Forget the Ratings

  Do you dread the annual performance review process in your company?  If you do, I guarantee your employees do also. 

I would also venture to say that most companies use some form of  ratings scale in their performance reviews.  Why?  The common response is that is takes out the subjectivity and makes things measurable.  Well I am sorry to report that subjectivity remains. 

Who truly decides if someone is a 1 vs. 10, low vs. high, exceeds vs. does not meet - the employee, the supervisor, or human resources. 

If you boil it all down, it is all subjective.  I may be above average today, but if you hire talented employees I may soon be average.  The key is that I did not change, so why am I now average vs. above average?  See how subjectivity enters the equation?

I would encourage you to dump your ratings systems and think about implementing a system that encourages dialogue between employees and their supervisors. 

Imagine starting the review process with a question instead of laying down a ratings sheet.  I have experienced both and I can tell you with confidence that rating scales do not work.  Creating a dialogue that is meaningful does work.  If you do not believe me, check out this great site on performance reviews.

Performance reviews should be driving individual growth and performance, which then feeds company growth and performance.  The companies where employees and supervisors look forward to performance reviews, are the companies that are the leaders in their industries.

Flickr photo by joshhikes