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How to create a useful appraisal system

We'll help you build an appraisal system that works for you and your employees.

Appraisal Meeting

How does an appraisal system work?

Basically, it's a great way to give your employees clear goals and objectives. This means you'll track their performance, progress and career aspirations through regular discussions.

  • Employees will have clear goals and objectives that align with those of your business.
  • Managers or leaders will meet with employees to help set these goals. Then they'll put a path in place to achieve them.
  • Managers, leaders and employees will discuss any support the employee might need to achieve their goals. This could be support from their manager, changes to the work or workplace, or training.
  • Employees' progress will be monitored and discussed during mid-year or end-of-year reviews.

What benefits can an appraisal system bring your business?

  • It'll help identify development needs or opportunities.

  • You'll improve employee engagement.

  • Monitor your employees' progression and performance.

  • Increase morale among your workforce.

  • Appraisals help with workforce planning.

Key things to remember about your employees' goals and objectives

Their goals and objectives should:

  • be realistic yet ambitious
  • align with your business goals, objectives and values
  • be agreed by the employee and their manager
  • have a tangible end result

Get started with a template

Business Gateway has a free, simple template for performance appraisals.

Use the template

Want to learn more?

If you've not done it before, setting up an appraisal system can be tricky. Business Balls goes into detail about the different types of appraisals and has helpful templates and resources.

Check out Business Balls' support
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