Performance management is as a “strategic and integrated" approach to increase the competitiveness of organizations by improving the performance of the people who work in them and by developing the capabilities of teams and individual contributors whereas Performance appraisal is an analysis of an employee's recent successes and failures,the employee's strengths and weaknesses, and suitable for promotion or further training. It is also the judgment of an employee's performance in a job based on considerations other than individual productivity.
The difference between performance management and performance appraisal is that :
P.management refer to a set of activities and evaluations which determines if the company is being effective and efficient in the process of achieving its goals whereas
P.appraisal is the particular judging of how the employees is working inside a company on terms of quality, quantity and methods used for and where feedback is usually delivered, performance appraisal are considered to be more structured and formal compared to those of performance management which is more flexible.