CHAPTER ONE
Introduction
Performance appraisal refers to a process, which studies and evaluated the job performance. Appraisal is an effective instrument in the human resources management, which if performance correctly and logically used, the organizations will achieve their interest (Rezghi Ros tami, 2000). The act of motivating the employees is in the heart of the organizations. Success in every organization depends upon the personnel motivation conducted by their directors (Abedinirad & Hazer, 1995).
Identifying the proficient employees and presenting them rewards (bonus) as a sign of motivation, in order to improve their performance are among the essential factors in performance appraisal (loker,1977).
KavussiShal (1999) believes that the appraisal system is a good instrument to improve the quality and quantity of the manpower’s performance. Nowadays, performance appraisal is considered as an important aspect in human resources management and a part of the control process in administration (KavussiShal, 1999). Planning the appraisal process is an important subject in the government’s official system which is annually conducted in the governmental organizations, spending a large amount of time and expenditures to reach the objectives like: manpower development, including improvements, promotions and assignments in managerial positions, persuasion and punishment, salary increase, personnel’s performance feedback and determining their educational needs. In order to reach the objectives of an organization, every person must have sufficient awareness of his/her position with such as awareness, the employees will detect the strong and weak points of their performance and behavior, so that they will probably resolve the problems and deficiencies and will turn them into more efficiency and effectiveness.
Therefore, appraisal can be considered as an important factor in identifying the people’s talents and capacities and its results can make them aware of advancements, plans and goals. An organization, itself, needs to detect the employees’ efficiency to improve the manpower’s status, for the purpose of increasing the volume of the production and services and making positive changes in its trend (KavussiShal, 1999). In spite of the permanent efforts in planning more effective system for performance appraisal, there is convincing evidence of the authority’s dissatisfaction of the appraisal methods (Fox, 1987).