The Problem with Performance Reviews

A lot of public discourse currently exists regarding performance reviews- whether or not they should be tied to merit increases, if they are worth the effort, if they move the needle, or if they are useful at accelerating performance. Some companies have abandoned the performance review process altogether; feedback suggest managers perceive writing them as a chore to be dreaded, and employees alternatively dread receiving them. Yet, dreading something is not necessarily a reason to stop doing something. The problem isn’t with the meticulous, anxiety laden process; the problem is that they are not done correctly.

 

Our experience in working with hundreds of organizations on their performance review programs indicates that, if done correctly, performance reviews can move the needle and are indeed extremely useful. We have heard directly from employees that they want and need feedback from their manager. There is an obvious line of communication that needs to be facilitated between employers and employees. Thus, our goal at Essential HR is dedicated to helping companies curate a compelling performance review process that managers and employees alike do not dread, but welcome. These reviews become a tool-set that can be utilized by the company, manager, and employee. 

 

Re-framing the performance review process to managers as a means to build trust, engage, and champion their direct reports can create a whole new paradigm. After all, this is the most important function as a leader. What better opportunity is there than to sit down with an employee on a regular basis, have honest and open communication about how they are doing, and develop goals with them that they want to achieve. 

 

Managers have an opportunity to build trust and engage employees during the performance management process by being committed and prepared to provide useful, clear, and helpful feedback. Touching on employee’s strengths, how those strengths are contributing to the organization, and how to continue to develop those strengths provides a clear and empowering path for productivity. Yet, assisting employees on identifying their priorities and limiting interruptions similarly bolsters their performance. The performance review process also allows an ideal setting to champion an employee’s desire to learn and grow by working with them to manifest their values from within.

 

If your organization is struggling with your performance management process, or are unsure of the ROI on this activity, reach out to us at Essential HR, Inc.We are passionate about creating performance review processes that flip the switch, move the needle and align your employees’ strengths and performance with your organizational goals.