According scale of unsatisfactory to outstanding performance and

According to Angelo S. DeNisi and Robert D. Pritchard (2006)Studies
have shown .that
“Pperformance
appraisal is a discrete, formal, organizationally sanctioned event, usually not
occurring more frequently than once or twice a year”
Performance
Appraisal is defined as an assessment of employees by the manager/supervisor, in which he/she evaluates
the overall contribution made by the employee to the organization. It is a
systematic and logical review, conducted by the organization annually to judge
his/her potential in performing a task. It helps to analyze the skills and
abilities of an employee for their future growth that increases the
productivity of employees. Also, it
helps to identify the employee who performs their task well and those who
are not.

Most
organizations today have placed great emphasis on ways of improving
performance outcome from its employees which has led to many research on
organizational productivity and performance appraisal mechanisms. As pointed
out by Armstrong (2005), most studies on improving organizational productivity
have over the years focused on ways of increasing organizational productivity
through performance management, thus, performance appraisal is a human
resources activity that has existed for several decades, ranging from annual
overview and appraisal of management performance, as well as individual
employee performance, the practice has always taken the dimension of appraising
performances by either the organizations management or a restricted supervisory
group without a specific strategic approach. The main objective of the
performance appraisal system is to exercise control over the activities of the
employees through disciplinary actions and management of rewards and promotions.

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The supervisors/managers are
expected to rate their employees on certain traits ranging between a scale of
unsatisfactory to outstanding performance and these ratings are susceptible to
various errors like central tendency, bias, halo effect, etc.

 

In
the same vein Armstrong (2005) pointed out that over the years most
organizations have operated what basically is called performance appraisal, but
the concept of performance management is a recent development in the world of
management, unlike the performance appraisal which is not strategically focused,
the new concept of performance management is futuristic and strategically
oriented. Performance management is used in most organizations particularly on
individual employees with the primary aim of utilizing on their current
performance and leveraging on that to boost their future potentials.  In addition, Armstrong (2005) opined that the
concept of performance management was not utilized until 1970, however since
the utilization of the concept in 1970 it has been constantly used in most
public and private firms to set standards of performance among managers and
individual employees as well as establish criteria for assessment of desired
result, outcome or conformance to organizational standards (Boland and Fowler,
2000). Boland stressed that “performance management is aimed at establishment
of set of activities that ensures that organizational aims and objectives,
visions, management patterns,
managements
incentives and rewards, performance framework, team goals, employees
needs etc.
are efficiently and effectively achieved. , and
the fact that Pperformance
management is a managerial activity which  has existed for over several decades, although
performance management is a recent concept mostly to Nigerian government and
ministries, it involves
regular employee’s performance appraisal” (Armstrong and Baron, 2005). Fowler
(2000) in his own view posited that the concept however, is not limited to
employees only it also encompasses an overall management and organizational
appraisal ton
set target objectives which the organization intends to achieve per time.
Performance management is beneficial to organizations in varied ways as it
helps to boost the morale of employees to  knowing
full well that they are reachachieveing
the set target of their organization, it also provides an avenue for
organizations
to appraise its performance and ethics to make provision for improvements for
improved performance (Armstrong and Baron, 2005).

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