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Performance appraisal is an objective process that enables managers to evaluate an employee based on concrete and measurable indicators. For example, managers assess if the employee achieves the desired behavior, preset KPIs, and teamwork over several months.

Types of Performance Appraisals Self-assessment: Individuals rate their job performance and behavior. Peer assessment: An individual's work group or co-workers rate their performance. 360-degree feedback assessment: Includes input from an individual, supervisor, and peers.

The six steps of the performance appraisal process Establish performance standards. Communicate performance standards. Measure actual performance. Compare actual performance to performance standards. Discuss the results and give feedback. Decide on a follow-up plan.

Performance planning is a strategic process that ensures that an organization's goals are met by its employees. It involves setting specific, measurable, achievable, relevant, and time-bound goals for employees, and then creating a plan to help them meet those goals.

A performance appraisal gives individual employees and their manager an opportunity to review performance, work content, loads and volume, to look back on what has been achieved during the past year then agree future objectives.

The performance appraisal process Define performance criteria. By performance criteria, we mean performance standards. ... Communicate performance standards. ... Measure performance progress. ... Compare performance progress to performance criteria. ... Discuss performance results and provide feedback. ... Conclude with a follow-up plan.

As a general rule, most companies conduct performance reviews every 3-6 months. This keeps employees' focused and motivated, and ensures feedback is relevant and timely.