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what
the individual has to do 
in a job in order that the objectives for the section or 
department are realised 
(b) Establishing 
the 
key or main results 
which the individual will be expected to achieve in the 
course of their work over a period of time 
(c) Comparing
 
the individual's level of performance against a standard, to provide a basis for 
remuneration
above the basic pay rate 
(d) 
Identifying the individual's 
training and development needs 
in the light of actual performance 
(e) 
Identifying potential candidates 
for promotion 
(f) Identifying 
areas for improvement
(g) Establishing 
an 
inventory 
of actual and potential performance within the undertaking, as a basis 
for human resource planning 
(h) 
Monitoring the undertaking's 
selection procedures 
against the subsequent performance of recruits 
(i) 
Improving communication 
about work tasks between different levels in the hierarchy 
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CHAPTER 17
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PERFORMANCE APPRAISAL 
 
423 
2.3 Why have formal appraisal? 
Formal appraisal systems
support objective, positive, relevant, consistent feedback by managers. 
You may argue that managers gather performance evaluations, and give feedback, on an ongoing basis, 
in the course of supervision. Why is a formal appraisal system required? What are the benefits? 
(a) 
Managers and supervisors may obtain random impressions of subordinates' performance (perhaps 
from their more noticeable successes and failures), but rarely form a 
coherent, complete and 
objective 
picture. 
(b) 
They may have a fair idea of their subordinates' shortcomings – but may not have devoted time 
and attention to the matter of