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In the video tutorial, Sheri Harley addresses the common discomfort with performance appraisals among employees and managers. She emphasizes that the process doesn't have to be daunting. Harley proposes enhancing the appraisal experience by crafting detailed and specific feedback for employees, showing genuine care and investment. This approach can strengthen workplace relationships. Additionally, she recommends that both employees and managers maintain a "me file" to track accomplishments and feedback, facilitating clearer and more constructive discussions during appraisals. The goal is to simplify and improve this process, making it almost painless.