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4 Ways to Create Value-Added Performance Reviews

Tuesday, September 26, 2017

The needs of the modern workforce have evolved. Has your performance review process done the same?

Many companies are holding onto traditional performance reviews because they think it adds value to their organization, even though in most cases research shows otherwise. Studies show that employees want development, motivation and recognition that will help them grow and benefit their companies. Incorporating these actions into the performance management process could equally benefit both the organization and their employees.

Whether you are reevaluating your current process, or thinking about implementing a new performance review process, consider these four tips: 

1) Define your objective - What is your intention or ultimate outcome you are trying to achieve. For example:
  • Are you seeking a method to differentiate performance and reward individual employee efforts through merit pay? 
  • Are you looking for a consistent method to provide employees with performance feedback? 
The answer to these questions would result in two very different performance review systems. The first would likely include a rating system that would differentiate employee’s performance outcomes, while the latter may simply be a structured format in which to provide feedback and doesn’t include a performance rating.

2) Determine frequency

The complexity of the process should help inform the frequency. Going through a rating process is time consuming and only realistic once or twice per year. However, we know that a modern workforce wants performance feedback much more frequently than that. Consider mid-cycle performance checkpoints that ensure employees are tracking towards their goals.

3) Keep it simple

Don’t over-complicate the process so much that it’s cumbersome for managers (and thus a deterrent) and confusing for employees. Stay true to your objectives and desired outcomes.

4) Make it meaningful

BambooHR reports that 4% of respondents feel that performance reviews motivate and engage employees. Instead, employees reported they prefer to be motivated through the following techniques:

Open and informal conversations
Getting raises
One-on-one’s geared more toward career path
Managers listening to their ideas and using them
Receiving more employee recognition

Incorporating these outcomes into your performance review process can be a win-win for all!

Article provided by Reagan Freed, Solvere HR Consulting

Reagan Freed is an accomplished HR executive with extensive experience supporting small, mid and large businesses develop people strategies that support organizational goals. Her experience ranges across a wide variety of industries including engineering, construction, telecommunications and business process outsourcing (BPO).

Solvere HR Consulting provides powerful HR solutions that optimize  your organizational capacity and profitability through your most valuable asset - you employees. Learn more at

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