Performance Management Resources

A practical look at building and implementing your perfect performance management process.

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Exploring the Accenture Performance Management Changes

Professional services giant Accenture had a relatable dilemma in 2014. The Accenture performance management process was broken. Accenture created the process to help employees achieve top performance. Instead, the process was slowing everybody down.

Then 2015 rolled around. It was then that Accenture overhauled its old methods for evaluating employee performance.

Here’s the story of how a large global organization transformed how it evaluates employee performance. HR folks can use this Accenture Performance Management case study as a reference for refreshing their own processes.

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Accenture’s Old Performance Management Process

Accenture  has 700,000+ employees, and offices in over 200+ cities and 49 countries. Before 2015, Accenture conducted annual performance reviews. Like many of its competitors, Accenture also determined and ranked employee performance with a bell curve. 

The bell curve approach had flaws. Accenture only recognized a specific percentage as ‘top performers’ with high quantitative scores. The underperformers with low scores appeared at the tail ends of the distribution. The mean of the curve showed the average score of Accenture’s employees.

Accenture wanted to set the right objectives for its people. The company started with five main goals. Then the list grew to 15. It then expanded to 20, as then-CEO Pierre Nanterme told the Washington Post

Measuring performance became complicated. The process created bureaucracy and was more of a hindrance than a help. The performance review process wasn’t motivational or evaluative. It was nothing more than a long list of metrics and objectives. 

Why Accenture Needed a Change

Nanterme saw the consulting industry start to shift from ideas to outcomes. Clients expected more than a roadmap. They wanted a commitment to business results. 

Accenture needed a new approach to be competitive and differentiate itself. Changing performance reviews to focus on outcomes was mission-critical.

There was also the issue of time. The management research firm CEB found that the average manager spends more than 200 hours per year on performance reviews. Managers spend time in training sessions, filling out forms, and delivering employee evaluations.

“Employees that do best in performance management systems tend to be the employees that are the most narcissistic and self-promoting,” said Brian Kropp, CEB’s practice leader. “Those aren’t necessarily the employees you need to be the best organization going forward.”

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Accenture’s New Performance Management Process

In 2015, Nanterme announced plans for a “massive revolution” for about 90% of its internal operations. The focus shifted to evaluating each employee in their specific role. This would be different than using a distribution curve that measured an employee in Washington the same way they’d measure an employee in Asia.

Accenture also wanted to get away from the prior method of gauging employees’ contributions long after they happened. The company would now measure employees more often and provide more real-time feedback.

accenture performance feedback

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The company eliminated the bell curve approach and the annual review process. Managers started giving employees timely feedback on an ongoing basis. The company also implemented an internal app to help with relaying continuous feedback. 

Accenture Removes the Annual Review

Accenture’s new way of evaluating employee management is more agile and immediate.

“Performance is an ongoing activity,” says Nanterme. “It’s every day, after any client interaction or business interaction, or corporate interaction. It’s much more fluid,”

Nanterme expands on this, “People want to know on an ongoing basis, am I doing right? Am I moving in the right direction? Do you think I’m progressing? Nobody’s going to wait for an annual cycle to get that feedback. It’s all about instant performance management.”.

What Can HR Pros Learn From Accenture Performance Management

Accenture restructured its performance review process to measure employees on an individual basis. If your organization appraises performance with a distribution curve, it’s time to sunset the process. The distribution curve is generalized and ineffective. It doesn’t give employees the information they need to achieve their potential.  

Consider eliminating annual performance reviews as Accenture did. Immediate, ongoing feedback cycles will arm employees with the knowledge they need to succeed. They can adjust, maintain the status quo, highlight where they need support, or consider new approaches.

Accenture made the mistake of cramming too many metrics and goals into reviews. You should start with a few key objectives. Align with your employee on these goals and establish how you will measure them. Software like PerformYard helps you track goals and show up-to-date data.

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HR Lessons from the Adobe Performance Management Overhaul

Adobe is one of the world's best workplaces, and employees agree, with 89% saying it's a great place to work. Plus, 86% of employees feel that they receive fair pay for the work they do.

Employees feel that Adobe is such a great place to work in part because HR understands the organization can always do better. Adobe’s performance management process serves employees, management, and the whole organization.

In 2012 that meant scrapping the annual review cycle that had been a staple in their review process and adopting a system of Check-ins instead.

Here’s how Adobe tackled the mammoth task of adjusting its review process for thousands of employees. We’ll start with why Adobe felt the need to adjust its performance management process in the first place.

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Why Did Adobe Need a New Performance Management System?

Adobe spent many years utilizing an annual review cycle, like most other businesses around 2010. At that time, many of the world’s top businesses realized that annual reviews aren’t effective. Microsoft performance management and Accenture performance management have changed along with Adobe.

In 2012, the company was facing a major change. They were approaching the end of an era. The company was transitioning into a cloud-based software company. They would be focusing on releasing updates and innovations much more often.

Even without the change, it was clear that the current process was not working. The annual review cycle took up a total of 80,000 working hours. That’s equal to 40 full-time employees. Not to mention the time and annoyance employees experienced at having to respond to 10 or more individual requests for feedback. Some left feeling surprised and confused by critical feedback they weren't expecting.

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Donna Morris was the Senior Vice President for Customer and Employee Experience at the time. She decided the company needed a more agile review process. Abolishing the annual review would allow teams to make adjustments without waiting for feedback that was still months away. It would also allow Adobe to recognize outstanding employee performance.

When Did Adobe Change Its Performance Management System?

It was obvious to Donna Morris in March of 2012 that the annual review system wasn’t working. Before she could share her thoughts with the CEO and executive team, she attended a press conference in India. There, she shared her opinion that annual performance reviews were outdated and unproductive. That left eight days before the story was published for her to start redefining Adobe's performance management process.

During those short eight days, Donna published a company blog addressing the problems with the annual review and invited feedback from employees. Hundreds shared their thoughts and support for a change to the review process.

Donna Morris was able to create a system of Check-ins that was rolled out to all employees within nine short months.

What Is Adobe’s New Performance Management System?

Adobe's old performance management system was an extremely labor- and resource-intensive process. It forced employees to provide feedback about several people. Managers wrote a performance summary of each employee as well. 

In contrast, the new system is more fluid. It supports two-way dialog between managers and employees. Both parties have a say in the process.

Adobe’s HR team is called the People Resources team. This team has shifted away from conducting the process. Now, the focus on employee and manager enablement. They encourage everyone to learn and practice both giving and receiving feedback instead.

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A dedicated section of Adobe's intranet serves as a bank of information that contains templates for goal-setting and planning feedback conversations. Both videos and tips can be accessed that help employees and managers make the most of the new process.

An Employee Resources Center (ERC) was also designed to provide employees with a way to ask questions about a specific Check-in or the process in general. That way, employees have a place they can go with their concerns and receive advice instead of bottling it up, which can affect their performance, attitude, and the wider company culture.

A robust training program is also in place to teach managers and non-managers how to provide constructive feedback.

Raises and bonuses are no longer tied to a single annual review. Instead, discussions happen at Rewards Check-ins that are informed by previous Check-ins. This gets rid of surprises and ensures everyone is compensated based on an accurate assessment of their performance. 

What Is Adobe’s Check-in System?

The new Adobe performance management process has been named the "Check-in". All employees worldwide get to enjoy the new process.

It starts with managers outlining expectations at the start of the year. Annual reviews would only revisit those expectations at the end of the review cycle. Check-ins ensure they are revisited regularly. Quarterly meetings are recommended, but employees can schedule more. No specific format needed. Employees and managers can decide if they want to use goal-setting forms. They can also decide and how and when to meet according to what works best for them.

Employees get feedback on an ongoing basis and focuses on performance. The feedback also happens in real-time. Managers can reinforce good behaviors and correct wrong behaviors without having to wait months, which is a common issues with annual review cycles.

There are no ratings, rankings, or prescribed raises or rewards. Salary raises and equity grants still happen each year, but leaders can adjust awards based on their best judgment.

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Most surprising is the fact that there are no longer any mandates around timing or methods. Written reviews are no longer a requirement either. Employees don’t have to fill out several forms and conduct reviews according to a pre-set process. Now, teams can create a process that works for them.

What Are the Results of Adobe’s New Performance Management System?

Adobe has experienced a lot of success since implementing the Check-in system. As the company has grown, the number of hours everyone spends on performance management has decreased. A 2016 estimate showed that the company saves more than 100,000 manager hours every year.

It has supported Adobe in its quest to increase its employer brand. Three-quarters of employees leaving the company state that they would recommend Adobe as a great place to work. This is an increase over previous years. Its global reputation has increased as well. It has risen 47 spots since 2016 on the Interbrand Top Global Brands ranking.

Adobe has experienced a small increase in turnover, but they see this as a win. Ongoing conversations about performance allow managers to identify and shed underperformers. Some employees even choose to leave on their own after open discussions with their managers. This helps Adobe build a culture of high performance.

How is Adobe updating performance reviews to better match remote teams? Check-ins happen over the phone or via video conference when a face-to-face meeting isn't possible. This ensures the process benefits remote employees. 

Most telling is the fact that Adobe implemented the new performance management system in 2012 and they’re still using it over a decade later.

Key Takeaways for HR Leaders

Use this Adobe performance management case study to build a more effective process.

Adobe’s process is flexible. It enables managers and employees to schedule and meet when it’s convenient for them. There is no set agenda for how the Check-in should go. With no paperwork, the process is also simple and easy.

Check-ins don’t include extensive paperwork and they don’t have to follow a specific format. As a result, employees and managers can engage in more frequent communication about goals and performance.

PerformYard software ensures your team can conduct check-in-style reviews at your pace. The software also allows you to increase your reporting capabilities.

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You can document meetings with goals and performance data logged in the system. That means HR, management, and employees can make real-time improvements.


Is Adobe a high performance organization? 

Adobe is a high performance organization. It is one of the world's best workplaces. Interbrand lists Adobe as one of the best global brands. Exiting workers rate the company as a workplace they would recommend to others.

Does adobe do performance reviews? 

Adobe does performance reviews, but they conduct a system of Check-ins that take place throughout the year. Managers and employees choose when to talk about whatever they think is important. They don’t have to adhere to a strict process or fill out extensive paperwork.

Why did Adobe abolish the annual performance review?

Adobe got rid of the annual performance review because it was costing managers over 80,000 working hours. They needed a more agile process as they became a cloud-based software company.

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The HR Guide to Software Engineer Performance Reviews

Software engineers are the behind-the-scenes rock stars of our technology-driven world. From computer systems to app development, they are essential members of any team in the 21st century. Without them, other employees may not be able to do their jobs and essential services can crash, tanking your bottom line right along with them.

But, filling software engineer positions can be hard. In 2020, 69% of U.S. employers had difficulty filling in-demand positions like software engineers. With employment for software engineers expected to grow by 22% from 2020 to 2030, it’s going to continue to be a difficult role to fill.

It’s more important than ever to support your software engineer employees. That includes supporting their professional development so they aren’t tempted to jump ship. Your number one goal should be to avoid having to go through the struggle of trying to fill their vacant position.

One way to do that is to create a meaningful engineering performance review process. The question is how?

Here is everything you need to know about performance reviews for engineers. The article includes software engineer performance review examples and metrics. Read on to learn how to provide the professional development, support, and praise that makes engineers want to stick around.

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Which Review Touchpoints to Use for Software Engineers

There isn’t a one-size-fits-all approach to a software engineer review. The following touchpoints are options you can choose from that work best for you and your team. Choose one or two to get started, but don’t be afraid to revisit these ideas and change your review process if the needs of your team change.

  • 1:1s
  • 360 Peer review
  • Project-based review
  • Team review
  • Annual review


When you think of an engineer performance review, you envision a yearly formal review (which we’ll get to in a minute). It is an option, but your employees are likely to feel frustrated if they only get to talk about their goals and accomplishments once a year.

That’s where 1:1s come in.

They serve as extra touchpoints between formal reviews. Engineers can share feedback with managers and update management on current projects. It’s a great opportunity to reevaluate a goal that isn’t working, as well as gather the information that can be used during a more formal review. They can also support the process of building strong interpersonal relationships in the office.

This software engineer performance review example can be formal or informal. Either way, check-ins are an easy way to conduct 1:1s without extensive planning. 

engineer review

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360 Peer review

Software engineers may indeed spend quite a bit of time alone focusing on their work, but they are still part of a larger team. Whether they are interacting in person or through messenger systems, it’s a good idea to assess how coworkers feel about each other.

After all, how employees work together can have a huge impact on productivity, company culture, and turnover. Satisfaction increases by 50% when employees have at least one close relationship at work. If dealing with negativity, office politics, or disrespectful behavior, 58% have left or would consider leaving a job.

One of our favorite software engineer peer performance review examples is the 360 review. This review enables you to collect performance data based on what other employees see and experience. The review gives management context for feedback. You’ll be able to dig deeper into why a certain project had delays or why a project went well. Managers can compare how each software engineer fits into the culture of your organization. The team can work on team building conflict resolution before an issue becomes a huge problem.

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Project-based review

Project-based reviews are a great choice for software engineers. Every development project presents unique challenges. These reviews enable you to talk about the specifics of each project. You can set goals for the next project without getting sidetracked by more generalized performance data. 

The biggest challenge with this type of review is the fact that projects don’t always finish at the same time. You can’t pencil in a certain time of year to conduct software engineer performance reviews. You’ll have to use flexible performance management software to activate the review cycle when a project nears completion.

Then, you have to make sure to ensure everyone has the time to join in the process without jumping headfirst into the next project.

Team review

Because so many software engineering tasks are project-based, a team review can also be a great option. It can give you a great understanding of how the team is doing without zeroing in on each team member. Zeroing in on team members can take a while if you have a large team working on the same project.

If you find that the team isn’t working well, it can be hard to figure out who is contributing to the problem. It could also be the case that a team is only performing well because one engineer is doing all the work. That can cause trouble for management, but it can be frustrating for employees as well. 

Some companies have close-knit teams that work together to solve potential problems. Other companies need to bake features of 360 reviews into the process to uncover issues.

Annual review

Annual reviews don’t work.

Well, they don’t work if you do them the old-fashioned way, which means collecting data and meeting with employees once a year. That’s especially the case with software engineers who work on several projects ahead of every annual review. It’s impossible to capture all the feedback for those projects at a single meeting.

That doesn’t mean that you can’t use annual reviews at all! It just means you have to change how you approach the annual review process.

An annual review should be the culmination of other review touchpoints throughout the year. This is true if you’re conducting any of the software engineer performance review examples mentioned above. This approach prevents employees from feeling surprised at their review meeting. You should already be meeting throughout the year to discuss performance and goals. That way, employees will have a good idea of what to expect at their annual review.

Criteria to Use in Software Engineer Performance Reviews

So you’ve decided what kind of review touch points to use. That’s great! It doesn't mean you know what kind of information should be in those reviews.

Here are the software engineer performance review metrics to use in your review process:

  • Professional development
  • Ability to be proactive
  • Communication
  • Product usability
  • Leadership

Professional development

Without a doubt, professional development should be part of every review.

Employees who have access to professional development opportunities are 15% more engaged on the job. According to one survey, 94% of respondents said they would stay at a company longer if that company invested in their careers.

