Performance appraisals are one way that organizations assess employees performance. This is a great tool when used properly. Performance appraisals are subjective and is typically assessed through a manager’s bias. So if a manager likes their employees, a good rating will be received, however for any reason an manager does not like their employee, an employee can be put under “performance probation”. This can give grounds of termination if employees, according to their manager, is not performing well.
I found an interesting article from the Harvard Business Review, “Most HR Data Is Bad Data” (Harvard Business Review, Feb 9, 2015) It looks performance appraisals and how poorly it is being used for determining employees performance.