5 fatal problems with performance reviews
TRANSCRIPT
WITH PERFORMANCE REVIEWS5FATAL PROBLEMSAnd the one simple way you can
fix them all.
FIRST THINGS FIRST
Is there really ANY
problem with annualperformance reviews?
POLL QUESTION:
What do you think about performance reviews?
A. I love themB. They are hit or missC. They need some serious helpD. They are completely useless
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HERE’S WHAT THE TWITTERSPHERE SAYS:
@DTFT:Finished self-
evaluation for annual performance review at 4:15. Can think
only of going home and drinking. Was this the intended
result?
@JPSmeresyk: my performance
review was based on inconsistent metrics
and a system that management
admitted was bad and has changed
@megbroph: Didn't cry or yell during this year's
performance review! #makingprogress
@m_doc15:Got my performance
review and "work attire" was listed as a "strength". No such
mention of my actual performance.
I'll take it@HRFella I enjoy the
Performance Review process, said no #HR
person. Ever.
OUR RESEARCH SAYS THERE IS A PROBLEM
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Accurate49%
Inaccurate51%
Half of all employees see their performance reviews as inaccurate.
SALARY.COM AGREES
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“Do performance reviews lead to improved performance?”
Yes39%
Rarely or Never61%
“Do you think annual performance reviews are an accurate appraisal for employees’ work?”
Yes55%
No45%
SO DOES SHRM
ROOT CAUSES
So what is the problem?
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MISSION MUDDLE1
AN ANTIQUATED PROCESS
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70%
22%
8%TO CORRECT MY PROBLEMS
TO STAY COMPLIANT/CHECK OFF THE BOX
TO HELP ME DEVELOP & GROW
WITH FUZZY GOALS
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2DATA DEFICIT
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SELF-LIMITING
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NARROW SCOPE OF INPUT
21%
22%
30%
40%
63%NOT A TRUE INDICATOR OF PERFORMANCE
A SINGLE POINT OF VIEW
FEEL UNDERVALUED
DOESN’T ACCOUNT FOR PAST WORK
DEMEANING
WHY DO PEOPLE DISLIKE REVIEWS?
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3TRUST TROUBLE
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A SINGLE POINT OF FAILURE
POLL QUESTION:
Do you think reviews are objective?
A. Yes, by careful designB. They are only as good as the managerC. No, they are almost never objective
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THE DEVELOPMENT MYTH26%
15%
13%15%
10%
18%I don't have opportunities to grow or advanceI don't like what I do/doesn't maximize talentI want to try something new I want to earn more moneyI don't like working for my managerOther
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53%47%
53% say performance reviews do not motivate them to work harder.
THE EFFECTIVENESS MYTH
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4POSITIVITY PITFALL
AN EMOTIONAL ROLLERCOASTER
47% ANXIETY51% FRUSTRATION 22% BOREDOM
TOP EMOTIONS ASSOCIATED WITH INACCURATE REVIEWS
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FOCUS ON THE NEGATIVE
90%
10%
90% of employees see positive feedback as more motivating.
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5FREQUENCY FAILURE
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TOO LITTLE TOO LATE
Employees prefer immediate feedback
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THE RECENCY EFFECT
Bias toward overemphasis of recent behavior.
54321
FREQUENCY FAILURE
POSITIVITY PITFALL
TRUST TROUBLE
DATA DEFICIT
MISSION MUDDLE
SOLUTIONS
Okay so how can we address these problems?
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Great Reviews
More Positive Feedback
Clearer Alignment to
Goals
More Meaningful
More Objective
More Points of View
More Often
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More Positive Feedback
Clearer Alignment to
Goals
More Meaningful
Less Subjective
More Points of View
More Often
Crowdsourced Feedback
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CROWDSOURCED FEEDBACK11
HUH?
Wait, what is crowdsourcing again?
THE WISDOM OF THE CROWD
75% of employees already give crowdsourced feedback on consumer sites.
75%
25%
OKAY THEN…
How do I crowdsource feedback, exactly?
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INSPIRE PEER FEEDBACK
88%67%
Peer-reviewed employees are more satisfied with their jobs.
GATHER DATA
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INCLUDE IN REVIEW CYCLE
76%
76% of employees want crowdsourced recognition data added to performance reviews
Crowdsourcing input about employee performance creates a market composed of every employee.
Social recognition is the transaction engine of that market.
GET THE BOOK
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crowdsourcedreviews.com
MOTIVATE & ENGAGEALL EMPLOYEES
