Systems are required to observe and collect data, cue and measure observations, and then interpret behavior. Managers regard handling disciplinary problems and criticizing subordinates' performances as the most stressful aspects of their work. Evaluating an employee's performance at an annual meeting is one of the tasks managers most dread. Despite this, many studies have confirmed that effective performance reviews and appraisals strengthen managers' communications with employees and can facilitate their growth. In turn, these improvements strengthen motivation and productivity.
Most organizations do claim they systematically appraise performances.
All these findings suggest that managers and their subordinates feel a number of conflicts within performance appraisal activities. Finally, we are painfully reluctant to deal with criticism that impacts on self-esteem. Mission statements, through which organizations express their values, bear witness to the importance of such sensitivities. They usually not only articulate the organization's quest for excellence but also affirm each employee's importance in pursuing it. One of the most powerful ways to carry out such missions would surely be establishing an appraisal process that genuinely respects employee dignity.