The Performance Management Process: Tips & Best Practices

Today many companies have adopted highly effective performance management systems that help them develop and maintain a positive performance evaluation process.

These are the best practices that successful companies frequently use:

• Being realistic about past accomplishments and future goals
• Avoiding references to age, race, ethnicity, gender, or disability
• Avoiding implied promises
• Considering the performance during the entire review period and not just during the last few months
• Avoiding the use of other people’s names during performance reviews. It is better to use job titles and organizational terms
• Making sure that employees understand the criteria on which they are being evaluated
• Reevaluating goals with each employee a few months before the final evaluation. Modifying goals as necessary to reflect shifting priorities or responsibilities
• Keeping notes on the performance of employees throughout the year; saving emails or other correspondence that document excellent or lousy performance. Keeping notes on completed activities and the circumstances of absences or disciplinary actions
• Allowing employees to evaluate their own performance
• Showing respect to each employee by preparing for the performance review. Scheduling meetings at least a week in advance at a time that is convenient for the employee. Conducting performance reviews in a private office or conference room. Having all documentation completed and provide a copy to the employee
• Treating a performance review meeting as a focused business meeting and keep all conversations confidential
• Not waiting until the meeting to inform an employee of unsatisfactory performance. A manager should not raise any surprise issues during the meeting
• Maintaining a professional approach when completing the evaluation documentation. This document can be used as evidence in grievance hearings and other legal proceedings. A manager should not include humorous anecdotes, personal information, judgmental statements, or offensive or discriminatory language
• Including all pertinent information. Not omitting information because it is uncomfortable to discuss or potentially contentious
• Keeping control of the meeting, not entering into a debate with an employee. The manager needs to decide the ratings, and if he has been fair in his assessment
• Providing a copy of the evaluation to each employee before the meeting, allowing the employee time to review the ratings/comments. Providing a recap of the employee’s overall performance in a positive and supportive manner. Explaining that the remainder of the meeting will focus on accomplishments, areas of concern, and setting future goals
• Encouraging employees to share their thoughts and suggestions. Being open-minded and looking for opportunities for improvement

A well-established performance management process combined with excellent performance management software that streamlines and simplifies the process is the perfect combination for a strong company. A happy employee can go a long way for an organization to succeed.