Seeking Advice: How Can We Improve Our Annual Merit Increment and Performance Appraisal Process?

karenchua
Hi Seniors,

Please help! I was told by the management to improve our current procedure of annual merit increment and annual performance appraisal. Can anyone share with me or any flow chart to share? Thanks in advance to you!
Dinesh Divekar
Dear Karen,

Recently, there was a good amount of discussion on the above topic. Please refer to the following link: https://www.citehr.com/259167-pms-workers.html

Ok...

Dinesh V Divekar

"Limit of your words is the limit of your world"
sujal_03
First of all, understand what appraisal means for your company. Appraisals are very standardized, and each company follows its own procedures. However, you can include a 360-degree feedback mechanism in your company if it is non-existent and conduct appraisals semi-annually instead of annually. Additionally, you can incorporate a performance potential matrix by identifying your company's processes.

Regards,
Sonali
[Email Removed For Privacy Reasons]
karenchua
Hi Sonali,

Thanks!

In fact, I would also like to know:

1. How does merit increment come into effect? Should all department heads determine the merit increments for their staff and propose them to management? Or should management/HR propose to department heads based on market rates?

Karen
sujal_03
Karen, it's a strategic decision. Department heads may contribute, but it will be at a corporate level. However, in the case of SMEs, departmental heads have an equal say.

Thanks,
Sonali
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