, the performance review guides how to proceed to ensure that the goals and objectives are attained (Feldmann, 2017).
Advantages
The performance appraisal aids in giving constructive criticism. Additionally, it helps in pinpointing areas that need work. It enables a discussion and aids in the development of a training plan for skill enhancements. If the workers receive a good salary, it also inspires them.
Feedback for Improvement: Giving employees constructive criticism during performance reviews enables them to better understand their strengths and limitations and directs them toward personal and professional growth (Helmold et al.,2019).
Employee Development Programs: By identifying development needs, HR can design specialized programs for staff development that may involve mentoring, training, or job rotation. As a result, the company can schedule training so that the employees can acquire the abilities they lack because the performance appraisals highlight the employees’ weaknesses (Helmold et al.,2019).
Moreover, appraisals assist in identifying high-potential personnel who may be trained for leadership positions, which helps with succession planning.
Legal Considerations and Potential Discrimination Forms
Performance reviews are useful but could lead to discrimination based on labor rules and regulations. Following are a few possible examples of discrimination:
Bias: When performing appraisals, managers may show bias based on variables like color, gender, age, or handicap, which can result in unjust results. For example, men may receive higher evaluation rates than women to demonstrate that men do better than women (Helmold et al.,2019).
Religion: Some reviewers may dislike a particular religion, giving them a bad rating.
Race: If a certain racial group is not adequately accepted at work, this can lead to them being negatively evaluated, which can lead to their being dismissed by creating the impression that they are underperforming (Helmold et al.,2019).
Lack of Documentation: Organizations may face legal troubles if they do not record their evaluation conversations and judgments enough.
Disparate Impact: Appraisal systems that unfairly affect some protected groups disproportionately may be the subject of legal review.
Conclusion
In conclusion, employee performance evaluation, its alignment with organizational goals, and its promotion are all made possible by performance appraisals, which are crucial components of HR and management (Alsuwaidi et al.,2021). Although they have many benefits, prejudice must be avoided in order to ensure fairness in the evaluation process, and labor regulations must be followed.
References
Alsuwaidi, M., Alshurideh, M., Al Kurdi, B., & Salloum, S. A. (2021). Performance appraisal on employees’ motivation: a comprehensive analysis. In Proceedings of the International Conference on Advanced Intelligent Systems and Informatics 2020 (pp. 681–693). Springer International Publishing.
Helmold, M., & Samara, W. (2019). Progress in performance management. Springer International Publishing.
Feldmann, J. (2017). Council post: Adapting the performance appraisal process to meet the needs of the modern workplace. Forbes. https://www.forbes.com/sites/forbeshumanresourcescouncil/2017/12/01/adapting-the-performance-appraisal-process-to-meet-the-needs-of-the-modern-workplace/?sh=43c7c7935342
Youssef, M. (2015). Performance Appraisal: Measurement, Assessment, and Management, Bridgepoint Education, Inc. All rights reserved. Not for resale or redistribution.