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    Formal and Informal Performance Appraisals

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    ? Differentiate between formal and informal performance appraisals
    ? Discuss ethical and legal issues that may emerge in performance appraisal

    This research and writing exercise explores the difference between formal and informal performance appraisals, along with ethical and legal issues that may emerge.


    On a scale from 1 to 10, with 10 being perfect-where do you rate yourself? Where does your boss rate you?"

    Conduct research on the Web to look for information on two (2) formal types of appraisals. Also look for two (2) examples of formal appraisal forms that you can download or copy and paste into a word processor (such as MS Word). If you're currently employed, you may want to use your employee evaluation form as one of your examples.

    Summary of your findings that describes the two formal types of appraisals and answers these questions
    ? Of the two methods of formal appraisal described, which one do you prefer? Or would you integrate them? Provide a rationale for your opinions. What would you change? Why?
    ? Describe an informal appraisal situation that might "lead" to a formal appraisal.
    ? In either situation, how would you discuss an issue such as "perceived" theft when the employee has perfect attendance, and is beloved by all? Could such a discussion involve any ethical and/or legal issues you should consider?
    ? Include your sources of information and provide "samples" of the appraisal forms.

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    Solution Preview

    Please find enclosed the inputs for your reference.
    Please download sample appraisal forms too. Its an requirement of the problem.

    Performance Appraisal
    Performance appraisal is a process that allows optimization of labor. It is an opportunity for an employee to engage in a dialogue about performance and development with his supervisor or a line manager. It is an important tool of performance management that is used to manage performance. It is a formal and a structured method for measuring and evaluating an employee's job, related behaviors and outcomes. Based on these outcomes it helps in improving employees performance so that the employee, organization, and society all benefit. There are 5 steps in performance management process. These are:
    • Performance Planning.
    • Monitoring Employee Performance
    • Employee Development
    • Evaluating Employee Performance
    • Recognition
    There are two ways of conducting a performance appraisal; formally or informally.
    1. The informal appraisal is conducted at the supervisor's convenience and when the manager or supervisor feels it necessary. The daily interactions between manager and an employee's offer an opportunity for the employee's performance to be judged. It is a monthly meeting or a review of employees in the areas of job knowledge, productivity, quality of work, performance etc. The judgment of informal performance appraisal is communicated through conversation on the job, over coffee, or by on-the-spot examination. Informal appraisal is especially performed and suitable when time is an issue. It doesn't take time consuming as it's a informal meeting between line manager and an employee. It is a tool to motivate, correct and improve the performance of an employee.
    2. A formal appraisal is a method used when a system is in place to report managerial impressions and observations on employee performance. It takes place in a formal meeting between manager and employee. It is a method or a tool to improve the performance of each and every employee in the organization.
    Although informal appraisal is ...

    Solution Summary

    The solution discusses formal and informal performance appraisals.