Annual Review Process Guidelines
Preparing for Performance Reviews
Understand the Purpose of the Process
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Provide a realistic measure of performance
Reinforce effective behaviors
Point out ineffective behavior
o Identify ways to improve
o Offer assistance
Discuss career goals and means of achieving them
Discuss ways to be a better supervisor
Objectively evaluate employees for salary increases
Provide a paper trail for progressive discipline if needed
Recognize the Importance of the Process
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Engaged (productive and effective) employees know what is expected of them; reviews
are a big part of communicating expectations. Per Gallup: one of the most important
factors affecting employee engagement is knowing what is expected from them at work
Some employees quit if they have no clue how they are doing. They are not coached,
supported, or learning so they seek that opportunity elsewhere. Use reviews to reinforce
effective behavior and point out ineffective behavior.
Reviews affect morale, motivation, and retention (skipping, delaying, or giving sloppy
reviews dent morale, kill motivation and can cause valuable employees to become
disgruntled or leave).
Recognize that many people will react to ratings rather than hear the important
information behind the ratings. Plan interim progress reviews, which do not include
ratings, to avoid this problem.
Steps to Complete an Evaluation Form
Step 1: Ask the Employee to Prepare
Set an appointment for the evaluation in advance. Be on time. Ask the employee to complete and
return the self-evaluation before the meeting. Self-evaluations help employees identify their own
accomplishments, plans, goals, and objectives and prompt discussion.
Step 2: Review Job Expectations and Salary Range for the Position
Review the job description and expectations. The review must be closely tied to the job’s
requirements. Consider the relative importance of the various duties. Review the salary range
with Human Resources.
Step 3: Review Accomplishments/Goals/Objectives/Standards
Review the previous performance evaluation (if applicable) and the plan / goals / objectives /
standards that were identified at that time. Consider the extent to which the employee has
executed the plans and met the goals and objectives during the current review period. Talk to
customers if applicable.
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Annual Review Process Guidelines
Step 4: Review the Employee’s Work History
 Review any notes about the employee’s work history. Notes and records from previous
reviews, both formal and informal, can make a difference by enabling supervisors to cite
specific incidents and objective results, both positive and negative.
Step 5: Evaluate and Rate Job Performance
 Be sure to consider all performance during the evaluation period (not just recent).
 Stick to the facts. Do not allow irrelevant factors not related to the job, such as unrelated
activities outside the office or personal likes/dislikes, to influence your ratings.
 Include unfavorable ratings even though they may be uncomfortable to discuss. Positive
evaluations that contradict negative employment actions are problematic. (Note that there
should be no surprises on a formal review, especially negative information; therefore, be
sure to address any performance issues before a formal review takes place.)
 Ratings for employees who perform equally should be similar, but not everyone is likely
to be rated alike. Every group includes better and poorer performers, so ratings should
reflect that distribution of performance.
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Avoid these pitfalls:
o Being too lenient or too harsh – either extreme is demotivating.
o Using absolutes – specify examples rather than saying an employee “always”or
“never” does something.
o Allowing performance in specific areas to be overshadowed by performance in
one area or by general feelings about the employee.
o Criticizing the person rather than the problem.
Step 6: Provide Specific Examples of Performance
Prepare to talk to the employee in terms of specific incidents and observations. Employees find
negative comments that are general in nature difficult to accept.
Step 7: Consider Growth Opportunities
Consider the opportunities that may be available to the employee and be prepared to discuss the
training, education, or experience necessary to move toward those opportunities.
Step 8: Develop an Action Plan
Consider future goals and objectives, along with potential growth opportunities, and develop the
plan of action. Be prepared to collaborate and develop the plan further during the review.
Step 9: Practice
Practice what you are going to say during the evaluation interview until you are comfortable
delivering the message. If the review is unfavorable, prepare for the employee’s probable
response.
Submit your completed evaluation form to your Department Head and Human
Resources for review, collaboration, and signature before your scheduled review.
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Annual Review Process Guidelines
Guidelines for Discussing Results
General Guidelines for Discussing Results
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Begin any performance discussion by recognizing positive results and contributions made
by the employee during the evaluation period.
Express appreciation for the employee’s involvement in the process.
Discuss performance against previously communicated expectations, goals, and
standards.
Use objective and measured results, and examples of observed behavior whenever
possible.
Spend at least 75% of the time discussing the future.
Look forward and collaborate with the employee to plan what he/she should do to move
ahead. Don’t just point out problems and set goals. Develop strategies and give the
employee tools for improving (more training, weekly feedback meetings, deadline
changes, etc.) Define the actions that must be taken to achieve the goals and objectives.
Do not dwell on past problems. The only performance that can be managed is present and
future performance. Plan regular feedback sessions to effectively manage future
performance.
Establish interim progress review points that may be desirable to monitor
development and keep achievement on track.
Conclude by summarizing key points and restating your commitment and support.
Give the employee an opportunity to make additional points or comments.
Always end on a positive, supportive note.
