Performance appraisals systems can serve the following purpose if designed properly.
1) They can help each to understand more and more about his rote and become clear about his functions.
2) They can be instruments in helping each employee to understand his own strengths and weakness with respect to his role and functions.
3) They can help in identify the development needs of each employee with respect to his role and functions.
4) They can increases maturity between each employee and his supervising officer so that every employee feels happy to work with his supervisor and thereby contributes his maximum to the organization.