Page 606 - Encyclopedia of Business and Finance

eobf_P 7/5/06 3:18 PM Page 583

Performance Appraisal

performs other duties relating to patents. Examiners with PERFORMANCE
the office review patent applications to determine if the APPRAISAL
applicants are entitled to patents under the law. If the
inventor is so entitled, the Patent Office approves and Performance appraisal (PA) is one of the important com-
issues the patent. Further, the Patent Office publishes not ponents in the rational and systemic process of human
only a list of issued patents but also various other informa- resource management. The information obtained through
tion concerning patents as well as records of assignments performance appraisal provides foundations for recruiting
of patents. The U.S. Patent Office has no jurisdiction over and selecting new hires, training and development of
questions of infringement and the enforcement of patents. existing staff, and motivating and maintaining a quality
work force by adequately and properly rewarding their
The major purpose of the U.S. Patent Office as an
agency of the U.S. Department of Commerce is to grant performance. Without a reliable performance appraisal
patents for the protection of inventions and to register system, a human resource management system falls apart,
trademarks. Further, the Patent Office advises the Depart- resulting in the total waste of the valuable human assets a
ment of Commerce and other governmental agencies con- company has.
cerning intellectual property—patents, trademarks, and There are two primary purposes of performance
so on—as well as assisting inventors and businesses in appraisal: evaluative and developmental. The evaluative
matters concerning their inventions and corporate prod- purpose is intended to inform people of their performance
ucts. In essence, the United States Patent Office encour- standing. The collected performance data are frequently
ages the scientific and technical advancement of the used to reward high performance and to punish poor per-
country. formance. The developmental purpose is intended to
identify problems in employees performing the assigned
For further information see the United States Patent
and Trademark Office website, http://www.uspto.gov/. task. The collected performance data are used to provide
necessary skill training or professional development.
The purpose of the performance appraisal must be
Randy L. Joyner clearly communicated both to raters and ratees, because
their reactions to the appraisal process are significantly
different depending on the intended purpose. Failure to
inform about the purpose or misleading information
PEER REVIEW about the purpose may result in inaccurate and biased
SEE Performance Appraisal; Performance Audits appraisal reports.

CRITICAL CRITERIA OF
DEVELOPING A PA SYSTEM
PENETRATION PRICING In order for performance appraisal information to be use-
SEE Marketing; Marketing Mix; Pricing ful, the PA system must be able to consistently produce

Partial graphic rating scale

Instructions: Carefully review employee's work performance during the period indicated above and write in the space an appropriate rating as described below.

1. Unsatisfactory. Performance outcomes are generally unacceptable.
2. Needs Improvement. Performance is deficient in certain areas and improvement is necessary.
3. Average. Performance results consistently meet requirements.
4. Good. Performance outcomes frequently exceed requirements.
5. Excellent. Performance outcomes consistently exceed requirements. Performance is of high quality in every aspect.
Evaluation Factors:
_____ 1. Quantity of work: Considering the volume of work achieved, is he/she at the acceptable level?
_____ 2. Quality of work: Considering accuracy, precision, completeness, and other quality of work, is he/she at the
acceptable level?
_____ 3. Job knowledge: Does he/she have adequate skills and knowledge to perform the job?

Figure 1

ENCYCLOPEDIA OF BUSINESS AND FINANCE, SECOND EDITION 583