INTRODUCTION

The performance appraisal has been defined as any personnel decision that effect
s the status of employees regarding retention, termination, promotion, demotion,
transfer, salary increases or decreases, or admission into a training program.
1. For this study, performance appraisal has been confined to the formal perform
ance appraisal with the above definition appraisals have been cited to range fro
m official, prescribed meetings between an evaluator and evaluate observed work
activities and indicated his or her assessment with an informal comment.
2. The main emphasis of this study has been the use of performance appraisal as
a tool of employee development. One of the major problems with performance appra
isal has been the purposes which performance appraisal has been used. The study
has examined the use of performance appraisal as an instrument of appraisal whic
h could be related to the development of personnel. The study also examined the
use of performance appraisal for communicating expectations of both the organiza
tion and the employee. Benefits of communicating with each other were noted.
Almost every organization in one way or another goes through a periodic ritual,
formally or informally, known as performance appraisal. The formal performance a
ppraisal has been called a tool of management, a control process, an activity an
d a critical element in human resources allocation. Uses of performance appraisa
l have included equal employment opportunity considerations, promotions, transfe
r, and salary increases. Primarily performance appraisal has been considered an
overall system for controlling an organization. Performance appraisal has also b
een called an overall system for controlling an organization. Performance apprai
sal has also been called an audit function of an organization regarding the perf
ormance of individuals, groups and entire divisions.