{"id":577,"date":"2018-06-02T12:25:43","date_gmt":"2018-06-02T10:25:43","guid":{"rendered":"https:\/\/sage-new-clone.local\/en-za\/blog\/?p=462"},"modified":"2026-02-04T18:08:40","modified_gmt":"2026-02-04T16:08:40","slug":"guide-to-performance-appraisals","status":"publish","type":"post","link":"https:\/\/www.sage.com\/en-za\/blog\/guide-to-performance-appraisals\/","title":{"rendered":"A guide to performance appraisals"},"content":{"rendered":"<header class=\"entry-header has-dark-background-color entry-header--has-illustration entry-header--has-illustration--generic\">\n\t<div class=\"container\">\n\t\t<div class=\"entry-header__row row align-center\">\n\t\t\t<div class=\"col col-lg-7 col-xlg-6 entry-header__content\">\n\t\t\t\t\t\t\t<div class=\"component component-single-header\">\n\t\t\t\t\t\t\t\t\t\t<div class=\"entry-header__misc text--subtitle text--uppercase text--small\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-za\/blog\/category\/people-leadership\/\" class=\"entry-header__link\">People &amp; Leadership<\/a>\t\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t<div class=\"entry-title-wrapper\">\n\t\t\t\t\t<h1 class=\"entry-title\">\n\t\t\t\t\t\tA guide to performance appraisals\t\t\t\t\t<\/h1>\n\t\t\t\t<\/div>\n\n\t\t\t\t\t\t\t\t\t<p class=\"entry-header__description\">\n\t\t\t\t\t\t\t\t\t\t\t<\/p>\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t<\/div>\n\t<div class=\"single-post-details container\">\n\t\t<div class=\"col\">\n\t\t\t<span class=\"posted-on \"><time class=\"entry-date published\" datetime=\"2018-06-02T12:25:43+02:00\">June 2, 2018<\/time><\/span><span class=\"reading-time\"> min read<\/span>\n\t\t<button\n\t\t\ttype=\"button\"\n\t\t\tclass=\"social-share-button button button--icon button--secondary js-social-share-button\"\n\t\t\tdata-share-title=\"A guide to performance appraisals\"\n\t\t\tdata-share-url=\"https:\/\/www.sage.com\/en-za\/blog\/guide-to-performance-appraisals\/\"\n\t\t\tdata-share-text=\"Please read this interesting article\"\n\t\t>\n\t\t\t<span class=\"social-share-button__share-label\">Share<\/span>\n\t\t\t<span class=\"social-share-button__copy-label\" hidden>Copy Link<\/span>\n\t\t\t<span class=\"social-share-button__copy-tooltip\" aria-hidden=\"true\" hidden>Copied<\/span>\n\t\t<\/button>\n\n\t\t\t\t<\/div>\n\t<\/div>\n<\/header>\n\n\n\n<div class=\"wp-block-post-author has-dark-background-color alignfull\">\n\t<div class=\"container\">\n\t\t<div class=\"col\">\n\t\t\t\t\t\t\t<div class=\"co-authors\">\n\t\t\t\t\t\n\t\t<div class=\"entry-author-wrapper\">\n\t\t\t<a class=\"entry-author\" href=\"https:\/\/www.sage.com\/en-za\/blog\/author\/ashleyhindsmansage\/\">\n\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"40\" height=\"40\" src=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2025\/02\/Ashley-Thompson-350x350.jpg\" class=\"entry-author__image\" alt=\"Ashley Thompson\" srcset=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2025\/02\/Ashley-Thompson-350x350.jpg 350w, https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2025\/02\/Ashley-Thompson.jpg 600w\" sizes=\"auto, (max-width: 40px) 100vw, 40px\" \/>\t\t\t\t<span class=\"entry-author__name\">Ashley Thompson<\/span>\n\t\t\t<\/a>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t<\/div>\n<\/div>\n\n\n\n<p><span style=\"text-align: justify;\">Whether you own a start-up or an established small business, at some point, you&#8217;ll need to formalise your HR functions. You can do this by introducing an \u2018on-boarding\u2019 process for new hires to immerse them in your business. You can also get the most out of your staff with performance appraisals.<\/span><\/p>\n\n\n\n<p>This guide looks at how regular appraisals helps you to manage your staff\u2019s performance and keep them motivated.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-what-is-a-performance-appraisal\">What is a performance appraisal?<\/h2>\n\n\n\n<p>A performance appraisal \u2013 also known as performance evaluation or performance review \u2013 is a meeting between an employee and manager to discuss the employee\u2019s performance. Businesses usually have performance meetings every quarter or once a year. Managers and employees provide feedback, set targets for improvement, and negotiate pay rises.