When it comes to engineers, it’s even more important for them to pick up new skills, certifications, and coding languages. Not doing so means falling behind in the fast-moving technology industry.

Discuss each employee’s personal and professional development goals. Get crystal clear on the goals you have for your software engineers and the teams they work on. This will let you include measurable, professional development goals in the review process.

Ability to be proactive

Are software engineers fixing bugs before they become an issue? Are they developing new features and coming up with new ideas unprompted? These types of questions get to the heart of whether a software engineer is being proactive on the job.

The ability to be proactive is an important thing to foster among employees. Proactive employees tend to be better performers, contributors, and innovators. Not to mention, they can save management time while driving the company forward.

Measuring the ability to be proactive can be difficult because it is a qualitative measure and not a quantitative one. You can use peer reviews, continuous feedback, and 1:1s as measuring tools. Software like PerformYard lets you to capture and store feedback throughout the year. It can collate and analyze the information exactly when you need it. 


Measuring how your team communicates with each other is an essential aspect of conducting a team review, but it can be helpful in other cases as well. Measuring communication can increase efficiency and foster positive interpersonal relationships.

To measure this metric, you have to build a culture of feedback. That means making it easy for employees to provide feedback when it’s convenient for them. PerformYard provides you with a central place for everyone to store their feedback between reviews. When review time does roll around, you can access accurate, specific feedback that came in the moment. You won’t have to ask employees to come up with communication feedback on an old interaction.

Product usability

What is the quality of the product that your software engineers are creating? Do platforms contain bugs, or do they work well? Do users give it good reviews? 

Answering these types of questions helps you determine how much value engineers bring to the company. To track them, you will need to set goals with your software engineers that are related to these types of metrics. That might mean shooting for a certain number of positive reviews or completing a project with fewer bugs than the last project.

PerformYard lets you pull up the data when completing review forms and discuss it without bias.


Uncovering leadership capabilities shouldn’t wait until an annual review. You should measure it throughout the year. This will allow you to support leadership development, pivot if necessary, and provide accolades.

Like proactivity and communication, leadership can be difficult to measure. Peer reviews are one way to gather information about leadership as it impacts other members of a team. You can also view project-based reviews and team reviews to see if one employee stepped up to meet a deadline or encouraged the team to find a solution.

Having a place to store this information as it comes up is important. Your employees can capture feedback throughout the year rather than trying to gather information at review time.

Common Mistakes in Software Engineer Performance Reviews

Knowing what not to do is as important as knowing what to do when it comes to software engineer performance reviews. A few common pitfalls you’ll want to avoid include:

  • Using too many hard metrics
  • Failing to highlight individual achievements
  • Providing them with a cumbersome review process
  • Waiting too long to provide feedback

Using too many hard metrics

Number-based metrics are the easiest to measure, so they are often relied on in an engineer performance review. That said, information can fall through the cracks if you’re only using quantitative analysis.

You can’t measure leadership, communication, or proactivity with numbers. Measuring employee performance based on bug fixes or lines of code written could leave you thinking you have a high-performing employee when you don’t.

It’s much better to have a balance of hard and soft metrics so you can gain a clearer picture of employee performance.

Failing to highlight individual achievements

It’s easy to get caught up in day-to-day tasks that leave little time for acknowledging individual achievements, but that’s a mistake. Employees who are properly recognized for their contributions are five times more likely to see a path to growth in the company they work for and they are four times more likely to be engaged at work. They are also less likely to leave their position or report feelings of overwhelming burnout.

software engineer performance metrics

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Using performance management software to conduct multiple reviews throughout the year allows you to recognize individual achievements. With a well-designed review process, you can tie promotions and raises to performance. You’ll make employees feel like they are truly appreciated. You can protect your company from having its engineers poached by other companies. Employees are also more likely to be engaged in providing—and finding—value in their role.

Providing them with a cumbersome review process

Performance reviews are valuable, but they can also be irritating. The more they interfere with everyone’s ability to get their work done, the less likely they are to get real value from the process. It’s also less likely that you’ll get accurate, helpful information, which means the entire review cycle is a waste.

Software engineers and their managers are busy. Don’t make it difficult for them to track their goals, complete review forms, or demand that they provide impromptu feedback. Don’t slow the process down by using spreadsheets and Google Docs.

Take the time to design a review process that works for you, your employees, and the company using dedicated performance management software. It’s designed to make reviews as easy, valuable, and accurate as possible so the process doesn’t feel like it encroaches on day-to-day operations.

Waiting too long to provide feedback 

Over 75 percent of the respondents in one survey agreed that receiving feedback on the job is important. That said, don’t pat yourself on the back yet if you think you’re providing good feedback at an annual engineer performance review. It’s also important to provide that feedback in a timely manner.

Nearly 60 percent of workers said they would like to have feedback on a daily or weekly basis.

Providing feedback that frequently may sound like a lot of work. It’s worthwhile. Waiting too long to provide feedback to a software engineer who craves it encourages them to start looking for another job. Plus, they’re likely to find one. Software engineers are in high demand.

Talk with your team and come up with a feedback schedule that works for everyone. Then, create and execute a plan that ensures everyone receives that feedback promptly.

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How to Fix Your Healthcare Performance Review Process

All performance reviews are not equal. How you review employees should differ depending on what industry you’re in.

That’s certainly the case when it comes to the best practices for performance evaluations in healthcare.

Healthcare organizations face unique challenges during a healthcare performance review. The article below will dive into some answers to address these challenges:

  • Exactly how can you improve the review process?
  • What healthcare performance review template is best? 
  • How should healthcare reviews differ from reviews in other industries?

You’ll find the answers to these questions below. Let’s start with some information on why performance evaluations in healthcare matter.

Why Do Performance Evaluations Matter in Healthcare?

Performance reviews in healthcare are often put at the bottom of the to-do list. It can be hard to justify focusing on the performance review process when you're stretched for time. It's even harder to justify a review process if you're dealing with staff shortages. But, we would argue these are the very reasons why healthcare professionals need reviews.

Healthcare can feel like a thankless job with workers reporting record-high rates of burnout. Between 35 and 54 percent of U.S. nurses and physicians have reported serious symptoms of burnout. More than a third of nurses planned to leave their jobs before the end of 2022.

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A clinical or hospital employee performance evaluation can help. It allows you to recognize the dedication of your hardest-working employees, making them feel like valued members of the team. It enables you to build better relationships too. Employees should regularly check in with their direct reports and members of HR. That way, the entire team can create a more positive work environment.

Opportunities for feedback are important too. Here are some best practices for performance evaluations in healthcare: 

  • Space for employees to express their concerns
  • Space for employees to bring up issues as they arise
  • Space for employees to help brainstorm potential solutions to problems.

Feeling like a valued member of the team and working in a positive environment has the potential to ease systemic challenges. You can reduce burnout, which in turn can reduce employee turnover.

What Kind of Healthcare Performance Review Is Best?

Performance evaluations matter in healthcare. So which healthcare performance review template should you use?

Here are the top three healthcare performance review template ideas:

  • Self-evaluation
  • 360 Peer review
  • 90-Day review


Self-evaluations can be helpful in any industry, but they are a must in the healthcare industry. Physicians, nurses, therapists, and other healthcare workers want to make a difference in people’s lives. They are highly educated and know the impact their job has on patients and the community. That makes them driven to reflect on their performance in a meaningful way—as long as they are provided with the opportunity.

When you choose self-evaluation questions carefully, employees can reflect on their performance. The right questions also let managers see how employees critique themselves. Some employees can be overly confident in their competence. Managers can focus on any small critiques the employee did have and bring up ones they glossed over. For a humble employee, it might be important to the time to highlight positives they may have missed.

360 Peer Review

Healthcare professionals don’t just impact the lives of patients. They impact the lives of everyone around them. 360 peer reviews can help you determine the extent of that impact in the clinic or the hospital. They are the best way to see how each employee fits into the larger team, and whether or not they are going above and beyond to help out other team members.

A word of caution—360 peer reviews are only effective if you’re using performance management software to facilitate the reviews. Without an electronic system, it’s hard to do any of the important tasks associated with 360s. That includes:

  • Collecting multiple reviews from each employee
  • Organizing reviews by department
  • Reviewing each form one at a time

It’s much better to use a digital system that can collect, organize, and store the review forms for you.

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90-Day review

How often do you conduct reviews? The majority of healthcare leaders report meeting annually to discuss performance. In the fast-paced healthcare field, that may be all you have time for.

That’s okay for established employees, but it’s not a good strategy for new hires.

A 90-day review is a critical step in the onboarding process for new nurses, doctors, and assistants. New hires are likely to feel overwhelmed and unsure of themselves. A review after just 90 days gives employees a chance to pause, reflect, and address concerns about their performance. They don’t have to wait an entire year for their first review.

How Are Healthcare Performance Reviews Different From Other Industries?

A healthcare performance review usually revolves around interactions each employee has with patients. Other industries may be able to measure things like sales or projects completed. Clinical performance evaluations should tie into interactions, decisions, and outcomes regarding patient care. It’s important to find a system for organizing and analyzing this type of data.

Office employees have all-the-time access to their email, and subsequently, performance review questionnaires. Healthcare employees don't have easy access to their email or a Google Doc all day long. You can't interrupt a patient interaction or delay a patient decision for a review.

Keep this in mind when scheduling reviews. It might mean conducting reviews less frequently because your staff is so busy. You can also block out certain times in employee schedules for scheduling review meetings. Just make sure everyone is committed to sticking to it without filling that time with other tasks.

Finally, hospitals have large numbers of workers. Even small clinics have employees in vastly different roles. This can make the healthcare performance review process difficult. It’s important to have a centralized system where all review information for every employee is stored.

How Did COVID Change Performance Reviews in Healthcare?

COVID-19 forced us all to reevaluate our priorities. In the healthcare field, a lot of peripheral operations and tasks got put on the back burner. Patient care and employee safety became more important than ever.

As the pandemic wore on, more and more people left the healthcare field. Almost one in five healthcare workers has quit since the pandemic started. This has resulted in employee shortages that leave everyone strapped for time. Doctors, nurses, and support staff are scrambling to cover the work that’s left behind. It can be difficult to justify having a performance review process when everyone is struggling to stay caught up in their day-to-day work.

That’s not all. The pandemic has changed the way we all work. The number of people working from home tripled between 2019 and 2021. Work-from-home opportunities are expected to continue growing. Some hospital workers, like HR departments, can work from home. Nurses and doctors are at the hospital working with patients in person. This disconnect can make the review process challenging.

Don’t let COVID and the demands of the healthcare field make you give up on a hospital employee performance evaluation process! These challenges can be overcome so you can support and encourage your employees to meet their goals.

How to Improve Your Healthcare Performance Review Process

You can improve your healthcare performance review process without compromising review quality.

Our top tips include:

  • Move everything online
  • Get some automated help for your HR department
  • Roll informal feedback into annual reviews

Move everything online

Gathering and storing review documentation the old-fashioned way is confusing, time-consuming, and frustrating. It’s frustrating for your employees too. Employees want transparency and visibility. They don’t want to be removed from the process. 

Move all documentation to a specialized performance management platform. It allows you to centralize every piece of the review process, from gathering reviews to feedback to improvement plans. You’ll be able to see every relevant document alongside corresponding review forms. Nothing falls through the cracks, no matter how large your healthcare organization is.

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An online platform makes it easier for nurses, doctors, and other personnel to fill out review forms at their convenience. The platform allows employees to fill out forms from a mobile device. It gives them a centralized place to access their review information too. They can see the review process unfold in real time, doing away with the surprises that are common during old-fashioned reviews.

Get some automated help for your HR department

Automating what you can is a good strategy for any business. It works for hospitals and clinics too! Automated help is the answer if you’re feeling overwhelmed by the sheer number of people, reviews, and forms you’re dealing with regularly.

A platform like PerformYard allows you to automate when reviews are scheduled for every member of the team in every department. It provides everyone with an automated notification when it’s time to fill out a form. PerformYard also sends out email reminders to employees when review time is getting close. Plus, it automatically synthesizes all healthcare performance review data into easy-to-read charts.

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It does all of the minutiae for you so you can focus on creating meaningful reviews and supporting your employees to meet their goals.

Roll informal feedback into annual reviews

A lot of stuff happens in a single day in the healthcare field. It’s even harder to wrap your head around all of the things that take place in a week, a month, or a year. It can be hard to remember patient experiences, patient outcomes, and coworker interactions when it’s time for a mid-year or annual review.

Save time and simplify the performance review experience.Learn More

Dedicated performance management software lets managers store feedback in an employee’s profile. This simplifies the process of collecting data. During reviews, managers can pull up this feedback and remember something they wanted to mention at review time.

6 Healthcare Performance Review Templates:

Click the link below to download six performance review templates that you can use at your healthcare organization.

Six Essential Performance Review Templates for 2023

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The 2023 HR Guide to Collaborative Performance Management

According to IDC, enterprises with collaborative work environments will see the following by 2024:

  • 30% lower staff turnover
  • 30% higher productivity
  • 30% higher revenue per employee than their peers

It seems like a no-brainer that collaborative workplaces perform better, right? Well, let’s face it: effective collaboration isn’t always a reality. That’s a problem when it comes to performance reviews.

Think about how many communication channels you use. Consider all the different teams your employee works with. All these variables make it hard to get the most up-to-date data on your employee. It’s hard to assess how well an employee works when you have a constant flow of information. 

A single review form is a rather one-dimensional way to capture the full spectrum of an employee’s performance. Let’s try something different. Try taking a page out of Google’s or Netflix’s book and implementing collaborative performance management. We’ll show you how.

Use a performance management system that works for everyone. Experience PerformYard.Learn More

3 Common Hurdles In the Way of Collaborative Performance Management

Most companies don't built collaboration into their performance management process. If you're one of those companies, you likely have to overcome a few hurdles before you can build a more inclusive performance review system.

1. Individual KPIs that aren’t connected to company/team goals

Even if you’re good at tracking individual goals and performance, you won’t get any sense of how well teams work together. This issue can arise when each individual is tracking their goals in a separate document or spreadsheet. It also happens when managers don’t connect to talk about team and company goals before determining individual goals

Instead, try cascading goals. This can be done with software like PerformYard, which allows you to tie organizational goals to individual goals. You'll be able to see how the whole team is connected.

2. Cumbersome performance management processes controlled by HR

Some organizations silo their performance management process. That happens when the process runs on individuals filling out single review forms and emailing them back to HR. You’ve got to make it easy for employees and managers to use the performance management process. If not, you’ll get low engagement and few chances for collaboration.

HR often bears full responsibility for performance management. That’s why many HR departments end up creating a system that works well for them. That system may not work well for managers and employees. 

Modern performance management systems should be designed in collaboration with managers and employees. Those are the people who will be putting data into the system the most.

Switch to a modern performance management system. Switch to PerformYard.Learn More

3. Top-Down Approach to Performance Reviews 

A top-down approach to performance review means direct reports are judged individually. Managers don’t get any feedback on their managerial skills and thus never hear from peers about how to improve.

Consider introducing upward reviews. These are chances for direct reports to review managers. These types of reviews bring more collaboration into the performance review process.

3 Action Steps to Create a Collaborative Performance Management System

Here are our recommendations for progressive performance management at your organization. These steps reflect a dynamic process that’s all-encompassing. They’ll help you keep a clear view of goal progression at all times.

