Dear Friend,
Let us start with basics!
HR is the philosophical orientation of the organization that believes and treats the people it employs as "Resource"!
It, therefore, presupposes that all its policies - business, operational, and functional - will recognize this principle, and all its decisions will reflect this. Once you accept this fundamental stance, you recast (if necessary) all people functions, from recruitment to separation, with this thought, and you will have in place an HR system.
Additionally, please appreciate the fact that a good Performance Appraisal System is the core strategy of a good HR plan. Instead of being a tool to decide "increments," as it were, it can add value to improving performance, superior-subordinate relationships, the logistics of work distribution, and contribute to transparency in people management within the organization.
Many things could be added on this query, but it would be easier for me to answer specific questions. So, if you need to ask questions, kindly respond to this email on the group and raise your points!
Samvedan
September 28, 2005