Redesign your Annual Performance Review!
When it comes to the performance review, managers often make the mistake of cramming it in towards the end of the year. With work piling up to be completed before the holidays, it can be a very stressful time for employees who are now faced with a career review meeting to see if they qualify for bonuses. This means that when it comes to career discussion, you might want to break up the review into meetings that occur at separate times of the year.
In fact, we recommend that you review your employees more than once each year so that the pressure is not so great on both parties. In terms of stress, motivation and clarity, reviewing your team at least twice a year formally and a few more time informally, will greatly help not only those being interviewed, but your organization and you as a manager, as you maximize the effect of the entire review process.
Advantages of Employee Engagement Throughout the Year
A series of smaller reviews and discussions about the career that are held throughout the year not only makes more sense in evaluating the employee, but also in terms of effective motivation as well. Naturally, there are some powerful benefits to having more than one career review meeting every December.
3 Reasons to add a few career review meetings to your schedule
1. Separation of the career review & bonus/increase decision
Generally speaking, when you separate the performance review from the pay increases it takes a great deal of stress out of the meetings. By having a midyear career review meeting, you can discuss goals with your employee and your employees can get a heads up on what they need to do in order to reach those goals. When you see a deviation of the goal and the progress, you have enough time to coach the employee on how to reach their goals on time. This approach helps considerably since the attitude changes from being defensive to positive and more open about the possibilities rather than having to defend their record.
2. Improved Employee Engagement:
When you have one, two or more reviews that are separate from the meeting about pay increases, you increase your effective engagement with the employee. This not only helps keep the employee calm and less on the defensive, but puts you as a manager in position of being able to be more proactive in discussing the positives and where improvements can be made. This leads to a tighter bond between you and your employee.
The less pressure that is on an employee and the manager involved in the review, the more honest, open exchanges that can take place. This is because there is less riding on the outcome of the review itself with other elements being covered in previous sessions. A more open atmosphere leads to a more productive meeting.
Why Separating The Career Development and The Pay Increase Meetings Really Works
Although it may seem like more of a hassle for you as a manager to conduct additional meetings, the result is that employee performance and even productivity may increase substantially thanks to the shift away from the “all-in-one” session. Early sessions can inform employees of their target goals and will help them focus on what needs to be accomplished so that they can qualify for raises.
The net effect is that stress is greatly reduced and there is a powerful shift from meetings being stressful and defensive in nature to more open and positive as a result. Plus, for companies there is another advantage is providing employees with as much positive reinforcement as possible to achieving their goals so that they have every chance to succeed. By only having one meeting, effective performance evaluation is reduced with employees feeling that they were not given the correct guidance to reach their goals.