1. Use a centralized platform for performance management

Performance management software brings every employee into one platform. From there, it’s easy for everyone to participate in the performance review process. 

The software doesn’t have to give you a prescriptive approach to performance management either. The best software is flexible. It ensures HR people and managers can build collaborative performance management process. 

Having a centralized software platform also makes it easy to use additional touchpoints such as:

  • Upward reviews
  • 360-peer reviews
  • Continuous feedback 

You can do all these things without asking for a massive lift from HR. The software automates everything.


PerformYard provides a centralized place for all your performance management processes.Learn More

2. Introduce cascading goals and team goals

Let’s just talk about the benefits of cascading organizational goals into team goals into employee goals. This way, HR people can introduce more collaboration into plans and align their organization around common goals. Managers will still be able to measure individual goal progress. 

3. Implement continuous feedback between peers

Continuous feedback is a system used by many companies to build a culture of feedback. It requires having a centralized place where employees can drop casual feedback. Employees should be able to say if this feedback is public or private. 

Building this culture starts with a software platform like PerformYard. You’ll need a tool that facilitates, stores, and displays feedback. Then, you need to make sure employees know that they should feel empowered to leave feedback. 

Build a culture of feedback with easy-to-use software.Learn More

Examples of Companies with Collaborative Performance Management 

Here are some examples of companies that created collaborative performance management strategies. Check out Google’s “People Operations Practice” or GE’s “PD@GE” app. Use these examples as inspiration when you’re rethinking performance management at your company.

Amazon’s Performance Management Process
Google’s Performance Management Process
Netflix’s Performance Management Process
Tesla’s Performance Management Process
Apple’s Performance Management Process
Microsoft’s Performance Management Process
GE’s Performance Management Process
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6 Tips on How to Write a Performance Improvement Plan

Traditional performance improvement plans (PIPs) don’t have a good reputation in the workplace. Most managers dread figuring out how to write a performance improvement plan, and employees don’t like receiving them.

But that doesn’t mean you should scrap them altogether.

The truth is, 65 percent of employees desire more feedback. That includes negative and constructive feedback. A whopping 92 percent of respondents said that negative feedback is an effective way to improve performance if it's delivered appropriately.

There’s an argument for continuing to provide constructive feedback to those employees who need it. The question becomes how to write a performance improvement plan that is fair for both managers and employees. 

Let’s find out how to write a performance improvement plan for an employee. Follow our tips below to make sure your employee feels supported throughout the process.

Need software to run all your performance reviews?Learn More

Ways to Start Writing a Performance Improvement Plan

Getting started is often the hardest part of any new process. That’s true when it comes to figuring out how to write a performance improvement plan.

The best way to get started is to dig into the data. It can illuminate what went wrong with an employee’s performance. Data is unbiased. It’s the best way to accurately determine whether the employee has made improvements ahead of their next review.

The first steps of writing a performance improvement plan for an employee include:

  • Finding examples of poor review scores
  • Finding examples of poor goal completion
  • Finding examples of poor peer feedback

PerformYard software can help you design and run your performance improvement plan.Learn More

1. Find examples of poor review scores

Before you even determine whether or not an employee needs a PIP, it’s important to get a big-picture view of their performance.

Look into their performance review results over time. Let’s say an employee’s performance reviews are becoming more and more negative every quarter. You may want to consider a performance improvement plan for that employee. 

At this stage, it’s important not to make any assumptions about why the employee has received a low score. Personal challenges outside of work and poor workplace support can cause low scores. Be sure to take a compassionate approach to a performance improvement plan conversation with any and every employee.

2. Find examples of poor goal completion

Receiving a PIP should never feel unfair or unwarranted. It should very clearly define examples of poor goal completion.

Outline any review questions where the employee received a poor score and document goals on their most recent review that were not met. Employees will be able to see that their performance improvement plan is based on impartial data—not management opinion.

The use of performance management software makes it easy to uncover poor review scores and poor goal completion. The data is accurate and compiled in one place. It’s also updated and tracked in real time.

All data is transparent and accessible to employees, even before the next review or a PIP . When you use software, performance improvement plan conversations don’t come as a complete surprise.

Track individual goals along with performance reviews with PerformYard.Learn More

3. Find examples of poor peer feedback

According to one research statistic, 56% of employees who have a friend at work are engaged. In contrast, only 8 percent of employees who don’t have a friend at work report being engaged.

That doesn’t mean everyone has to be friends with everyone else in the workplace. That said, there are benefits to employees having good working relationships with co-workers.

Integrating 360 reviews into your performance review process allows employees to provide insights about each other. You can refer to these insights when creating a performance improvement plan for an employee.

The feedback will show specific examples of instances where employees may have let down the team. It may also show how their interaction with others has impacted their review score or goal completion.

When creating a PIP, look for peer feedback that is tied to performance data. Do not include opinions, generalizations, or assessments of character in the plan. The goal is to outline the concrete reasons for having a performance improvement plan. 

Tips to Help an Employee Through a Performance Improvement Plan

Figuring out how to write a performance improvement plan requires some long-term planning. You have to do more than create the plan and leave it up to the employee to make the necessary changes. It’s important to provide continued support throughout the process.

Here are some tips for helping an employee through a performance improvement plan conversation:

  • Start with the specific instances that need to be addressed
  • Work with the employee to develop goals
  • Set up frequent check-ins beyond the normal review cycle

4. Start with the specific instances that need to be addressed

It is important to be as specific as possible when informing an employee that they are receiving a PIP. One way to do that is by showing data points on a performance management platform, like PerformYard. This approach ensures the employee knows why they are receiving a performance improvement plan.

Approach the conversation with compassion and be prepared to listen. It’s normal for employees to feel defensive about their performance, especially if they worry that it may impact their job. Bring a caring, team-oriented perspective to the conversation. Remember to also let the employee come up with their own solutions

5. Work with the employee to develop goals 

PIPs get a bad rap for being ineffective. That’s because they are often focused on employee performance but not inclusive of the employee’s perspective. Every HR person should want their employee to take their performance improvement plan to heart. The way to do that is to work with the employee to develop goals that address performance issues.

Managers should uncover performance gaps such as poor review scores, poor goal completion, and poor peer feedback. The employee should then be brought in to create a plan that articulates what needs to be done.

This strategy enables you to approach the employee improvement plan as part of the professional development process. You can give the employee ownership over their improvement.

Once goals are set, ensure you track the metrics that you and your employee agreed on. A performance management software platform allows managers and employees to see progress in real-time. The platform also ensures the process is as transparent as possible.

6. Set up frequent check-ins beyond the normal review cycle

An employee who is on a performance improvement plan needs extra attention to ensure they are on the right track. Build a specific review cycle for that employee that includes frequent check-ins so you can provide them with the support they need.

Reviews can be informal, with check-ins occurring frequently or infrequently. More formal check-ins could include monthly or quarterly reviews. You can also add more frequent goal milestones to ensure the employee is on their way to meeting their final goal.

Just make sure that goals are easy to access for check-ins and official reviews. You and your employee should reference PIP goals easily during review meetings and in between meetings.

Set up custom review cycles with check-ins and continuous feedback.Learn More

Building an employee-specific performance improvement plan is made easier with a tool like PerformYard. With just a few clicks, you can easily view goal data, and you can adjust any individual employee’s review cycle.

Using Performance Management Software to Design your PIP

As you have been reading about how to write a performance improvement plan, you have probably noticed we mentioned PerformYard as a solution. That’s because our performance management software makes designing, implementing, and reviewing PIPs easy.

PerformYard provides you with a place to document and track goals, run check-ins, and adjust individual employee review cycles according to the level of support each employee needs. It can run 360 reviews, where you can uncover how others feel about a coworker’s performance. 

Perhaps most importantly, it can provide data that illuminates the need for a PIP in the first place. That way you know where your employees stand, but they get the feedback they crave too.

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How to Design an Attorney Performance Review Process

Attorney performance reviews are different from your typical employee review. While the reviews may measure common objectives like new client wins or teamwork, they must also evaluate the factors that make successful attorneys, not just employees.

How have the attorney’s clients rated them?

How well have they developed junior associates? 

How do they contribute to team profitability?

The tips in this post will help you craft a meaningful law firm employee performance evaluation. You’ll find specific metrics to evaluate an attorney's performance and even get a head start on creating your review. 

5 Tips for an Effective Attorney Performance Review

The following four tips are a place to start measuring attorney performance. However, don’t try to boil the ocean. Take the time to build a concise list of metrics that are most impactful to your employee, team, and firm. 

1. Bring Measurable Goals into the Review Process  

Goals provide a baseline upon which to start the review process. According to Edge International, one category could be “outcome measures”—or the outputs and results the attorney has already achieved. Here are some examples of performance goals for lawyers; these can be quantitative, qualitative, or both.

Quantitative measures include:

  • Billable hours
  • Realization rates—the difference between recorded time and the percentage of that time clients paid.
  • Value/price of engagements negotiated
  • How much the employee has contributed financially to the firm, such as fees-per-earner. 

Qualitative metrics could include:

  • Junior staff retention rate
  • File and client audits
  • Training, coaching, and developing associates

Track your firm's individual and company-wide goals with PerformYard.Learn More

2. Formalize Peer Feedback

Incorporating positive feedback into the review process is a must. Don’t just limit it to feedback from a manager to a direct report—get input from peers too. 

This step is easy in PerformYard. The software helps law firms capture informal feedback, save it in an employee’s profile, and make it available to look at during reviews. Emphasizing an attorney’s strengths and highlighting them in reviews puts the attorney in a position to succeed.

Bring informal feedback into performance reviews with PerformYard.Learn More

3. Stay Current on Cases with Quarterly Reviews and 1:1s

An annual review at a law firm is fine, but it should be aided by quarterly reviews and 1:1s.

Attorneys may work on many cases throughout the year, and it’s hard to capture a clear view of all that work after a full year. Plans could’ve been diverted, there could’ve been staffing changes, etc.

Quarterly reviews and 1:1s allow attorneys to review more recent work and make improvements during the middle of the year instead of waiting 365 days.

4. Use Performance Reviews to Build Mentorship

Mentorship is vital at law firms, and performance reviews provide a chance for managers and attorneys to connect. However, that doesn’t happen at firms that only use annual reviews or downward reviews. 

Upward reviews allow attorneys to get a chance to provide feedback to the people above them and build stronger relationships. 1:1s provide the same  opportunity.

Creating a review cycle with 1:1s, quarterly reviews, and annual reviews gives attorneys plenty of chances to connect and increases the odds of your firm having a strong mentorship culture. 

5. Use Review Form Software to Formalize the Process

It can be daunting for an HR person at a law firm to revamp a review process set in stone for years. However, software like PerformYard can take your current process and streamline it, centralize it, and make it easier to execute.

Notifications, stored feedback, custom review cycles, and custom review forms make the process of running performance reviews easier for HR people. 

Building a culture of strong performance starts with showing your firm that you’re committed to the performance review process. Using dedicated software can help send that message. Plus, it’s easy enough for anyone to use, even longtime lawyers who are used to using paper forms. 

Take 20-minutes to seee why PerformYard is the easy choice for your HR department.Learn More

Attorney Review Templates to Get You Started 

If you’re ready to change how you do your performance reviews for your attorneys, you’re in the right place. You can customize the following review templates specifically for attorneys.   

Click here to see the six modern performance review templates

You can also get a quick demo of PerformYard to see how the software can streamline your firm’s attorney review, so you don’t have to use paper / PDF templates.

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How to Track Employee Performance in 2023 | Templates & Tips

Waves of employers are turning to employee monitoring software to track performance. Approximately 67.6% of North American employers with 500 employees or more use some kind of software to monitor employee activity while they’re on the clock.

When you dig into the why, it makes sense that so many companies are jumping on the employee tracking bandwagon. Data breaches, insider attacks, and even accidental negligence are all threats that can cost a company time and money.

Remote work is also a huge issue. The number of people working from home tripled between 2019 and 2021. It will continue to be a popular perk, with over 36 million people working from home by 2025. 

How do you know if your employees are doing their job?

Employee monitoring software seems like an easy solution, but it creates problems of its own. Not only does it demonstrate a lack of trust in your employees, which can negatively impact their performance, the work environment, and employee turnover, but it also comes with legal risks.

Don’t lose sight of the forest for the trees. You can figure out exactly how an employee is doing on the job, whether they work in the office or at home, by using an employee performance tracking system based around performance management—not a Big Brother-style monitoring system.

The question then becomes how to track employee performance.

Here are our tips for tracking employee performance so you don’t have to rely on intrusive monitoring software.

Build a strnog culture around performance with PerformYard software.Learn More

What Are 5 Different Ways of Evaluating Employee Performance?

The best strategies to monitor team performance require you to get laser-focused on how you’re going to evaluate employee performance.

They include:

  • Bringing goals to the forefront
  • Conducting frequent check-ins
  • Investing in tools to track performance
  • Using peer feedback
  • Analyzing data over time

1. Bring goals to the forefront

Goals should always lead your strategy to monitor team performance. That’s because a goal can provide you with the exact information you seek about productivity, so long as you set the right goals, the right way.

First, determine exactly what it is that you want to know about your employees and their performance. Do you want to know if they work well with the rest of their team? Do you want to know how many sales they make? Do you want to know if they are becoming more proficient at using a certain program?

Answering these questions will lead you to meaningful goals you can set for your team.

You should also think more broadly about the goals you want larger teams or the entire company to meet. For example, if you're worried about remote employees and the amount of time they spend on-task, create a goal that addresses your concern.

You could also create goals that address cyber security, like which devices can be used when completing work, and goals that encourage employees to complete online training courses. Create an incentive and the team will strive to meet that goal—no tracking software needed.

There are two tips to consider when setting goals:

Don’t let goals get stale. 

Goals should be updated, amended, and scrapped when they no longer serve you, your employee, or the company. Don’t wait for an official performance review. Goals should be updated whenever it’s needed.

Make sure your employees are engaged in the process

Employees who are allowed to create and update their own goals are more likely to feel a sense of ownership over those goals, which can greatly impact their performance.

The best way to track and set goals is by using employee performance tracker software. Especially if you’re tracking KPIs.

How do I track my employees’ KPIs?

If you want to know if your employees are meeting their goals, you have to identify key performance indicators (KPIs) that can be measured.

It requires you to document things like:

  • The name of the goal
  • The target, and how it is going to be measured
  • Start and end dates
  • A description of the goal
  • The category the goal is assigned to for cataloging purposes
  • The assignee and others who have access to the goal
  • Other goals it’s aligned with

That’s why using an employee performance tracking system is recommended. Instead of trying to keep track of all that information manually on a software platform, like Excel, that isn’t technically built for the task, dedicated performance management software will walk you through the steps you need to take to create goals with KPIs. 

Track goals within your performance reviews using simple software.Learn More

The software can keep track of everything in real time, so you can pivot your strategy and modify goals as soon as it’s appropriate to do so. There’s no need to wait until an official performance review to do it.

2. Conduct frequent check-ins

Don't wait until it's time for an official performance review to see if employees are meeting their goals. Goals should continue to be at the forefront once they have been created.

Create a performance check-in schedule that enables you, your employees, and the entire team to see if everyone is on track. They don’t have to be long, and they don’t have to be formal.

You may find that a weekly check-in allows you to tackle the events from the previous week, while others may find that che2cking in once every two to four weeks is plenty.

