Performance Review
What is a performance review?
A performance review is a formal assessment in which a manager evaluates an employee’s work performance—it can also be called a performance appraisal or an employee evaluation. Performance reviews can be structured in different ways to effectively identify strengths and weaknesses. They also allow managers to offer constructive feedback and set goals for the future.
What are common goals for performance reviews?
Performance reviews, or performance evaluations, play a pivotal role in the employee experience. This critical process allows employees to gauge their strengths and areas of improvement. With 80% of employees more engaged after receiving meaningful feedback, performance reviews can directly influence employee productivity, satisfaction and engagement if done correctly.
Performance reviews promote a culture of continuous learning and development. These appraisals should help employees understand:
- What they’re doing well
- How they can improve
- How their work aligns with larger company goals
- What's expected of them going forward
Most managers use these performance evaluations to recognize high-performing employees or correct performance issues before they become insurmountable. These sessions also communicate expectations, encourage growth and development, and foster employee engagement.
They also give employees the opportunity to showcase what they’re proud of, discuss compensation and benefits and share feedback on working conditions and processes.
Should managers host annual performance reviews?
Many companies maintain an annual performance review cadence, but it's not required by the Fair Labor Standards Act (FLSA). In fact, less than half of companies give annual or semiannual reviews, and 7% don't offer them at all. However, other companies embrace frequent feedback and conduct quarterly, monthly, or even weekly employee review sessions.
While performance reviews can be nerve-wracking for employees, they don't need to be. Employees often value them to better understand what they can do to advance in their careers. Those who have clear goals set out in their year-end reviews are five times more likely to be engaged at work.
Performance review examples
Some organizations have done away with formal performance reviews in favor of more casual manager check-ins and one-on-one meetings. This helps account for the factors a yearly employee review may miss.
For example, by checking in at least every two weeks, managers and employees can have an ongoing two-way dialogue to discuss meaningful goals. Small steps can help make progress feel more manageable and ensure employee goals continually align with evolving company priorities.
To make the most of your performance reviews, be sure you’re asking the right performance review questions.
What are self-evaluation performance reviews?
A self-evaluation performance review invites employees to reflect on their work, skillset, and areas of improvement. These cultivate more balanced assessments and spark opportunities for discussion. If major discrepancies between manager and employee evaluations arise, human resources can provide additional support and mediation.
Self-assessment performance review tips for employees
If you're preparing for a self-assessment, try using the following tactics:
- Prepare notes. Document any topics you want to discuss, such as your strengths, weaknesses, and long-term goals.
- Brainstorm examples. Be prepared to share concrete examples of how you've met the goals set during the last review and how you've improved overall.
- Self-evaluate. Practice by giving yourself a mock performance review. This exercise can help you identify new strengths, weaknesses, accomplishments, and objectives.
- Come with questions. A performance review should be a safe environment to ask questions. Preparing these ahead of time helps ensure you'll receive answers to the pressing challenges or issues that have been on your mind.