As a business owner, you already know the importance of recruiting capable staff and providing the employees with the training and tools necessary to do their jobs. To ensure they're performing to your expectations calls for you to conduct regular reviews of their work product, efficiency and attitude over the course of their employment.
This workplace equivalent of a report card benefits leaders and employees by identifying how to bring out their respective best.
There are three main stages:
In practice, work doesn’t fall into neatly packaged timeslots and managers should plan and review work on an on-going basis with their staff. Good managers also give feedback when relevant, rather than save it up for an appraisal or review. There should therefore, be no surprises during review discussion. It should be a motivating experience with the focus on providing recognition and constructive feedback and on finding out what the individual thinks and wants to do.
What documentation do you need?
Aim to keep the documentation as simple as possible. Its key purpose should be to:
Here are some approaches to individual reviews that you might like to consider:
Marsham Court Hotel example invitation to a review meeting
Marsham Court Hotel appraisal example
Example ‘light’ review – Job Chat
Example review/appraisal
How can you make sure it is effective?
The appraisal/review system needs to add value to the organisation and the individuals who use it. Here are some tips:
Visit ACAS for detailed guidance on managing performance.
Performance assessments provide a look at how and what a person is doing compared with earlier reviews of their skill sets, knowledge, initiative and participation in the company vision.
This record reflects whether an employee is prepared to assume greater responsibility. If, for example, multiple candidates are vying for promotion, but there's only one slot to fill, a leader must justify his choice by pointing to specific examples of outstanding achievement and professional readiness.
Employers want to feel they're getting their money's worth just as much as people want to see better pay with each year of loyal service. While few jobs now have across-the-board rises private employers base compensation decisions on individual merit and the company's financial performance.
Performance reviews can be used to assess whether an employee deserves an increase based on achievement and accrued seniority as well as whether a lump sum bonus is appropriate for solving problems and attracting new business.
If an employee is struggling with tasks or lagging behind quotas, the problem could be the quality of training he received. Ignoring skill deficiencies can jeopardise a company's attainment of its goals.
A performance review that reveals the need for training or development also defines a time line to revisit the person's progress. It's likewise a means for employees to request development to groom them for additional responsibilities.
When leaders demonstrates a commitment to help employees to do their best, it doesn't just contribute to company morale--it also elevates individual self-esteem.
According to leading HR expert Donald Kirkpatrick in "Improving Employee Performance Through Appraisal and Coaching," a leader's role in performance reviews is akin to a sports coach in recognising her team can't win unless every player can perform in peak condition.
In a perfect world, every employee would be hard-working, reliable, honest and enthusiastic to excel. Not everyone, however, may be as wedded to your own expectations of commitment and success.
Performance reviews constitute a legitimate paper trail in administrative and legal proceedings to prove employee under performance. If these strategies fail though there needs to be a structured disciplinary process in place.
ACAS is a good source of information for a fair disciplinary process. ACAS Disciplinary Process
Although a performance review’s primary goal is to gauge whether a person is a good fit for that company, it serves a larger purpose of helping individuals determine if they've chosen the right career paths.
The feedback a worker receives regarding strengths and weaknesses is invaluable in charting a future course in which the company and worker can put her interests and talents to the best use.
Managing employees’ performance is a continuous process. It involves making sure that the performance of employees contributes to the goals of their teams and the business as a whole. It is also a mechanism for reviewing peoples performance and identifying what development or support they need to be successful in their role. The aim is to continuously improve the performance of individuals and that of the organisation.
Good performance management helps everyone in the organisation to know:
These basic principles apply to firms of all sizes. Even small firms can benefit from having a straightforward system to manage performance. Systems do not need to involve a lot of paperwork – the most simplest system can be effective.
Where a performance management system is working well employees are more likely to engage with the goals of the business.
Develop your system to meet your needs, smaller or family owned organisations may adapt a ‘job chat’ as a more simple approach.