<\/p>\n\n\n\n<p>A performance appraisal is valuable because it sets aside time to discuss individual employees\u2019 work. Without regular performance evaluations, this might only happen occasionally (if at all).<\/p>\n\n\n\n<p>The appraisal method you use depends on your business size, industry, and culture.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-performance-appraisal-methods\">Performance appraisal methods<\/h2>\n\n\n\n<p>Appraisals vary from one business to another and depend on the employee\u2019s job. For example, someone working in retail might be evaluated on how they interact with customers. And a B2B salesperson might be assessed on their sales figures.<\/p>\n\n\n\n<p>Common appraisal methods include:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Employee evaluation form<\/li>\n<\/ul>\n\n\n\n<p>An employee evaluation form is a document that HR sends to the employee before their performance appraisal. The employee then answers specific questions about their performance and sends the form to their line manager. During the appraisal meeting, the form serves as a guide when discussing the employee\u2019s progress. Most companies use employee evaluation forms during appraisals.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Meetings and catch-ups<\/li>\n<\/ul>\n\n\n\n<p>For a less formal approach, you might choose to have more casual meetings every few months to discuss progress or issues. This is common in smaller companies where staff work closely together.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Rating scales<\/li>\n<\/ul>\n\n\n\n<p>With rating scales, employees and managers work through a predefined list of activities and rank the employee\u2019s&nbsp;performance against each metric. This is common in larger companies that want data on general performance across the business.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Ranking against objectives<\/li>\n<\/ul>\n\n\n\n<p>Objective-based appraisals involve setting targets at the beginning of each year or quarter, and then deciding if the employee has achieved these goals during the appraisal meeting. This method can be used in almost any organisation.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>360-degree feedback<\/li>\n<\/ul>\n\n\n\n<p>When a business seeks 360-degree feedback on an employee, they get comments from the manager, colleagues, and customers to get a bigger picture of performance.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-what-to-include-on-a-performance-appraisal-form\">What to include on a performance appraisal form<\/h2>\n\n\n\n<p>This depends on your employees and how you work. Here\u2019s an example of the type of questions to include:<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li>Achievement questions<\/li>\n<\/ol>\n\n\n\n<p><strong>Example:<\/strong>&nbsp;\u201cList your most significant achievements since your last appraisal.\u201d<\/p>\n\n\n\n<p><strong>Purpose:<\/strong>&nbsp;This gets the employee to reflect on their successes and gives them a chance to highlight the value that they believe they bring to the company.<\/p>\n\n\n\n<ol start=\"2\" class=\"wp-block-list\">\n<li>Professional development questions<\/li>\n<\/ol>\n\n\n\n<p><strong>Example:<\/strong>&nbsp;\u201cWhat are your goals, and how can the organisation help you to reach them?\u201d<\/p>\n\n\n\n<p><strong>Purpose:&nbsp;<\/strong>This kind of question frames the interview in a positive way, so the employee can focus on improvement.<\/p>\n\n\n\n<ol start=\"3\" class=\"wp-block-list\">\n<li>Issues and problems questions<\/li>\n<\/ol>\n\n\n\n<p><strong>Example:<\/strong>&nbsp;\u201cDescribe anything that you feel unhappy about in the workplace.\u201d<\/p>\n\n\n\n<p><strong>Purpose:<\/strong>&nbsp;This allows the employee to report any personal problems or discuss issues like bullying or poor conditions.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-appraisal-form-samples\">Appraisal form samples<\/h2>\n\n\n\n<p>Evaluation scales rank progress quantitatively. This gives you data to understand how staff are performing across the business, by asking employees to rate how strongly they agree or disagree with statements like:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Do you agree that you are paid fairly for your work?