Training is often a key to improved performance. Performance appraisal is a systematic process that assesses the performance of an employee and measures his contribution to the organizational objectives. The deficiencies brought at in the appraisal can be corrected through training. The paper attempts to understand perceptions of employees at Andhra Pradesh State Financial Corporation (APSFC) with regard to performance appraisal and how training plays a key role in correcting the deficiencies in performance.

Performance appraisal may be understood as the assessment of an individual's performance in a systematic way, the performance being measured against factors such as job knowledge, quality and quantity of work output, leadership qualities, supervision, dependability, cooperation, judgement, versatility, etc., performance appraisal should not be restricted to past performance alone. Potential of the employee must also be assessed. Performance appraisal is a formal structural system of measuring and evaluating an employee's job related behaviors and outcomes to identify how and why the employee is presently performing on the job and how the employee can perform more effectively in the future. Training and development is a process through which an employee's performance can be enhanced by correcting the deficiencies identified during appraisals.

Performance Appraisal (PA) is the process through which an individual employee's behavior and accomplishments for a fixed time period are assessed and evaluated. It is a systematic and objective way of judging the relative worth or ability of an employee in performing his task. It is the process of reviewing an individual's performance and progress in a job and assessing the potential for future improvement.

Soft Skills Journal, Organizational Objectives, Andhra Pradesh State Financial Corporation, APSFC, Performance Appraisal, PA, Potential Appraisal,Aappraisal Techniques, Orientation Programs, Human Resource and Personnel Management.