Like many employees, I look to the annual review process
with excitement. I enjoy seeing my
contributions and achievements documented, and being recognized and rewarded
for my efforts.
Whether you are an employee or supervisor, you are most
likely familiar with the annual review process.
I have experienced being on both sides of the review process, and can
say with certainty that both supervisors and employees experience challenges
when it comes to annual reviews. This
can affect how everyone feels about the workplace.
As an employee, I have been in positions where I had two or
three different supervisors within a year.
My year end review was vague and provided generic guidance to “continue”
doing what I was doing in order to receive an improved score. My previous supervisors had not shared any of
my progress or accomplishments, and these were not considered in my annual
review.
As a supervisor, I have seen many employees focus hard on
improving their performance in the last few months before review time with
hopes of impacting their annual review score.
Both supervisors and employees can forget about events that happened
throughout the year, and focus only on recent events, resulting in a biased
score.
So how do we improve?
If quarterly financial reports can be posted for
stockholders, than why not perform quarterly evaluations of employees? The argument against this is one about
timing, and workload among Supervisors and HR professionals in implementing a
quarterly review process. It is important
to think about the counter to that argument, and realize the ROI for
implementing this practice, and providing more frequent feedback to
employees. It is possible that increased
discussions about performance will improve employee motivation and engagement,
resulting in a more productive and successful workforce.
The key
to success with quarterly performance reviews is to know your employees. The great thing about implementing a
quarterly performance review is that you get the opportunity to know your
employees better. Through this,
employees can get the individual attention and development they need. It's a win-win.
The
design of an effective quarterly review program is critical to achieving the
desired results. It is essential to
eliminate ambiguity as much as possible.
For example, I once received a review that stated something to the
effect of "you have demonstrated good communication with your peers and supervisor,"
then on the notes for improvement stated "continue keeping open communication
with your peers, and supervisor," and I was given an evaluation score of
"Average." This basically gave
me no direction, and no reason why I didn't get a better review score.
An
important, and often forgotten, piece of the review is the employee. So, include them in the process. Many supervisors have a clear understanding
of business goals. Why not ask your
employees for their goals, and help guide their goals to align with business goals? This serves the purpose of attending to the
employees’ motivational needs, and increases the possibility of improved
performance and engagement.
With an employee, set 3 main goals that the employee will
accomplish. It is important to guide the
employee in setting these goals, because they should be challenging goals, and
should be specific, measurable, and have a time frame. Main goals need to be set to align with
company goals and values.
For example in a food-service role, the main and sub- goals
for the next quarter are:
·
Sales: increase personal sales by 2%
o
Increase personal up-sell score to 50%
o
Inform customers about current specials
·
Service: improve personal customer survey rating
scores by 5%
o
Greet customers within 1 minute of entrance
o
Offer suggestions
·
Teamwork:
volunteer for, and be involved in one special project per month
In this illustration, the Teamwork goal is straightforward,
and may not necessarily need sub-goals.
Each of the main goals should have
key objectives that will be accomplished, and should have a weighting of 30%
+/- of the overall score, dependent upon the importance and challenge of the
goal. The supervisor should utilize the
final 10% as discretionary for performance that is not identified by the
goals. This percentage could be used to
address attitude, teamwork, or other company values.
I
suggest eliminating adjectives as a rating score from performance reviews, and
using a numerical score of 0-100, with 100 being the best. If an individual is giving their all, but
their performance does not warrant anything above "Average," then
what will happen to that employee's engagement and motivation when you tell
them that their best is your "Average?" Instead, I suggest utilizing the numerical
system for the actual rating score, and then inputting any adjectives that are
appropriate in recognizing that employee's efforts in the notes or description
area. This will eliminate the need for Supervisors
to use specific phrases to reflect the overall rating score. Utilizing this
method, you can increase praise, and further encourage, engage, and motivate
the employees.
When the time comes to evaluate achievement, keep the focus
on achievement. Ask the employee what
success they have made on their goals, where they experienced challenges, what
was unexpected and what score they feel they have achieved. Each Supervisor should evaluate, and assign a
rating for the employee’s performance.
This gives the Supervisor the opportunity to learn how the employee is
evaluating their own performance, and how much, or little, the employees’
perspective is aligned with that of the Supervisor. After evaluating accomplishments and
challenges, the Supervisor and employee can together plan goals for the next
quarter.
What about their raise?
Great question.
Take all four of
their quarterly review scores, and average them out to determine their overall
rating and appropriate pay increase. Add
each of the numerical scores together, and divide by four to determine their
average rating. They already know how
their progress is coming along, and have had support and development in the
process.
No last minute
scramble for employees, Supervisors, or HR.
Even better, there is a higher potential for engagement from employees,
and improved productivity with better business results.
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