Ineffective organizational policies and practises:

If the sincere appraisal effort put by in a ratter is not suitably rewarded, the motivation to do the job thoroughly finishers off. Sometimes, low ratings given by the ratters are viewed negatively by management - as a sign of failure on the part of the ratter or as an indication of employee discontent. So, most employees receive satisfactory ratings, despite poor performance. Normally, the ratter's immediate supervisor must approve the ratings. However, in actual practise, this does not happen. As a result, the ratter goes off the hook and causes considerable to the rating process.