Friday, June 12, 2015

What if there were no more Annual Performance Reviews?


By: Jonathan Creaghan – Solutions for the Human Side of Business 
 


Wow, would that be a relief!  I haven’t met either a leader or staff member in my over 25 years of helping companies grow who relishes the experience.  Stats found in the Psychological Bulletin show that 30% of performance reviews ended up with decreased employee performance.  Another 45% of HR professionals don’t think annual performance reviews are accurate, and according to a recent US poll done for the firm Achiever, 98% of staff found Performance Reviews to be unnecessary.  

So why is the Annual Performance Review so disliked?

o   Typically based on negativity and the past.

o   Doesn’t get to the root of the matter, the real issue, merely the surface reason.

o   Managers actually don’t really know how to help the staff member improve.

o   Most leaders dread doing them – the time, the potential for conflict, and no structure available for follow-up 
 
 
Yet Annual Performance Reviews continue to be administered by 93% of companies as discovered by Professor Edward Lawlor of University of Southern California.  

So why do Performance Reviews continue to be done?  Because leaders have to know how people are doing. It is our nature to measure success. It seems that the APR is so ingrained into the work culture, that to get rid of them would be impossible.  

So maybe going cold turkey and stop doing Annual Performance Reviews will be too difficult, is there an alternative?

Is there a way of measuring performance without enforcing a hated and archaic tool?



A future with of no Annual Performance Reviews that still gets the job done. 

First of all drop the word “review”. This implies a past. Use new language such as “development” or “growth process.”  Terms which mean/reference a vision of improvement and focus on movement forward. 

Next get rid of the word “annual”. Because these discussions should never be annual.  It can be too late to let someone know how they are doing. Isn't it better to allow them be able to look into the future and show them how they can progress? A road map that shows them where the next destination can be, and then help them get there? 

Finally focus not on “performance”, which is an outcome, rather focus on that which defines their performance: Behaviour.  Behaviour is the answer, the tool to use to get the outcome, to get the performance.   

So the answer is a roadmap that defines the path and defines a clear set of behaviours (or stages) to follow that ultimately achieves a high performing outcome.  Where the person is measured along the way. 

Of course in sales it is clearer whether someone is succeeding or not. Is she or he hitting their sales numbers? But even here the focus is usually on performance rather than the behaviours necessary to achieve the performance.

It is my belief that by providing a relevant and pragmatic experience that occurs on a regular basis, both the leader assisting the employee, and the employee will then respond positively and see results, and the company will be stronger for it. 

 

Copyright © 2015, Jonathan Creaghan all rights reserved  

                Jonathan Creaghan helps clients transform themselves and their workplaces.  He believes that businesses ultimately succeed or fail because of the human factor.  He teaches people to think differently, to see reality with fresh eyes when solving issues that impede them, whether personal or business.  Jonathan provides “Solutions for the Human Side of Business”.  www.jonathancreaghan.com  

Jonathan is the creator of the TotalLeader® 21 Leadership Assessment and TotalLeader® Development Program. He is the author of several books including Duxter’s Leap, Thinking Differently® about… Getting More Done, Succession.  His books are published around the globe in several languages.  Jonathan is also a sought after contributor for leadership blogs originating in North America and the Middle East.
 

For more information on  Jonathan Creaghan:

-       www.jonathancreaghan.com  


-       519.472.2562

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