The key to successful check-ins is to limit the agenda. Choose just one or two things to focus on at each check-in. Because it tracks important metrics in real time, a program like PerformYard can make it easy for you to see what needs to be discussed at the next check-in.

Don’t get caught up in the formality of a traditional meeting. Check-ins can be relatively informal. Talk about an important goal over a cup of coffee or plan a quick meeting on a bench outside instead of meeting in your office.

Quickly set up a check-in schedule that works for your team.Learn More

3. Invest in tools to track performance

Using the right tools is the only way to track goals and KPIs in detail so you know how employees are performing, but there’s another reason to invest in employee performance tracker software instead of monitoring software.

The message you send when you unveil performance-focused software is much more positive than informing employees their movements will be tracked with monitoring software. It lets employees know that you’re serious about tracking performance, but you trust them to work towards accomplishing their own goals, which can positively impact how employees behave on the clock.

In contrast, using monitoring software demonstrates a lack of trust and makes employees feel like they are being spied on, which has the potential to negatively impact performance.

4. Use peer feedback

Using peer feedback through 360 reviews can be a great way to gather performance information. It’s among the best strategies to monitor team performance because you can see how an employee’s performance relates to their interactions with other team members. 

360 reviews also let you see how employees are doing in between reviews. With PerformYard, team members can leave feedback on other employee profiles. Employees can see these reviews, but so are managers.

It enables management to provide teams with positive reinforcement when things are going well, and it enables management to address potential issues. That way team members can get back on track toward meeting their goals ahead of the next formal review.

Build a culture of feedback and accountability with PerformYard.Learn More

5. Analyze data over time

From the moment you first started to think about how to track employee performance, you probably felt like monitoring software was the easy choice. It certainly would give you access to data, but at the cost of your company’s work environment. Plus, the data won’t have anything to do with larger company goals; it will only monitor computer activity. With the right employee performance tracker software, you can analyze data over time that is more relevant to accomplishing goals—not just seeing if employees are at their desk.

A performance management software platform captures an employee’s performance on a review, then catalogs that information. Each performance review is added to the database, enabling you to see how they are performing over time. It allows you to see if an employee is improving, falling behind, or remaining consistent in their performance quarter after quarter and year after year.

Six Employee Performance Tracking Templates to Use

Using an employee performance tracker template is an easy way to track performance, which means you can track performance more comprehensively.

With PerformYard, you can customize these templates and build them into the software platform. That makes it easy for employees to fill out the forms, but it also means the information is automatically stored within the platform so you can track data over time without having to do all the work yourself.

Click here to download the templates.

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A Practical Guide to Performance Management for Nonprofits

Performance management for non-profits looks a little different. Employees live by certain values, work for the greater good, and aren’t measured on profits. HR departments at non-profits may struggle to run a traditional performance management system.

A Bridgespan Group survey showed that two-thirds of nonprofit organizations think performance assessment is a weakness. If you look at all companies— for-profit and non-profit —less than half say their performance management system needs work.

So, why do nonprofits struggle with performance management more than for-profit businesses?

Nonprofits have unique challenges. Many nonprofits have small HR departments. These small departments have little time to build a performance management process. Measuring employees’ performance can be difficult when profits aren’t the main goal.

Though performance management for nonprofits may be challenging, it isn’t impossible. All you have to do is apply an approach that works for you.

Below, you’ll find steps you can take to design a nonprofit performance evaluation for your team. You can also see real-life examples of how other nonprofits approach performance management. These examples can guide you when you’re designing your performance management system.

The right software makes it easy for small HR teams to run performance reviews.Learn More

3 Steps for Designing a Nonprofit Performance Management Process

An HR person at a non-profit can get into trouble if they think of the performance management process as a whole. It’s easy to feel overwhelmed. Breaking it down into individual steps will help you tackle the process more quickly. 

The three steps for designing a nonprofit performance management process include:

  • Align your goals with your mission
  • Use a continuous performance management process
  • Use software tools to streamline the process as much as possible

1. Align your goals with your mission

There’s no need to reevaluate your mission to create a nonprofit performance evaluation. Your performance review process should align with your mission.

First, dig deep into your company's core values. Then, determine where you want to be. Compare that to your current values and see if they support your vision. If the answer is yes, they can be used in your review process.

Here’s an example. Let’s say positivity is essential to your organization. You can measure employee performance by observing if they show:

  • An openness to identify solutions when presented with problems
  • The drive to find progress every day
  • An encouraging attitude towards colleagues who are facing obstacles

Just be careful not to go overboard! Focus on the least amount of values that enable you to achieve your vision. This will prevent your evaluation process from getting too clunky. You can use PerformYard to streamline the goal process, as seen below:

See goals alongside reviews with PerformYard software.Learn More

2. Use a continuous performance management process

Let’s say you’re trying to find the quickest version of a nonprofit organization's performance evaluation process. You like the idea of an annual review because it sounds like it would take less time than a continuous performance management process. The truth is, a process with frequent touch points throughout the year is easier—and less time-consuming. 

It’s what your employees probably want too. 80% of employees prefer immediate feedback rather than waiting for an annual performance review.

Continuous performance management means both employees and managers talk about performance frequently. Reviews can be scheduled weekly, monthly, or biannually. You can create a schedule of informal check-ins or conduct project-based reviews every time the team completes a project. Discussions may include goals, celebrating wins, and how to improve performance. 

This type of performance management for nonprofits doesn’t force you to tie annual reviews to everyone’s work anniversary. HR doesn’t have to set aside huge chunks of time when annual reviews come around. Instead, you work continuous feedback into your weekly schedule. Continuous feedback is a popular feature within the PerformYard performance management platform. Using it helps employees get the frequent feedback they want.

Build a culture of continuous feedback with PerformYard .Learn More

Still like the idea of an annual review? Having smaller reviews throughout the year gives you a pool of review data to pull from at the end of the year.

3. Use software tools to streamline the process as much as possible

The trick to making a continuous performance management process easier is using the right software.

A software program like PerformYard is specifically designed for performance management for nonprofits. It can track details and collate data in real time. It enables employees and managers to get a detailed picture of performance. Both parties can make tweaks along the way without having to wait months until the next annual review.

Learn why nonprofits like Habitat for Humanity use PerformYard.Learn More

Well-built programs are fully automated. That means HR people can minimize the amount of time they spend on the performance management process. Even the smallest HR departments can run a continuous performance review process with frequent checkpoints and continuous feedback. You say what you want to measure, how to measure it, and how often, and the program does the rest.

Examples of Non-Profits Excelling in Performance Management

Let’s see some real nonprofit organization performance evaluation systems in action. These examples show you a clear path forward with your performance management process.

Here are a few examples of nonprofits excelling at performance management:

  • How Habitat for Humanity built a culture of accountability
  • How NAMI created more qualitative discussions with employees
  • How the Colorado Health Foundation modernized performance reviews

How Habitat for Humanity built a culture of accountability

Habitat for Humanity started with an annual review, which is where many nonprofits start. Those reviews included a self-evaluation and a downward review.

As the organization grew, the average review totaled nine pages. These reviews had wildly different feedback from different managers. The reviews included files that would just sit in a drawer until the next annual review. It was time for a change.

Kathy is the Director of Human Resources at Habitat for Humanity Philadelphia. She was introduced to the idea of a standalone performance management platform. Shortly after, she slowly began the process of transitioning.

In the first year, they kept their standard review forms and focused on getting employees comfortable with PerformYard. In the second year, they added a mid-year review to keep everyone accountable for the process.

They also simplified their forms based on their organization's core values. In their fourth year, 360 reviews were introduced. They also expanded access to PerformYard to include part-time employees.

Read more about how Habitat for Humanity built a culture of accountability here.

How NAMI created more qualitative discussions with employees

James Cornett, the VP of Administration at the North American Meat Institute (NAMI) used to spend two months each year on annual reviews. It relied on spreadsheets and binders. These were filled with the information the CEO would use to make salary raises for staff.

It’s no surprise that James started looking for a new system to automate the process and save time.

Now, NAMI has a biannual review cycle in June and December that starts with a self-evaluation. The self-evaluation responses move to management, and eventually to the CEO. Everyone can share comments throughout the process. It is all tracked digitally through PerformYard. There is no need for extensive spreadsheets and note-keeping.

James and the team can make continuous improvements to the forms and the process based on employee feedback. The system is streamlined and focused on quality. That means HR has more time to integrate check-in conversations between review cycles.

Read more about how NAMI created more qualitative discussions with its employees here.

How the Colorado Health Foundation modernized performance reviews

The Colorado Health Foundation found the previous software they were using to be restrictive. There was too much structure associated with the goal-setting process. This resulted in the employees having to fill out long forms. The organization wanted the flexibility to develop new focus areas. They also wanted a review process that required employees to have meaningful conversations as part of their review.

It was time for a change, so they started by implementing monthly conversations to get the process worked out. 

Next, they implemented a new process of recording goals in freeform notes. It allows all departments to use a single process. That process can be tweaked to fit their needs, even if they are engaged in dramatically different types of work.

For example, the philanthropy department once chose to add a prompt for one of their quarterly conversations. Another department added structured goals to pair with the standard freeform goals.

In the second year of implementing the modern, the most important questions were consolidated. That meant conversations could take place quarterly instead.

Read more about how Colorado Health Foundation modernized its process here.

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Performance and Compensation Management | Do’s and Don’ts

Do your employees feel like they are being fairly compensated?

Nearly a quarter of the respondents answered “No” in one survey. Employees under age 35 are more likely to agree that they are paid unfairly, as are women and those who work at large organizations.

Plus, 63 percent of workers who quit a job in 2021 said low pay was the reason for leaving their job. It’s clear that companies should think carefully about their compensation management strategy.

So, how do you make employees feel like they have more control over their income? One way is by combining performance and compensation management.

Of the 250 largest companies in the S&P 500, 83 percent tie at least some employee income to performance. These companies do this through the use of a formulaic annual incentive plan.

Many other companies are doing the same. User Insight is one such example. They link performance with compensation to get a better understanding of company performance. 

Wondering if connecting compensation management and employee performance is right for your business? Here’s what you need to know about the relationship between performance and compensation management.

We’ve got five tips that will walk you through the dos and don’ts of tying these two concepts together.

The right software makes it easy to connect performance and compensation management.Learn More

What Is the Relationship Between Performance and Compensation Management?

Performance management can be an effective way to lay the groundwork for compensation decisions. It enables HR and managers to monitor and evaluate employee work against the strategic objectives of the company.

HR is armed with accurate information and a big-picture view of the performance of the organization. That makes it easy to use data to drive compensation decisions.

But, that’s only when it is done properly. Tying pay to performance is more than twice as likely to produce above-average engagement among employees. However, that’s only if they feel like their performance is accurately assessed.

The best way to accurately assess employee performance is to use performance management software. It is specially designed to track detailed performance metrics. Software eliminate human error and enables employees to see their performance data clearly. Employees can simultaneously understand exactly how their performance is measured.

The software can also store compensation data and performance data. This makes it easier for management to give out promotions, raises, and/or bonuses without delay.

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5 Tips for Linking Performance and Compensation Management

The right software program streamlines the relationship between performance and compensation management. However, there are still more steps to set up a system that’s right for your employees business.

Here are our five tips for linking performance with compensation:

  • Figure out how you’re going to track performance
  • Establish timelines and compensation updated schedules
  • Define important metrics for each team and individual
  • Implement HR software to track compensation and performance
  • Start with a small team and then consider expanding

1. Figure out how you’re going to track performance

Most companies follow the same process when they first tie performance and compensation management. They think about tying compensation to individual monetary achievements, like sales. It is an option, but it may not encourage employees the way you might expect.

This type of performance-based pay structure can encourage employees to work harder, but they can also end up with higher levels of stress. This can offset the gains in employee productivity that the new pay structure is trying to create.

If you worry about this possibility with your team, there are other metrics you can use to tie performance to compensation. For example, performance might be considered team- or company-wide based on revenue.

Everyone receives a bonus or a pay increase when the group is doing well. Some companies even tie executive pay to ESG (Environmental, social, and corporate governance). Others turn to operational and/or safety data when considering increased compensation. 

Goal setting is an important part of the process. It ensures employees have an active role in setting their own goals, as well as what successfully reaching their goals looks like.

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2. Establish timelines and compensation update schedules

You don’t want employees wondering whether or not they’re going to receive increased compensation. You don’t want them to feel like an unfair performance review meant losing out on a raise. Always clarify expectations when you're combining compensation management and employee performance.

Your performance review process should be clear. You have to determine whether you want to conduct quarterly, annual, or bi-annual reviews. It’s also important to determine what type of review aligns with individual and company-wide goals.

Then, create a compensation update schedule. That way, employees know what kind of pay increase or bonus they can expect if they meet their goals.

The best approach is to be transparent about the timeline and compensation schedules you have created. Employees won’t wonder when they’re going to receive their next raise, or how much it’s going to be.

PerformYard can help you schedule review cadences that align with your schedule and the goals you have for your company.

3. Define important metrics for each team and individual

Once you have figured out how you're going to track performance, it’s important to dig into the details. That means knowing whether or not you’re going to use team-based metrics or individual metrics.

Then, you have to define exactly what it will look like when the goal is accomplished. It might mean reaching a certain number of sales for an individual employee. It could mean accomplishing a revenue increase within a certain period among the team as a whole. When that goal is achieved you can activate a bonus, pay increase, or other compensation.

Some companies choose a combination of both team and individual metrics. That way, the pressure of individual performance isn’t too great. There’s still an opportunity to obtain increased compensation depending on team performance.

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No matter what you choose, it’s important to outline exactly what each goal is and what is needed to obtain the raise. Not only does it give employees a clear goal to work towards, but it also means there are no surprises. They already know whether or not they met their goal before their next performance review.

4. Implement HR software to track compensation and performance

If you want to implement a high performance management system that’s tied to compensation, you have to have the right software.

Attempting to track data by hand is time-consuming and prone to mistakes. Performance management software is designed to track any data points you ask it to. A program like PerformYard enables you to monitor goals to see how employees are performing. It also gives you the chance to update goals when necessary.

PerformYard also integrates with your HRIS to track compensation details. This enables you to compare current compensation with performance. In turn, you can implement an effective compensation update schedule.

Performance management software also lets your employees log in and see performance data themselves. This enables complete transparency among employees and management.

5. Start with a small team and then consider expanding

If you like the idea of linking performance and compensation, don’t feel like you have to start with a company-wide rollout. Start small instead.

Start with one sales team, for example. Gather feedback from the team and observe how it impacts their productivity and attitude. You can also see how it affects your bottom line. This will help you work out the kinks in your compensation schedule before a potential widespread raise mistakenly puts you in the red.

Some positions aren’t directly tied to revenue, like marketing and strategy teams. It is especially important to start small while you work out which metrics paint a clear picture of performance. That will help you figure out what type of compensation increases are fair.

Once you feel confident with the process, you can expand the concept to other teams. Your eventual goal could be implementing a company-wide compensation schedule that work for every employee.


Should you tie compensation to performance?

The answer to this question is unique to every business. Can you accurately track important metrics? Can you create a fair compensation schedule? Can you keep the process as transparent as possible so employees know exactly what to expect? If so, linking performance with compensation management might be a great strategy.

What does performance compensation mean?

