Conducting Performance Reviews

First of all, if all you ever do is an annual performance review for your employees, they are worthless. Put every last one of them in a big pile and burn them. The scenario of annual performance reviews often goes like this;

“I have nine reviews I have to get done by the end of the month. I feel more pressure about completing the review than I feel an obligation to the employees to let them know how they are really doing. How I can help them.”

Additionally, since you only do one review a year, chances are you base your judgment about the employee’s performance on the last two months or so. If the employee happened to have done something wrong during that two month period, they get a poor review. Conversely, if they did everything right in those two months, they get a good review. A good review even if they performed very poorly throughout most of the year. Is that really justice? Follow these guidelines when conducting your reviews:

Situational Guidelines

Objective: To maintain or improve good performance in employees by providing specific performance feedback.

• Assumptions of employees are about getting “in trouble” so there is a tendency to be defensive and avoid issues.

• Physical surroundings can offset nervousness of both parties.

• When evaluating performance, four areas must be considered:

o Actual performance (numbers, results, etc.)

o Conditions of performance (market change)

o Your managerial support provided

o Attitudes, values and feelings demonstrated

• As a manager, you have prepared for the discussion with written notes (i.e. critical events file) and have spent 20 quiet minutes before the meeting on your objective.

• You should have a handwritten objective about employee beliefs and conclusions at the end of the meeting.

• The most critical part of the appraisal process is establishing your managerial intent:

o The objective stated above

o Your desire to be helpful

o Your responsibility for problems

• The key success criterion is that both parties feel better.

• Feedback on performance areas of concern is constructive only when:

o It is future focused

o You don’t ask “Why?”

o You itemize merits as well as concerns

o You provide alternatives

o You apologize for delayed feedback

• The action plan developed must have dates and expected results which include:

o What the employee is going to do

o What you are going to do to help

o What training will be provided

An annual appraisal should only be done if you have discussed monthly employee performance with the employee. As managers, as leaders, we owe it to our employees to help them develop their talents. It’s good for them, it’s good for us and it is good for the company. We need to make an individual commitment to every one of our direct reports that we will spend a minimum of thirty minutes per month discussing their performance. What they are doing well and what they need to work on. A simple four by six card noting your discussion thrown into their file provides tremendous insight when it comes time to do their annual review. (e-mail rick@ceostrategist.com for a sample card form) We now have twelve individual documented discussions to refer to when completing their review. It also will show their progress. How they follow direction. What kind of support, training, mentoring or coaching that has taken place over the course of a year?

Tips on Performance Reviews

• Be fair and objective by assessing job performance against pre-determined job-related performance standards.

• Involve the employee in the development of the action plan.

• Include specific and measurable goals with action plans on how to reach them. Set time frames to review accomplished goals, identify possible obstacles and identify ways to overcome them.

• Encourage feedback from your employee.

• Review a summary of your feedback by beginning with the employee’s strengths and then tactfully move into the weaknesses.

• End the review by summarizing the action plan for improvements, so your employee clearly understands what’s expected of him or her. End on a positive note and set a date for the next review.

Remember, employees are your most precious asset. Respect them, train them, coach and mentor them, trust them and they will create competitive advantage for your company.

Article Source: http://www.content.onlypunjab.com

www.ceostrategist.com – Sign up to receive “The Howl” a free monthly newsletter that addresses real world industry issues. – Straight talk about today’s issues. Rick Johnson, expert speaker, wholesale distribution’s “Leadership Strategist”, founder of CEO Strategist, LLC a firm that helps clients create and maintain competitive advantage. Need a speaker for your next event, E-mail rick@ceostrategist.com. Don’t forget to check out the Lead Wolf Series that can help you put more profit into your business. E-mail rick@ceostrategist.com for your special Howl discount order form. Get the CEO Strategist Interview Guide and Conducting an Effective Sales Training Session Guide just for signing up for “The Howl”. Don’t forget to check out the Lead Wolf Series that can help you put more profit into your business. E-mail rick@ceostrategist.com for your special Howl discount order form.

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