We’re heading into the final stretch of 2016, and for many workplaces, that means it’s time for annual employee reviews. In October, we asked our readers if they believe annual reviews are still relevant, and according to the results, 53% say reviews are relevant—but they should be ongoing throughout the year. Another 17% believe formal, annual reviews are an integral part of a successful management strategy.
On the other end of the spectrum, 20% say employee reviews have little effect—good or bad—on performance, and 7% went as far at to say reviews actually do more harm than good.
Additionally, 3% of respondents selected the “Other” option and provided their own thoughts about annual employee reviews, including:
- Every day is an evaluation. I do it for myself and my staff.
- Annual is too infrequent. Constant and immediate is best.
- They should be given only for exceptional and poor performers.
- If used solely for salary/bonus, lacks meaning as budget determines result.
- Performance reviews are vital in documenting and dealing with problem employees.
- Review as needed; otherwise wastes time!
- They are paper exercises to justify salary increase.
In the end, it all comes down to individual companies deciding if annual employee reviews are effective at helping their workforce grow and develop. Many factors contribute to the overall success of employee reviews, including company culture, industry, and level of seniority.
Check out these past Refresh Leadership articles for more insight into annual employee reviews:
- Quick Tips: Maximizing Employee Performance Reviews
- Guiding Your Employees Through a Halftime Review
- After the Review
How does your company handle annual employee reviews? Is the process productive? Let us know in the comments section below.