Formal Employee Appraisal Carried out in Agricultural Businesses in the Central Bohemian Region

Abstract

The article focuses on issues of employee appraisal with emphasis on the formal appraisal of employees in agricultural businesses in the Central Bohemian Region. The main aim of the article is to evaluate the use of formal employee appraisal in agricultural businesses in the Central Bohemian Region. A partial aim is to compare theoretical approaches to employee appraisal from the point of view of Czech and international authors. The survey showed that 87% of agricultural businesses have no system of formal employee appraisal. Among the reasons for not having implemented a formal employee appraisal system, 36% of agricultural businesses stated that they did not consider formal appraisal important, 34% mentioned capacity reasons (only 17% of agricultural businesses have a personnel department within their corporate structure), 15% indicated financial reasons, 10% time demands and 5% other reasons. The outcomes of the survey also showed there is a lack of interest by businesses to implement a system of formal appraisal of employees (only 22.5% of agricultural businesses, that do not use any system of formal employee appraisal, plan its implementation), despite the fact that, currently, people are considered to be the most important strategic asset of any business for achieving a competitive advantage.