---
title: "Step 3: How to Configure Ratings"
description: Configure Ratings
---
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1. [PaidHR Help Centre](https://support.paidhr.com/)
2. [Performance Management](https://support.paidhr.com/performance-management)
3. [Configure Ratings](https://support.paidhr.com/performance-management#configure-ratings)
# Step 3: How to Configure Ratings
This section allows you to configure how employee performance will be measured.
1. **Rating Weight Distribution** – Define the percentage weight for each performance category. The total weighting must equal **100%**.
2. Click **Start** to begin.
3. **Performance** – Measures job performance, productivity, goal achievement, and technical competencies. Enter the percentage weight for this category.
4. **Behavioural** – Measures communication, collaboration, professionalism, work ethics, and adaptability. Enter the percentage weight for this category.
5. **Note:** Distribute the percentages based on the level of importance your organization places on each rating category.
6. Click **Next**.
****
7. **360-Degree Feedback Configuration** – Assign the percentage weight for each reviewer type for the Behavioural weight distribution. The total weighting must equal **100%**.
8. Manager
9. Self
10. Peers
11. Direct Reports
12. Click **Save & Continue**.
****
13. **Score Ratings** – Configure the performance rating bands by editing the:
14. Rating Name
15. Minimum Score
16. Maximum Score
17. Recommendation
18. Use **Edit** or **Delete** to customize the rating bands, then click **Next**.
****
19. **Objective Status Range** – Define how objective progress is measured by configuring the:
20. Status Name
21. Progress Range
22. Criteria
23. Click **Edit** to modify an existing status, then click **Next**.
****
24. **Likert Scale (Rating Labels)** – Customize the rating labels used during performance evaluations (for example, **Excellent**, **Good**, **Meets Expectations**, and **Needs Improvement**).
25. Edit or delete existing labels.
26. Click **+ Add Rating** to create a new label.
27. Save your changes and click **Next**.
****
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