According to a survey done by the Society for Human Resources Management, more than 90% of appraisal/review systems are not successful. The majority of people believe themselves to be top performers and indispensable to their company. Telling a person that they are not as good as they see themselves is upsetting, non-motivational and all around unproductive.
"Many managers use appraisals to point out people's mistakes and personal weakness," says Nancy Slessenger, Managing Director of Vinehouse. "Even worse, other managers skate over difficult issues and agree levels of performance and achievement that cannot be justified. Often employees see the performance review as a complete waste of time. When this happens, the cost to the company is huge."
On the flip side, performance appraisals can be helpful tool, instead of a hindrance, if used correctly. Research done by the Corporate Leadership Council in 2002, sited that clear objectives can improve performance by 36%. That sounds easy enough, but many managers find writing objectives for an employee hard to do. Writing objectives that are understandable and achievable for the employee, and profitable for the company, is even harder.
"Often the objectives at the top of an organization are poorly written. This makes it virtually impossible for people further down the organization to write their objectives well," says Slessenger. "Many people see writing objectives as an unwelcome chore. This is because they don't know how to do it. When you do know how to do it, the whole process is very motivating. You know you've got it wrong when people hate doing it."
Vinehouse.co.uk can help managers and human resources professionals understand that having clear objectives can improve employee performance and offers a free email course on writing objectives . To sign up, go to:
Survey Finds that Employee Performance Appraisals Reduce Performance Or Do They