Performance compensation means tying performance and compensation management together. Performance influences compensation. For example, employees or teams that meet goals receive a raise or a bonus according to your compensation schedule.

What is the main purpose of performance management?

The purpose of performance management is to boost employee engagement and productivity. Good performance management encourages employees to work towards goals that are aligned with company objectives. A good plan provides them with support and opportunities for professional development. It also provides increased compensation when appropriate.

What is the main purpose of compensation management?

The main purpose of compensation management is to distribute pay or bonuses in exchange for work. It is determined by company policy and procedures. Compensation management also includes benefits, like insurance and retirement benefits.

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How to Update Performance Appraisal Processes | 6 Steps

According to Gallup, only 14% of employees strongly agree that their performance reviews inspire them to improve. Traditional performance reviews and feedback approaches worsen performance about one-third of the time. 

Why? One reason is employees don’t receive reviews regularly enough. Many organizations do one annual review. By the time employees hear feedback, the issue is obsolete, or they have already solved it. 

Performance management must be more than a box-ticking exercise to be impactful. We’ll walk you through the steps of how to develop an effective performance appraisal process.

Step 1: Define the Purpose of Performance Appraisals

For most companies, the purpose of performance management is to give employees:

  • the resources they need to develop
  • deserved recognition to motivate them
  • accountability measures

PerformYard software helps you create better processes for better employee outcomes.Learn More

Discuss how you’ll measure accountability early on with your employee. It’s particularly important to have this discussion if you’ve recently started managing them. This discussion mitigates unpleasant surprises and helps employees perform to specific standards. 

Quantitative measures are helpful for their specificity. 


Your marketing employee should publish at least three monthly content pieces.

Development-focused reviews are popular these days, from weekly 1-on-1s to engagement surveys. Perhaps your employee is hesitant to ask for the resources they need to optimize their performance. Reviews give them this opportunity.


The employee may have trouble with public speaking. Maybe they need guidance for coordinating among many stakeholders. The review presents them with a good time to ask for help. 

Recognition is an influential motivating factor but exercise caution. An employee could have immeasurable talent but cause friction in the workplace. They could also use the recognition to rationalize less-than-ideal behavior. Take a holistic approach when you’re awarding recognition.

Step 2: Partner with Leadership and Management

It’s essential to talk to managers about what they want from a performance management program. You also have to make it easy for managers to run the program. Getting buy-in from managers early on will help you design a process they appreciate.

For example, a salesperson has to hit a specific target each month. The problem is that their manager has been promoting people who haven’t consistently hit this target.  

This could be because the manager uses both quantitative and qualitative measures. Maybe the manager thinks about how effective employees are as teammates, or whether or not they provide mentorship and guidance. This manager might not want to use numbers-based reviews but instead, ask open-ended questions.

The secret to effective performance reviews is to get on the same page with team managers, executives, and department heads.

Step 3: Design the Review Forms and Cycle Timing

Generic and outdated review forms won’t do you and your employees any favors. The goals of the demand generation team are never going to be the same as the talent acquisition department. Different individuals require different questions and feedback. Therefore, you must establish how to update performance appraisal processes. 

PerformYard can help. The platform lets you customize performance review forms and update old ones with a few clicks. You won’t have to worry about tedious spreadsheets and sorting through different cells. In addition to writing specific comments, you can check off different fields for who’s reviewing the evaluation. You’ll also be able to incorporate feedback to the employee from various people across the organization.   

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Step 4: Build Goals Into the Process

One of the best times to start focusing on goals is when you’re updating your performance appraisal process. Use software that tracks goals alongside appraisals, so employees know what they’re working toward and what they’ll be measured on. 

Here are five things you should do right away to establish a strong culture of achieving goals: 

  1. Decide if you want biweekly, monthly, or quarterly goals.
  2. Define expectations, timelines, and contributions.
  3. Break up larger goals into smaller, measurable tasks and link them to a timeline. 
  4. Track them individually to see where your employees excel or fall off track. 
  5. Continue to revisit your goals, show your employee the data, and work with them on improvement.
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Step 5: Try to Recycle the Best Parts of Your Old Review Forms

You want your performance reviews to be regular and effective. It’s possible to set up a manual process that happens on a regular basis, but it takes a lot of work on the part of the HR team. That’s not to say you need to abandon your manual review process entirely. 

PerformYard can help you move paper and email forms into the software platform. That means you don’t have to start from scratch when updating your performance appraisal process. Updating a process is as simple as streamlining the old forms and questions with PerformYard software.

Step 6: Invest in Performance Management Software

If you’re looking for solutions to performance appraisal problems, PerformYard is an invaluable resource. The platform consolidates and streamlines once-cumbersome review processes with features like one-click distribution. With one click, you can send forms to every reviewer in the organization. 

Custom workflows enable different stakeholders to coauthor a review or review employees in sequence. Receive notifications and track review completion processes. PerformYard lets you enjoy a super simple, flexible upgrade for your old, manual performance appraisal processes.

Take 20 minutes to see how PerformYard can make life easier for your HR team.Learn More

Next Steps for How to Update Performance Appraisal Processes

Standard performance reviews and processes won’t cut it anymore. The goal is to help your employee be the best asset possible for the company. Be purposeful about what your employee needs to benefit themselves, the team, and the company. Have reviews consistently, not once a year, and keep your documentation up-to-date. Lastly, use modernized software to make the process easier for everyone involved. 

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How to Design a High Performance Management Process

Here’s something you might not realize. If you are familiar with performance management, you are also familiar with the concept of high performance management. 

High performance management is what all HR teams strive for when they put a performance management strategy in place. For that reason, performance management and high performance management are often used interchangeably. 

But they aren’t the same.

You can have a performance management system that isn’t high performing. Most businesses take an approach to performance management that falls into this category.

So, exactly what is the difference?

A high performance management approach motivates, measures, and develops the performance of a team. It incorporates employee strengths and skills into a focused strategy. The system relies on shared goals, transparent communication, and the involvement of all team members.

Detailed performance metrics are a big part of high performance management systems. These systems can increase productivity while instilling a sense of progress and growth in employees. 

Traditional performance management is often used to tell employees how management thinks they are doing. High performance management makes more of an impact on performance.

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So, how do you go from a regular performance management system to a high performance management system?

You start by understanding the characteristics that make high performance management systems different.

Five Characteristics of High Performance Management Systems

Smart HR departments sit at the helm of high performance management systems. These departments understand the importance of human-centered performance management. 

Here are five key attributes of high performance management systems:

  • Frequent touchpoints
  • Team-based reviews that measure high performing teams
  • Goal tracking as part of the review cycle
  • A data-based approach to performance reviews
  • Software that runs an integrated performance management system

1. Frequent touchpoints

The lone annual review is dead. One reason for that is the annual review can’t account for changing goals.

High-performing teams have goals, and they reach those goals. When those goals are reached, teams and individuals need new goals. Sometimes teams realize that existing goals aren’t quite hitting the mark. The team can scrap these goals and replace them with new ones.

A good goal-setting strategy sees goals aligned all the time—not once a year when annual reviews roll around.

That means managers and HR are very involved with high-performing teams, reviewing, tweaking, and working with individuals, management, and departments to celebrate achieving goals and making new ones on a weekly, monthly, or project basis. Frequent touchpoints and goal check-ins are baked into the process to ensure everyone is on the right track.

2. Team-based reviews that measure high performing teams

Two-thirds of performance management systems fail to recognize high performers. That’s a huge problem, as it leads to disengagement.

Highly engaged employees are nearly 90 percent less likely to leave their roles. In addition, companies that rank in the top quartile for employee engagement report that they are 23 percent more profitable. Consistently measuring individuals and their performance is vital to the success of any organization.

But there’s a missing piece.

The best high performance management systems also measure teams.

Individual performance impacts the team's performance, but teams also have to work together. High performance management measures team processes, practices, and collaboration. These factors are difficult to assess in individual reviews.

With team-based reviews, you can measure the team as a whole, providing support wherever it's needed. As the head of the team, managers are included in this process, creating an atmosphere for high performing teams that can thrive.

Consider incorporating project-based reviews

Team-based reviews aren’t a one-size-fits-all approach for those who work closely with others. In some cases, a project-based review is a better option.

With a project-based review, you can focus on the work after the project is completed instead of waiting until the next review cycle. Goals can be clearly defined and easily measured against the specifics of the project, with feedback closely tied to the work that was performed.

This approach is best for teams that work on distinct, discrete projects, as well as separate teams that come together to complete a shared goal.

Make sure you cater the review process to fit your needs. For example, you may not need a review after every single project if projects wrap up every week or two. Projects that take a quarter or longer may need at least one review during the project to make sure everyone is on track.

3. Goal tracking as part of the review cycle

When you get right down to it, high performance management is all about getting individuals and teams to hit ambitious goals. The question is, how clear are those goals? And, how will you know when those goals have been achieved?

A strong goal-setting and tracking system is needed to successfully integrate goals into the review cycle. That means creating goal-setting criteria that will help your management teams and employees to set specific, clear, focused goals that can easily be measured and tracked.

It also means setting the right goals. They need to push employees slightly beyond their comfort zone. However, goals must also be attainable. When you find that sweet spot, employees feel motivated to reach their goals. 

Additional considerations when adding goals to a high-performance management system include:

  • Remember to align individual and organizational goals
  • Separate employee development goals from company goals
  • Have a system for adjusting goals

Remember to align individual and organizational goals

Individual goals can be misleading. On the surface, they may sound like great goals for each employee to accomplish. However, if they aren’t aligned with organizational goals, your employees may meet their goals without meeting company objectives.

Aligning employee goals with corporate objectives allows HR and management to promote shared values and work together to accomplish the same business objectives. Cascading goals can also provide greater transparency, enabling employees to see how their work affects the company as a whole.

PerformYard makes it easy to align individual and organizational goals.Learn More

Separate employee development goals from company goals

Individual goals that further the company are important, but personal goals are important too.

Nearly 75 percent of employees say they aren't reaching their full potential due to a lack of development opportunities. Provide employees with personalized development goals so they can learn the skills they need to feel more confident and effective.

Providing employees with development opportunities can boost morale among employees. It can also strengthen your business. These employees will be more effective, which can boost your bottom line.

Have a system for adjusting goals

High-performing goals aren’t set and then forgotten until it’s time for reviews. Teams adjust them and tweaked the goals as needed.

This can seem like a labor-intensive process, but it’s important. Only with aligned goals can you make effective gains in your organization.

Software like PerformYard makes it easy to adjust goals. It allows you to break goals down into manageable parts that can be tweaked. You can also set different goal buckets for your employees. It’s easy to select one bucket whenever a goal needs to be tweaked.

When you have a system in place, it feels like less of a hassle to adjust goals, so you’re more likely to revisit goals frequently.

4. A data-based approach to performance reviews

Figuring out if a goal has been achieved isn’t always easy. Some goals may appear to have been achieved on the surface, but not when you take a deeper dive into the data. Not to mention, without a data-driven approach to performance management, your management teams and employees are more likely to create shallow goals that are impossible to measure.

If you're striving for a high performance management system, you have to take a data-based approach to performance reviews.

When creating or reviewing goals set by employees and managers, ask yourself, “How will I know when a goal has been achieved?” When you ask this question, you’ll naturally find yourself adjusting goals so that they can easily be tracked and measured.

For example, does an employee have to make a certain number of sales? How will the employee show they have learned how to use a new platform? Are peer reviews needed to see if employees met collaboration goals?

Keep the numbers in mind when setting goals and you’ll create measurable goals that will propel your employees and your company forward.

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5. Software that runs an integrated performance management system

Performance management can be a pain. That’s usually the case when HR departments use tools that aren’t right for the job. It takes a lot of time to set up performance management through systems like Excel, Google Sheets, or Google Surveys. You’ll need specialized knowledge to manipulate these programs to meet your needs.

High performance management takes the process to the next level. These programs use software like PerformYard which is built to run integrated performance management systems.

PerformYard’s flexible performance management platform lets HR create, send, and track reviews. It also runs goal management programs and helps companies build a culture of meaningful feedback.

If you want to take your business to new heights, schedule a PerformYard demo. The platform makes it easy to build a high performance management system. You can quickly replace your old system with one that has a direct impact on performance. 

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4 Things to Know About HRIS Performance Management

If you use a human resources information system (HRIS), you’ve probably thought about using HRIS performance management. After all, it's already keeping track of employee data. Not to mention, it means you can use the software you already have, making it a cheaper solution than purchasing a brand-new program.

We hear these things from organizations that need a performance management system. They want to see what their HRIS performance management system is capable of doing before they sign up for PerformYard.

There’s nothing wrong with taking a deep dive into your HRIS performance management system to see what it’s capable of. That said, don't be surprised if it doesn't fulfill your performance management needs.

This article will reveal why organizations choose a tool like PerformYard over an HRIS add-on. First, let’s show the differences between performance management software and HRIS tools.

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What is an HRIS Performance Management Tool?

HRIS systems incorporate information related to new hires, payroll, and employee data management. They’re designed to help you organize the details that make up the people side of your organization. 

It sounds like it would lend itself well to performance management. However, that’s only possible if you add a performance management module.

Some of the top HRIS systems offer performance management modules. These modules let you conduct employee reviews, performance evaluations, and assessment planning.

The add-ons  aren’t part of the original design of the software. Add-ons must operate within the parameters of the existing system, meaning you won’t get the features you need to customize a  performance management system. The modules let you use your existing HRIS system, but they can end up feeling bulky and outdated

Is Performance Management Software the Same as an HRIS?

Both an HRIS and a tool like PerformYard help organize employee data. However, each application has a different purpose.

HRIS systems act as a repository for employee data like date of hire, compensation, and benefit selections. This information can help employees develop career plans and identify training opportunities.

On the surface, this may sound like a performance management system.

However, an HRIS system is not designed for designing, gathering, and storing review-specific information. That’s what a performance management tool is designed to do.

It is completely dedicated to performance management, whatever that means for your organization.

A specialized system is flexible, so you can customize a review process that is streamlined for HR, management, and employees. It allows you to take a deep dive into goal management and continuous feedback. You can also use reporting options that are specialized for the review process.

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A performance management system has a lot more features that are specific to the review process compared to an HRIS tool.

4 Reasons You Shouldn’t Use an HRIS for Performance Management

An HRIS system for performance management is convenient if you already have an HRIS system. That doesn’t mean it is the best solution.

Here’s why HRIS add-ons are not the ideal solution for performance management:

  • They lack flexibility
  • Your managers and employees will hate it
  • HRIS systems aren't designed to offer quality support
  • You will likely experience data issues with HRIS performance management modules

See why HR pros choose PerformYard for easy, effective performance reviews.Learn More

1. It lacks flexibility

Great performance management is in the details. You should have the ability to decide what kind of review process is right for your employees and your organization. It’s also important to be able to switch up your approach whenever it’s necessary. Performance management software lets you create meaningful KPIs so everyone is working towards organizational goals.

An HRIS system isn’t designed for the flexibility that high performance management requires.

Though add-ons are available, they don’t offer the customization you get with a dedicated performance management system. You’ll will find that it won’t enable you to customize the process exactly the way you want.

2. Your managers and employees will hate it

There are a lot of people out there who aren't very happy with their jobs. In one report, 60 percent of respondents reported being emotionally detached at work, with many employees reporting feelings of worry, sadness, and anger on the job.

