Understanding the Appraisal System
Is it a balanced scorecard, a rating system, or just a forced distribution? Superiors appraise the appraisee most of the time, but that wouldn't help in gaining a good understanding of the system.
Method of the Appraisal System
What is the method of the appraisal system your company is following? What are the implications that the system is facing? What's the credibility of the whole appraisal system? Is the appraisal viewed as a normal functioning organ of the HR department or a developmental tool for the employee and the organization as a whole? These are the questions you will have to clarify to establish a good appraisal system for the organization.
Appraisal as a Developmental Tool
Last but not least, your appraisal should not be a measuring tool for employee performance; rather, it should be a developmental tool that analyzes whether the employee is contributing towards the department's goals. Whether their goals and organizational goals are in alignment. Help the employee grow in their weaker areas and contribute to the organization's growth. No one likes to be judged; it's human nature. Your appraisal system should help the employees judge themselves, take responsibility for their goals, and feel ownership of their performance.