Performance appraisal is an essential tool for businesses to ensure that employees are fulfilling their responsibilities and contributing to the greater goals of the organization. It’s a process of formal evaluation which assesses the performance of an individual over a given period of time, and aims to provide feedback on how well the employee has been carrying out their duties. Approaches to performance appraisal vary from company to company, but most involve a combination of self-evaluation and assessment by a supervisor or other senior manager. The output of this process generally informs decisions around salary increases, promotions, or disciplinary action. Performance appraisals can also be used as an opportunity to discuss career development and training needs.