Juma Mohamed
Dear HR Professionals, I would appreciate if you have guidelines on how to audit a "performance appraisal system" to ascertain its relevance and effectiveness in an organisation
From Kenya, Mombasa
Dinesh Divekar
Business Mentor, Consultant And Trainer

Dinesh Divekar

Dear Juma Mohamed,

You may do the audit of the Performance Appraisal (PA) process on the following counts:

a) Whether the process is followed by all the departments or not
b) Whether the process is followed for all the levels or not
c) Whether the process has a defined periodic cycle and if yes, then is the timeline adhered to or not

You may do the audit of Performance Appraisal (PA) audit on the following counts:

d) Whether the costs and ratios associated with the business are assigned to the various HODs or not
e) Whether the performance parameters are relevant to the business or not
f) Whether the performance parameters are measurable or not (for all the levels and for all the departments)
g) What is the breakup of the performance score? Measure them percentage-wise on the following slabs: (i) 85% or above (ii) 75% to 85% (iii) 65% to 75% (iv) below 65%
h) What happens after the PA cycle? Has the performance of the employees improved because of the PA?
i) Are there disputes between a manager and a subordinate on the score? If yes, what is the percentage of disputes and how the disputes are handled?
j) Does the PA process fosters attrition in the company?
k) Has the organisation measured the satisfaction of the employees on the PA process? If yes, then what is the satisfaction percentage?

I hope the above questions are more than sufficient.


Dinesh Divekar

From India, Bangalore
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