A performance appraisal (also known as a performance review, performance evaluation, career development discussion, or employee appraisal), is a periodic process where the job performance of an employee is documented and evaluated.
Performance appraisals are most often conducted by an employee's immediate manager or line manager. While extensively practiced, annual performance reviews have also been criticized as providing feedback too infrequently to be useful, and some critics argue that performance reviews in general do more harm than good. It is a principal-agent framework that describes the relationship of information between the employer and employee, in particular the direct effect and response received when a performance review is conducted.