It’s That Time of Year
That season is again upon us — we’re back to having our managers complete the dreaded annual performance appraisal. Managers fear the time consuming nature of completing an elaborate form with insightful prose, perfect examples and valuable feedback. Employees pray their managers will point out the special efforts and results they can be credited with achieving in the past year and ignore any missteps. The typical review often comes down to dredging up old criticisms or to warmed-over praise that glosses over real issues.
While many organizations struggle with how to maximize employee performance, the performance appraisal is often criticized for its form and structure. Should the appraisal be dictated by the calendar? What is the best way to track performance and maximize an appraisal’s utility?
I am not a proponent of abolishing annual appraisals. If appraisals are planned properly, managers can create real opportunities to coach and mentor staff. In this column, I offer my thoughts on this annual rite of passage that fills all of us with such apprehension.
What to Avoid
- Surprise. You should not be raising things that were not raised during the year. Engaging in stamp-collecting, by rehashing situations that occurred during the year and presenting them at appraisal time is unfair.
- Inflating the appraisal. This is the most common problem at organizations. Do not sugar-coat the appraisal. It doesn’t help the individual being appraised and it does not serve the organization’s interests.
- Preparing the review in 20 minutes. Too many managers wait for the last minute and spend 20 minutes preparing each appraisal, thinking they have completed their appraisal responsibility. This misses the whole point: the appraisal is a process.
What to Emphasize
- Include authentic, thoughtful, respectful comments. This is your turn to finally comment thoughtfully on your employees’ performance. There should be plenty you have to say, with the advantage of a year’s perspective. Your comments should be artfully-phrased, thoughtful and respectful.
- Keep as much balance as you can. You want to show appreciation for projects where the employee shined, and those areas where improvement needs to be shown. Be specific and provide relevant examples.
- Set clear attainable goals that fit the person and your culture. Your feedback needs to be aligned with the needs of the individual being appraised and with the culture of the organization. They need to be realistic, quantifiable goals.
Ongoing Coaching Process
Appraising someone once a year is more challenging than it looks. The secret formula to prepare for the appraisal is to view it as a part of the ongoing coaching process. You can’t just start on this process at the end. Appraisals require real planning and education during the year.
Managers need to be rewarded for cultivating a culture that includes regular feedback. Inspiring and coaching your staff is a key component of a manager’s job all year round. A good appraisal includes language on how important the employee’s position is to the department and how well he/she performs his/her vital roles.
Managers often need training as to how and when to communicate proper and honest feedback. Our firm provides training to managers in effective coaching and counseling tools.
Legal Issues
As noted, sugar-coated reviews are not meaningful and can actually hurt the employer who decides to upgrade the quality of their staff. An appraisal is a legal document that demonstrates the real record.
A common obstacle to healthy communication is when managers fail to act on a serious issue when it occurs. If the employee is having a pattern of absences or tardiness or crosses the line in behavior, such as insubordination – these must be dealt with at the time. Waiting too long, is a missed opportunity to act.
Improper behavior or performance deterioration needs to be corrected at the time it occurs and managers cannot wait until appraisal time. If performance levels deteriorate during the year, prepare an Action Plan, with specific issues that need correction and target dates.
Goals and Development Plans
When you set goals at appraisal time, track them on a quarterly basis. You do not want to wait until the next appraisal to re-align an employee who is off track on his/her goals.
An underutilized part of an appraisal is the developmental planning section. This is where you can truly connect with an employee’s career and personal goals. You want to listen carefully and have an open dialogue, so that you can nurture a solid performer. Don’t miss the opportunity to focus on where the employee sees him or herself and how that fits with the organization’s current and future needs.
Succeeding at the Process
Remember that we all want to succeed at this process: the employee wants to prove he or she has done a great job, and the manager wants to be a success at managing and coaching. The best way to make this happen is to handle the appraisal process intelligently by planning the process throughout the year. In this way managers can leverage this golden opportunity to influence changes in behavior and raise the bar on performance.