Best Practices for Employee Performance Appraisals
Overview
• Staff should be told about good/poor performance when it happens; the performance review should not contain “new” information
• Managers should consult with others in the organization about the performance of their staff (anyone who might have relevant information)
• Employees should be aware of how their performance will be assessed before the review
• Goals need to be difficult enough as to be challenging but “simple” enough to be seen as attainable
• Goals should be specific, measurable, attainable, relevant, and time sensitive
• The employee should take an active part in goal setting
• Ensure that the employee’s goals align with organizational objectives
• Have an open mind about employee’s future goals
Preparation
• Be aware of the organization’s objectives and strategic plan for the coming year
• Be aware of the employee’s major accomplishments in the past year
• Be aware of the employee’s development efforts in the past year
• Be aware of whether or how fully the action plan agreed on at the last review was carried out
• Take time to consider if the employee had the opportunity/time to take on more, show initiative or was overworked
• Refresh your memory about the professional aspirations of this employee
• Be aware of the formal training initiatives planned by the organization for the upcoming year
• Be aware of the organization’s human resources strategic plan for the upcoming year
• Be aware of any major obstacles that may have prevented the employee from achieving objectives
• Anticipate problems which may occur during the meeting and develop a strategy for dealing with them
• Ensure that the employee has ample time to prepare for the meeting
• Do not let the last appraisal you did influence your thinking on the current one
• Get assistance from colleagues when your relationship with the employee threatens your objectivity
• A performance appraisal meeting should be a two way process. Be clear about your expectation that the employee participate fully.
• Be clear about whether you are evaluating an employee compared to his/her colleagues or against a pre-determined standard. Be consistent.
Best Practices for Performance Appraisals - Conducting the Review (Manager)
• Avoid asking questions which can be answered with 1 word (closed questions)
e.g. of a closed question: “Do you find your work challenging?”
e.g. of an open question: “Tell me about the aspects of your work that you find challenging.”
• Try to decide ahead of time how long the review will last (ideally between 45 and 90 minutes) and attempt to stick to that decision
• Do not try to deal with more than 2 or 3 performance problems at the review
For each performance problem:
• State the behaviour in specific terms (e.g. “Your work is not submitted on time.”)
• Give at least 2 specific examples of that behaviour (e.g. “I received the XYZ report 3 days late in January and a week late in May.”)
• State the effect that the behaviour has on quality of work, on customers, on colleagues, etc. (e.g. “When the XYZ report is late, the projections which the CFO needs are late. This may result in poor financial decisions.”)
• Be clear about what the required performance should look like (e.g. “In order to get the projections to the CFO on time, I need the XYZ report on the 5th of every month.”)
• Obtain the employee’s opinion/comments (e.g. “What would you like to say about this matter?”)
• Decide together how the necessary change will occur (e.g. Perhaps the employee needs to rethink his/her work priorities, with the manager’s help)
• Ensure the employee’s commitment to change (e.g. “Do you agree that the XYZ report will be submitted by the 5th of every month from now on?”)
• Agree to follow up on progress (e.g. “Let’s meet in two weeks to see if you’re running up against any obstacles to the plan.”)
• Comment on the performance/behaviour, not the behaviour
e.g. on the person: “You seem a bit distracted lately.”
e.g. on the behaviour: “You are producing less than usual.”
• Give specific examples of what was done well if you’d like to see that performance/behaviour repeated
• Ensure your assessment covers the entire period, not just recent events
• Avoid being unduly influenced (either positively or negatively) by 1 event even if significant
• If the employee reacts in a highly emotional manner during the review, try working through it before deciding to end the meeting. If terminating the meeting seems like the best alternative, be sure to schedule another meeting within several days.
• Be sure to set follow up meetings to monitor the employee’s action plan and objectives
• Do not permit any outside interruptions during the meeting
• Do not criticize an employee for something they had no control over
e.g. taking a long time to complete an assignment because computers were not functioning properly
Best Practices for Performance Appraisals - Employees
• Keep a record of both positive and negative aspects of your performance. Include specific examples
• Ensure you are familiar with how your performance will be measured
• When developing goals, ensure they are compatible with the organization’s goals
• Consider what the organization and your manager can do to help improve your performance. Be prepared to discuss
• In addition to considering where your strengths and opportunities for improvement lay, think of how you can make changes
• When commenting on your manager’s ability to help you perform well, speak only of behaviours, not of him/her as a person
e.g. of a person: “You don’t seem interested in my professional development.”
e.g. of behaviour: “I believe I would have progressed further this year, if you had spent more time with me.
