Employee Performance Appraisal Systems: Effects On Communication Within Organizations

Abstract

In this study, 318 supervisors and staff members of a medium sized northwestern university responded to a questionnaire concerning their performance appraisal system and the effects it has on communication with their organization. Several key findings resulted. First, when staff members perceived their supervisors were providing valid, timely appraisals they felt there was more teamwork, information flow, and involvement in the organization than those employees that did not feel their appraisals were valid. Second, as supervisors believed performance appraisals were linked to important outcomes, staff members perceptions of appraisals rose. Finally, contrary to the literature, supervisors reported that when they conducted appraisals in a compliant manner performance appraisal discomfort decreased. This can be attributed to the lack of important outcomes being linked to the appraisals. In this university, 39% of the staff members reported they had not received their appraisals as required.