Melissa Dahl looks at the research into performance reviews in a recent Science of Us blog (read it here) and finds that there is little to support its practice. It appears the annual performance review is typically viewed as just another thing on the list of compliance items for managers and employees, with little actual benefit.
Dahl reports that the research has discovered the performance review is treated as an administrative ritual to be performed rather than valued. Usually it is a demotivating process rather than motivating employees to do better. The most recent research notes that the annual performance review ignores the social context of the workplace. That is, it is a formalized process that is both artificial and unnatural. Supervisors are required to shift from being inspiring and motivators to evaluators.
And most surprisingly, the research indicates that even employees who view a negative review as an opportunity to grow and learn will most often end up feeling discouraged and unmotivated.
There is an alternative that has emerged from the research – a simple one at that. It is to discontinue the annual performance reviews and instead use informal feedback sessions to address issues as they arise. The research shows conclusively that where a conversation directly follows an issue occurring there is usually an actual improvement in performance.
So the message is clear – stop imposing artificial performance reviews on your employees and instead start having timely conversations with them. But only if you want to see employee performance improve.
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