PERFORMANCE REVIEWS

 HOW EMPLOYEES BENEFIT FROM PERFORMANCE REVIEWS

Few things are as frustrating as being stuck in a job that has no clear description; often we start out with a particular job description, but somewhere along the way responsibilities get muddled. Performance reviews give employees and employers the opportunity to spell out roles and responsibilities, to clarify desired outcomes and outputs, and to resolve disputes or uncertainties.

Employees differ — one person’s weakness is another’s strength. Performance reviews allow employers to clearly identify training and support needs, enabling employees to progress and develop themselves professionally. This in turn facilitates goal setting that encourages better performance and development.

Through praise, honest and constructive critique and by setting clear and achievable goals, performance reviews can be a platform for increasing employees’ motivation, dedication and loyalty. Employees and employers should be frank with one another regarding the current state of the business and the overall atmosphere, both amongst employees and between employees and the employer. Clear communication channels that encourage honest feedback will raise overall job satisfaction and strengthen the employee/employer bond.

Constant self-evaluation is extremely important in a business environment. Performance reviews create an opportunity for employees to compare their self-evaluation with their employer’s assessment of their performance, to establish a clear middle ground and, if necessary, to motivate decisions they have made. It is an opportunity to revise their self-evaluation in accordance with the employer’s expectations and to establish a baseline for what is expected of them.

Your employees are the people who make your business run smoothly on a day-to-day basis and for that they deserve some gratitude. A meaningful and motivational performance review, with constructive feedback, that acknowledges their strengths and a job well done, is the perfect platform to show them that they are valued and appreciated.

Employers are often left out of the loop when it comes to employee relations and their view of the company. Performance reviews provide an ideal opportunity for employers to gain insight into the everyday workings of their business and the status of inter-employee relationships.

Employees may offer insights into the business that can lead to greater growth and success. Employee feedback can be a gateway to creating new goals or tweaking existing goals, to boost growth and keep a business from stagnating.

Performance reviews conducted in a non-discriminatory manner that reward good work can serve to justify promotions, pay increases and overall recognition. Take note, however, that the opposite should not be true — less than satisfactory work should not automatically be grounds for decisive action, but should be seen as an opportunity to develop and train the employee.

Employees aren’t the only ones who should practice self-evaluation. As a business owner, you want to determine whether your performance is on par with the needs of the business and the expectations your employees have for you. The business owner’s self-evaluation should address elements such attitude, initiative and decision-making capacity.

Four pointers to help you transform performance reviews from a once-a-year event dreaded by your employees, to an effective review process.

The time for annual performance reviews has passed — effective performance reviews require that evaluations take place throughout the year (at least quarterly). Aside from the more formal performance reviews, the process should incorporate regular check-ins with employees regarding outputs and expectations. This will allow concerns or disputes to be addressed as they arise and help to avoid any major issues popping up at the end of the year. Regular reviews also prevent instances where employees intentionally ‘up their game’ in the face of a scheduled performance review.

Include a process of self-evaluation that employees can submit as part of their performance review. This will provide insight into the employee’s impression of their own performance. By critiquing their own job performance, employees may be forced to acknowledge any shortcomings and the process of addressing them will begin intrinsically, rather than externally, as is usually the case. It also provides a platform upon which your feedback can be based; taking a specific identified shortfall of the employee as a starting point establishes empathic and insightful rapport.

Many companies are taking a 360-approach to performance reviews. In addition to the employee’s feedback, this involves gathering comments from all relevant parties, including managers and co-workers, ensuring a comprehensive overview of the employee’s performance. The responsibility for integrating the information into a workable picture will fall to the employer.

With performance reviews, it is often the norm to include compensation discussions and decisions in the process. Combining these processes can cause employees to feel that they are in a combative situation rather than a collaborative one. Separating performance reviews from compensation discussions will decouple the processes in the minds of employees and avoid situations where employees feel that management is pointing out reasons not to grant a raise rather than appraising their performance.