Introduction – Performance Evaluation

Performance appraisal or merit rating is one of the oldest and most universal practices of management. It refers to all the formal procedures used in working organizations to evaluate the personalities and contributions used potential of group members. Modem management makes somewhat less use of the term ‘merit rating’ than what was common in earlier periods. The approach resulted in an appraisal system in which the employee’s merits like initiative, dependability, personality, etc were compared with others and ranked or rated.