This is a Free Hotel Management Training Tutorial on Performance Appraisal in Hotel Industry. According to wikipedia Performance Appraisal is

“A performance appraisal, employee appraisal, performance review, or (career) development discussion  is a method by which the job performance of an employee is evaluated (generally in terms of quality, quantity, cost, and time) typically by the corresponding manager or supervisor. A performance appraisal is a part of guiding and managing career development. It is the process of obtaining, analyzing, and recording information about the relative worth of an employee to the organization.“

The purpose of performance appraisal is to ascertain an individual’s present and future value to the organization. His present value is assessed by his past performance while his future value is determined by his present potential. A good appraisal would bring to light these two aspects. The main fear in handling performance appraisal is the element of subjectivity. In order to avoid subjectivity, the best approach would be to appraise performance and not personality. This would mean setting objectives and targets mutually at the beginning of a performance period and assessing whether they have been achieved at the end of it. Setting standards of performance is also implicit in the system; otherwise quality of performance will be overlooked.

If an appraise cannot achieve the stated objectives and targets, the appraisal system should encourage methods by which individual deficiencies can be met through training and development. Such a system is future-oriented and gives a correct picture as to what potential an individual shows in terms of performance. It also binds the superior and subordinate to act as a team to achieve targets. The actual appraisal becomes less difficult and as appraisal interview helps in bringing about a health exchange of ideas.

1. Set standards of performance.
2. Set objectives and targets in conjunction with subordinates. Objectives
   and targets should be realistic.
3. Review mid-way how a person is doing and tell him freely his shortcomings.
4. Approach the system as one that helps in developing an individual and
   not destroying his personality.
5. Set an appraisal interview in a relaxed atmosphere and open to free
   exchange of views.
6. Strictly concentrate on the subordinate’s performance and not his
   personality.
7. Give subordinates an opportunity to explain themselves.
8. Help the subordinate to identify his weaknesses and develop an action
   plan to overcome them.
9. Show the subordinate the path to future growth.

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