Implementation And Optimization Of Performance Appraisal In DHC Company

With the continuous deepening of China's reform of economic system, private SMEs have exerted great influence on the rapid development of China's national economy. Industrial standardization of the performance appraisal system, as an innovation of the government's administration on SMEs, plays an important supplementary role in the improvement of an enterprise's performance, in the advancement of an enterprise's management, and in the establishment of a standard, coordinated, fair, transparent, clean and efficient performance appraisal system. There are already some studies on the performance appraisal of government-owned enterprises, but few studies focus on the performance appraisal of private SMEs.Performance appraisal constitutes an important part of the human resource management. It is a prerequisite of clear-cut division of labor, a basis of allocation of jobs, and a determinant of staff training and remuneration. It is also an important human resource management tool to motivate the staff to improve their performance, and to promote joint growth and development of the staff and the enterprise. It is an effective means of achieving a company's global strategic goals. An effective enterprise-oriented performance appraisal system not only fully arouses the enthusiasm of the staff and increases their work competence and comprehensive qualifications, but also gives a great support to the consistence growth of the enterprise.This thesis discuses the implementation and optimization of the performance appraisal system of DCH company, a private SME of auto maintenance. Combined with the theories of performance management, it probes into the problems in the implementation and reasons behind. It then proposes some effective measures of optimization. Based on the case study, the thesis concludes with some approaches to the optimization of SMEs' performance appraisal system. It holds that the implementation process of performance appraisal should be accompanied with consistent communication, and that it continuously deepens and develops in such a cycle as "implementation—feedback—optimization—reimplementation". Therefore, optimization is an important integral part of the implementation program of performance appraisal system.It is hoped that that this research could be a valuable case study and action plan for private SMEs to establish and optimize their performance appraisal system, and that it can provide a reference for other types of SMEs as well.