Using Performance Appraisals to Improve Productivity and have a Happy Employee
Organizations understand the importance of employee performance for its overall success. To align an employee’s performance towards organizational goals, the process of performance appraisal can be effectively applied. The system of appraisal helps the companies identify key performing resources and also highlight areas of improvement. For an organization to achieve desired goals, every employee from the CEO to the junior-most level needs to contribute. Performance, under-performance, and non-performance of each employee reflect overall organizational performance. To ensure that organizational performance is not affected, employees should be engaged and motivated. Adopting a continuous Scan enable organizations to drive these benefit.
Ways performance appraisals can be used to enhance employee performance
1. Increases motivation
Performance Appraisal enables the employees to be formally recognized for their work by their supervisors and managers. When employees are appreciated for their contribution, they are motivated to work towards organizational goals. Motivated employees tend to stay with the organization for a longer period and the longer they stay, the more productivity is seen.
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2. Understanding goals and targets
Employees perform to the best of their ability when they are aware of what they are working towards and how their efforts are helping the organization move forward rather than performing isolated tasks that no one recognizes. Performance Appraisal provides the opportunity for managers and employees to review the job description and identify expected performance outcomes that fit the company’s objectives. This provides employees with better clarity on their role in the organization, the impact they are creating and the expected level of performance. When employees see these efforts, they get motivated to do more tasks for the benefit of your company.
3. Increase in employee accountability
When the employee’s performance is reviewed, the challenges and accomplishments of the entire review period are discussed. Such conversations provide insights for an employee on areas of strength and areas of improvement that result in employee development. This self-awareness ensures that employees make a personal commitment to accept and improve on their performance issues. This way the employee will be accountable for his or her actions all the time. With every employee accountable for their actions, productivity is easily achieved.
Performance appraisals help the company to regulate and control their overall performance to where they want to be. With the company managing and identifying its employee performance and productivity, it is easier to know the direction where the company should take.
4. Identifies areas of employee training and development
Career development is an important aspect of an employee’s professional journey. But most employees don’t have a clear understanding of their strengths and weaknesses. During the appraisal process, the employees become more aware of their performance and contribution within the organization. This ensures that employees can work on the areas that require improvement, for his or her career development. This helps managers to devise appropriate plans for training and development to increase the productivity of employees.
5. Boosts company morale
Appraisals show employees that the business is invested in its success. This is a way to help employees understand where their weaknesses are and where they can make improvements. However, it’s also a way to remind employees where they do best. Managers can use performance appraisals to improve company morale by highlighting the achievements the employee has hit, where they have excelled, and what they have earned so far.
6. Improves employee productivity
This process helps employees work efficiently. Businesses can increase their productivity by creating evaluation systems and using them on a regular basis, providing constructive feedback, and offering rewards. Employees should have a say in their evaluation and provide their own feedback to the company as part of the process. Using ideas and insight from employees can help the company build more effective and productive processes and systems.
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Performance appraisals help create meaningful dialogue between employees and managers or business owners that may not happen otherwise. Many small businesses are busy, so managers may not have a chance to provide helpful feedback to employees regularly and employees do not have an opportunity to bring up issues they are dealing with. A performance appraisal is a commitment to make time for these kinds of conversations to benefit both employees and the business
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