Abstract: Performance Appraisal is a systematic, general and periodic process that assesses an individual’s performance and productivity in relation to certain pre-established criteria and organizational objectives. Performance Appraisal indicates the level of desired performance, level of actual performance and the gap between two. This system can be implemented through personal attention, feedback, career path, employee accountability, person’s level of achieving goals and reaching the targets. This paper looks at the comparative analysis between private sector employees and MBA aspirants on performance appraisal system.