The performance appraisal has become a standard topic in business or management curriculum, most frequently covered in personnel, management, human resources, or organizational behavior classes. Students learn such things as types of employee appraisal systems, how to create appraisal instruments, and how performance appraisals fit into larger employment cycle. What these students seldom have an opportunity to acquire or to practice, however, are specific communication skills necessary to effectively implement systems they study. However knowledgeable our graduates may be in principles and theory of performance appraisal, their ability to effectively execute these systems, particularly under difficult circumstances, is often limited unless they have acquired accompanying competence in oral and written communication. Importantly, communication skills and attitudes most critical to effective performance appraisal are same skills and attitudes that are needed in a wide range of other on-the-job management communication situations. Students who develop communication competencies necessary for conducting challenging performance appraisals will be well-served as they train, coach, counsel, direct, and motivate employees in other daily work contexts. A brief examination of goals and methods of performance appraisal may be helpful in providing a context for following assignment, which is designed to help students choose and practice some of most essential management communication skills and strategies. Further information may be found in Dessler (1983), Napier and Latham (1986), Smith (1986), DeGreforio and Fisher (1988), add Mohrmann, Resnick-West, & Lawler (1989). PERFORMANCE APPRAISALS Performance appraisals have become a primary management tool for improving employee performance, setting total quality standards, and communicating organizational values. Although performance appraisal serves several functions, its primary purpose is to improve individual performance, most often through a. Clarifying job requirements and standards b. Providing feedback to employee regarding his or her progress toward meeting these standards c. Guiding future performance by formulating an action-plan and allocating rewards and opportunities. An effective appraisal, therefore, accomplishes a variety of specific tasks while maintaining a positive relationship between supervisor and employee. The difficulty of this task, from manager's viewpoint, is largely dependent upon type of appraisal interview required. In some cases, employee performance is satisfactory and manager's goal is to either help employee maintain his or her current level of performance (when no promotion is possible) or to assist in development of a realistic career path. The interview assignment as described below, however, pertains only to those situations where performance is unsatisfactory. The management task is to communicate performance problems to an employee who, for any number of reasons, may not be completely receptive to manager's efforts. In preparation for appraisal interview, managers assemble and review all relevant data, make decisions regarding various aspects of appraisal itself and prepare employee for up-coming meeting. Of wide range of appraisal methods, three most frequently used instruments are rating scales, critical incidents, or a combination of two called behaviorally anchored rating scales (BARS). BARS anchor points of rating scale with fictional sample critical incidents - examples of what employee's performance looks like for each value of rating scale and for each dimension being evaluated. On a five-point scale covering typing accuracy, for instance, critical incident for 1 may be the employee submits work with approximately an error per page at least half of time. …