Define the steps involved in the appraisal system. The process typically includes:
introduction
employees' self appraisal
evaluation
supervisor's feedback or team feedback
decision making (such as promotion, salary, training)
mid-term review
Identify who is responsible for each step.
Set a timeline for each step.
Think about the different methods that can be used to evaluate performance, such as management by objectives, rating scales, 360 degree feedback reviews etcetera. Watch the following short video to get a better idea about the various appraisal systems.