What is the difference between an appraisal and a performance management review process?

An Appraisal Meeting/Appraisal Process: It’s a formal and informal process which enables the employee and employer to evaluate the employee’s work usually over a 12-month period.  The manager and employee complete forms and a meeting is held, with actions as the outcome.

It’s also known as an ‘oldskool’ term for reviewing an individual’s performance, as it isn’t as supportive as a performance management process. It was used as a tool to monitor employees for who deserves a salary increase, bonus or promotion. It reviews the individuals performance in the past (ie the last 12 months).

A Performance Management Review Meeting/Performance Management Process: This process is more of a modern method of reviewing an individual’s performance, through identifying, measuring, managing and developing the performance of the workforce. Performance management does the same as an appraisal process, but takes it up by several notches. It enables managers to actually align the employee’s performance with the goals, vision, mission, objectives and strategies of the business. Performance management takes past information more regularly (every 3/6/9/12 months) and uses it to evaluation its relationship to what is important to the organisation as a whole. Some organisations have designed performance management frameworks to help guide the employee and managers on the process.

If you would like to know how either of these options can benefit your employees and your organisation, please get in touch: Tania De Bruler, Tel: 01905 317537, Email: