What are the benefits of performance appraisal?
When we understand what management and performance evaluation is, some benefits of this process come to mind, such as improved results and satisfaction. Although, by themselves, these advantages are already quite expressive, the application of performance evaluation can also bring other developments. Understand 5 benefits of performance appraisal:
1. Provide knowledge
One of the main benefits of performance appraisal is the knowledge it provides for employees themselves. People need feedback on their activities, to know what to maintain and what needs to be changed.
This systematic measurement offers these data in an objective way and contributes to self-knowledge and work improvement. Similarly, the organization also knows its employees, potentials and limits better. Talents can be discovered and recognized.
2. To substantiate decisions
The performance data provided by periodic evaluations are powerful inputs for decisions about people , such as promotions and reallocations. These decisions are delicate and require more information that goes beyond that collected by the performance appraisal. It is important, for example, to analyze the financial possibilities, in addition to the cultural and behavioral alignment of the employee.
But if the performance evaluation process done with technical and ethical rigor becomes a good way to bring objectivity to verdicts that may be loaded with doubt or personal and subjective impressions.
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3. Promote transparency
The fact that the performance evaluation stimulates access to the perceptions of the other is another great advantage of this procedure. The feedback is essential in the evaluation process, so that it is already an incentive to return this to happen, even if the leader or the developer does not have the initiative.
4. Guide development
Performance data are inputs for development programs , whether at the team level, such as training or at the individual level , such as coaching and IDPs . By collecting information about someone's performance, it becomes easier to identify their development points and invest efforts in the right direction.
Both the company directs its resources better, and the employee, who starts to invest energy for change in really necessary points. The evaluation even assists in the analysis of the effectiveness of these development programs, since, over time, it is possible to analyze progress.
5. Enable strategic action
All of these benefits go in the same direction: HR's more strategic performance . This new behavior expected from the people management sector is precisely to be more objective, to be based on facts and data and to have more knowledge about the organization to direct efforts and make assertive decisions. Performance evaluation directly promotes this new way of acting.
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