Strategies to Manage Issues Associated with Performance Appraisals

HUMAN RESOURCE
MANAGMENT
Student name
[DATE]
INSTITUTIONAL AFFILIATION(S)

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Strategies to manage issues associated with performance appraisals
In contemporary organization, employees are considered as a significant part while
determining organization survival. Employees contribution are as regarded as an ultimate
asset that ensures human resource management (HRM) functions are in accord with planned
strategies required for attaining business goals. The relationship between performance
appraisal (PA) and human resource strategies are used as a tool for achieving organizational
vision as it connects employees with the organization through communication, flexible
promotions and maximizing employee potentials. However, very often employees do not
seem happier with the practice of PA that impacts organization’s image. In 1972, Douglas
McGregor published an emblem in Harvard Business Review stating, “An Uneasy Look at
Performance Appraisal” (Mathison & Vinja, 2010, p. 112). This became a starting point
in organisational behaviour concept regarding PA issues that demanded an improvised
strategy to manage issues associated with it. This essay will conduct an answer to the essay
topic by reviewing books and published articles to discuss why PA failed and how developed
strategies can manage issues associated with it which can fulfil HRM objectives in managing
employees.
According to Kondrasuk (2011), the use of PA became institutionalised to monitor
and improve organisational output during Industrial Revolution times when bureaucratic
companies proliferated. Initially, PA were used to link performance and reactivity for poor
performance by HRM that focused more upon punishing employees for performing poorly
for motivating them to achieve higher performance goals. However, the PA systems began to
evolve lately due to many issues seen in it that made many organisations HRM adopt other
strategies to improve workplace performance (Sharma, 2010). Within last thirty years,

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many scholars and researchers have vigorously analysed and examined the effectiveness
behind PA within HRM concept, but unfortunately no consensus reveals what system meets
the best for achieving desired objectives. A research conducted by Rolle & Klingner (2012)
of employees working in a public service company finds that more than 17% of respondents
reported PA as a negative opportunity especially in training and development process by
HRM that constituted as a barrier between PA and long-term career goals. Though PA often
assists HRM about how to shape employee performance according to organisational
objectives, it often does not potentially prove as an effective measure for management that
tends HR managers think about developing other strategies that can evaluate employee’s
performance in more efficient manner (Ahmad & Bujang, 2013).
It is usually conceded that PA system are used by HRM to fulfil two basic
organisational function: developmental and administrative (Kondrasuk, 2011). The one
stated function is to learn whether employees are performing well and for assisting them to
perform better ways. This function is usually carried by HR manager of the firm by giving
guidance and counselling. The second function of PA is to set goals or purpose along with
establishing administrative decisions like what must be awarded to whom for improving
employee performance after conducting other validation tests. The second role of PA puts HR
managers in the place of judge who supervises what needs to done for achieving goals.
However, for HR managers, achieving both the goals can create conflicts between evaluator
and appraisee. It becomes very difficult for the managers to concurrently guide or act as a
counsellor while evaluating or judging at the same time (Farrell, 2013). According to
Kadam (2012), an evaluator needs to be open minded alongside admitting short falls to guide
individuals who are in need of help rather than judging them by cutting off pay or reducing
other promotional opportunities. Another issue faced by contemporary organisations HRM is
inconsistency seen in evaluation process that can throw entire PA system off. For example,