Your assignment is to prepare and submit a paper on what exactly are the consequences of performance appraisal in organisations and how does it contribute to organisational or individual performance. Additionally, the process provides the management with information that helps them to identify employee potentials.The organization can desire to affect the employee attitude by the results obtained by the employee through the evaluation cycle. The evaluation cycle provide the employee with clear performance SMART goals. The performance SMART goals are Specific, Measurable, Actionable, Realistic and Time-bound that the employee should work towards achieving. If the employee is performing well, the organization can reward such an employee by job promotion or increase in salary pay. If an employee performance is poor, the organization can choose to train the employee so that the employee can improve in performance (Kerwick 2013).After goal setting in performance appraisal, the supervisor and employee hold a self-appraisal meeting to discuss the employee’s performance so that they can identify potential goals for the upcoming appraisal period (Michelle, Douglas & John 2010). Based on the management, the employees perform their job and the supervisor should a keep note of the employee’s accomplishments and challenges. When a performance appraisal is carried out, a supervisor needs to show the employee how their performance affects the productivity of the organization. The employees should also understand how their performance affects the ability of others employees to do their jobs, and it helps put his job duties into an overall company context. This helps improve the notion of teamwork among the staff and can also encourage the cooperation to achieve corporate goals.After employee evaluation, employees with high scores become motivated and are likely to perform well and increase organizational productivity (Michelle et al 2010).An employee with a positive feedback makes himself feel like a worthy contributor in the organization hence encouraging them to perform better in the future.