In 2022, a constantly shifting workforce — location, age, demographics, etc. — means effective employee feedback is essential to improving performance. What’s more, outdated models of feedback, including an annual performance review, might not work as well as they once used to.
“When organizations reduce workers and their performance to statistics, they encourage employees to compare these figures. As a substantial number of firms relate performance to incentives — such as salary raises or bonuses — this may foster a dysfunctional culture in which workers are rewarded for ticking off chores or accomplishments from a list instead of growing personally and professionally,” says Dr. Elizabeth Lombardo, author of “Get Out of the Red Zone,” a book about crushing your inner critic so that you can live a life of purpose, fulfillment, and success.
Whether you’re looking to rid your organization of annual performance reviews altogether, or are just seeking advice on optimizing employee performance discussions in-between reviews, we asked experts who are well-versed on the topic to give us their thoughts on alternative performance review structures. Here is what they had to say:
- Provide continuous feedback to staff
Employers who provide regular feedback to their employees see a dramatic increase in productivity. Continuous performance management makes frequent feedback possible, and performance review software advancements have made this process simpler and less time consuming.
- Nick Jordan, Founder & CEO of Workello
Providing continuous feedback is usually a more effective alternative to annual performance reviews because it allows you to address challenges as they happen, instead of waiting to address them at a later time,
- Mila Garcia, co-founder at iPaydayLoans
2. Conduct ongoing one-on-one mentorship with employees
An alternative to providing performance reviews is providing one-on-one mentorship opportunities to employees with regular check-ins. For example, some college professors have regular office chats with their students to keep them on track and clear up any questions. This same process can and should be applied in the workplace. Instead of employees getting nervous leading up to their performance review, they are constantly improving and growing in the short-term and long-term, with consistent advice from a trusted mentor.
- Cesar Cruz, fashion designer and co-founder of Sebastian Cruz Couture, a direct-to-Consumer eCommerce luxury menswear brand.
3. Hold quarterly check-ins
Instead of doing annual reviews, I do quarterly check-ins with my team members. While the quarterly check-ins work well for us, it may not be the right solution for everybody. If you want to stay in touch with remote employees, take advantage of the video conferencing tools that everyone knows how to use now. I think that if your employees are comfortable with it, you can even use texting to do more frequent check-ins.
- Nelson Sherwin, manager of PEO Companies, which helps find Professional Employer Organization solutions.
4. Conduct reviews that are project-based
Employers and managers can conduct project-based reviews. You can meet with individual employees or small teams once they’ve completed an assignment to assess its success and unpack the work process. This method gives employers the chance to provide actionable feedback and allows employees to analyze their productivity. With project-based reviews, it’s easier to establish what metrics you’re using to measure employee performance, and employees can directly implement your feedback and support into the next project. They boost employee morale and improve collaboration.
- Justin Soleimani, co-founder of Tumble, a homeware company that creates home furnishings.
Project-based feedback allows me to make timely and relevant assessments of employees’ work and opportunities for growth.
- Todd Ramlin, manager of Cable Compare in Salt Lake City, a website that reviews television and Internet plans
5. Utilize processes that integrate feedback from supervisors and colleagues
360-degree feedback, a process through which feedback from an employee’s subordinates, colleagues, and supervisors, as well as a self-evaluation by the employee themselves is gathered, is essential in measuring and understanding the impact of workload on an employee’s performance. The data you collect should be both quantitative and qualitative. This means the questions can range from how well the team member prioritizes their workload and meets deadlines to whether they embody the company values. A well-structured 360-degree review helps your team members know what actions to take to improve their performance and ensures that their daily activities align with the team’s overall goals.
- Shaunak Amin, co-founder and CEO of SnackMagic, a build-your-own SaaS snack box service.
6. Use a performance management applications
Going digital is an alternative to annual performance assessments. Consider introducing applications and digital performance evaluation tools that provide staff with real-time feedback and mimic social media environments. Some even offer the opportunity for employees to make their input available to their peers.
- Sina Will co-founder, designer, and marketing manager at Foxbackdrop
Applications, such as Bluxinga, can help enhance employee-employer relationships, which is crucial for ensuring consistent and clear communication and garnering a culture of high-quality performance.
The technology simplifies the process for communicating accomplishments and empowers employees to share, collaborate, and achieve their KPIs. It works by allowing employees to record real-time their successes and receive immediate gratification and recognition, ensuring alignment of goals with managers.
- Stefanie Cavallo, BluXinga Advisory
7. Provide individualized metrics for regular performance reviews
The existing evaluation method misunderstands the function of managers in the contemporary workforce. Today’s managers should be leaders, stewards, and coaches instead of the all-powerful boss who uses year-end appraisals as a power-and-control mechanism. In strong manager-employee interactions, frequent check-ins, stand-up dialogues, and strategy and planning meetings eliminate the need for yearly reports.
8. Deliver goal-based performance reviews
Emphasize that these reviews are about personal development and less about macro goals such as organizational productivity. When employees see that these regular meetings are about them, then they are more likely to commit to and even initiate them.
- Ben Lamarche, general manager at Lock Search Group
Good managers track employee goals and help them work towards it, advise them on how to overcome obstacles as well as keep track of their progress. Using this approach makes employees feel taken care of and free to ask for assistance.
- Alex Smith, chief executive officer at Lucky Bobbleheads.
