If there are two months in a year I dread about those will be January and July as those are the months where I am deeply involved in the performance appraisal process as we deal with a lot of misplaced expectations
Performance Appraisal is that time of the year where everyone thinks they are doing an absolute fantastic job and the manager thinks rarely anyone does a good job.
I might not be the best guy to write on this topic, still taking a shot given this has always been a challenge in managing teams.
Here is the first myth I did want to break - performance appraisal is not about compensation, performance appraisal is about feedback on performance for a defined period. Compensation is one of the outcomes which happen post performance appraisal.
From my experience, people are worried only about compensation that they confuse between performance appraisal and compensation.
One of the interesting facts which I do want to share is how the employees rate themselves - Almost all of the people whom I see rate themselves EX (Exceptional, doing perfect for the role defined) or EE (Exceeds Expectations for their role). Why do people feel so?
# The goals which an employee needs to work towards is not clear for either the employee and/or the manager and their is a communication breakdown
# Managers are not giving continuous/on-going feedback on the performance of the employee leading to misplaced expectations
# Employees are not reading the feedback (direct or subtle) given by managers and/or ignoring the same.
There are multiple reasons why performance appraisal is important which includes:
# People are encouraged to perform better based on feedback - Positive and Deltas...a good time to assess roadmap and career plans
# It is a good time to do course correction - Alignment with goals and changes to be made
# Highlight opportunities for the future and motivate them to perform better
The key take away which I want to highlight here is the fact that performance appraisal is not about the two months of the year when employee performance is reviewed - but an ongoing cycle on each work day where there is constant interaction and feedback between employees and managers. While this might be difficult, if this doesn't happen then the whole performance appraisal process also becomes difficult.
From my experience, people are worried only about compensation that they confuse between performance appraisal and compensation.
One of the interesting facts which I do want to share is how the employees rate themselves - Almost all of the people whom I see rate themselves EX (Exceptional, doing perfect for the role defined) or EE (Exceeds Expectations for their role). Why do people feel so?
# The goals which an employee needs to work towards is not clear for either the employee and/or the manager and their is a communication breakdown
# Managers are not giving continuous/on-going feedback on the performance of the employee leading to misplaced expectations
# Employees are not reading the feedback (direct or subtle) given by managers and/or ignoring the same.
There are multiple reasons why performance appraisal is important which includes:
# People are encouraged to perform better based on feedback - Positive and Deltas...a good time to assess roadmap and career plans
# It is a good time to do course correction - Alignment with goals and changes to be made
# Highlight opportunities for the future and motivate them to perform better
The key take away which I want to highlight here is the fact that performance appraisal is not about the two months of the year when employee performance is reviewed - but an ongoing cycle on each work day where there is constant interaction and feedback between employees and managers. While this might be difficult, if this doesn't happen then the whole performance appraisal process also becomes difficult.
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