The aim of the study is to assess and present the structure of the performance management
system and the practice of performance appraisal in Hungarian state-run hospitals
in the framework of an exploratory, descriptive research. Objective data may be used
to support performance appraisal practices, primarily alongside a strategic performance
management goal. The performance measurement and evaluation practice emerging from
the research can be considered to be of adequate quality on the basis of the recommendations
formulated in the literature. It is found that moderately developed performance appraisal
systems exist in Hungarian hospitals. When observing work performance, the direct
results of employees’ work are the primary basis for performance appraisal. A scale
for measuring the development of a performance appraisal system has been developed.