Performance review. Performance appraisal. Whatever you call it in your business, most managers have to do it. Most employees have to go through it. But what, exactly, is the point of the performance review or appraisal meeting? What’s its purpose?
In my view, the purpose of performance review and appraisal is improvement. It’s about:
• Improving the job performance of the employee
• Improving the employee’s job satisfaction
• Improving the performance of the company / organisation
• Improving the likelihood of the employee and company / organisation developing together to their mutual satisfaction
OK, let me be clear here. A performance review or appraisal meeting alone cannot achieve these improvements. We all know that an annual review or appraisal meeting – undertaken as a stand alone / once a year discussion between a manager and an employee – achieves very, very little (if anything at all). Performance review or appraisal is (or should be) part of a structured, ongoing performance management system (see an example of a performance management system HERE)
So remind me, what’s the point of the performance review or appraisal meeting?
The point of the review or appraisal meeting is to:
a) Clarify areas for improvement – improvement of the employee’s performance and of their job satisfaction and
b) Clarify how those improvements will be made
So, what are the objectives of the appraisal meeting?
Objectives of the Performance Review or Appraisal meeting
Within the four improvement areas I outlined above there are six objectives we can identify:
• To review actual employee performance against agreed performance objectives and standards
• To review the performance objectives or standards and agree new objectives as necessary
• To identify the development needs of the employee and plan how to meet those needs
• To identify job satisfaction needs and plan how to meet those needs
• To plan, in advance, the on-going job performance requirement
• To agree with the individual future action plans as a result of the appraisal.
(You can see a performance appraisal meeting agenda to meet these objectives HERE)
The point of the performance review or appraisal meeting – summary
Sometimes, for both managers and employees alike, the point or purpose of performance appraisal meetings is a mystery. When managers and employees can see that the meeting is about improvements – to both performance and job satisfaction – the meeting becomes much more relevant
Would you like to learn – in just 10 minutes – how to run motivational performance review or appraisal meetings?
This guide was easy to read, well structured and easy to follow… I particularly liked: the emphasis on motivation; the inclusion of job satisfaction ( not something I had come across as a specific appraisal topic before); the approach of drawing in the staff member to the whole process ( making them prepare and getting them to give their views first); the idea of sharing performance feedback and that the manager should be prepared to change their mind on whether objectives have been met in the light of information given by the member of staff.
You can check it out on Amazon (and try a sample) HERE