Study On The Performance Appraisal Scheme Of YK Company

As one of the most important functions in moderm human resources management,performance appraisal plays an important role in the survival and development of enterprises.Performance appraisal is not only the basis for employees' promotion or adjustment but also the evaluation criteria of salary increasing or decreasing.Moreover,performance appraisal is an important instrument to improve the individual and the whole enterprise's performance.However,in reality,some performance appraisal schemes benefit the development of enterprises through inspiring the potential of staffs,while some discourage the stafifs9 initiative thereby leading to the decrease of enterprise performance even decline of the whole enterprise.Well,how should the performance appraisal scheme be designed to be beneficial to the enterprise?According to the Corporate Lifespan theory,an enterprise will go through initial,growing,mature and declining stages.And,the enterprise shows obvious variation aiming at the changes of internal and external environment in different developing stages,which leads to enterprise adjust its strategic targets with developing stages continuously.In order to achieve various strategic targets,the enterprise's performance appraisal scheme is supposed to be modified and improved constantly.Naturally,establishing a suitable and reasonable performance appraisal scheme to realize the strategic targets and enhance the comprehensive competitiveness is the vital and urgent problem for the enterprise's managers.The paper selected representative YK company in the Lighting industry as the research object and investigated how the YK company's performance appraisal system changed along with the development of enterprise with the methods of literature analysis(like company archives,meeting records),questionnaire survey and so on.-This paper found that the YK Company applied different theories and tools of performance appraisal in different stages and designed corresponding performance appraisal scheme.During the initial stage,the YK Company adopted to a simple,fast and effective“Management by Objective(MBO),' method and special incentive methods f'or survival.Then,in the period of growth,the YK introduced the method of "Key Performance Indicator(KPI)" to make performance appraisal scheme for further development.At last,in the period of mature,for the sake of stabilization,the YK utilized "Balanced Score Card(BSC)" to design performance appraisal scheme from four dimensions including finance,customer,internal operation and learning and growth.This research result shows that the performance appraisal scheme of an enterprise is not unchanged,but changes with the different stages of the company's development.This change is due to the different strategies of the company at different stages of development,so the performance appraisal scheme needs to be adjusted accordingly to adapt to the changes of the company's strategy.Enterprises need to analyze the problems according to the characteristics of different periods,continuously absorb advanced management ideas and assessment methods,and formulate appropriate performance appraisal scheme to achieve the enterprise's strategy for a stable and healthy development.