Bosses are being urged to meet with staff for an appraisal at least once a month to encourage open discussions about their performance and personal development needs.
The Chartered Management Institute (CMI) says that it is vital that managers meet with their workers for an informal discussion every four weeks and that a formal appraisal happens annually.
Mike Petrook, a spokesperson for the CMI, said that "the importance of sharing information cannot be overstated" and that there should an "open communication channel".
His comments follow a recent survey which found that 41 per cent of employees found their appraisal useful.
The research by Investors in People also revealed, however, that 44 per cent of those asked believed their appraiser had not been honest with them.
"The whole point behind the appraisal process is that it should motivate employees and encourage them towards ownership of and also responsibility for their performance," Mr Petrook added.
"Within that, it should give the employee a clear idea of what is expected of them."
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