Stacey Kole, a Chicago Booth economist and expert in workplace management, dives into the often dreaded world of performance reviews. She challenges the traditional approach, advocating for continuous feedback over awkward periodic assessments. Kole discusses how meaningful evaluations can clarify corporate objectives and enhance teamwork. She stresses the importance of linking individual tasks to the company's mission, especially in remote settings, and highlights innovative practices that can improve communication and employee engagement.
Effective performance evaluations require clear objectives to promote employee development rather than simply fulfilling mandatory requirements.
Streamlining the evaluation process by focusing on essential questions enhances communication and aligns individual contributions with organizational goals.
Deep dives
The Purpose of Performance Evaluations
Performance evaluations are essential in organizations for various reasons, including tracking employee performance, aligning skill development with job roles, and fostering personal growth. However, many companies fail to establish clear objectives for these evaluations, often treating them as a mere formality. This lack of direction can hinder the effectiveness of the evaluation process, making it more about fulfilling legal requirements rather than promoting employee development. Organizations need to define their goals for performance evaluations to ensure they are a valuable tool for both management and employees.
Revamping Evaluation Processes for Clarity
Companies are increasingly recognizing that traditional performance evaluations can be excessively cumbersome, with some organizations using over a hundred questions that do not directly relate to employee performance. For instance, one CEO streamlined the evaluation process from 100 to fewer than 20 targeted questions, focusing on essential aspects of teamwork and individual contribution. This clarity not only simplifies the assessment process but also conveys more meaningful messages to employees regarding their roles within the organization. A well-structured evaluation can thus serve as an effective communication tool, helping to align individual performances with the company's vision.
Continuous Feedback Over Periodic Reviews
Long-standing traditions of periodic performance evaluations can often fail to capture the ongoing dynamics of workplace performance and employee development. Regular feedback from managers encourages a culture of open communication, enabling employees to understand their contributions continuously. The integration of a feedback journal can help managers maintain awareness of employee behaviors and contributions over time rather than basing evaluations solely on recent interactions. This continuous feedback loop not only facilitates improvement but also creates an environment where employees feel valued and recognized for their efforts.
Many of us react to the term “performance review” with a shudder. It’s that awkward periodic conversation in which we have to hear feedback, share our assessments of each other, and, occasionally clash with our colleagues. But do performance reviews have to be like that? We hear from Chicago Booth’s Stacey Kole. Does she think that performance reviews are worth saving, and if so, how can they be revamped?
Get the Snipd podcast app
Unlock the knowledge in podcasts with the podcast player of the future.
AI-powered podcast player
Listen to all your favourite podcasts with AI-powered features
Discover highlights
Listen to the best highlights from the podcasts you love and dive into the full episode
Save any moment
Hear something you like? Tap your headphones to save it with AI-generated key takeaways
Share & Export
Send highlights to Twitter, WhatsApp or export them to Notion, Readwise & more
AI-powered podcast player
Listen to all your favourite podcasts with AI-powered features
Discover highlights
Listen to the best highlights from the podcasts you love and dive into the full episode