"People hate performance evaluations." This is a striking statement from a Harvard Business Review article discussing the perceived efficacy and fairness of performance reviews.
From the article...
According to a survey of Fortune 1,000 companies done by the Corporate Executive Board (CEB), 66% of the employees were strongly dissatisfied with the performance evaluations they received in their organizations. More strikingly, 65% of the employees believed that performance evaluations were not even relevant to their jobs.
These statistics are startling. From an employee perspective it's easy to empathize. Reviews are terrible. This is a direct result of outdated evaluation practices that have gone unchanged since the 1950s.
From a management perspective, though, this is shocking. Managers have an inherent sense of employee review culture. They know when their team's likes and dislikes (or maybe they don't and that's a larger issue).
If you're going to conduct employee performance reviews, why use the same old systems? Why would you be happy simply checking a box and moving on?
Employee performance reviews are one of the most important things you can do to guide culture and productivity. Other than high-level strategy, guiding employees should be a primary focus of corporate leadership.
Employees are the lifeblood of any organization. Their happiness determines the culture which, in turn, determines the success of the business.
When it comes to employee performance reviews, put in the requisite time to make it a pleasant and meaningful experience. Make them relevant to your team.
These adjustments could fundamentally change your business.