How effective is your performance review system?

Posted by Design & Construct on 27-Nov-2015 02:52:31

In Architecture

As an executive business leader, performance reviews should be considered one of the most important HR functions that you engage with your team in. An opportunity to assess the positives and negatives of their achievements over a certain amount of time, performance reviews are

the stepping stone to employees reaching their desired career goals and objectives.

However, the results of a recent survey from US-based staffing firm OfficeTeam has questioned the need to perform these appraisals at all. While close to eight in 10 (79 per cent) of HR managers conducted performance reviews at least once a year, 25 per cent of employees didn't take something meaningful from the process.

"Love them or hate them, performance discussions can be an effective tool, as long as both managers and workers properly prepare."

According to the figures, there is quite a disconnect between the parties in this regard. A total of 89 per cent of HR managers think their performance review processes operate effectively, providing employees with the framework and direction to better their achievements over the coming quarter, half-year or year.

OfficeTeam Executive Director Robert Hosking explained that one of the most common issues around performance reviews is the format and frequency. A lot of projects occur over the course of a year which means that a review may only capture a brief snapshot of their performance over this time.

"Aside from formal reviews, regularly checking in with staff and providing feedback throughout the year can keep everyone on the same page," Mr Hosking stated.

"Love them or hate them, performance discussions can be an effective tool, as long as both managers and workers properly prepare."

Tips for a productive performance review

Almost every business will conduct some form of performance review. However, as a business leader, it is important that these sessions add value to both parties and that you don't just go through the motions.

With this in mind, a 2013 Forbes article provided a number of tips to help employers set the standard with their next round of reviews. This included:

1) Deal with the issues

Performance review are critical to get right.
Performance review are critical to get right.

Major issues should be dealt with as soon as possible, but a performance review is a great chance to pinpoint small inaccuracies that are letting the individual down. As such, employers can highlight particular examples and then talk through how this can be improved moving forward. Between the two parties, goals and expectations can also be set.

2) Let employees take the lead

In the intimate environment of a performance review, employees should feel comfortable to explain their feelings about their achievements and future goals. Before you start moving through the different performance areas, allow them to speak at length about their own abilities and how they think they have worked since the last meeting.

Engaging with staff on this level is vitally important for retention and future recruitment efforts. For more information about hiring the best candidates for a productive path ahead, contact the team at Design & Construct today.