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Best Practices 8 & 9Posted: 1/29/2007#8 – Have a formal, annual performance review requirement for all employees
The performance review process becomes much easier once job descriptions are in place. Then, all measurements can tie back to the competencies listed in the job description. The employee knows his/her responsibilities and the metrics to be used in assessing their performance. This takes the surprise-factor out of reviews, by allowing you to set clear expectations and goals. And, it allows you to get employee “buy-in” prior to the start of the review period.
You should also evaluate your performance review process on a regular basis, to assure that it aligns with the overall company mission and strategic goals. At the same time, you should assure that all managers are linking company goals to the individuals’ goals. The final step is to make sure that your managers properly apply merit increases and other incentives to individual performance and company success.
#9 – Train all managers on the proper use of the performance review system
For a variety of reasons, performance reviews never rank among managers’ highest priorities. Regardless of company size, senior management is responsible for changing that perspective in the new millennium. In some respects, smaller companies are more vulnerable to a single poor performing employee – you’re only as strong as your weakest link!
Train managers in contrasting job descriptions to actual performance; on monitoring performance all year long. Train them in proper review writing and delivery techniques and on how to handle the tough issues, like salaries and raises. Concern about these issues often fuels manager procrastination.
Provide the employee a copy of the review ahead of time, so they can review it – and, always make certain that reviews occur on time.
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