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QUOTE OF THE MONTH
“There is nothing like returning to a place that remains unchanged to find the ways in which you yourself have altered.” – Nelson Mandela “A Long Walk to Freedom”

Are your performance reviews useful?

More than half of all employees believe that performance reviews are a waste of time.  They don’t believe that these reviews have assisted them in improving their job performance.  The complain that:-

• Reviews are often ad-hoc and not conducted regularly or often enough;
• Performance is not always fairly evaluated;
• Feedback is not received on an ongoing basis;
• Good performance is not rewarded by increase in pay; and
• Performance reviews are useless because poor performers are treated in the same way as good performers

Essentially, this means that many employees view performance reviews cynically.  This negative attitude makes it difficult for supervisors to discuss issues of performance with their employees in a meaningful manner.  In short, this lack of “buy-in” makes it difficult for companies to utilise performance reviews to work towards their goal of improving the outputs of their employees.

What can management do?

Managers should remember to reinforce positive behaviour and this is best achieved by ongoing feedback rather than an annual review.  One of the simplest, best-known, and least used principles of psychology is the Skinnerian principle of reinforcement:  “Reinforcing positive behaviour will increase the probability of that behaviour.”  Consciously work towards recognising and rewarding good behaviour, as it happens, whether it’s a verbal reinforcement, a pat on the back or simple acknowledgement.

Don’t fall into the trap that many organisations find themselves – separate performance reviews & salary review.  Nothing destroys employee morale more than “your performance is superb but unfortunately the company isn’t in a position to offer you a substantial increase at this time” … employee reviews should take place quarterly or bi-annually at a minimum, whilst salary reviews would be annual.

Make performance standards clear, realistic and achievable.  Research has shown that the majority of employees are actually unclear, at the end of a performance review, as to what is expected of them.  Performance measures should be quantitative (measurable) rather than qualitative so that employees clearly understand what they need to do to achieve success.  Employees who are uncertain about the expectations of management are more likely to become despondent because they feel “helpless”.  Every employee is unique, as are their job functions.  Ensure that performance standards are relevant to the job.

Include customer and team feedback in the performance management process.  Often criticism or praise received from people other than their direct supervisors is viewed more positively by employees.  Conduct 360? performance reviews to get the best information.

If you’re going to spend time conducting performance reviews then make sure that they worth something and that you’ve got the cooperation and buy-in from all of your employees.

Excerpt from the APSOGram – 1st Quarter 2008