How do performance evaluations primarily function?

Performance evaluations primarily function by focusing on observed past performance. This approach enables organizations to review how effectively an individual has completed their responsibilities and tasks during a specific period. By evaluating the tangible outcomes of an individual's actions and behaviors, performance evaluations provide a structured method to document achievements, challenges, and overall contributions to the team or organization.

This focus on past performance is crucial because it helps identify strengths and areas for improvement, providing a basis for personal development and training needs. It also enables leaders and managers to recognize high performers and to make informed decisions regarding promotions, assignments, and other personnel actions.

While assessing future potential, focusing on future goals, and including peer assessments can play important roles in comprehensive performance reviews, they do not serve as the primary function of performance evaluations. The core aim remains centered on evaluating what has already occurred, which can then inform future decisions and developments.