Why Formal Performance Reviews Won’t Disappear
Why Formal Performance Reviews Won’t Disappear
The performance review process can be draining, but formal reviews help align both employees and their managers on realistic goals and priorities.
Mixed Reading
About half of survey respondents are in favor of eliminating the formal system of annual performance reviews. The rest either support these reviews or remain undecided about the topic.
Valued Feedback
54% were pleased with their last performance review, and 65% said their last review was an accurate appraisal of their contributions.
Neglected State
Just 55% say their manager provides to them informal feedback on job performance, signifying the continued relevance of the formal, annual review for those who don’t.
Performance Review Drivers: Output Assessment
78% say their performance reviews are intended to benchmark what they accomplished during the year.
Performance Review Drivers: Same Page
77% say reviews are needed to ensure that both employees and their managers are aligned on realistic goals and priorities.
Performance Review Drivers: Objective Discussion
70% say reviews are useful in setting goals for the following year.
Performance Review Drivers: Improvement Plan
62% say they find reviews helpful in establishing a set of actionable career development activities, while 49% say these reviews document performance as it relates to a future promotion.
Money Talks
Only 43% of survey respondents express confidence that salaries and/or bonuses can be fairly determined without a formal, annual review.