Public sector performance appraisal effectiveness: A case study

Performance appraisal usage is expanding in public sector organizations across the U.S. Organizations employ the formal appraisal process with the belief that it provides them with a host of potential human resource benefits. In this study, 254 members of a large public sector organization were surveyed to assess the degree to which the organization's formal performance appraisal system was perceived as being effective in serving functions typically associated with the appraisal process. In addition, differences in manager/subordinate perceptions were analyzed and suggestions for improving the appraisal process were solicited. This research demonstrates that a properly developed appraisal process can serve both managers and subordinates in a number of important areas. At the same time, several critical functions of the appraisal process were found to be less than effective. A discussion of the implications of these findings to both academics and practitioners is included.