What are some of the negative consequences associated with low-quality and poorly implemented systems? Lowered self-esteem. Self-esteem may be lowered if feedback is provided in an inappropriate and inaccurate way. This, in turn, can create employee resentment.

Increased turnover. If the process is not seen as fair, employees may become upset and leave the organization. They can leave physically or withdraw psychologically (i.e., minimize their effort and engage in cyberloafing until they are able to find a job elsewhere). Damaged relationships. As a consequence of a deficient system, the relationship among the individuals involved may be damaged, often permanently.

Decreased motivation to perform. Motivation may be lowered for many reasons, including the feeling that superior performance is not translated into meaningful tangible (e.g., pay increase) or intangible (e.g., personal recognition) reward. Employee burnout and job dissatisfaction. When the performance assessment instrument is not seen as valid and the system is not perceived as fair, employees are likely to feel increased levels of job burnout and job dissatisfaction. As a consequence, employees are likely to become increasingly irritated.