It often goes wrong with performance appraisals.
It seems so easy. Just sit down with the employees. Have a little chat. Tell them how you think things are going. Take some notes. Fill out a form and put it in the file. But there are many things that can go seriously wrong with evaluating personnel. And those mistakes can be costly.
What are some common pitfalls?
- Objectivity: Evaluators may be biased and therefore assess objectively. This can lead to inaccurate evaluations and wrong conclusions.
- Insufficient information: Evaluators may lack sufficient information to provide a reliable assessment. This can result from lack of communication, data, or observations.
- Inadequate evaluation training: Evaluators who are not properly trained to evaluate may not apply the right skills and methods. This can lead to unreliable evaluations.
- Lack of time: Evaluations require time and attention. If evaluators are overwhelmed or do not have enough time to conduct thorough evaluations, the evaluations may not be reliable.
- Insufficient focus on personal growth: Evaluations should focus on personal growth and development. If evaluations are too focused on mistakes and negative aspects, they can undermine employee motivation instead of promoting it.
- Lack of follow-up: Evaluations need to be followed by action and guidance to encourage improvements. If there is no follow-up, the evaluations may be useless.
All of this is not only unpleasant for the employees but also for the company. Incorrect evaluations can cost money and can cause good employees to leave or result in ‘quiet quitting’ becoming prevalent within the company. And all of this comes at the expense of productivity and ultimately revenue.
To prevent these problems from occurring, it is important to have a systematic and objective evaluation procedure, train evaluators, and invest time and resources in evaluations. Also, ensure that the execution of the discussions goes well and that their written documentation is properly done.
