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7 Reasons Employee Appraisals Are More Valuable Than You Think

‘Appraisal,’ the word itself has positivity attached to it. We will help you get a clear-cut idea what wonders it can do to your employees if a proper appraisal is carried out in your organization for their deeds.

Let us understand what an appraisal is,
“It is a process in the employee performance management wherein we review employees’ performance and development. It is a conversation between the individual and the concerned manager to whom they are answerable, which helps in tracking their recent achievements and set rules for necessary actions in future for their performance betterment.”

Arrayed below is a list of employee appraisal profitableness.

1. Thank You Gesture
No wonder ‘thank you’ is one of the best words which helps to bring happiness and satisfaction to anybody. Same holds for your employees. You can utilize appraisals to evaluate employees work and provide them rewards as thank you gesture, for helping your company thrive.

You can thank your workforce by promoting them, providing them incentives/ bonus, increasing their salary and so on. You might think this will prove to be a monetary burden on your company. But take our words, this will be a temporary burden, your employees will be delighted by your deeds, and they will work more dedicatedly to bring more profit for you and your company.

Editor’s note – Thank you need not always be in terms of money. Many times just a simple ‘Thank You’ with a broad smile on your face and a pat on your employees’ shoulders in front of their co-workers can do wonders.

2. Opens up New Missions
The present market is very competitive. You need to set new goals and objectives every day to provide a cutting edge to your competitors. An appraisal will give you a perception of whether your employees are fulfilling the goals set by you or not. It will also help you analyze your present goals and add-up new goals to take your organization to new heights.

Moreover, the employees will know that they will be questioned for the responsibilities given to them. An appraisal will make employees feel more responsible and push them to perform better.

3. Better Allocation of Responsibilities
An appraisal will provide you with a unitary idea about the capability of every employee. You will know whether the employee is capable of taking responsibilities furthermore or he/she is not able to handle the duties given to him/her.
An appraisal will help you take the right decisions and make the best use of your available human resources.

You can decide whether that particular employee can continue with the task given to him or do you need to remove/ demote him/ give him some other responsibility. You will also be able to track the employees with another caliber in particular fields and make the best use of their talent. Appraisal also helps you have an idea about any new recruitment needed for your organization for performing tasks better.

4. Upping Employee Bonding
We cannot deny the fact that employees need to share a positive bond between them and even with the employer for working better. Only if they are comfortable in the workplace, they will prove to be the most advantageous assets for your organization.

The appraisal will provide a platform for the employees to share their opinions. The evaluation helps the employees gain confidence in superiors. They know that they will be heard for any problems or grievances. It helps to develop better team spirit and boost the morale of employees.

Moreover, you can always have an idea about what your employees think about you. You can know their viewpoint in your business. An Appraisal will indulge them in thinking more comprehensive and also provide them with better work satisfaction. And it will also help which will serve as an added advantage to your organization.

5. Motivational tool
The appraisal helps to serve as a driving force for the employees to force them to work better. They will be sure that you will acknowledge their great undertakings and if they do good for your company, you will also, in turn, be useful to them. Employee evaluation will help you gain your employees’ goodwill and confidence.

The appraisal will also motivate them to stay with you for a more extended period, which will prove to be an additional benefit for you. Whenever an employee thinks of leaving your organization, they will have a thought in the back of mind that might be the upcoming appraisal can do wonders to them by promoting them.

6. Pointing Out Issues
It is always important to review your employees’ performance from time to time. An appraisal helps you get a full idea about what is working and what is not working for your employees, to increase their productivity. An assessment will help you trace issues, and make the necessary changes to fix it.

Many a time it also helps to point future problems and solve it even before it arrives. For instance, while discussing with a particular employee, you can come across a problem that other employees can also face in the future. Evaluation helps you warn your other employees much ahead in advance.

7. Sharpened Training
The appraisal can even help you track the training needed for the employees for uplifting there performance. It also helps to identify the caliber of each employee and provide training accordingly.

For a candidate lacking in performance, you can provide training to improve his/her performance. Whereas, for employees who excel in return you can arrange for advanced training to make further use of their capabilities. An employee appraisal will also help to accelerate employee career graph providing them job satisfaction.

Final Words
Employee appraisal has become a fundamental demand for a performance management system. We are quite sure you were already using this system for the betterment of your workforce, which everybody knows plays a vital role in any organization. If this is the case, the above article will help you make the most out of appraisal by providing you with the right direction to extract extended benefits from it.

On the contrary, if you do not have appraisal modules added to your organizational undertakings, we are sure after going through the above points you will not think further and introduce this system. So, keep rocking, keep going, add employee appraisal and reckon-up employee performance.

Author Bio:
Hitendra Rathore is one of the enthusiastic Content Analyst, working in Ahmedabad. He has spent the majority of his career in the SaaS industry gaining experiences in areas such as ERP Software and Payroll software analysis. Outside of the office Hitendra enjoys spending time with his family and listening to music.

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