Fundamentals of Management, 8th ed

236

Part 3: Organizing

Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).

Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

---

Performance Appraisal

Once employees are trained and settled into their jobs, one of management’s next

concerns is performance appraisal.

Performance appraisal

is a formal assessment of

how well employees are doing their jobs. Employees’ performance should be evaluated

regularly for many reasons. One reason is that performance appraisal may be neces-

sary for validating selection devices or assessing the impact of training programs. A

second reason is administrative—to aid in making decisions about pay raises, promo-

tions, and training. Still another reason is to provide feedback to employees to help

them improve their present performance and plan future careers.

24

Because perfor-

mance evaluations often help determine wages and promotions, they must be fair

and nondiscriminatory.