"Out with the old and in with the new?" Or Not?!
Performance Management... Employee Evaluations... Performance Reviews... Performance Appraisals…
Whatever your company calls them, you are probably using them to align people directly to objectives and priorities. The main goal of these reviews is also to find out how well the employees performed during a specific period of time. In most cases, the time frame is one year.
Recently, it seems some companies are veering away from the standard review that we all know. Some research claims the reviews are unreliable, time-consuming, and just absolutely deflating for the staff!
Deloitte seem to agree with the research and so they have recently redesigned their entire performance management plan and the change has made headlines!
Deloitte have basically come to the following realizations:
- They cannot build similar goals for everyone in an organization
- They have been wasting two million hours per year “assigning numerical ratings to each employee”
Rather than use a lengthy performance review, Deloitte now appraises the performance of their people after every project, or every quarter, using four simple questions.
The first two are answered with a 1 to 5 scale ranging from “Strongly Disagree” to “Strongly Agree” and the second two are simple yes or no questions.
- Given what I know of this person’s performance, and if it were my money, I would award this person the highest possible compensation increase and bonus.
- Given what I know of this person’s performance, I would always want him or her on my team.
- This person is at risk for low performance.
- This person is ready for promotion today.
So, what do you think?
Should organizations throw out the lengthy reviews and adopt this new approach?
Would you prefer your regular performance review or would you be happy to be evaluated using the above four questions ONLY?
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9 年Good food for thought! I think the importance is not in new methodology but in really giving the proper time to seat with our subordinatinates and tell them where there stands. Everybody should know where he stands and every encounter (meeting, presentation, etc...) should be an additional opportunity to tell it right away.
A catalyst for growth, I challenge entrepreneurial CEOs and their teams in transforming their purpose through new ways of working into measurable high-impact results
9 年damn right! loved the post. Have you researched how AGILE and SCRUM is now effecting HR strategies. There is no reason why all employees can not be aligned every 90 days as a business sets its 90 day sprint. Cut the BS, think, plan and act on a 90 day rhythm. do it well and everyone is aligned. if they are aligned then you have your performance reviews automatically happening!