This paper argues that performance appraisal as a method of studying w
hat an employee (or a team) has accomplished in the past is expensive,
has limited value, and may even be dysfunctional for improving future
performance. The paper suggests replacing performance appraisal with
performance targeting-a concept that embraces a strategic perspective
and an orientation toward the future. Performance targeting shifts the
focus from documenting and evaluating an employee's work to assesssin
g the partnership between a subordinate and a supervisor. In this rela
tionship the supervisor and the subordinate share the responsibility f
or attaining desired results.