Performance evaluation and organizational effectiveness - OB

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One essential component of asuccessful appraisal system is the existence of clear and well communicatedgoals. Without an understood standard, the evaluation has little meaning. Thereis a great deal of evidence stating that particiation is an important part ofimplementing an appraisal system. When people feel that they have participatedin setting goals and establishing guidelines, they appear less resistant to thechanges such systems inevitably produce.

Orgnisational effectiveness isgenerally associated with goal accomplishment. Although this is an accuratemethod of examining effectiveness, problems arise when we rely completely on thegoal approach. Reality is, in most cases, too complex to expect an organisationto proceed directly from the accomplishment of one goal to another.

Amore realistic approach is the systems model which considers numeroussubsystems and elements. The chapter attempts to look at selectedorganizational outputs. The first is effective performance and second isorganisational effectiveness defined in a specific manner.