<\/li>\n<\/ul>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><tbody><tr><td class=\"has-text-align-left\" data-align=\"left\" colspan=\"2\"><strong>Completely agree&nbsp;<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\"><strong>&nbsp;<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\" colspan=\"2\"><strong>Completely disagree<\/strong><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\" colspan=\"2\"><\/td><td class=\"has-text-align-left\" data-align=\"left\"><\/td><td class=\"has-text-align-left\" data-align=\"left\" colspan=\"2\"><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">1<\/td><td class=\"has-text-align-left\" data-align=\"left\">&nbsp;2<\/td><td class=\"has-text-align-left\" data-align=\"left\">3<\/td><td class=\"has-text-align-left\" data-align=\"left\">4<\/td><td class=\"has-text-align-left\" data-align=\"left\">5<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Do you receive enough support from your manager?<\/li>\n<\/ul>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><tbody><tr><td class=\"has-text-align-left\" data-align=\"left\" colspan=\"2\"><strong>Completely agree&nbsp;<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\"><strong>&nbsp;<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\" colspan=\"2\"><strong>Completely disagree<\/strong><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\" colspan=\"2\"><\/td><td class=\"has-text-align-left\" data-align=\"left\"><\/td><td class=\"has-text-align-left\" data-align=\"left\" colspan=\"2\"><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">1<\/td><td class=\"has-text-align-left\" data-align=\"left\">&nbsp;2<\/td><td class=\"has-text-align-left\" data-align=\"left\">3<\/td><td class=\"has-text-align-left\" data-align=\"left\">4<\/td><td class=\"has-text-align-left\" data-align=\"left\">5<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Is your work challenging enough?<\/li>\n<\/ul>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><tbody><tr><td class=\"has-text-align-left\" data-align=\"left\" colspan=\"2\"><strong>Completely agree<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\"><\/td><td class=\"has-text-align-left\" data-align=\"left\" colspan=\"2\"><strong>Completely disagree<\/strong><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\" colspan=\"2\"><\/td><td class=\"has-text-align-left\" data-align=\"left\"><\/td><td class=\"has-text-align-left\" data-align=\"left\" colspan=\"2\"><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">1<\/td><td class=\"has-text-align-left\" data-align=\"left\">&nbsp;2<\/td><td class=\"has-text-align-left\" data-align=\"left\">3<\/td><td class=\"has-text-align-left\" data-align=\"left\">4<\/td><td class=\"has-text-align-left\" data-align=\"left\">5<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>In larger businesses, this kind of quantitative information can tell you if a team has morale issues, for example. You can then investigate and resolve underlying issues.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-performance-appraisal-process\">Performance appraisal process<\/h2>\n\n\n\n<p>An employee review covers similar questions to the ones included in an appraisal form. This example shows the typical information an organisation might include:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Introduction and purpose<\/strong><\/li>\n<\/ul>\n\n\n\n<p>Explain why you are carrying out the performance review.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Points on general behaviour and performance<\/strong><\/li>\n<\/ul>\n\n\n\n<p>Discuss issues around punctuality, attendance, compliance, and attitude.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Job-specific discussion<\/strong><\/li>\n<\/ul>\n\n\n\n<p>Talk about how well the employee is performing in their specific role.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Year-on-year comparison<\/strong><\/li>\n<\/ul>\n\n\n\n<p>Discuss how well the employee is doing in comparison with previous years.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Goals and targets<\/strong><\/li>\n<\/ul>\n\n\n\n<p>Discuss whether they have achieved objectives set in the past, and set goals for the future.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-performance-management-for-any-organisation\">Performance management for any organisation<\/h2>\n\n\n\n<p>There are many benefits for organisations that set up employee performance management procedures. Employees are supported, issues get discussed and resolved, and new targets are set. This helps employees to flourish and improves collaboration across the organisation.