Performance Appraisal Overview

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This set of flashcards covers essential vocabulary and concepts related to performance appraisal within organizations.

Last updated 6:33 AM on 4/15/26
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48 Terms

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Performance Appraisal

Evaluating an employee’s current and/or past performance relative to their performance standards.

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Performance Management

A continuous process of identifying, measuring, and developing the performance of individuals and teams.

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Objectives of Performance Appraisal

To provide feedback aimed at eliminating deficiencies and reinforcing strengths.

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Stages of Performance Appraisal Process

Setting work standards, assessing performance, and providing feedback.

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Reasons for Performance Appraisal

To base pay, promotion, and retention decisions and to align employee performance with company goals.

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Performance Standards

Criteria used to compare ‘what should be’ with ‘what is’ in performance.

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Immediate Supervisor

The individual most likely to conduct appraisals due to their awareness of the employee's work.

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Peer Appraisals

Evaluations conducted by colleagues of an employee, which can provide insight into performance.

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Crowd Appraisals

Social media tools used for continuous feedback among employees.

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Rating Committees

Groups consisting of supervisors and managers who collectively evaluate an employee's performance.

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Self-Ratings

Evaluations completed by employees regarding their own performance.

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360-Degree Feedback

Comprehensive performance feedback gathered from various individuals around the employee.

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Traits

Characteristics commonly associated with job performance that may be subjective.

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Competencies

A broad range of knowledge, skills, traits, and behaviors important for job success.

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Graphic Rating Scale Method

A simple appraisal method that rates performance across different traits.

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Alternation Ranking Method

Ranking employees from best to worst on a specific trait.

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Paired Comparison Method

Comparing every employee against every other employee for each trait.

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Forced Distribution Method

Ranking employees into predetermined performance categories to mitigate leniency.

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Critical Incident Method

Keeping a log of significant positive and negative examples of an employee's behavior.

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Behaviorally Anchored Rating Scales (BARS)

Assigning numerical ratings based on specific examples of performance.

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Management by Objectives (MBO)

A goal-setting and appraisal program focusing on achieving specific outcomes.

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Unclear Standards

Ambiguous appraisal criteria leading to unfair evaluations.

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Halo Effect

A cognitive bias where a rater's overall impression affects specific ratings.

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Central Tendency

The tendency to rate all employees around the average, distorting evaluations.

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Leniency or Strictness

The tendency to rate all subordinates too high or too low.

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Recency Effects

Recent performances overshadowing evaluations of longer-term performance history.

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Appraisal Interview

A meeting where appraisals are reviewed and action plans are developed.

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Satisfactory-Promotable Interview

An appraisal meeting focused on developing specific plans for employee strengths.

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Satisfactory-Not Promotable Interview

A meeting with a focus on maintaining satisfactory performance.

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Unsatisfactory-Correctable Interview

Discussing an action plan to improve poor performance.

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Unsatisfactory-Uncorrectable Interview

A tense appraisal focused on potential dismissal due to poor performance.

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Coaching Skills

Essential skills for effectively communicating during appraisal interviews.

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Criticizing a Subordinate

Providing critical feedback while maintaining the employee's dignity.

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Written Warnings

Formal notices to employees with very weak performance, outlining standards and deficiencies.

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Goal Achievement

Setting achievable outcomes that lead to organizational success.

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Improvement Potential

Assessing and planning for an employee's future growth and career development.

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Recognition and Rewards

Incentives provided to acknowledge and reinforce goal-directed performance.

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Direction Sharing

Communicating company goals to employees at every level.

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Ongoing Feedback

Continuous feedback helping employees track their progress toward goals.

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Coaching and Development Support

Guidance provided to employees during the feedback process.

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Employee Retention

Maintaining staff by evaluating and improving performance through appraisals.

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Training Needs Identification

Recognizing areas where employees require further training and development.

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Behavioral Criteria

Desired behaviors that are evaluated to promote effective performance.

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Competency-Based Appraisals

Evaluations that focus on specific competencies related to job performance.

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Employee Career Plans

Plans developed to align employee strengths and career aspirations.

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Performance Review

A systematic evaluation of an employee’s performance against set standards.

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Developmental Feedback

Feedback aimed at helping employees grow and improve in their roles.

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Interpersonal Skills Evaluation

Assessing an employee's skills in interacting effectively with others.