What is the primary purpose of a performance appraisal?

The primary purpose of a performance appraisal is to evaluate employee performance and provide feedback. This process is essential in helping both employees and managers understand how well job duties are being performed and where improvements can be made. During a performance appraisal, managers assess various aspects of an employee's work, including productivity, quality, teamwork, and adherence to company values.

The feedback provided during this appraisal is crucial; it not only highlights strengths but also identifies areas for development, which can lead to professional growth for the employee. This facilitates a constructive dialogue between the employee and the manager, encouraging continuous improvement and aligning individual performance with organizational goals.

The other options, while relevant to various aspects of organizational management, do not capture the essence of what performance appraisals aim to achieve. For instance, promoting employee turnover does not align with the goal of assessing and improving performance. Similarly, while setting new job responsibilities can be a byproduct of discussions during appraisals, it is not the primary focus. Assessing market competition is an entirely different domain, unrelated to individual employee performance evaluations.