<\/p>\n\n\n\n<p>Sage offers\u00a0<a href=\"https:\/\/www.sage.com\/en-za\/sage-business-cloud\/sage-x3\/\">Enterprise Management HR solutions<\/a>\u00a0that allow you to manage and track staff progress and skills, so you can maximise performance while saving time.<\/p>\n\n\n\n<div class=\"single-cta\">\n\t<div class=\"single-cta__positioner\">\n\t\t<div class=\"single-cta__wrapper has-dark-background-color\">\n\t\t\t<div class=\"single-cta__content\">\n\t\t\t\t\t\t\t\t<h2 class=\"single-cta__title h3\">Move beyond ERP with Sage X3<\/h2>\n\n\t\t\t\t\t\t\t\t\t<div class=\"single-cta__description\">\n\t\t\t\t\t\t<p>Take control of your entire business.<\/p>\n<p>From supply chain to sales with Sage Business Cloud X3. Software for established businesses looking for greater efficiency, flexibility, and insight.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t<a\n\t\t\t\t\t\thref=\"https:\/\/www.sage.com\/en-za\/sage-business-cloud\/sage-x3\/\"\n\t\t\t\t\t\tclass=\"single-cta__button button button--primary\"\n\t\t\t\t\t\t\t\t\t\t\t\t\tid=\"cta-id-621\"\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\tdata-button-location=\"cta_box\"\n\t\t\t\t\t\t\t\t\t\t\t>Watch Now<\/a>\n\t\t\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<img decoding=\"async\" width=\"1064\" height=\"810\" src=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2019\/07\/resize-1675x1275-44-1064x810.jpg\" class=\"single-cta__image\" alt=\"Woman in audience raising her hand\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2019\/07\/resize-1675x1275-44-1064x810.jpg 1064w\" sizes=\"auto, (min-width: 48em) 33vw, 100vw\" \/>\t\t\t<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>\t\t\t\tPerformance appraisals help your employees become more engaged and allow you to retain the best staff. This guide helps you to introduce an efficient process for managing staff performance in your business.\t\t<\/p>\n","protected":false},"author":281,"featured_media":511,"menu_order":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_sage_video":false,"post_featured_image_hide":false,"footnotes":""},"categories":[42,26],"tags":[166,319],"business_type":[2,3],"lilypad":[],"context":[],"industry":[],"persona":[14,16],"imagine_tag":[57,99],"coauthors":[414],"class_list":["post-577","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-managing-people","category-people-leadership","tag-business-management","tag-coaching","business_type-small-business","business_type-medium-business"],"sage_meta":{"region":"en-za","author_name":"Ashley Thompson","featured_image":"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2019\/04\/GettyImages-829822132.jpg","imagine_tags":{"57":"HR and Payroll","99":"HR software"}},"distributor_meta":false,"distributor_terms":false,"distributor_media":false,"distributor_original_site_name":"Sage Advice South Africa","distributor_original_site_url":"https:\/\/www.sage.com\/en-za\/blog","push-errors":false,"_links":{"self":[{"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/posts\/577","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/users\/281"}],"replies":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/comments?post=577"}],"version-history":[{"count":0,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/posts\/577\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/media\/511"}],"wp:attachment":[{"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/media?parent=577"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/categories?post=577"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/tags?post=577"},{"taxonomy":"business_type","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/business_type?post=577"},{"taxonomy":"lilypad","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/lilypad?post=577"},{"taxonomy":"context","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/context?post=577"},{"taxonomy":"industry","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/industry?post=577"},{"taxonomy":"persona","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/persona?post=577"},{"taxonomy":"imagine_tag","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/imagine_tag?post=577"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/coauthors?post=577"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}