Where are all of these negative emotions coming from?

Things like pay and work-life balance indeed affect how people feel about work, but at the end of the day, it's how they experience their work that matters. If their day is punctuated by the use of ineffective tools that make doing their job more difficult, you can bet that resentments will develop.

Existing HRIS performance management add-ons aren’t designed for employees to collaborate on complex workflows. It is designed with administrators in mind, with employees doing simple tasks like putting in PTO or checking pay stubs. The complex tasks that are required to conduct thorough reviews will frustrate employees.

HRIS systems are rigid and centralized. That makes it difficult for your employees to participate, which makes it a pain for managers to manage. If they all hate the program, you can bet they won't be fully engaged in the process, and an unengaged workforce can have serious consequences for your business.

3. HRIS systems aren't designed to offer quality support

A dedicated performance management platform comes with expert support. Whether you have a question about how to customize the review process or you need advice on what steps to implement next, someone is standing by to answer your questions.

That’s not the case with an HRIS.

HRIS systems for performance management are an afterthought. They are designed as a bonus. That means the sales team and customer support aren’t going to know a whole lot about the program and what it does.

If you have a question about how the program works, chances are, you will wait on hold until the person on the other line can find someone who can answer your question if there’s anyone who knows the answer to your question at all.

Not to mention, their expertise is in what an HRIS system can do. They are not experts in performance management.

They will not be able to provide you with knowledgeable information if you want to know more about:

  • Creating effective reviews
  • The timing for conducting reviews
  • What kind of reviews you might want to consider.

4. You will likely experience data issues with HRIS performance management modules

One of the biggest selling points of using an add-on performance management module for your existing HRIS is that the tool will fully integrate with all of the data and tools that are already included in your HRIS.

Strangely, that isn’t the case.

The reality is that HRIS add-on modules are usually just lightly connected to the rest of your HRIS data. That’s because most HRIS performance management systems aren’t fully developed. They offer functionality that they know their customers will appreciate as a selling feature. The company is focused on the main benefits of the actual HRIS system.

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As a result, you’ll be stuck trying to figure out how to make the add-on work for your team.

On the other hand, a dedicated performance management system is specially designed for you to make the most of the entire review process. That means being able to integrate information between platforms. PerformYard will ensure your programs are transferring data and communicating the way they should.

That’s what it’s designed to do.

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Free Mid-Year Employee Performance Review Template

Here is the first rule of performance reviews: the results should never come as a surprise to your employees. Employees and managers need to have mid-year performance reviews to gauge how progress is going.

These check-ins present a chance to reconfigure employee performance and provide solutions for areas of improvement. 

Free Mid-Year Employee Performance Review Template

Click here to download the PDF

The mid-year review template represents an excellent way to provide concrete feedback. Six-month reviews or semi-annual reviews give managers and direct hires a chance to examine employee performance two times during the year.

The review can help employees recalibrate performance. They ensure that targets are hit by the year-end review, which typically has the strongest impact on compensation and promotion. 

The Benefits of Mid-Year Reviews

A mid-year review is an effective tool to help calibrate and focus employee performance throughout the work year. Incorporating a mid-year review into your review cycle can provide significant benefits for employee performance.

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These reviews also help with review training and company strategy

Mid-Year Reviews Calibrate Employee Performance

Imagine that you’re an employee at an organization that only gives you feedback once a year. You put your nose to the grindstone only to hear this at the end of the year:

Hey, you haven’t been doing a satisfactory job at all!”

What!? You’d be surprised and upset. Nobody gave you any form of actionable feedback to identify your shortcomings. You were never given a chance to modify your work. 

Mid-year reviews solve this problem by giving managers a feedback opportunity in the middle of the cycle. This is a chance to evaluate progress, provide feedback, and help employees modify goals. The mid-year review ensures end-of-year goals can still be achieved. 

Mid-Year Reviews Improve the Quality of Reviews 

Completing reviews isn’t always intuitive. If your organization places the most weight on the end-of-year review, the mid-year review is a great way to hone a manager's review skills. The manager can learn to provide quality feedback before the end-of-year review.

Better feedback from managers will help HR and leadership make informed decisions about compensation and promotion. 

Mid-Year Reviews Provide More Data

A performance management tool like PerformYard ensures each round of performance reviews provides the organization with invaluable feedback.

PerformYard helps you get a strategic view of where your organization is succeeding. It can also reveal where the organization is struggling, and where improvements can be made.

Completing two review cycles a year gives you more frequent and accurate data. This allows you to make efficient calibration decisions

The Purpose of Mid-Year Reviews

It may be tempting to treat your mid-year and end-of-year review equally. This isn’t ideal. Each review should have its own purpose within the review cycle. 

Most companies have a straightforward goal for their year-end review. They want to determine how well their employees performed, then tie that performance to bonuses and compensation. 

Mid-year reviews work best when they are tied to employee development rather than compensation. It’s difficult to adjust salaries two times each year.

Mid-year reviews will inform the compensation decisions at the year-end review. 

The mid-year review should focus on how each employee is developing:

  • How well are they hitting metrics?
  • Are their goals still feasible?
  • Do they have the capacity to take on new projects?

Mid-year reviews should act as a developmental review. They should give employees a sense of direction without the fear of compensation being adversely affected. 

How to Structure a Mid-Year Review

A mid-year review can be structured in a number of ways to best fit your organization’s needs. 

A Mid-Year Review as an Informal Check-in 

This is a possibility for companies that do not have the resources to devote to a lengthy review process. An informal check-in may be as simple as a scheduled meeting between a direct report and a manager.

Capture feedback and check-in notes with PerformYard.Learn More

Managers ask questions about the employee’s goals and performance. There doesn’t need to be a script or any specific evaluation. 

These types of reviews can be beneficial for employees who are already tracking goal progress accurately through a performance management system. They’re good for employees who have a good sense on how they are progressing. 

A Mid-Year Review as a Developmental Review Between a Manager and Employee

A more useful review structure is the developmental review. This review asks both the manager and employee to complete an evaluation on the employee’s progress over the last six months. Our free six-month review template provides a great selection of questions and metrics that you can use to design your own structure.

A more structured process provides two great benefits: documentation and data. Managers are able to document how their employees are progressing. HR can compare an employee’s self-evaluation with their manager’s evaluation. Everybody can see how well an employee is performing relative to their goals. This data can be especially useful during end-of-year reviews. It helps management see how employees performed relative to the first half of the year.

Mid-Year 360 Reviews 

Many organizations are embracing 360 reviews. These are reviews that incorporate peer feedback as well as manager feedback. 360 reviews have the added benefit of seeing how an employee functions within a given team. Managers aren’t always to clearly see this dimension of an employee’s performance. 

360 reviews, however, can be time consuming, as they require employees to fill out and receive several reviews. This results in a longer review cycle, which can be complicated if done multiple times a year. 

Run 360 reviews with ease using PerformYard software tools.Learn More

Some organizations have adopted different review structures for different times of the year. For example, the mid-year review may be kept between the employee and the manager, but the end-of-year review may be a robust 360 review process. It all depends upon your organization, your resources, and the time you have available. 

How PerformYard Can Improve Your Mid-Year Reviews

PerformYard streamlines the review process. The centralized, single sign-on platform works for for all employees. Every member of your workforce can complete their reviews without paper forms or emails. 

PerformYard allows HR to craft unique mid-year performance review templates. HR can also kick-off review schedules through scheduled emails and automatically send reminder emails to employees. PerformYard takes care of tracking down the stragglers who are late turning in their reviews. 

Ready to learn more about how PerformYard can streamline your mid-year review process? Request a demo and see why PerformYard is the #1 rated performance management solution.

Frequently Asked Questions

How do you write a mid-year performance review?

The best way to write a mid-year performance review is to focus on employee development. Ask pointed questions about employees meeting their goals. Seek examples of employees’ work succeeding or embodying the values of your organization. 

How do I prepare for a 6-month performance review? 

Employees should examine progress relative to goals and organizational values. Try to discover where you are succeeding and where you are struggling. Bring these successes and challenges to your manager’s attention.

Where can I get a mid-year review template? 

You can download our free mid-year review template here.

Should mid-year performance reviews be tied to compensation?

Mid-year reviews work best when tied to employee development. These reviews shouldn’t play a role in employee compensation. End-of-year reviews are the best time to examine compensation. 

Is a mid-year performance review the same as a year-end performance review?

While they can be designed similarly, it is beneficial to have separate goals for each review. Mid-year reviews are best seen as employee progress reports. They’re meant to help employees recalibrate their efforts to meet year-end targets. 

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How to Write an Accountant Performance Review - Templates & Tips

Accountants work in a more technical environment compared to other professions. That’s why the accountant performance review must align with the role.

Accountants have to crunch numbers when preparing tax returns. They have to measure financial operations to help organizations run with efficiency. Their unique skill set is tied to analytical and computing knowledge.

For these reasons, you must create a unique accounting performance appraisal form.

This article contains notes on how to write accountant performance reviews. You’ll find template ideas and tips that will make the process easier.

  • Creating an Accountant Performance Review With Template
  • Examples of Accounting Goals
  • Examples of Feedback and Phrases
  • How Top Accounting Firms Conduct Performance Reviews
  • FAQ and Resources

Streamline your accountant performance review process with easy-to-use software.Learn More

Creating an Accountant Performance Review With Templates

There are a lot of performance reviews to choose from when creating an accountant performance appraisal.

360-degree evaluations are gaining in popularity. This type of review is very effective, but it isn’t always the best choice for an accountant performance review.

An accountant's job description usually has more to do with competencies, proficiency, and accuracy. Their jobs are not always focused on leadership and team-based cooperation.

Although they interact in the office, peers may not have a lot to say about an accountant’s professional performance. Co-workers' experiences with the accountant isn’t relevant to the accountant's job duties.

External appraisals are often a better option for accountants who work with clients. These appraisals will provide a more holistic view of the accountant’s performance.

Competency assessments are another great choice. They are designed for jobs that are dependent on certain skills. A competency assessment determines which skills employees are good at. It can also highlight areas in which they need more training.

Assessments and rating scales should be paired with open-ended questions. That way you can recognize all employees for their successes—not just employees who work a certain way.

Looking for a quick way to get started on your accountant performance review? Check out our free performance appraisal templates:

Annual Review Template

Mid-Year Review Template

These template can work as-is, or as a starting point to create a custom review template.

Examples of Accounting Goals

Goals are an important aspect of any performance review. After all, those who have goals are 10 times more likely to be successful than those who don't.

Measurable goals are especially effective because they enable you to precisely measure whether or not the goal was met. They are also appreciated by employees.

With a clear finish line, they know exactly when they have met their goal, or what steps they need to accomplish to meet it.

Employees with written goals are three times more successful than those with unwritten goals. Make sure you or your employees write down those goals so they can be referenced easily. 

A tool like PerformYard can help you track and set goals for your employees, as seen below:

accounting performance review goals

PerformYard's goal-setting feature makes it easy to track accountant performance.Learn More

A few examples of goals that can be added to an accounting performance appraisal include:

  • Reduce paperwork by a certain percentage by increasing the use of digital formats.
  • Reduce a certain amount of reconciliation discrepancies by using a platform like QuickBooks more efficiently.
  • Reduce past-due accounts by a certain percentage by utilizing a better billing reminder system.
  • Reduce average invoice processing times by a certain percentage by creating new accounts receivable policies and procedures.

Goals that focus on reducing errors are a great way to measure success, but they don’t all have to focus on minimizing mistakes.

Goals can also focus on things like increasing the number of invoices processed or creating new revenue by securing additional financing. The goals do depend on each individual and their unique position.

Make sure each goal includes a target goal (like reducing paperwork), a KPI (by a certain percentage), and the means to achieve the goal (by increasing the use of digital formats). That way the goal is clear, measurable, and obtainable.

Good goals also enable the employee to provide input in the goal-setting process. Check out this free employee goal-setting template that is designed to walk employees through the process of setting goals step-by-step.

Examples of Feedback and Phrases

You might know what you want to say during your accounting employee performance review, but that doesn’t mean you know how to say it.

It’s important to include concise phrases in the review, but they should also be impartial. If you are delivering constructive feedback, observations should also be as accurate and measurable as possible.

A few positive performance review statements you can use as inspiration include:

  • Bill provides clear, regular updates to clients.
  • Mary can provide the proper guidance to eliminate unnecessary expenses.
  • Dave meets all deadlines before or on time while meeting all expectations.

A few examples of constructive feedback include:

  • Bill needs to improve his communication skills.
  • Mary has difficulty managing multiple accounts or tasks at the same time.
  • Dave needs to work on developing more effective presentation skills.

When delivered impartially, statements are about performance and not about the character of the person being reviewed. This means employees are less likely to be frustrated with the information.

You should also take a professional development approach to constructive feedback. If Dave struggles with presentations, you could offer the idea of sending him to a workshop or two that will help him develop his skills.

Reviews are also more effective if you come prepared with specific examples to back up your statements.

  • What is an example of a time Mary eliminated unnecessary expenses?
  • What mistakes were made while Mary was working on multiple accounts at the same time?

Your employees are more likely to improve when the review isn’t a personal judgment of character.

Looking for more inspiration? You can find sample phrases to share with your accounting workforce here.

You can also facilitate the feedback using a tool like PerformYard. PerformYard allows companies to create a feedback culture and refer to past feedback during reviews.

Create a culture of feedback for your accountants with PerformYard software.Learn More

How Top Accounting Firms Conduct Performance Reviews

Sometimes it’s helpful to see how top companies and others in your industry are tackling performance reviews. The big four accounting firms (Deloitte, EY, KPMG, and PwC) have a precise process that is designed to rate and categorize employees within each practice.

There are usually two review points, with one at the end of the fiscal year and another at the middle of the fiscal year.

Managers give ratings for personal performance and the top and bottom performers within a group or team. 

Some accounting firms also use generic feedback. This kind of feedback is typically related to things like the:

  • Ability to complete technical work
  • Ability to communicate
  • Ability to delegate
  • Ability to understand responsibilities
  • Ability to perform work with little guidance
  • Relationships with clients

Deloitte takes a more personalized approach to the review process. They ask employees about motivation and development opportunities.

Deloitte also asks employees to mention ways to make the review process better. The company shows how employee input was used when making changes within the review process, and even the operation of the company.

You may want to do the same. A highly engaged workforce can increase profitability by over 20%. One of the best ways to engage team members is to make them feel like they are part of the decision-making process.

FAQ and Resources

What is a performance evaluation in accounting?

An accounting performance evaluation is designed to measure professional performance. The review usually includes a rating system that measures individual performance. It may also measure employee performance against other employees. Generic feedback can also be included, and many performance evaluations also include goal setting for the future.

The type of review that is used depends on the needs of the business. If you want to learn more about the big four accounting firms and how they do performance reviews, click here.

Do accountants fill out a self-evaluation ahead of a review?

Most performance reviews include a self-evaluation ahead of the review meeting. These forms usually include a summary of the work the employee completed during the review period.

The style and content of the self-evaluation will vary depending on the team that is creating the form. If you’re in the process of creating a self-evaluation form for your accounting team, check out the seven traits of effective self-review questions.

What are good goals for an accountant?

