Hi Madeeha! Definitely, performance appraisals (PA) have a positive effect on productivity. However, it's crucial that these appraisals are conducted effectively and are free from the negative connotations that have plagued them over the years. That's why in our system, we have transitioned to a Performance Management System (PMS) rather than relying solely on traditional PA activities. In our system, PA is only the second stage of a five-stage PMS program. I invite you to visit our site, HR-TOOLS, where a detailed discussion on PMS is ongoing.
Best wishes,
Ed Llarena, Jr.
Managing Partner
Emilla Consulting