Keith, a human resource manager at Uno Inc., is considering the use of self-appraisals. Which statement is TRUE about self-appraisals?

A) There are no disagreements between a manager and an employee when self-appraisal is used.
B) Self-rating is the most preferred source of performance appraisal information.
C) Employees have a tendency to inflate their self-assessments.
D) Self-appraisals serve as an ideal basis for administrative decisions.
E) Self-appraisals are necessary for a 360-degree performance appraisal.

Studies have shown that employees tend to rate themselves higher than their actual performance, leading to inflated self-assessments. While self-appraisals can provide valuable insight into an employee's perception of their own performance, they should not be relied upon as the sole source of information for performance appraisals or administrative decisions. Additionally, self-appraisals are not necessary for a 360-degree performance appraisal, as other sources such as peer feedback and customer evaluations can also be used.