Each year, managers of different organization across the world have to provide feedback to the team members through performance appraisal. Performance appraisal is an assessment done on employee’s job performance over a certain period of time.

Performance appraisal is an essential part of human resource department, since it helps an employee to be part of the company’s objective. Understanding the benefits of performance appraisal can help supervisors and managers manage and guide employees in delivering their respective tasks.

Here are some key benefits of performance appraisal:

  • Motivating employees: Performance appraisal serves as a motivational tool for the employee. The company may offer a perk or a bonus to employees who improve their performance from one period to the next. You can decide to offer mentor ship classes or training seminars to improve on their performance.
  • Targeting needs: it can target a specific area of weakness that needs evaluation and remediation. It serves as a tool for establishing goals that can lead to promotion and career advancement.
  • Recruitment and induction: Appraisal data can be used to monitor success of employees who have been employed recently. It is also used to monitor the progress of changes in recruitment strategies.
  • Training and development: It offers an opportunity for a supervisor and subordinate to agree upon individual training and development needs.
  • Corrects deficiencies: It detects employee deficiency and suggest on corrective measures to be taken.
  • Building relationships: It gives the employer and employee opportunity to discuss performance. This also helps boost the channel of communication between the employer and employee.
  • Career growth: Performance appraisal serves as a tool for the employee career training and development so that they can be able to advance on their capabilities.


Overall performance appraisal is good for all kind of businesses. It helps the employer to come up with ways of motivating his employees, the best methods of training , and how to correct  shortages , career growth and build  good relationships.Visit our website to read more on performance management.