Employee performance

Putting an effective performance management system in place is a key component in best employment practice. Clear, consistent communication and a constructive approach to employee development can bring out the best in organisations and individuals.

Managing performance can improve an organisation’s productivity and staff engagement. Effective performance management includes agreeing clear objectives and providing staff with regular, constructive feedback.


The purpose of appraisals is to:

  • give constructive feedback and praise staff for good work;
  • decide if objectives have been achieved and set new ones;
  • discuss and understand issues or problems; and
  • identify training or solutions that will allow the employee to achieve the objectives that have been set.

Appraisals may take place once or twice a year depending on the business.  New employees or those who have changed roles may have an appraisal within a few months of taking up the post to ensure they are settling in, managing their workload and that their objectives are clear.

For more information see our guide Managing the Performance of your Staff.

Managing performance issues

It is important that underperformance, or issues with performance are addressed as part of an overall performance management process.  

Failure to address poor performance can lower productivity and organisational effectiveness.  It can also cause resentment for those who are performing well. In some cases it can even increase the risks of accidents.  

For more information see our guide Advice on Managing Poor Performance.

Last updated: 22 May 2019