The Annual Employee Performance Review has been developing itself in a large number of companiesince the 1980s. It aims to take stock of the employee’s past year activity, to understand his/her difficulties and to set with him/her specific goals, the means to achieve them as well as the evaluation criterias. Each company has its own model of evaluation.

However, 40 years later, generations have evolved as well as managerial practices. Many managers and employees therefore feel that the current performance review process is obsolete and do not understand its usefulness. A transformation is therefore necessary for this process. What are the changes that could be put in place?

Why change the current Annual Employee Performances Review ?

The annual Performance Review can be a source of stress for both employees and managers.

For the employee, the perspective of being evaluated and that all the work of one year to be evaluated only on this occasion can not reflect his skills. In the United States, 3 out of 4 employees are dissatisfied with the performance review system and would like to see a change in the evaluation process. 50% of employees feel that they are not given satisfactory feedback on the points they could improve.

For the manager, having to make possible negative feedbacks, the rating system or just having to evaluate his employees makes annual reviews one of the first sources of stress. In addition 95% of managers are not satisfied.

 

What type of performance evaluation should be put in place ?

When we ask to managers and employees what are the things that need to be changed in the current review system, many think that a continuous evaluation rather than a one-off review would be more representative of the true capabilities of employees. With this method, employees would be placed in a perspective of constant more effective improvement. Having several moments of discussion between managers and employees could increase collaborative behavior between them.

This system of continuous review is already practiced in some companies such as Google, Adobe, IBMNearly 10% of Fortune 100 companies ended the annual interviews. These companies have seen a better level of commitment of their employees. 
Companies therefore have every interest in performing regular performance reviews rather than an annual review that generates stress for everyone. The results will be even more faithful to the real abilities of the employees.

 

What Shortways can do to help you in these reviews ?

The Shortways solution is a digital assistant that integrates directly into your HCM software. Thanks to its contextual help and step-by-step features, it allows users to quickly take control of the business software used for the performance reviews. 
Whether you decide to change the format of your performance reviews or not, Shortways can help you to secure the run of these campaigns by supporting your teams in carrying out these reviews.