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Are Your Employee Performance Evaluation Methods Killing Your Company?

The same tool you’re using to help save your company may be poisoning it from the inside. 360 degree feedback questions are a great way to measure and improve employee performance. That being said, the wrong evaluation methods can actually cause some serious harm to your business.

How do you know whether your evaluations are a help or a hindrance? Here are six surefire signs that your employee performance evaluations are killing your business.

Your performance reviews are 100 percent negative
Although you want to use your evaluations as a tool to highlight ways in which your employees can improve their performance, you also want to reinforce their best behaviors. Also keep in mind that the occasional pat on the back helps support morale.

As Forbes contributor Eric Jackson said in a recent article, “Say thanks to your people when they do a good job. It’s the cheapest bonus you’ll ever pay.”

Your performance reviews are too monolithic
Nobody likes to be talked down to. If a supervisor is the only team member giving the employee review, you are talking down to your employees in their performance reviews, no matter how positive or negative the content may be.

For many, this creates an instantly negative perception of the review. Instead of doing this, create a comprehensive performance review that includes the combined opinions of peers, subordinates, supervisors and even the person being reviewed.

Your performance reviews are too vague
There should be no room for interpretation in your employee performance reviews. Vague questions and responses can create misleading result. Avoid broad questions like “How well do you think John has done here?”

Your performance reviews are dishonest
This is the worst thing you can do with your employee reviews. Dishonest reviews mislead people to the point that they will feel as if somebody has a personal vendetta against them when they are penalized, fired, or don’t get that promotion they were expecting.

Also keep in mind that this will in no way help you improve performance.

Your performance reviews don’t focus on the big picture
“What have you done for me lately?” is a factor that should only account for a portion of your performance reviews. If they only focus on the most recent work, then employees will be dismissive of them at best, and annoyed with them at worst. Either way, no progress will be made.

Focusing on the big picture also means looking beyond what the individual is doing and considering how the company, peers, and other environmental factors affect performance.

As the Performance Management and Appraisal Help Center said in a recent whitepaper, “Even the most talented employee is going to have difficulty performing well if he or she lacks the tools, is impeded by poor business and production planning, is not given sufficient resources, or is adversely affected by the work environment.”

What impact are your employee performance reviews having?
Always make sure that your employee reviews are holistic, clear, and take into consideration the fact that your employees are human. If you find that your current evaluation tools don’t allow you to ask the right questions, then maybe it’s time to consider 360 degree feedback. Contact us today for a live demo to learn more!
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