What are the disadvantages of performance appraisal?

Answer 1

If delivered correctly, there is no disadvantage of a performance appraisl. If delivered incorrectly, there are several disadvantages to a performance appraisal. Often times, the employer will surprise the employee with their areas of opportunity. For example, the employer may tell the employee they are deficient in a certain area, however the employer didn't bring it to the employee's attention during the course of the review period. This leads to a disgruntled employee which leads to decreased moral, productivity, and commitment. Often times, raises aren't given in conjunction with the appraisal, the employee may tend to not care what the employer has to say because they don't see the WIFFM, "What's in it for me." The success or failure of the performance appraisal is determined long before the actual appraisal. As long as the employer has effectively communicated the employee's areas of opporutnity and as long as a raise is involved, there is no disadvantage to the appraisal process.