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Perspective on Employee Performance Appraisals 

Performance appraisals de-value workers

If you change your organization to empower employees who work in teams you will stop the fear employees have of trivialization. Often workers have put their heart and soul into an effort and fear it will be turned into a cold, sterile number. They lose enthusiasm and zest for their job and consequently the organization loses. 

Team based work promotes growth of employee responsibility. In a team employees receive feedback and can measure and correct their own performance and behavior. Any promotions and bonuses will be tied to specific, measurable results within the team. If you eliminate performance appraisals, you will eliminate the destructive effects of employee demoralization, distrust and fear that employees suffer when they are rated and judged by someone else. 

Continual collaboration promotes workers

The coaching and feedback process alive in a team provides the communication necessary to address lack of skill or limited resources, work environment and behavior patterns. The coaching process provides solutions to problems rather than a heavy record to be tied around the worker’s neck before you throw him or her out. If you work together everyone becomes a leader and you will see improved performance of the whole system which includes improved quality, increased output and employee pride.

Progressive improvements satisfy everyone

Within the team structure management and employees set common and collective goals so your company can meet customer needs with the best quality product and service. Most quality problems are derived from the performance appraisal system. Without them you will see your employees collaborate toward measured improvement of systems, processes and methods with which to achieve quality products and service. You will see improved organizational performance when your teams work together to establish measurements of the systems in order to understand the causes of variation. 

Consider the cost

The cost of a system of performance appraisals is astronomical. Consider what it costs to create, print, file and distribute all the forms involved. Then evaluate the cost to train the supervisors, managers and executives in the entire appraisal process. What it costs to prepare the appraisal, set the goals and the objectives, conduct the appraisals, review the appraisals, approve the appraisals, maintain regulations on the appraisals, develop procedures to appeal the appraisals, settle any grievances and handle possible lawsuits! Some estimates say that with a 500 person organization the cost is over $1 million every year. 

Make a change

Your organization can make the change. Don’t be one of the companies that continue the practice of performance appraisals even though the alternative methods and their benefits are obvious. Restructure is not that difficult. There are scores of books and consultants that can lead you through the process. Learn how to flatten your company from the old hierarchy where short-term performance clobbers long-term planning, creates fear, demolishes teamwork and promotes rivalry. 

Learn more:

Unwanted,disliked,dishonest: performance appraisals must go

What’s Wrong with Performance Appraisals?

Performance Appraisals Don’t Work

Performance Reviews Don’t Work

Appraising the Performance Appraisal