Explore the difference between performance reviews and performance appraisals. Learn what each process means, when to use them, and how African HR leaders can combine both to create a fair and engaging performance culture.
Marketing Lead
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What is the difference between a performance review and a performance appraisal?
In many organizations, people often use these terms as if they mean the same thing. HR may announce a review, but employees might expect an appraisal, which is usually the meeting where salary decisions are made.
This confusion can make conversations harder and reduce trust. This article explains the difference, shows when to use each, and offers practical advice for HR leaders and managers in African workplaces.
A performance review is a scheduled conversation between an employee and their manager that focuses on feedback, progress, and growth.
These reviews usually happen on a set schedule, like once a year, every quarter, or every month. They give employees and managers a chance to talk about accomplishments, strengths, areas to improve, and future goals.
A performance review “evaluates and discusses an employee’s job performance, accomplishments, strengths, areas for improvement and overall contributions”.
The discussion is two-way. Both the manager and employee share their thoughts, celebrate successes, discuss concerns, and set new goals together.
Today, reviews focus on giving feedback more often, rather than just once a year as with traditional appraisals.
Many organizations are shifting from yearly assessments to more frequent check-ins. Some companies even choose casual manager drop-ins and one-on-one meetings instead of formal reviews.
Reviews help employees understand what they do well and where they need support. They also build stronger relationships by linking personal goals to company objectives.
Purpose of a Review
The main goal of a review is to give feedback and coaching that helps employees grow. Reviews also help managers explain expectations, support development, and increase employee engagement.
A good review focuses on the future by setting goals, making expectations clear, and connecting work to the company’s mission.
Frequency and Format
Reviews might take place once a year, twice a year, or even every month. Many African startups hold quarterly reviews to keep feedback timely, while some larger organizations still use annual cycles.
The format of reviews can vary. Some companies use forms, while others prefer informal conversations. Tools like Talstack’s Performance Reviews module help managers collect feedback, track goals, and see progress in one place, so they do not have to rely on multiple spreadsheets or emails.
Employee Involvement
Modern performance reviews encourage employees to get involved. Employees fill out self-evaluations, share their achievements, and suggest goals for their own development.
Frequent reviews help employees see what they are doing well and where they can improve. This encourages them to take charge of their own development.
A performance appraisal is a formal, structured assessment that reviews past performance and helps decide pay, promotions, or whether someone stays with the company.
A performance appraisal is a systematic process used by organizations to “assess an employee’s job performance and provide feedback”. Unlike a review, which is often a conversation about the future, an appraisal measures performance against set standards.
Purpose of an Appraisal
The main purpose is to measure and decide an employee’s level of performance.
Appraisals use specific criteria to measure performance and help determine how well the employee is doing.
They help make decisions about pay, promotions, and sometimes whether an employee remains with the company.
In many traditional African organizations, the annual appraisal meeting is when pay raises and bonuses are decided.
Appraisals can also consider skills like commitment to company values, taking initiative, and being responsible.
Frequency and Format
Appraisals usually take place once or twice a year. They are formal, follow a set structure, are documented, and involve HR professionals.
Appraisals consider an employee’s value and commitment to the company. They measure things like attendance, efficiency, attitude, and behavior.
Since appraisals are formal, they often use rating scales or scoring systems.
Who Conducts Appraisals?
Managers may provide input, but HR usually designs and manages the appraisal process.
In many African organizations, HR uses the appraisal to decide on salary increases and promotions.
To make the difference clear, the table below summarizes the main differences between performance reviews and performance appraisals.
Focus vs. Process: A performance review looks ahead and focuses on what an employee can achieve next, not just what they have done before. An appraisal looks at past work without planning for future growth, while a review helps employees succeed going forward.
Application vs. Learning: Appraisals point out mistakes and discuss how an employee could have done better. Performance reviews focus on helping employees improve in the future. In short, appraisals tell employees what happened, while reviews help them learn and grow.
Occasional vs. Continuous: Appraisals take place once or twice a year. Reviews can happen every month or even every week. This regular schedule lets managers address issues quickly instead of waiting a whole year.
Holistic vs. Quantitative: Appraisals often use numbers and scores, while reviews combine numbers with personal feedback. For example, a review might consider how well an employee works with others or adapts to change, which cannot be measured by numbers alone.
Managers vs. HR: HR usually leads appraisals and may involve several people. Reviews are more often led by managers, allowing for direct conversations with employees.
Flexibility vs. Inflexibility: Reviews are flexible and can be adjusted to fit different situations or employee needs. Appraisals are more rigid and follow a set format. Reviews are strategic because they track performance and help build development plans, while appraisals focus on past performance and can sometimes feel challenging.
When to Run a Performance Review
When to Run a Performance Appraisal
Blending the Two
You do not have to choose just one. Most organizations in Africa use both reviews and appraisals.
A common approach is to hold quarterly coaching reviews and an annual appraisal for pay decisions.
This mix provides ongoing feedback and keeps clear, documented records of performance.
Benefits of Performance Reviews
Benefits of Performance Appraisals
Common Benefits
Both reviews and appraisals share some benefits:
African workplaces face unique cultural, economic, and technological challenges. In some organizations, a large gap between leaders and staff can make open conversations difficult. Here are some ways to combine reviews and appraisals to fit African workplaces:
A performance review is a continuous, feedback-oriented conversation focused on growth, while a performance appraisal is a formal evaluation focused on past performance and compensation decisions. Reviews are flexible and conversational; appraisals are structured and formal.
Performance reviews are typically conducted by direct supervisors or managers, often with input from employees themselves. The goal is to foster dialogue and development.
Performance appraisals are generally annual or semi‑annual. Some organisations may conduct appraisals at the end of probation or before promotions.
Yes. Reviews provide continuous feedback and coaching, while appraisals document performance for compensation and promotion decisions. Combining both ensures development and fairness.
Cultural factors such as respect for hierarchy, indirect communication, and community orientation can influence how feedback is delivered and received. Managers should adapt their approach, using storytelling or group discussions where appropriate. Frequent, informal check-ins may feel more comfortable than formal, one‑off appraisals.
HR should provide a clear appeals process. Employees should be allowed to present evidence of their accomplishments. Managers should provide specific examples to justify their evaluations. Calibration sessions help ensure consistency.
Yes. Tools like Talstack’s 360-degree feedback module collect input from multiple stakeholders, reducing bias. Analytics dashboards highlight patterns and outliers, allowing HR to address inconsistencies. Digital platforms also securely and transparently store documentation.
Confusion between performance reviews and appraisals can lead to stress and mistrust at work.
Now that you understand reviews and appraisals, what should you do next? Try setting up a quarterly review with your team to discuss goals and development.
When it is time for the annual appraisal, you will have a detailed record of your discussions to help guide your decisions and avoid surprises.
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