Human Resources Certification Institute (HRCI) Practice Exam 2026 - Free HRCI Practice Questions and Study Guide

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What is the primary objective of performance appraisal systems?

To determine employee promotions

To provide feedback for employee development

The primary objective of performance appraisal systems is to provide feedback for employee development. These systems are designed to evaluate an employee's performance over a certain period, allowing managers and employees to engage in meaningful conversations about strengths, areas for improvement, and career goals. By focusing on development, performance appraisals foster an environment where employees can enhance their skills, increase job satisfaction, and contribute more effectively to the organization.

While determining promotions, calculating payroll, and identifying termination candidates may be incidental outcomes of performance appraisals, these are not the main intent of such systems. The essence of performance appraisals lies in nurturing growth and creating a path for continuous improvement, benefiting both the individual employee and the organization as a whole.

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To calculate payroll

To identify employees eligible for termination

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