Employee Performance Appraisal

12 March 2025

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Evaluate employee performance to determine whether there are obstacles in their productivity.

Performance evaluation can be done every 3 months or 6 months or even once a year. Therefore, HR needs to understand employee performance evaluation. 

 

Benefits of Conducting Employee Performance Evaluations

 

Evaluation is very important for companies, along with its benefits : 

 

Benefits of Performance Appraisal For Employees

 

A. As a basis for consideration for promotion.

 

B. As a consideration for increasing employee status, for example from contract employees to permanent employees.

 

C. As a determinant of the proportion of annual incentives or bonuses.


 

Benefits of Performance Appraisal for Companies

 

A. Understand performance issues related to productivity, both personally and on a company scale.

 

B. Able to adopt appropriate policies for each employee.

 

C. Knowing the needs of employees so as to encourage them to contribute more to the company.

 

D. Get feedback for company progress.

 

E. As a basis for company decision making.

 

F. Reference for company development.

 

Employee Performance Assessment Criteria

 

There are many criteria used to assess employee performance. However, usually only a few important points and in accordance with the employee's job description are used. Here are some.

 

Educational Background

 

Even though educational background is not the main thing, basic knowledge is useful in completing work. If an employee is in a different field than the position he is in, he can adapt to courses or training.

 

Adaptability

 

The next performance indicator is the employee's ability to adapt to the company. A company may experience changes, for example a change in management. Good employees can adapt to these changes.

 

The Ability to Develop Personal Potential

 

Employees who are able to assess their strengths and weaknesses will update their knowledge if needed. Unlike employees who feel capable, they usually have difficulty accepting new knowledge.


 

Communication Skills

 

In a company, an employee will have to interact with other employees, either in his own division or other divisions. Therefore, communication skills will be assessed.

 

Time Management

 

The next performance assessment criterion is the employee's ability to manage time to complete tasks. All responsibilities are completed well and smoothly.

 

Skills to Get the Job Done

 

Having skills according to the job description is one of the assessment criteria that is no less important. If he is able to complete the job well, he can stay in his current position.

 

Team Work Ability

 

Team work is not just a willingness to work with a team, but also an attitude of being ready to support, respect and accept input from other teams.


 

Technical Abilities According to Job Description

 

A job description is the minimum work that an employee must complete. If he is unable to do it, the company can transfer him to another position, which suits his capacity. 

These are some of the assessment criteria that are taken into consideration when evaluating employee performance. Apart from the criteria above, there are also other criteria that are commonly used in companies, such as quality of work, self-confidence and speed of completing work.

After knowing what points will be assessed, you also need to understand how to carry out performance evaluations. The following is the explanation.

 

How to Conduct Employee Performance Appraisals

 

Give a Fair Assessment

 

An evaluation that is said to be fair is an assessment in accordance with applicable regulations. Companies are required to notify these provisions when employees first join. Likewise, if there are changes to the provisions, the company must socialize them.

 

What is included in the assessment provisions? 

 

A. Performance targets are clear and mutually agreed upon. Usually, employees are notified in advance and continue to sign employment if they agree.

B. Matters related to duties according to the job description and position description.

C. Performance evaluation is carried out face to face, namely between employees and managers one level above them.

D.  Evaluation is carried out through discussion so that both parties     understand the problem and find a solution.

 

Objective

 

Evaluation of employee performance regarding achievements must be carried out based on facts. The comparison is the target and job description given. The objective considerations are:

 

A. Actual achievement data

B. Employee attitudes and behavior

C. Firmness of attitude

D. Using a simple form

E. Structured system

F. The ability to evaluate one's own achievements


 

Steps for Conducting Employee Performance Appraisals

 

Performance appraisal cannot be done suddenly, it must go through an arrangement first so that it is focused.

 

A. Create a performance appraisal plan

 

This planning is in the form of parameters that must be achieved by employees. Usually, it is done at the beginning of the year. Employees must read and agree to the responsibilities and burdens that must be achieved

 

B.  Prepare performance or achievement data

 

For qualitative work, an assessment table can be created with a criteria scheme so that it is easy to measure. The number of criteria points can be adjusted according to needs.

 

C. Start Discussing

 

To start the assessment, the supervisor calls the employee concerned and then discusses his achievements. Providing feedback by means of discussion encourages employees to respond to evaluation results that tend to be bad. Don't forget to provide suggestions and solutions regarding problems or criteria that need to be improved.

 

D. Performance appraisal process

 

A review of the work results is submitted by the leadership. During this stage, employees have the right to respond or give reasons. So, the assessment goes both ways until a conclusion can be drawn.
 

E. Create employee performance appraisal reports

 

The results of the evaluation must be approved by the employee you are evaluating. The goal is only as proof that employees understand


 

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