What is a purpose of employee performance evaluations?

The primary purpose of employee performance evaluations is to provide feedback and determine reward allocations. Performance evaluations offer a structured opportunity for managers to assess an employee's work performance, provide constructive feedback, and recognize achievements. This process helps in identifying areas for improvement, setting goals, and aligning individual performance with organizational objectives. Furthermore, performance evaluations are essential for making informed decisions about promotions, bonuses, and other rewards, thereby reinforcing desired behaviors and motivating employees. This is supported by organizational behavior literature, which emphasizes the role of performance appraisals in human resource management (Dessler, 2020).