The Dangers, Destruction & Despair
& How to Stop the Madness
Who doesn’t love annual reviews?
Think for a moment as to why you conduct annual reviews. What are the objectives? How successful have they been at accomplishing those objectives? Did you even have objectives set around the process? Have you ever measured their effectiveness and if you did, would the joy and effectiveness rating of the annual performance review process get more than a C- from either the evaluated or from the evaluators?
My experience has been that clients who have transformed annual reviews from a once a year performance appraisal and compensation discussion (an event) to a very different process are glad they killed this beast.
If you are guilty of still feeding this demonic effort, it’s time for you to drive a stake into the heart of this monster and begin rebuilding the lost relationships between your managers and the managed.
First realize the untallied costs of this miscreant.
Next think about the intentions, objectives and potentials that are lost because of this dysfunctional approach:
I recommend a semi-annual review of what people see as most empowering and disempowering around what their manager and the company do. I suggest at least a quarterly review around progress on objectives and the related quality of work, both positive and opportunity areas. It is best to avoid only annual compensation adjustments because it is more convenient to your budget, rather promotions and compensation should be made when they are most mutually beneficial to the growth of the company and the individual. The key is pushing the envelope of growth and not fitting to some annual bad habit.
Since 1990 Mark Faust has run www.EchelonManagement.com a growth and turnaround consultancy, providing facilitators and speakers who’ve worked with clients from the c-level of the Fortune 500 as well as owners of multi-generational family owned companies. Mark can be reached at: Mark@EM1990.com or 513-621-8000