Here are a few examples:

  1. Reduce paperwork by a certain percentage by increasing the use of digital formats.
  2. Reduce a certain amount of reconciliation discrepancies by using a platform like QuickBooks more efficiently.
  3. Reduce past-due accounts by a certain percentage by utilizing a better billing reminder system.
  4. Reduce average invoice processing times by a certain percentage by creating new accounts receivable policies and procedures.

Where can I find accountant performance review samples?

Check out PerformYard’s 14 different types of performance appraisals here. If you’re wondering how best to phrase individual statements within each performance review, you can find more ideas here.

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A Real-World Guide to HR Data Analytics in 2023

Bias is the number one enemy of performance management systems. HR data analytics is the key to removing bias and conjecture from performance management.

According to Gartner, HR data analytics (also known as people analytics) is the practice of collecting and applying talent data to improve critical talent and business outcomes.

Recent data from the 2023 LinkedIn Jobs on the Rise report shows that HR Analytics Manager is the second-fastest growing role in the US.

HR leaders use the data to guide their talent decisions, improve processes, and foster a positive employee experience. 

In a performance management context, HR analytics show how successful employees are in their position. For example:

  • How many of their sales calls generated sales?
  • What percentage of team objectives did they meet?
  • How many of their initiatives did they abandon?

This article discusses why HR data analytics is so critical to performance management. You’ll learn how to build metrics that matter and the role of HR analytics in real-world examples. 

PerformYard makes it easy to collect and analyze performance data.Learn More

Why would you use HR data analytics?

HR professionals use data analytics to identify top performers and employees who need support or training. 

Data analytics will highlight gaps where a team or department needs additional resources. For example, the marketing team could benefit from a freelance graphic designer to pump out content faster.

Your engineering team may want a new release communication tool to improve product velocity. Use these insights to compel action.

In HR, data analytics can also capture the effectiveness of your performance management process. The data will help you tell whether your performance management process is helping employees, having no impact, or making things worse. 

For example, an employee may have increased their project output, but the quality isn’t as high.

The monthly professional development chats would be more effective as biweekly sessions. Focusing solely on the short-term quarterly sales targets means teams overlook the forest for the trees. 

Capture better employee data with PerformYard software.Learn More

Finally, you can also use data analytics to decide on promotions and compensation. Use determinants like:

  • The number of promotions the employee received in their past
  • The number of deadlines met
  • Team contributions
  • How well they met or exceeded individual, team, and company-wide goals 

For a holistic evaluation, weigh the data in tandem with intangible factors like leadership potential or helpfulness.

What kind of metrics should you analyze?

Before you decide on metrics, think about the current state of the organization. Are you in the middle of significant transitions and restructuring? Would your time be better spent improving current processes? 

Your resulting performance management metrics must align with the strategic objectives of your specific organization. A new startup’s priorities will be much smaller-scale than those of an enterprise organization.

You can take different approaches to determine the metrics that will be most impactful for your specific organization.

One is to manage performance at an overall level. Some organizations give employees an E for Exceptional Performance, S for Successful, or NI for Needs Improvement. The obvious downside is that this classification is too broad and doesn’t give context. 

Dig into the data that matters to your HR department with PerformYard.Learn More

Another way is basing metrics on goals, like:

  • The percentage of goals completed—quarterly, departmental, or organization-wide
  • A self-review rating
  • 360-Peer Review ratings
  • A manager’s performance ratings

Goals-based metrics reflect an employee’s contributions. They can also be customized to each individual. The downside is that they may result in underachievement. If the goals are low, an employee could get away with doing the bare minimum.  

What tools help with HR data analytics?

You’ll need a software tool like PerformYard that lets you track, analyze and report on performance review data. You should be able to see all the goals in one place alongside review form questions and answers.

Organize reviews from solutions by department and employee, analyze rating scales, and make decisions based on the data. It’s much easier to do this with software than with an informal, paper-based, or email-based performance review process. 

Take 20 minutes to learn how to get better data with PerformYard.Learn More

What are some examples of HR data analytics in the real world?

Here are three real-life HR data analytics examples. The organizations used HR analytics to transition from general processes and metrics to quantifiable, data-driven goals and insights. 

Dominion Due Diligence Group

Dominion Due Diligence Group (D3G) is a full-service environmental, engineering, and energy due diligence firm. The firm’s HR department wanted to shift from general performance management metrics and processes to specific, practical measures.

D3G transitioned from using paper-based performance processes and evaluations to digitizing them with HR data analytics tools like PerformYard. From there, they drill down into the elements that determine job success.

“People were setting goals, but they weren’t measurable. They would say, ‘improve sales.’ But we didn’t say how long it would take, by what percentage,” said Beth Petersen, HR Director.   

D3G was able to set specific, quantifiable objectives like a professional goal, an operational goal, and a personal goal. Managers could track them, and employees could use them for development. They can now tie performance to measurable metrics.

Cline Family Cellars

Cline Family Cellars is a family-owned winery business. The business owns multiple vineyards, tasting rooms, and olive oil subsidiaries.

Cline Cellars went through a restructuring to better enable long-term growth. Previously, the team conducted employee performance reviews on an ad-hoc basis, and employees weren’t clear about how higher-ups evaluated them. 

Thanks to a new HR director and partnership with PerformYard, Cline Cellars created a standardized performance management process that tied employee goals to organizational objectives. 

“Performance reviews themselves are now based on more objective, transparent metrics. This has helped employees in every group better understand how their performance is being graded. It’s also helped to reduce subjectivity and bias in the review process.” Nicole Winslow, Director of HR. 

VCC Construction 

VCC Construction is a general contracting/construction management firm licensed in 50 states. The firm wanted more robust performance management processes than the simplistic annual review process they already had. 

With PerformYard, they evolved their processes to an annual review and a mid-year check-in. The yearly review gives a 360 review, a manager review, and a self-review. The reviews could now include factors like technical skills, interpersonal skills, and areas for improvement (among others). 

Managers can use the data to track employee goal progress and see who has potential for advancement. Beyond individual goals, the team has visibility and insight into how well the company accomplishes organizational goals. 

“Being able to track these goals makes it more real. It helps us make sure that we're always looking at how we can improve; we can now better measure our successes.” Candice Offonry, Talent Acquisition Specialist. 

How do you get started with HR data analytics?

Plan out your performance review cycles so that everyone fills out the review simultaneously and is on the same page.  

For objective, measurable results, collect your data with quantifiable review form questions. Some example question types are rating scales, binary, or rankings. Use a mix of these questions for a well-rounded review.   

Set quantifiable goals and make sure you have a place to track and monitor them. Cascade the goals to different teams and individual members. Don’t forget: keep the goals tied to your organization’s objectives. 

It’s not easy to make sure each goal connects to those of the company. With PerformYard, you can track each goal and ensure its alignment with the company’s strategy and mission. Contact us to learn how. 


What is Data Analytics in HR?

Collecting and applying data to improve employee and business outcomes.

Why is Data analytics important in HR?

HR people use data to measure employee progress, identify strong and weak spots, and inform people decisions.

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Values-Based Performance Review Template | Guide and Tips

In this article you'll learn how to conduct values-based performance reviews. We'll also provide a free template to use during the review process.

Free Values-Based Performance Review Template

Click here to download PDF

Why Values-Based Reviews Matter

Values-based reviews are an excellent way to examine an employee’s performance relative to a company’s chosen values. These reviews reinforce the values that your company wishes to uphold. Using these reviews creates a more ingrained company culture. 

A company culture based on shared values is proven to be beneficial for increased productivity. Data from Harvard Business Review shows that positive workplaces have 33% less healthcare spending and less turnover. Positive company culture boosts engagement, leading to more satisfied employees and clients. 

Companies have started to understand that positive company values boost worker health and productivity. These same businesses are now incorporating company values into performance reviews. This process helps HR and leadership see how productive an employee has been and how they are contributing to a positive working environment. 

Need software help to streamline your values-based review process?Learn More

Determining your company’s core values

Determining your company’s core values should be a thoughtful process that has the buy-in of the entire leadership team. It must not only reflect the vision of the executive team but also be embraced by your whole workforce. 

Your executive team may think, “working from 9 am to 11 pm will make us way more productive, let’s make ‘working late’ a core value.” However, your workforce may think, “yikes, it’s time to find a new job!” 

So, how should you determine your company’s core values? 

Examine what values your company already holds

This is a great first step and a way to get input from your entire workforce. Set up a series of workshops and small group meetings. Ask for honest feedback about values. 

  • What values do your employees hold?
  • What values do they believe the organization embodies?
  • What values do they believe the organization should hold
  • Distill the findings into a series of values that represent where your organization currently is.

Determine where you wish to be 

If your company already has a strategic vision for the future, this is a great time to revisit it. If not, it’s time for you and your leadership to determine where you wish to be in one year, five years, or ten years. 

  • What do you wish to accomplish? 
  • Who do you wish to be? 
  • How do you want to be defined?

See how your current values match up with your vision 

Do the values your company currently embodies allow you to reach your goal?

Do some of them?

Figure out which existing values are helpful, which values are not supporting your mission, and which values you need to add. 

Define your values, and stick to the minimum necessary to achieve your vision

Articulate the meaning of each value and define associated behaviors. This will help employees understand what their work and behavior should embody. 

For example, “positivity” may be understood by a manager to be “up for taking on additional work.” An employee may understand positivity as “showing up to work with a smile.” Your workforce needs to be on the same page. 

Stick to as few goals as possible. If you can do the work of 10 goals in 5, do 5. If you can do the work of 5 in 3, do 3. This will enhance focus and commitment to the most critical goals, rather than spreading focus around until the values are watered down.

Examples of Core Values in a Performance Review

So what are some examples of core values that your organization can adopt and then incorporate into the performance review process? 

Let’s take a look at some popular choices. Each value must have corresponding actions that employees can take to embody these values in their daily work. Understand that not every value will be right for each organization.

Choose the values that reflect your vision and culture, Remember to also keep the number to the minimum number needed to achieve your vision -- we find that 5 is a good starting point.

  • Customer Service - Employees respond quickly to client requests, act appropriately, adapt to customer feedback, and create strong relationships.
  • Respect - Employees validate their client’s problems and their coworker’s ideas, keep an open mind, and are professional in work settings.
  • Positivity - Employees identify solutions when presented with problems, strive to find progress every day, and encourage their colleagues to overcome obstacles.
  • Creativity - Employees provide innovative solutions, brainstorm effectively, and support an atmosphere of creativity.
  • Leadership - Employees take ownership of their mistakes, lead colleagues by example, and manage conflict in constructive ways.
  • Quality - Employees meet expectations for their job output make few mistakes and complete work on time.
  • Integrity - Employees do not lie or mislead colleagues, they do not cut corners, and have open and appropriate communication with colleagues.
  • Hard work - Employees are present, work to exceed expectations, and push themselves to be more efficient.
  • Initiative - Employees work to solve problems before they are asked, are aware of client needs, and meet them proactively.

Using Core Values in Performance Reviews

Once you have determined your company’s core values, you need to determine how they will be used in the performance review process. 

Incorporating values into the performance review process provides an additional dimension to an employee’s performance. You can move beyond asking “did they accomplish their goals,” and onto asking, “is this employee cultivating a productive working environment that improves office wellbeing?” 

This additional dimension needs to be addressed in the review process. Getting this right may take some extra effort, but it goes a long way to creating a positive working environment. 

PerformYard makes it easy to run quick, effective performance reviewsw.Learn More

Here are the best ways to incorporate values into the performance review process. 

  • Rating each value - When values are rated on a scale, you get quantitative feedback as to whether your employees are meeting expectations and demonstrating company values.
  • Qualitative examples of values in action - Reviewers provide examples of when employees demonstrated certain values over the review period. This method lets each employee know exactly what behaviors contributed to each value. 
  • Values as Goals - To help bring values into the performance review organically, you can develop goals into core values. An employee’s goal can be to “embody quality in the workplace by achieving a 98% accuracy record.” This way, core values become a necessary part of your employees’ work, and employees can see how their work helps contribute to positive company culture. 

How should values be evaluated in performance reviews?

There are three main avenues for feedback in performance reviews: 

  • Top-down
  • Peer
  • External

Top-down feedback is where a manager provides feedback on a direct hire’s performance. This is the traditional model of feedback and is commonly used across all organizations. 

Peer feedback is where your employees’ peers and colleagues provide feedback, typically in addition to manager feedback. This is most commonly seen in 360 reviews, where a holistic review of an employee is completed each review cycle. 360 reviews are very helpful in understanding how employees function within a greater organization. 

External feedback is commonly used for client-facing employees. With external feedback, feedback is solicited from your clients themselves. This is very helpful in seeing how your employees embody your values as ambassadors for your organization.

Find out how PerformYard can help build a culture of feedback at your company.Learn More

How can you manage values-based performance reviews?

The easiest way to manage performance review forms is through a performance management system like PerformYard. 

PerformYard provides a single sign-on software that centralizes every aspect of the performance review process. That includes goal setting, review forms, kickoff, and performance analysis. 

PerformYard provides a flexible system that lets you tailor the review process to your needs. You can input your core values to create a unique values-based performance review. This review will help your company make effective decisions for your future. 

If you're interested in streamlining your performance management process (including values-based reviews), click here.

We’ll show you how PerformYard helps you creates the performance review process that works for your organization.

More Questions About Values-Based Performance Reviews

  • How do I decide what my organization’s core values are?

Decide what you want your organization to be known for, both internally and externally, and the values you want your employees to personify in their work. Finally, think about the workplace culture you want to achieve through those values. For inspiration, here are 11 types of real-world high-performance company cultures

  • How can I determine if my employees are exemplifying our core values?

Come up with a list of behaviors that embody each value so all employees are on the same page.

  • What is a good core value?

A good core value is authentic to your organization, easy to remember, and has measurable behaviors.

  • Can I use the mission statement as our core values?

Core values should go beyond your mission statement. A mission statement is typically a high-level aim for the organization while core values are principles and corresponding behaviors that support your mission.

  • How can I begin to foster core values?

Establishing clear expectations of behavior and modeling said behavior will guide employees toward the values you want to cultivate.

  • How can I rate core values in my performance reviews?

Using Behaviorally Anchored Rating Scales is a great way to rate a qualitative measure like values. BARS assigns numerical values to specific behaviors and actions that an employee will complete. 

For example, if an employee has to answer the telephone frequently for work, they may receive a BARS value of 4 for answering the telephone after 2 rings, but a BARS value of 6 for answering it after only 1 ring. 

By using BARS, you can define expectations you have for behaviors that encompass specific core values, and then you can measure how well your employees meet and exceed these expectations. 

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Free 2023 Annual Employee Performance Review Template

The Annual employee performance review is a crucial tool for measuring and compensating employee performance.

Employees get to highlight their growth and contributions. Managers can partner with direct reports to examine opportunities for improvement. The executive board can get a great view of the overall success of the company going into the next year. 

Free Annual Employee Performance Review Template

Click here to download PDF

Annual reviews should be a culmination of a year-long process to create goals, track progress, and promote their completion. Nothing in an annual review should come as a surprise to the employee or their manager. 

There are several different methods for completing the annual review, such as the 360 review or the traditional manager/direct report review. Each model provides different strengths that your organization should examine to determine which is the best fit. 

Need software help to streamline your annual reviews?Learn More

Annual Reviews: Three reasons why you should use them…and two reasons you may want to reconsider.

