Are you doing it right? five main objectives of a performance evaluation

Performance appraisal is a systematic process for evaluating an employee’s performance. It is conducted to evaluate and maintain standards, to determine the extent to which employees are meeting the expectations and objective goals set by their managers, and as a means to improve organizational processes.

Two out of three employees would like to have more regular feedback, not just once a year. This blog will explain what the objectives of a performance appraisal are in a company so that you can replicate it within your organization.

Five goals for better performance in your company

Jose L. Menéndez

Objective 1: to evaluate an employee's performance

One of the primary objectives of performance appraisal is to measure an individual’s performance in relation to his or her goals, expectations and aspirations for self-improvement, as well as to gauge the broader objectives of the organization. For a performance appraisal to be effective, it is important that the objectives of the organization and the employee are aligned.


It is important that the performance evaluation is effective because it will not fulfill its purpose if the employee’s and the organization’s objectives are not aligned. You can use methodologies such as Objective Key Results (OKR), which allow you to evaluate the employee based on his or her objectives on a regular basis.

Objective 2: provide feedback

A performance appraisal seeks to promote a space for feedback to be shared, in order to develop talent and positive leadership and thus generate Champion Minds. This feedback should not only come from the employee, but also from those who work closely with the employee on a daily basis, such as colleagues and supervisors.

For feedback to be given effectively, it must be objective, specific, honest, respectful, and looking for ways to improve versus remaining in error. This feedback must come not only from the employee, but also from those who work closely with the employee on a daily basis. This objective data is designed to provide greater insight and understanding of strengths, feedback should be geared toward generating resilient minds and champions, and continuous improvement (Kaizen) as well as areas for improvement.

Finally, a feedback loop provides an opportunity for the employee and the leader to discuss the most important objectives and challenges in order to establish priorities and an action plan to achieve the company’s goals.

Objective 3: design a training plan

Once organizational objectives and employee performance have been identified through performance appraisal, we can identify opportunities to create a training plan to develop different employee competencies that are key to achieving the company’s objectives and goals.

Training plans can include individual coaching sessions, as well as group seminars on various topics related to work improvement, all aligned with the needs and expectations of managers/supervisors on how their team should improve.

The goal is not only to increase productivity, but above all to create an environment in which everyone feels confident enough to contribute their opinion and learn new things at the same time. In addition to soft skills training, the training plan can also include provisions to enhance the use of technological tools, such as Chvmpion Mind Technology, and improve industry knowledge.

Objective 4: Motivate work teams

Motivation and recognition of employee success is one of the main drivers of motivation according to Maslow’s hierarchy of needs. It can be a very powerful tool to motivate and inspire people, complementing salary improvements, training programs or promotions with other recognition tools such as certificates, award ceremonies, tributes, etc.

A good performance appraisal system can also include objective observations on how the employee is progressing in his or her work and the objectives achieved individually, as well as those of the work teams.
If you want to motivate your employees, start by recognizing them for their achievements and use objective feedback to help them grow and develop.

Objective 5: to assist in making decisions on compensation, compensation and promotions

To maintain a healthy organizational climate and retain the best employees, you can implement a results-based compensation plan and a career plan where every employee has the opportunity to develop within the organization. And a personal suggestion, also incentivize employee wellness. It is not enough to provide them with resources, because just as companies seek the incentive of continuous improvement, personal well-being should be among those incentives.

Performance appraisal allows us to obtain feedback from employees to create a performance plan that is objective, fair and equitable. In this way, objective performance criteria can be identified to help us set compensation and promotion levels.


The performance appraisal process is an integral part of any organization. Performance appraisals are a powerful tool for organizations to evaluate employee effectiveness and productivity, provide employees with feedback on their work, design training plans to help them improve in their jobs, motivate teams through positive reinforcement techniques, and help them make compensation decisions when it comes time to determine raises or promotions. If you’re looking for more information on how you can use this valuable business practice in your own workplace, we have some great resources here!

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