Advantages of Performance Appraisal

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Advantages of Performance

Appraisal
Advantages of Performance Appraisal :

(1) SWOT Analysis : Performance Appraisal gives a


complete idea of the employee's strength, weaknesses and
based on that their opportunities and threats.
(2) Career Planning : On the basis of one's own SWOT
analysis, an employee can have his career plans.
(3) Suitable Placement : Performance appraisal enables a
company to give suitable placement to an employee based
on their talents and skills.
 (4) Self-Development : Performance Appraisal is very much a
positive activity which enables an employee to know his own
weaknesses and also enables him to remove their weaknesses and
lead to self-development.

 (5) Effective Training Programme : Training programmes can be


drawn out on the basis of the needs of employees to remove their
weaknesses.

 (6) Sound Personnel Policies : Personnel policies for promotions,


transfer must be sound and objective. Performance Appraisal
provides valuable information and reliable data for such decisions.
(7)Employee – Employer Relations will be healthy if
performance Appraisal information will be used for
personnel management. This will minimise grievances and
improve confidence in the management.

(8)Higher Employee Productivity : Employer morale


will be high because there can be a system of rewards for
employees with higher performance. This will improve
organization productivity.

(9)Performance Appraisal will help in potential human


resource planning.

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