Many performance appraisal methods have been severely criticized. Many of
the problems commonly mentioned are not
inherent in the method but, rather,
reflect improper usage.
Lack of Objectivity: - A potential weakness of
traditional methods of performance
appraisal is that they lack objectivity.
Some subjectivity will always exist in
appraisal methods. However, the use of
job-related factors does increase
Halo Error:-Occurs when the evaluator perceives one
factor as being of paramount importance
and gives a good or bad overall rating
to an employee based on this factor.
Leniency/Strictness:-The giving of undeserved high or low
Central Tendency:-Occurs when employees are incorrectly
rated near the average or middle of the
Recent Behavior Bias:-It
is only natural to remember recent
behavior more clearly than actions from
the more distant past. However,
performance appraisals generally cover a
specified period of time, and an
individual’s performance should be
considered for the entire period.
Personal Bias:-Supervisors doing performance appraisals may
have biases related to their employees’
personal characteristics such as race,
religion, gender, disability, or age
Manipulating the Evaluation:-In
some instances, supervisors control
virtually every aspect of the appraisal
process and are therefore in a position
to manipulate the system.