What Are Performance Appraisal Management Tools? How do they help?

What Are Performance Appraisal Management Tools? How do they help?

A true business always craves for best tool for an improved performance and effectiveness at management. Dedicated tools like performance management system can help you win streamlined process and appraisal for employees. 

Never be afraid of investing in such tools. But what exactly is performance appraisal management?

What is Performance Appraisal Management For Employees?

A performance appraisal management can be defined as any HR strategy of collecting reviews and feedbacks of an employee’s performance. This data/ feedback can be taken from colleagues, clients which the employee has served or attended and their manager. 

This practice helps in accurate performance appraisal management. But the process could be time-consuming and lengthy for the HR department. 

This is where the performance management tool comes into the picture. 

Employee Performance Appraisal System

An employee performance management tool is defined as any software that helps streamline activities involved in appraisal management of an employee at organisation. It makes the overall process very effective and brings transparency at feedbacks. 

It helps save time and efforts of HR. Capturing reviews and insightful data is no more far. 


How Does  Performance Appraisal Management Tool Help A Company And HR? Below Are Some Benefits Of Same:

  • Motivated workforce
  • Employee retention
  • Streamlined processes
  • Effective training management
  • Automated notifications

Motivated workforce

This is one of the biggest objectives of organisations – creating a motivated workforce. Without a motivated and performing employees and staff, a business cannot succeed. This software helps in identifying hard working employees and their performance over the time. 

Timely appraisals help in motivating workforce and keeping people dedicated towards better performance. This promotes rewarding performance at organisation. 

Employee retention

The employee appraisal management system helps in rewarding employees for their work and dedication. This motivates them for better learning thereafter and being productive at work. The strategy then engages staff in delivering better for future. 

Thus, employees stay focused and retention is achieved. The organisation experiences a better employee turnover figure. Additionally, it improves morale for employees and cuts hiring and HR costs. 

Streamlined processes

With an automated system, data and feedback is easily accessible. Overall process gets streamlined and cuts time consumption on data collection. This saves a huge deal of time and money for HR department. 

With on track activities and data at fingertips, HR management benefits the most and therefore business.

Effective training

While accurate evaluation of employee performance, HR manager can easily spot out the underperformer can provide right training session. This eventually makes the employee learning better. 

The traditional training process that includes more of assumption, needs to be prevented. Effective training made possible with performance management tool. 

Automated notifications

A traditional process lacking automated reminders and notifications may give a good reason to HR of missing out an important event. An automated HR solution helps you not miss any employee onboarding, appraisal, degree feedbacks, etc. 

This therefore, helps improve overall HR department performance and gives the required visibility to process.


In recent years, performance management system has benefited a huge list of companies. SMBs and performing companies have been seen investing in HR technology and why not?

It’s already 2020. Dedicated HR software like performance appraisal software and HRMS can be greatest picks of a business. 

Thanks for reading.

Happy employee management. Good luck!

Author bio

Ritik Singh writes about HR (Human Resource) software, cloud, and enterprise technology. A dynamic content writer who writes for Pocket HRMS, a leading provider of cloud-based HR software with inbuilt AI-powered HR Chatbot (smHRty) to small and mid-sized businesses across India.

Known for his amazing writing and technical blogging skills, Edward Thompson is the admin of the Techenger. Joined back in 2019, after moving from San Francisco to Chicago to switch from his role of staff writer to a guest blogger. Since then, he never looked back to his past. In nutshell, he is a tech enthusiast who loves to write, read, test, evaluate, and spread knowledge about the growing technology that surrounds mankind.

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