Ever wondered why people care to learn about how to performance appraisal? Well, in order for a company to outperform its competitors in the market things like improvement in morale of employees, creating loyalty amongst employees and increasing their overall productivity are necessary. A performance appraisal can be defined as a periodic and systematic process which helps an HR consultant or manager assess the productivity and performance of the employees of a company. These factors are assessed in relation to the organizational and individual goals and targets.

How to performance appraisal procedure is important because the achievements of the goals of an organization are directly proportional to the employees in the company. In case the employees are highly talented, well managed and well coordinated then there would be greater chances of achieving organizational as well as individual objectives. This is why an HR consultant should have a mature appraisal method since it can benefit the individual employees as well as the organization or company. The importance of a performance appraisal should never be underestimated.

One of the prime reasons why an HR consultant can carry out a ‘how to performance appraisal’ is that it serves as a performance feedback for the employees. It is a well-known fact that most of the employees are interested in knowing how well they are performing and how they can improve for the future. Thus, the performance appraisal acts as a feedback for them and it motivates them to work harder to improve their performance so as to obtain benefits and promotions in future. In fact the appraisal can be used by the employers as an effective tool to motivate the work force.

It is surprising how an appraisal can also help the management in taking training and development decisions. After carrying out the how to performance appraisal process the manager or the HR consultant should scrutinize the results thoroughly. Low performance rating indicates that the employee requires mentoring and training and hence the HR should look for training workshops to enhance the performance of the work force. Similarly, higher performance rating indicates that the employee is ready to be promoted to a higher position to take on more responsibilities and job functions.

While it is expected that an efficient HR consultant would use tools such as analytical tests and interviews to select promising employees, a how to performance appraisal would help the consultant to validate the selection process. In other words, performance appraisals can validate whether it was a mistake or a wise move on the part of the consultant to select a particular employee or a group of employees. Hence appraisals can actually help in improving the selection process followed in a company since it can help get rid of the loopholes present in the system as also the process.

An HR consultant can use ‘how to performance appraisal’ to make promotion or termination decisions. It also assists them in taking transfer decisions because they would be able to tell which employees can take on responsibilities. Moreover, it is a great way of ensuring that hard working employees are rewarded adequately. Thus appraisals can help the management to make employment plans pertaining to the company for future use. It strengthens the understanding between the work force and the management and also increases the sense of loyalty of the employees by promoting job satisfaction.
Irrespective of the type of company it is imperative to learn how to performance appraisal http://www.fivestarhr.com.au effectively since it is one of the fundamental edicts of job satisfaction. It is one of the basic skills which should be mandatorily present in the repertoire of any good HR consultant http://www.fivestarhr.com.au as it would help him to perform his job with optimum efficiency.