Communication Tips
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Begin by putting the employee at ease.
Let the employee talk freely.
Ask open-ended questions beginning with "how" or "what." Avoid "why" questions.
Do not argue.
Keep the conversation oriented toward the future. Do not focus on past failures.
Use silences and pauses to give the employee a chance to think before responding.
Restate the employee's thoughts and feelings to ensure understanding and for
clarification.
Use "we" in discussing performance issues.
Creating an Environment for Effective Discussion
Use these factors to create an environment conducive to open and respectful communication.
Remain focused on the goal of employee improvement and/or encouragement. Remember to
state the positive as well as the negative.
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Annual Review Process Guidelines
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Conduct the appraisal meeting in private, allowing enough time to discuss the appraisal
and for the employee to provide comments or ask questions.
Present your opinions and perceptions about the employee’s performance as opinions and
not as factual conclusions, giving the employee the opportunity to question, discuss, and
clarify.
Maintain employee dignity by referring to the employee’s performance or conduct, and
not to the employee’s personal actions. For example, discuss the employee’s ability to
respond to customer needs and not to the employee’s personal conversation style.
Provide feedback in the form of specific, observed behavior. Relate the feedback to
established criteria, outcomes’ and opportunities for improvement connected to the job
description.
Avoid subjective phrases (like “bad attitude”) and use examples to demonstrate what you
are trying to convey.
Avoid using loaded terms, such as “stupid,” “careless,” “foolish,” or “sloppy,” that spark
emotional reactions that interfere with effective communication.
Deal directly with defensiveness rather than trying to convince, reason, or provide
additional facts.
Design goals to maximize individual strengths and remedy performance deficiencies.
Concentrate on issues over which the employee has control and to which he/she can
apply the feedback to improve performance.
Discuss how observed performance and behaviors support or limit full effectiveness.
Discuss opportunities for improvement through training and education on the technical
aspects of the job.
Do not make promises or compare the employee to other employees directly.
Keep cool. The two best ways to defuse upset employee’s emotions are for evaluators to
control their own emotions and stick to the facts (it’s much harder for employees to argue
with objective facts).
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Annual Review Process Guidelines
Continuous Informal Feedback and Support
Performance feedback should be provided on a regular, informal basis. Ongoing feedback ensures
that an employee has opportunities to improve and is not surprised by the results of a formal
performance evaluation.
Best Practices
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Provide constructive comments on an ongoing basis that inform the employee about
his/her current job performance.
Recognize improvements.
Regular, informal comments should be accurate and positive; present negative comments
in private.
Provide training and input as needed to help employees improve performance or correct
unacceptable behavior.
Hold interim progress reviews; schedule them on a regular basis and apply them
consistently to all employees.
Document results.
Informal Positive Comments
Regular feedback may take the form of a casual, positive comment ("Good job," "Keep it up,"
"I'm proud of you"). Comments such as these reinforce achievement and are essential to
employee morale. Although these comments are often unplanned or spur-of-the-moment,
employees take them seriously and they often drive future behavior. Similar comments can
inform employees requiring additional training that they must take the training seriously.
Feedback for Negative Performance
Casual comments can also be about negative behavior (“I think you need to pay a little more
attention to detail,” or “I notice you came in late again. Is everything alright?”). Try to present
comments about negative behavior in a supportive manner. You want to encourage the employee
to discuss issues that may be impacting his/her performance before it becomes a disciplinary
action. Likewise, comments about negative behavior put employees on notice that the behavior
needs to be changed. In addition, an employee will not be surprised at receiving poor
performance ratings or being subject to formal disciplinary actions if he/she fails to correct the
behavior.
Feedback may also take other forms, such as a coaching session, additional training on a task not
properly executed, or a written reminder regarding compliance with a company rule.
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Annual Review Process Guidelines
Interim Progress Reviews
Interim progress reviews should be scheduled on a regular basis in between formal performance
evaluations. Interim progress reviews may be held as a means of:
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Providing a checkpoint on areas discussed in the previous formal evaluation or interim
progress review.
Evaluating and supporting new employees. For example, a new employee may be
reviewed monthly to provide feedback on job performance and answer any questions.
Identifying and managing issues as they arise. For example, poor attendance, tardiness,
not following company policy, or a misunderstanding about a job task.
The interim progress review should identify:
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Performance standards needing adjustment.
Changes to previously identified goals and objectives, development needs, or action
plans.
Performance standards that are not being met and the remedial action to be taken.
Preparing for an Interim Progress Review
In preparing for such a meeting with an employee, a supervisor should:
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Review the performance standards agreed upon at the previous interim progress review or
formal evaluation;
Check the employee's progress toward meeting these standards, using measurable results
wherever possible;
Identify possible problem areas to discuss; and
Have employee prepare for the meeting by independently reviewing his/her progress
against the performance standards and identifying problem areas and possible remedies.
Document Results
Following the meeting, document the discussion and the plan of action in a format both you and
the employee can sign. Give the employee a copy and place a copy in the employee’s personnel
file.
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