All organizations that have learned the art of “winning from within” by focusing inward on their employees rely on a systematic performance evaluation process to measure and evaluate employee performance regularly. Ideally, employees have graded annually on their work anniversaries based on which they are either promoted or given suitable distribution of salary raises.
Performance evaluation also directly provides periodic feedback to employees, such that they are more self-aware in terms of their performance metrics. In an increasingly competitive environment, when you want to attract and retain the best individual employees and high-performers, having an effective and fair job evaluation and grading system is crucial to underpin best practice reward policies and deliver pay-for-performance.