Performance management refers to a continuous, systematic process through which an organisation identifies, measures, develops, and aligns the performance of individuals and teams with its strategic goals. It is not limited to evaluating past performance but focuses equally on planning future performance, developing employee capabilities, and ensuring sustained improvement. Performance management is a holistic approach that integrates goal setting, continuous feedback, coaching, performance review, and development planning so that employees clearly understand expectations and are supported in achieving them. Traditional performance appraisal, on the other hand, is a more limited and periodic activity, usually conducted annually or biannually, to assess an employee’s past performance against predetermined standards. The primary purpose of traditional appraisal has often been administrative, such as deciding increments, promotions, or disciplinary actions. It is typically supervisor-driven, formal, and retrospective in nature. Feedback in traditional appraisal is infrequent and often one-way, which may result in anxiety, defensiveness, and limited developmental impact. The distinction between performance management and traditional performance appraisal lies in scope, orientation, and intent. Performance management is ongoing and forward-looking, whereas appraisal is episodic and backward-looking. Performance management emphasizes development, learning, and alignment with organisational strategy, while appraisal focuses mainly on evaluation and judgment. Performance management encourages employee participation, shared responsibility, and continuous dialogue, whereas traditional appraisal is largely top-down. Thus, performance appraisal can be considered one component within the broader performance management system. Within an effective performance