Make Employee Evaluations More Relevant

08/20/08

Did you know that only 49 percent of workers believe their managers take performance reviews seriously? Furthermore, only 44 percent of workers receive constructive feedback during reviews. And 47 percent say they would feel better if the employee evaluation process became a two-way street.* As an HR professional, you need to make sure that both sides approach evaluations in a straightforward manner with clearly defined expectations and results. Otherwise, building a dialogue with employees can become a formidable task, and your company runs the risk of losing top talent.

Wanted: the most relevant employee evaluations
Many employers and employees dread the evaluation process. But they shouldn’t have to. The important thing is to consider an evaluation as a year-round procedure instead of a one-time annual event. It’s a very efficient way to document both outstanding effort and accomplishments, along with lack of effort and shortcomings. Regardless of the quality of performance or when it occurred, you need to provide immediate feedback to the employee and make a note in his or her file. Tell the employee what’s working well and where improvement can be made.

Then, once a year, formally evaluate the employee by completing a performance appraisal and having a discussion with the individual. This is likely to be one of the most important meetings you have with the employee all year, so schedule enough time to discuss pertinent issues thoroughly. Gather and review all records relating to the employee’s performance, productivity and behavior. Once you have collected your thoughts, write an appraisal that includes each standard you set for the employee and the job, your conclusion as to whether the employee satisfied the standard, and the reasons that support your conclusion.

Components of an effective review

Be thorough but understandable — An outsider should be able to read and understand your written evaluation of an employee. If it ever becomes part of a lawsuit against your company, a court must be able to comprehend how you arrived at a certain rating of the individual.

Be specific but tactful — Provide the employee with concrete examples of what was achieved or how the person fell short of a goal. Avoid harsh generalities — “Work harder” and “Your performance is terrible” are general putdowns and don’t provide details about your concerns. Using percentages of output expected in certain time frames, for example, gives the worker a clearly defined goal.

Use a 360-degree review — this evaluation involves the impact of a worker’s job performance on a variety of constituencies: peers, internal and external customers, supervisors and suppliers, to mention a few. The additional insight is important because jobs have become increasingly complex.

Emphasize performance, not the individual — Evaluate how well or poorly the employee performs the job, instead of dwelling on personal characteristics or idiosyncrasies.

Stick to the middle — Setting unrealistic goals and standards for the worker accomplishes little, if anything. On the other hand, you don’t want to make expectations too easy to reach. Strive for the middle ground.

Be a good listener — The employee probably will appreciate an opportunity to express specific concerns, so sit back and encourage an open exchange. You may be surprised at what you hear, and it could change your opinion of the individual.

Evaluate regularly
Nearly one-fourth of workers report that evaluations are not given regularly and 18 percent say their long-term career goals are not discussed.* Prove to your employees that your company is different, sensitive to their needs, and wants them to stay and develop their considerable talents.

*Source: Adecco Staffing North America survey, March 2006.