Performance management

5 Tips for Managing Employee Performance Reviews

Timely performance reviews are the cornerstone of any thriving organization that is focused on growth, employee well-being, and sustainability. The overall process of performance reviews involves delegating the achievement of specific goals to employees and providing periodic formal/ informal reviews of their work relative to those stated goals. Performance reviews hold immense value for employees and employers alike, highlighting the need to change what’s not working and keeping the organization functioning on a single page.

Performance reviews should not be an annual event, but a regularly conducted process. Even in small to mid-sized companies, quarterly reviews are recommended for maximum efficiency of staff. Regardless of the frequency of these reviews, these meetings should be conducted for the benefit of the employees and the managers. 

Most performance reviews encompass the following factors:

  • Quality and accuracy of work
  • Communication skills
  • Problem-solving attitude
  • Commitment to work
  • Collaboration and teamwork
  • Punctuality, attendance, and reliability
  • Ability to work under pressure, meet goals and deadlines on time

Listed below are a few suggested tips for managing employee performance reviews with ease:

  1. Conduct performance reviews regularly

For the sake of providing regular feedback, it is crucial to organize periodic performance reviews. Consistent assessments throughout the year avoid ugly surprises and help employees improve their craft on time. You should take constant notes on employee performance and inform them accordingly. Regular feedback provides room for improvement and allows them to deliver on expectations. Employees should not be caught off-guard during performance reviews and should be aware of their performance evaluation.

Managers have to be thorough and aware of how their team members are performing and provide evaluations based on data. Don’t neglect your top performers during the review process. If your review system is focused on only the poorly-performing employees, it’s also time that you express gratitude to your top performers. It boosts their morale and helps them stay productive and motivated. Highly valuable employees who do their job well are often not the priority for organizations, resulting in missed opportunities for valuing their contribution to the job.

  1. Solicit feedback

Feedback is a two-way process that encompasses what the employee has to say and convey. For performance reviews, it can also mean taking 360-degree-feedback as you’re soliciting feedback from colleagues, manager, boss, reporting staff, and co-workers to broaden feedback and gain a complete perspective on employee performance. Performance reviews should be more engaging in nature – employees should contribute to the process as much as the managers do.

These conversations should elucidate trust, improve clarity, reduce anxiety, and provide alignment to the process. It can address issues of career development and growth, engagement challenges, alignment to organizational goals, etc. Develop a feedback format so that the system is logical and easy to share. Sharing the feedback form in advance with the employee removes negative emotions and unwarranted drama during the review session. 

  1. Maintain objectivity

No individual is perfect and there will always be room for improvement. Decide what’s worth discussing and bring out topics that contribute to the discussion. It is important to maintain objectivity and make statements that are fueled by data. In today’s modern organizations, managers have access to a host of information that helps them understand how an employee is performing. Leverage this information to provide accurate evaluations.

Managers should exhibit clarity and honesty during reviews keeping their personal biases aside. Deliver feedback in a way that is appreciated and holds value. It should be honest and given in a way that brings a change in the process or individual contribution. Objective feedback has a positive impact on employees and helps them do better at their job.

  1. Focus on the conversation

The spirit with which you approach the conversation will determine the success of the process. If the intention of the process is the improvement of the employee, aids their growth and comes from a genuine place, then the conversation becomes much easier and more effective. The conversation has to flow two-way and elucidate participation from the employee, otherwise, it just becomes a lecture. Employee needs to believe that the organization is invested in their growth and values their improvement as an important asset. 

Ask questions that motivate employees and help them contribute to the process. By making them feel involved, you encourage them to do better and improve their craft. Leverage this process to learn about their difficulties and struggles and help them to overcome these obstacles. Employee retention is a serious job and losing them over performance issues that could easily be mitigated is painful. 

  1. End on a positive note

Performance reviews don’t have to be ugly and bitter. If the process is well constructed and well-intentional, it can leave a positive impact on the employee and inspire them to give it their best. Make it objective, approach the review with an open mind and look at it as a constructive process for maximum efficiency. Use the review process to set attainable goals, and provide adequate resources to your employees for the achievement of these goals.

An empathetic approach is a right way to go forward with these review meetings. Understand the impact your words can have on someone’s psyche and choose your words carefully. Pay close attention to how you phrase your evaluation. It should not be a blame game and certainly not an ugly dispute. Positive reinforcement and constructive feedback can go a long way in instilling the necessary confidence in your employees.

Role of a Performance Management Software

Managing employee performance manually is no mean feat. it can be time-consuming, error-prone and unscientific in approach. Performance management software, on the other hand, provides data at your fingertips, has employee-wise data, access to historic records, and employee performance over each quarter. This makes the appraisal process seamless and helps you provide feedback that is backed by solid data.

Paylite offers flexible features for HR and a streamlined experience for your employees. Paylite’s performance management module helps manage and monitor an employee’s progress.

Our performance management system offers unique features like one-on-one and 360° appraisal, setting up of appraisal managers and employee database, managing contributions of external appraisers, generating appraisal forms, and managing feedback/ratings. Paylite makes it easier to keep track of an employee’s performance, historical data of an employee’s performance is available on demand.

To book a free demo of the software visit