Using performance appraisal data to determine an employee's salary increase is an example of what type of use of that data?

Using performance appraisal data to determine an employee's salary increase is categorized as an administrative use of that data. This approach involves making decisions related to employee compensation, promotion, and overall personnel management based on the evaluations conducted through performance appraisals.

The administrative function of performance appraisals is crucial because it directly impacts organizational policies and procedures regarding employee rewards and recognition. In this context, performance appraisals serve as a formalized method of assessing employee contributions, addressing the need for fair and merit-based compensation adjustments.

Other approaches, while valuable, serve different purposes. For instance, developmental uses focus on improving employee skills and enhancing performance through feedback and training. Diagnostic uses are intended to identify underlying issues in performance or organizational processes. Operational uses are more concerned with day-to-day management tasks rather than long-term personnel decisions. Each use has its specific aims and applications, reinforcing why classifying the role of appraisal data in determining salary increases as administrative is particularly fitting.