1. Guiding function: The guiding function of performance management is mainly reflected in the guiding function of performance indicators, that is, to define the goals for employees and guide their work.

2. Constraints: Some performance indicators will clearly tell employees what to do, whether their work meets the performance indicators, constrain employees' daily behavior and management norms, and work priorities and goals.

3. Cohesion: Once the performance indicators are determined, employees will use all kinds of resources and gather all available forces to achieve and complete performance goals, which can unite everyone in a common goal and direction.

4. Competition: The setting of performance indicators requires employees to strive to achieve their goals. The performance indicators clarify the direction and goals of employees' efforts, thus providing the goals and comparison standards for competition among employees, departments, enterprises and the outside world, so that employees can compete with each other to complete performance appraisal indicators.

5. Promote growth: The ultimate goal of performance appraisal is not to simply distribute benefits, but to promote the growth of enterprises and employees. Through assessment, we can find problems, improve problems, find gaps, promote progress and finally achieve a win-win situation. The application of performance appraisal focuses on the combination of salary and performance.

Salary and performance are two inseparable links in human resource management. When making salary, salary is generally divided into fixed salary and performance salary, which is reflected by performance, and employee's performance appraisal must also be reflected in salary, otherwise performance salary will lose its incentive function.

Extended data:

Principles of performance evaluation:

1, fairness principle: fairness is the premise of establishing and implementing the personnel performance appraisal system. If it is unfair, it will not play its due role in performance appraisal.

2. Strict principle: if the performance appraisal is not strict, it will become a mere formality. Poor performance appraisal can not only fully reflect the real situation of employees, but also have negative consequences. The strictness of performance appraisal includes: there must be clear appraisal standards; Have a serious assessment attitude; There should be a strict assessment system and scientific and strict procedures and methods.

3. Single-head evaluation principle: the evaluation of employees at all levels must be carried out by the "immediate superior" of the appraisee. The direct supervisor knows the actual work performance of the assessed best and is most likely to reflect the real situation.

The evaluation opinions made by the indirect superior (that is, the superior of the superior) to the direct superior shall not be modified without authorization. This does not rule out the adjustment and correction of the evaluation results by indirect superiors. Single-head evaluation clarifies the responsibility of evaluation, makes the evaluation system consistent with the organization and command system, and is more conducive to strengthening the command function of business organizations.

4. The principle of open results: the conclusion of performance appraisal should be made public to me, which is an important means to ensure the democracy of performance appraisal. In doing so, on the one hand, let candidates know their own advantages and disadvantages, and let those with good assessment results make persistent efforts to continue to advance;

It can also be that people with poor assessment results are convinced and motivated. On the other hand, it is also helpful to prevent prejudice and various errors that may occur in performance appraisal and ensure the fairness and rationality of the appraisal.

Baidu Encyclopedia-Performance Appraisal

Baidu Encyclopedia-Performance Appraisal Indicators