Definition
A regular process of assessment of staff performance.
In detail
Performance Appraisal is a process of systematically evaluating an employee's work performance over a specific period, aimed at measuring the extent to which goals are achieved, identifying development needs, and providing a basis for compensation adjustments, promotions, and training. In the management system, it connects organizational goals with individual contributions and is a key link in the talent management closed loop. Unlike talent reviews (assessing potential and succession) and DBSL success factors (focusing on capability development), performance appraisal focuses more on performance results from the past cycle. Typical outputs include appraisal forms, scoring results, feedback interview records, and improvement plans.
Example in practice
A manufacturing company conducts performance evaluations every June and December. Production supervisors score team leaders based on KPIs set at the beginning of the year (e.g., output, pass rate, on-time delivery rate), combined with 360-degree feedback (peers, subordinates, customers) for a comprehensive assessment. After evaluation, supervisors hold one-on-one feedback sessions with employees, pointing out strengths and weaknesses, and jointly formulate improvement plans for the next half-year. Through evaluation, employees clarify their direction, and the company obtains objective evidence for promotions and training.