The DOs and DON’Ts of Performance Appraisals

Has anyone been through the torment of a bad performance appraisal?

A classic mistake that most companies make is only giving feedback to employees once a year.

Let me give you an example.  

Joe, an account manager in a digital marketing agency, always misses out on certain information when briefing the team about a marketing campaign. When the client points out what was missing, the team has no choice but to revise the asset repeatedly.  

No one brought up this issue and it had lasted for another five months, including Joe’s reporting supervisor.  

So here comes the appraisal season. Joe’s supervisor receives bad ratings from other colleagues that he is not detail-oriented when providing a brief to the team. Later, the supervisor also receives complaints from the same client about their inefficiency at work.    

If Joe’s supervisor had addressed this issue earlier, the client would’ve been more satisfied with their deliverables. Here are the dos and don’ts of performance appraisals you must know!

DON’T make it a one-way, top-down process.  

The whole conversation should not be coming solely from the manager’s evaluation and review aspects. Employees will feel they’re being berated, singled out, and may not agree to the review outcome.

DO initiate a two-way communication.

Take time to listen what they have to say. Ask them to evaluate themselves and compare their reviews to yours. You’ll find top performers rate themselves lower or poor performers rate themselves higher than you. Talking about the gaps between your evaluation and theirs will be fruitful in getting you both on the same page.

DON’T tie performance appraisal to salary.

Employees will only pay attention to money during the review; all else will go in one ear and out the other. It may seem like they are listening to what you’re saying about their performance, but what they care about is the magic number. When money talks, all else is lost.

DO set both discussions separately.

After all, a review is about employee performance, not salary. Conduct performance reviews as early as possible before making salary decisions. If you’re doing reviews to make salary decisions, that’s fine too. Just be clear that that’s what you’re doing.

DON’T review employees if you don’t regularly supervise them.

If you do not have day-to-day contact with an employee, don’t engage in his or her performance appraisal. Your report will be biased and ineffective as it’s highly based on assumptions and conclusions derived from other people’s perspectives.

DO review on an employee you regularly have contact with.

This is a no-brainer. It’s only fair to the employees reviewed by the supervisor or manager who has the most day-to-day interaction with that employee. They are the ones in the best position to assess the employee’s strengths and weaknesses.

DON’T give vague feedback.

It’s very irritating for an employee to receive unclear, unfounded feedback from a manager. Everything you state should be backed up by facts. An example like, “Laurie is a delightful team member. She is very clever and helps us work through many situations,” is not going to cut it.

DO ask team members for feedback.

Give honest, adequate feedback to your employees. Provide constructive criticisms. Be specific about the employee’s performance or gather feedbacks from peers so the employee knows where they stand in the workplace.

DON’T give unrealistic goals.

The purpose of a staff review is to assess employee work progress and how to improve it in the future. If you set the bar too high, your employees will feel overwhelmed and stressed out. It might be difficult for them to achieve these goals in their next review.

DO create a follow-up plan.

Have a focus on areas of improvement and what the future holds. Consider the entire year’s work. Properly assess the employees and set clear goals by creating constructive follow-up plans for them.  

DON’T make it personal.

Sometimes, it can be difficult to set aside your judgment about employees. Never give them negative reviews based on your relations with them. Remember, you are a manager. It’s your responsibility to provide your employees with unbiased and accurate performance appraisals.

DO keep it professional.

Train your managers on how to conduct performance reviews professionally. They should know the employer’s expectations of the process. Make sure they maintain a professional working relationship throughout their employment, including when attending a performance review meeting.

“To win in the marketplace you must first win in the workplace.”  — Douglas Conant, CEO of Campbell Soup

Make the most of performance appraisals  

Employee reviews are certainly not the most fun part of any job, but they’re an essential part of keeping your team on the right track. Inform your employees about their performance reviews in advance so they can prepare. Remember, the goal is setting a stage for an open and honest conversation to help your team and business constantly improve.