Which method of appraisal might lead to decisions regarding bonuses and promotions?

The method of appraisal that is most likely to lead to decisions regarding bonuses and promotions is summative appraisal. Summative appraisal evaluates employee performance at the end of a specific period, often with the goal of assessing their overall contributions to the organization. This type of appraisal typically involves a thorough evaluation of performance against predetermined criteria and objectives, making it a comprehensive method to determine an employee's effectiveness.

Since summative appraisals focus on the result of an employee's performance over time, they provide management with the necessary data to make informed decisions about bonuses and promotions. This method encapsulates an employee’s achievements, challenges, and growth throughout the appraisal period, which is critical information for reward and recognition programs.

In contrast, peer appraisals generally involve evaluations from colleagues and might not carry the same weight in official decision-making regarding promotions or financial incentives as they reflect subjective opinions rather than standardized assessments. Formative appraisal, on the other hand, is ongoing and focuses on development and feedback during the process, rather than a final evaluation of performance outcomes. Finally, top-down appraisal involves assessments made by higher management, but it may not always align with objective performance metrics that are pivotal for approving bonuses or promotions.