Importance Of Trends In Performance Appraisals

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Trends in Performance Appraisals

The employee appraisal process often strikes great fear into both employees and managers alike. The often repetitive, ineffective nature of most appraisals leaves a negative connotation that renders this process useless. Organizations have changed greatly since the turn of the Industrial Revolution, and as a result, so should the way we treat and manage employees. After evaluating the history of classical management, the importance of employee engagement and difference between managing and coaching it is clear that a solution that utilizes the three components mentioned above is needed to replace the traditional approach to performance appraisals.

Problems associated with the traditional review process:
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Employees typically rate their performance higher than Employers do. Which, can cause conflict and unhappiness.

4) Ineffective- Issues stemming from timeliness, uncertainty, and inaccuracy render the historical approach to performance reviews ineffective at improving employee performance. In fact, negative experiences during reviews often initiate self-fulfilling prophecies. A poor review, perpetuates poor performance.

Employees have needs too:

1) Employees have the need for direct and open lines of communication with management. Trending across most employment industries is a flattening hierarchal structure that removes some levels of management for more streamlined organizational operations.

2) Workers have the need to be included and engaged in setting their goals and want feedback about how their performance impacts the organization. They want to be treated as individuals instead of a general statistic.

3) Employees need tools to meet their goals. Trending across the employment industry is a movement away from managing, which is reactionary, towards coaching which is
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2) How they ensure that any stretch goals are truly attainable and aren’t so outside of what the employee feels they can achieve that they are willing to stretch their own experience outside of the norm to achieve the desired result.

3) The framework is created in such a way that the goal is within reason to be achieved. This ensures that the employee has bought into owning the goal execution.

4) When the goal is anticipated to be complete must be clearly articulated.

Are SMART goals effective?

The overall positive impact of SMART goal usage is seen in the random survey of 127 participants in which they were asked a series of questions about the appraisal review process. A control group of respondents was identified and within that control group were participants who have utilized SMART goals for a minimum of 2 years. The graph below indicates the percentage of respondents in four groups: the SMART goal users (blue), non-SMART goal users who were neutral about the performance appraisal process (orange), non-SMART goal users who did not enjoy the performance appraisal process (gray), and non-SMART goal users who enjoy the performance appraisal process

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