Potential Appraisal and Performance Appraisal

Potential Appraisal

• Assessment of unutilized capabilities.
• Assessment is done before the job is done.
• The objective is to decide future job assignments.
• Basis of assessment are personality traits, experience, aptitude, ambition, etc

Performance Appraisal

• Assessment of performance on the job.
• Assessment is done after the job is done.
• The objective is to decide incentive pay, promotion, training need, etc.
• Basis of assessment are the quantity and quality of work done.