Improving Employee Performance Appraisal Method through Web-Based Appraisal Support System: System Development from the Study on Thai Companies

Employee performance appraisal is an effective way to determine the performance of the employees in an organization. A study conducted on companies in Thailand revealed that majority of the companies do not use computer-based employee appraisal system. In the traditional appraisal system, the paper-based appraisal system causes a lot of manual work, is time-consuming, not secure, not flexible, difficult to analyze the performance and see the trend of performance improvement of the employee. We have developed a web-based performance appraisal system, which provides a secure and easy way to perform the appraisal. In our system, the competencies are flexible and can be customized according to the specific job responsibility. Our system is goal-orientated as it calculates the objective scores. The system is connected to the database which is easily accessible. The first stage of our system is the 'Selection Stage' in which the managers and employees can select the competencies and objectives that they want to evaluate for performance appraisal according to the job positions. The second stage is the 'Appraisal/Evaluation Stage' where managers can rate the employees according to different priority levels of competencies and objectives. Moreover, at this stage, employees can perform self-evaluation and 360-degree evaluation for their colleagues, subordinates and managers. The final stage is the 'Development Planning Stage' where the managers and employees can compare their appraisal results, discuss and plan for future training or further steps for reaching the objectives and improving employee's competencies. From user testing, the system was found to be more efficient compared to the traditional appraisal system in the issues like: help evaluate the true abilities of employees, help employees understand organizational goals, and provide fast and effective feedback. The users found the system easy to understand and use and were more satisfied with the overall effectiveness of the system.