Optimize the Current Performance Appraisal Program
If you build it, they will work. Optimize your current performance appraisal program to get the most out of your employees.
- Most organizations have a performance appraisal program, but it is an administrative burden and full of holes, which leaves valuable opportunites on the table.
- HR professionals and line-of-business managers may (or may not) understand that their performance appraisal programs aren’t delivering what they should, but don’t have the time or skill-set to change or improve it.
- Performance appraisal programs are often built in isolation. Managers and employees do not have a sense of ownership in the process; therefore, they do not see the value in putting effort into the process of performance appraisals, especially beyond the annual review.
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Our Advice
Critical Insight
- An optimized performance appraisal program has three key elements: validity, reliability, and simplicity. Achieving these three elements will garner engagement in the program.
- The success of a performance appraisal system hinges on valid performance standards. Invalidity creeps in when performance standards are not linked to organizational goals.
- Optimizing a performance appraisal program takes a critical and objective mindset. It is not easy, but when done well, a performance appraisal can shift the culture of an entire organization.
Impact and Result
- Optimize your current program by finding gaps in the links between organizational objectives, departmental KPIs, and individual performance standards to achieve reliable and valid standards while simplifying processes.
- Establish and maintain support from executives and managers by communicating throughout the re-design process to maximize the value of the performance appraisal program.
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Unlock Sample ResearchContributors
51 organizations contributed information to assist with the development of this solution set through survey completion and interviews. Due to the sensitivity of the information, all contributors requested confidentiality.
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