What Matters Most – Performance or Management?

Many companies today want to change how they measure employee performance. For years, businesses have given annual reviews but trends are showing that may not be the best format anymore.

Recently, businesses have switched up their typical review system to year-round coaching. Employees no longer have to wait with expectation for their yearly review because they receive ongoing feedback throughout the year.

One has a better chance to correct their behavior if they are told in advance rather than allowing them to continue down an incorrect path. Further, an employee is able to hear affirming words of what they do right and they will most likely be inspired to continue.

Here are a few facts:

  • The phrasing of performance management is changing.
  • Employers are focusing on the positive more than the negative.
  • Staff members are feeling inspired. They’re ready to take on more of a work load.
  • They’d rather learn and grow than run around fixing their mistakes.

More than 50% of employees do not feel like their performance reviews accurately depict their potential or work. As a company, you should try and nurture and benefit your employees. This is all part of the retention process. The culture and attitude that you facilitate is key in how your employees will react to change, training and basic expectations. Really examine the size of your staff, company and your goals before making a switch.

In other words, does a change in performance management make sense for your business? Perhaps your company could consider quarterly checkpoints. Maybe you should schedule a 90-day review and then a 6-month evaluation to follow in order to measure growth.

Employees will typically thrive in situations where they are encouraged to grow rather than constantly critiqued. Performance management is something to consider, but a tweak to the norm will most likely produce better results.

Try to go with checkpoints along the way rather than a ‘dreaded review’ or critique. This will be great for ongoing training and both your business and employees will thrive.


Need help with employee retention? Contact us today!


Written for us by our associate Gary Sorrell, Sorrell Associates, LLC.

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