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In General we do performance appraisal based on Core Competencies, Managerial Competencies & Functional Competencies score for the technical staff to Mid level staff(Main Method of Doing the PA or competency based method).
For Unskilled/ Semiskilled staff we do with Critical Incidents Report/Self assessment which is also called supplementary method.
For Top Management PA includes Objectives/ KPIs Based Evaluation along with the competency based evaluation.
Prformance should be evaluated by the way of working not by just completeing the given work in traditional way.
The best method to evaluate Performance appraisal is setting Up KPI's for half yearly and keep monitoring them. At the time of evaluation it will be feasible to get the accurate performance evluation based on this KPI's acheivement
Points system, where you set specific KPI's description, weight for each KPI, minimum, target and maximum, end of the year you record the actual achievement and this will give you points.
This starts with the SMART objectives you set for your team mebers, the key performance indicators will give you insight on how your employees or department performed during a given period.
Usually the best way for evaluation will be a combinations of KPI's, bhevioural competencies, and technical competencies.
you need to track the team performance during a given period of time to avoid any discrepancies during the evaluation period.
Tracking the objective and where you are in now will help you in finding the areas of strength or the areas where you need to be improved.
There is no best methods in conducting the evaluation as every company is different.
The best method to do that is using Key Performance Indicators KPIs
360 performance evaluation - Taking feedback from own manger or department head. In the same way taking feedback from rest of the company.
Example -Boss always give feeback on the other that employee should always be reviewed by other as how effectively he/she has worked with other/ rest of the company.
I belive 360 degree performance appraisal is the best method.
By using Result based managemt system. This where you evaluate the employee acording to his/her tageted goals or performance contracts