If you want to master performance appraisal be prepared to put out the effort. As a manager or supervisor who is responsible to monitor and measure employee performance, there are a number of strategies that you should apply if you and your employees will get value from the performance appraisal process. Despite the debate as to whether the “performance appraisal is dead”  many small companies still use it as a talent management tool. Heightened attention is often given to performance reviews at the end of the business year.  It is important to keep in mind,, however, that the process has a number of steps that are just as important as the actual end of year rating.  Here I will share three strategies that are useful to make sure that your performance appraisal process serves its true purpose.

Set Goals

Your direct reports need to be clear on exactly what about their performance is being measured. To ensure that both of  you have a common understanding, create the opportunity to engage in discussion about the goals, and performance standards that you are aiming for. This has to happen at the very beginning of the appraisal period. The job description generally serves as a base from which these goals and performance standards can be created. The strategic goals of the company is also something that you should reference to help your employees determine how their performance goals tie in with what the business is trying to achieve.   Make it a joint project where you and your employees are directly engaged in setting and agreeing on the goals and standards that you will hold them accountable for. Your discussion should focus on the key areas that you want to measure. Include the support that your direct reports will need in order to achieve these performance targets and how you are able to facilitate their success. In other words, do not just set targets and leave your employees to sink or swim. Consider what support is needed and how you can ensure that the work environment makes it possible for them to achieve these performance targets. Let this be included in the performance plan.

Provide Continuous Feedback

Each company has its own practices surrounding evaluating employee performance. For many companies, formal documentation which involves recording scores and levels of achievement, are done once or twice per year. But between these intervals it is important to provide continuous feedback. Providing feedback does not have to be emotionally draining. There are some steps you can take to make it meaningful. A good strategy is to build open communication between you and your team. You can achieve this by periodic informal check-in with your direct reports that help to build rapport and trust. Also include opportunities to receive feedback from your team members as well. When you already have a pattern of communicating about how your employees are managing with their responsibilities. When you regularly discuss the challenges they are facing and your role in resolving them, then getting together for a more formal performance review at a set interval is easier to handle.

Make It a Positive Experience

Try to make the appraisal a positive experience. The appraisal should be an opportunity to highlight what has worked and to come up with ways to make improvements in areas that have not gone so well. If you are giving and receiving feedback during the entire process, then there should be no surprises. Here are some things to pay attention to during your appraisal discussion.
• Clarify performance expectations
• Recognize achievements and make employees feel valued
• Identify challenges to good performance
• Brainstorm ideas to overcome performance challenges
• Identify training and development opportunities

Avoid the practice of some appraisers who simply hand the appraisal document to the employee saying “you may look over this and sign.” Instead  use some of the pointers above to guide your interaction. Implementing a formal performance appraisal system does come with challenges.  Many supervisors struggle with the whole process. It is more than just completing a checklist.  Using an electronic system does not magically minimize the effort that a proper performance appraisal requires. Once your company has created a process, then commit to giving it your best effort. If you feel uncertain about your ability to effectively carry out a performance review, reach out to your HR team. If that’s not available, reach out to other leaders in the business who can provide you with training or coaching to strengthen your abilities as an appraiser. Your goal should be to make sure the process add value for you and your employees.

Conclusion

The key thing to consider is that performance appraisal is  “not a destination, it is a journey.”  It is much more than just completing paperwork and checking off the boxes because management says this must be done nd submitted at a certain time each year.   Use strategies to  make sure employees feel fully vested in the process. Strategies such as periodic check-ins, regular constructive feedback on how employees are doing and not stacking employee performance in a competition against one another  will help to make the performance appraisal more useful and less contentious. Documenting  significant  incidents over time  that reflects employee true contribution  also adds value. In the midst of the discussion about whether the performance appraisal is dead, the tips listed above can certainly help those who review  employee performance to master the process and revive its value.