Important Insights on Performance Appraisals

Source: The CPA Journal, A Publication of the New York State Society of CPAs

Employees who don't think management takes performance appraisals seriously are often turned off by the process. This can negatively affect morale. A survey of accountants found, among other things, that in general those who were reviewed more frequently were more satisfied. They were also more pleased when results were written. They were somewhat more interested in feedback on their technical skills as opposed to interpersonal, communication, and marketing skills. A significant percentage of respondents didn't believe performance appraisals had a big impact on their compensation or career progress.

Here are a few questions to ask about the effectiveness of your appraisal system:

• Do all jobs carry specific expectations?
• Are the appraisers trained in how to perform the appraisals?
• Are the appraisers objective?
• Does staff believe the appraisals are fair?
• Does the process result in an agreement between the employee and the supervisor on what needs to be improved and how?
• Are teamwork and initiative highly valued?
• Do you make sure that both the gathering of data and the conduct of the appraisals are done throughout the year, not one-time occurrences?
• Is the connection between appraisals and compensation/promotion clear to all staff?

For the complete article, click here and select the article Appraising Employee Performance Evaluation Systems.

From The CPA Journal, A Publication of the New York State Society of CPAs, February 2008.

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