Chicago Booth Review Podcast cover image

Chicago Booth Review Podcast

Should performance reviews be scrapped?

Jan 8, 2025
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.
25:17

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Quick takeaways

  • 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.

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