Annual reviews are one of the best tools for gauging and compensating employee performance. But, putting too much weight on one review can lead to an imperfect picture of employee performance. It’s critical to achieve the right balance.

So why should you consider adopting annual performance reviews? 

Everyone sees the big picture 

Annual performance reviews examine an employee’s performance across an entire calendar year.

Employees can call out their wins and see how they progressed over the year. Managers can mention how an employee’s performance changed across the calendar year. This allows both parties to examine trends in performance, and understand why those trends occurred

Maybe an employee’s sales numbers suffered around May before picking up in July.

Was this common across the organization, or simply unique to this employee?

What was the employee working on while this slip occurred? 

Each goal that an employee sets can be examined with finality.

Did the employee meet the goal?

If not, where and why did they come up short?

Trends can be deduced. Perhaps an employee met 5 out of 6 very ambitious goals but came up just short on the last one. That is  different from an employee who only met 4 out of 6 goals, and barely made headway on her final two goals. 

This annual review gives a manager a strong understanding of how effective a direct report has been over an entire year. The manager can see how much the employee contributed to the company and if the employee is improving.

Employees can highlight all the accomplishments they’ve completed 

Annual reviews are a great opportunity for employees to say, “look at all I’ve done.”

Oftentimes, managers are stretched thin, and may not be aware of all of the great work each direct report has accomplished. An annual review allows employees to present all of their best “wins” to their managers, letting managers see how invaluable their work has been. 

When using quarterly or mid-year reviews, some large accomplishments aren’t  picked up on. This usually happens because they aren’t yet completed or haven’t yet shown their worth. The annual review is when these projects will have likely borne fruit. Employees should proudly showcase the results of their ingenuity and hard work. 

Your company gets actionable data

Using a Performance Management System like PerformYard gives you access to actionable data about the company, team, and individual performance.

  • See how an employee’s performance stacks up against their previous review cycles.
  • See how a team’s performance compares to its previous review cycles.
  • See how the entire company is performing relative to the goals your organization has set. 

This type of hard data is excellent for determining compensation and promotions, one of the key reasons why annual reviews are completed in the first place. 

See how PerformYard can help you run a more effective annual review process.Learn More

You’ve identified your top performers. Now you need to compensate them fairly.

Two reasons to reconsider annual reviews 

Annual reviews have some drawbacks that need to be understood before you move forward with a review structure. Annual reviews can put undue stress on one single meeting and are not as effective for recalibrating employee performance. But, when annual reviews are coupled with additional reviews throughout the year, these drawbacks can be mitigated. 

Annual reviews are high-stakes 

Annual reviews are a big deal. Most compensation and promotion decisions are based on an annual review. If it goes poorly for an employee, that can mean a significant difference in overall compensation. 

If your organization chooses to only do an annual review, you run the risk of breaking the cardinal rule of performance reviews: nothing should be a surprise. Employees should always go into any review understanding where they are exceeding and where they need to work harder. 

Annual reviews work best in union with check-ins, quarterly reviews, or mid-year reviews so that employees and managers have already identified pain points and taken ample steps to correct them. 

If these check-ins haven’t happened, and an employee is blindsided with a negative review, they may feel hurt and their performance may suffer even more. Plus, you have missed many opportunities to improve employee performance along the way.

If you had taken a little time to add in some extra reviews, your employee may have improved, your business may have increased, and everyone would have been happier come annual review time. 

Annual reviews are not great at recalibrating employee performance 

If you only use an annual review, you lose the ability to provide clear and actionable feedback on issues as they arise. If, for example, your employee botched a presentation in March, and they only get feedback about it in December, they’re going to have a hard time implementing that feedback into their next performance. 

Feedback is effective when it is timely. Annual reviews don’t allow you to be timely in your feedback. Instead, they focus on examining an employee’s overall performance over a year. 

This is why we recommend pairing annual reviews with quarterly reviews, mid-year reviews, or frequent check-ins. This allows managers to steer the development of their employees and ensure they put their best foot forward at the annual review. 

Goals of Yearly Appraisal Meetings

The goal of a yearly appraisal meeting, or annual performance review, is for the employee and organization to have a clear, actionable understanding of how an employee has performed and evolved over an entire year.

  • Did they achieve all of their goals?
  • Did they fix performance issues from a previous review cycle?
  • Have they brought significant benefits to the business?
  • How does their performance compare to that of their peers?

The answers to these questions will be found in an effective performance review. Once this data is gleaned, it will be used to make effective and transparent compensation decisions.

Jenny made 120% of her sales goal, so she gets X bonus. 

Seeing how an employee has taken on and accomplished more challenging goals can be invaluable for determining promotions. With PerformYard, you can look at an employee’s performance review relative to their previous years’ reviews, allowing you to see how they have evolved. It’s an excellent way to make informed and data-based promotion decisions. 

How to Structure an Employee Evaluation Meeting

Once you and your team have completed your evaluations, it is time to have the employee evaluation meeting. This is the time for face-to-face conversations about performance, accomplishments, and improvements. Structuring this interview is critical. You want to ensure that the conversation is productive and constructive, not condescending or demeaning. 

Start with their goals

Discussing goals first may seem counterintuitive, but it helps inform the discussion about performance. If your employee tells you at the beginning of the meeting, “I want to focus much more on client-facing components of my job," you can steer the conversation around their client-facing accomplishments. 

You can also explain your goals for your partnership with your direct hire and the greater team. Open yourself up a little, and show your employee how they can help you become a more effective manager for them. 

Talk about the successes 

It is often helpful to ask your employee to present what they see as their biggest successes. This will ensure that you do not overlook any of their accomplishments and will help reduce any anxiety about the performance review itself. 

Encourage your employee to explain how their achievements have positively impacted the company itself. This will help them see their strategic value, and give them insight into the overall performance review score and compensation decisions. 

After your employee has summarized their successes, take time to call out some other achievements they haven’t mentioned – particularly ones that you feel are important to the company. If your employee calls out an achievement that you don’t believe holds much strategic value, gently push back and explain how their efforts may be better suited to another project. 

Constructively examine areas for improvement

Ask your employee where they believe they have the most room for improvement. Having them start the conversation will reduce potential defensiveness, and position this discussion to be productive. As your employee raises their weak spots, take time to affirm or push back on their conclusions, and then ask them how they think they could improve. 

Again, having the employee lead this portion of the review will lead to better buy-in and less defensiveness

After your employee has offered their solutions, you should affirm they are good ideas and offer some solutions of your own. Explain how you believe that these actions will lead to them developing and improving – which will help them evolve and grow with the company. 

Finally, end by reaffirming the good work your employee has accomplished. Assure them that the two of you will work as a team to continue the good work next year. 

What type of annual review should I use?

Two types of annual reviews are typically used: the manager + direct report or the 360 review process. Each has its strengths and weaknesses. 

The manager + direct hire review is the most focused.

1. A direct hire fills out a self-evaluation

2. The manager completes an evaluation of the employee

3. The two have a face-to-face discussion where the direct hire’s performance is examined.

This review has the benefit of requiring only 2 reviews per employee, meaning that all reviews can be completed on time. 

The downside is that a manager gets limited feedback. They only have their evaluation and their employee’s self-evaluation to work with. There is no context provided by peers or other colleagues who work with their direct hire. 

The more full review, the 360 review, incorporates additional feedback from peers and others who work directly with the employee. This can provide additional context and help an employee see how they contribute to an organization. They can be difficult to execute, however, as they require employees to fill out multiple reviews, which can make the review process very time-consuming. 

PerformYard streamlines annual reviews, 360 reviews and check-ins.Learn More

How can I improve my annual review process? 

Annual performance reviews can be improved by using a dedicated performance management system like PerformYard. 

PerformYard streamlines the review process by centralizing all performance and review data. This data lives in a single sign-on platform that all employees can access. PerformYard lets HR create custom review forms, schedule the performance cycle, and automatically notify employees of outstanding tasks. Employees can see all of their remaining tasks (review completion and goal setting) in a user-friendly dashboard. 

No more complicated paper forms. No more redundant emails. No more chasing down stragglers. Automated, streamlined review cycles.

Curious to see how PerformYard can take your review cycle from cluttered to empowered? Reach out today to get a free PerformYard demo!

Take 20-minutes to see how PerformYard can make things easier for your HR department.Learn More


Q: How do you write an annual performance review?

A: An annual performance review should cover the work the employee has accomplished or not completed; it should not be about their personality. An easy way to focus a performance review is to examine an employee’s goals. Were the goals met? Were they surpassed? Which goals were not achieved? 

Conversely, you can write an annual performance review around the organization’s values. Which tasks did the employee complete that embodied value X? Value Y? 

Q: How do I structure an annual performance review?

A: Employee reviews often excel when they are tied to performance, not personalities. We find that the best way to structure the review is through goal-setting. Goals should be set far in advance, achievable yet challenging, quantifiable, and trackable. 

An effective performance review should focus on if those goals were achieved. What did the employee and their manager set out to accomplish? Were those goals met? 

After goals have been examined, it is best to then examine the employee’s achievements, and then their areas for improvement. These three components will give a holistic view of the employee. 

Q: Should annual reviews be tied to compensation?

A: Most annual reviews are tied to compensation, as raises and salaries are only given out once a year. The annual review is a great tool to use to determine the correct compensation for each employee, as you can see their entire year’s worth of contribution to your organization.

Q: Where can I get an annual performance review template?

A: Right here! Here’s our free annual performance review template.

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4 Barriers to Performance Appraisal (And How to Overcome Them)

Getting over the barriers to performance appraisal processes can help you reduce turnover and improve employee performance. You know this, but it just seems that no matter what system you get into place, you can’t see consistent improvement in employee performance in the workplace. 

You’re not alone. Gartner data shows that only 14% of employees feel motivated to improve performance after a review. Boosting employee performance is critical, but making it happen isn’t always straightforward. 

The right performance appraisals can help get performance back on track. You need a performance appraisal system that is consistent, flexible, and educational. The right system can overcome common barriers that get in the way of a strong performance management system.

We have identified four common barriers to employee performance and performance reviews along with tips for how to overcome them in your workplace.

Many of these challenges can be overcome with a simple software solution.Learn More

4 Barriers to Performance Appraisal (And How to Overcome Them)

Break down these four barriers to improve your performance reviews and employee performance.

1. Inconsistent Processes

Inconsistent processes are not your friend. Your team won’t know what is expected of them, when they should anticipate feedback, or how much the feedback matters. 

Without a standardized process, managers may send feedback that doesn’t get recorded for performance reviews. The manager may be tempted to cut and paste feedback from previous performance review sessions. Inconsistent and inaccurate feedback hurts employees, as they don’t know which aspects of their performance need to change. 

This, in turn, makes HR’s job even harder. HR has to gather all of this inconsistent feedback, roping in reviews as they come in and sifting through off-hand manager comments. 

Inconsistency makes it difficult for HR and management to understand who is performing well and who needs more coaching. 

If inconsistency carries on for too long, it causes employee burnout. Employees cannot see how their work positively or negatively impacts an organization, and they will not be inclined to modify their performance. 

How to Overcome This Barrier:

You must standardize performance review processes so employees know what to expect. One way to standardzie the process is with performance management software that gets everyone on the same page. HR can use the software to feedback expectations and work diligently to ensure that managers are meeting those feedback requests. 

Employees should know when they’re getting feedback, and this feedback should be tracked and organized so it can be used in annual reviews. 

Once a standardized performance management system is in place, employees will gain clarity in their work, and this clarity will improve motivation. 

Want to see how a standardized processes can lead to a shift in company culture? See how Cline Cellars implemented standardized feedback through PerformYard to boost their employee performance.

A software-driven review process is an effective review processLearn More

2. Lack of Communication

When managers don’t communicate with employees, employees have to play a guessing game. 

Was my work acceptable? 

Am I doing an ok job? 

What am I supposed to be doing right now? 

Ineffective managers only start communicating when there is a problem. This often leads to employees dreading communication with their bosses – a situation that is ripe for employee turnover. 

How to Overcome This Barrier

With so many employees working remotely, it’s a little harder to simply roll over on a swivel chair to say hi. That doesn’t mean that communication needs to break down. Use Slack, Zoom, Teams, or performance feedback software to keep those lines of communication open.

PerformYard's continuous feedback feature, seen above, can help you deliver feedback and roll it into performance reviews.

Ditch the spreadsheets and switch to performance management software.Learn More

Managers and employees need to be partners. Consistent communication ensures that the company recognizes employees’ hard work, corrects suboptimal work, and both parties treat each other with respect.

3. Limited Motivation

Each employee is unique, and therefore each one has different needs for motivation and challenges. 

Great pay and benefits are wonderful forms of compensation for a job well done, but the motivation must go beyond a paycheck. 

How to Overcome This Barrier

Employees should be challenged and encouraged to grow and develop in the workplace. One of the best ways to help employees grow is through goal setting. Goal setting should encompass both goals that improve performance and goals that boost personal development. 

Goals also need to be dynamic, not static. If, for example, an employee had a goal to make 500 in a year, and made 600 sales in four months, the manager should update the goal to reflect that performance. 

That’s not to say the manager shouldn’t recognize and celebrate the employee meeting the; it absolutely should. But there needs to also be a new goal with a new incentive to help keep employees motivated, learning and growing.

4. Not Enough Feedback

Feedback – be it through formal reviews or weekly check-ins – needs to be consistent and frequent. Without frequent feedback, employees are flying blind. 

Imagine, for a moment, that you are a sales associate. You’ve been told to sell some software, and at the end of the year, your boss will tell you if you sold enough. Only there’s one problem: your boss never told you how much software you needed to sell. 

You’d be pretty anxious, right? Have you sold enough? Too little? Are you on track? 

That end-of-the-year review would be nerve-wracking. You’d have no idea how well you’d been working. This system also sets your boss up for failure. If you came up short, it’s because your boss never let you know how you were doing. 

How to Overcome This Barrier

Your boss can boost your performance and the company’s performance by providing consistent and frequent feedback to let you know how effectively you are meeting your goals. 

Feedback doesn’t need to overwhelm your organization. It shouldn’t function as a time suck. Here’s an excellent look at how a feedback structure can remain nimble while encouraging employee development. 

How to Overcome Performance Appraisal Challenges

Great performance management spurs great employee performance. Ineffective performance management can cause employee performance to take a nosedive, leading to high rates of turnover. 

By breaking down the four key barriers to performance appraisal processes, you can help employees feel valued and recognized, which will in turn help spur employee growth and development.  

It only takes 20 minutes to learn how Performyard can fix your performance review process.Learn More

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Employee Performance Review Form | Templates and Tips

Performance reviews have the potential to be a huge pain. Managers spend countless hours preparing for a traditional performance review. Yet more than half of office workers feel performance reviews have no impact on how they do their job.

But that’s just for traditional performance reviews.

Traditional annual reviews don’t work. Modern performance reviews are different.

Teams are over 12% more productive when managers provide feedback on their strengths. 83% of employees appreciate receiving feedback, whether it's positive or negative. Plus, businesses with highly engaged employees experience less turnover.

In short, effective, modern reviews take less time and are more effective than traditional reviews.

They are made even easier when you use the right performance review form.

Here’s what you need to know about creating effective performance review forms. We’re also sharing a few employee evaluation templates you can use to streamline your review process.

A simple software tool can streamline your performance review form process.Learn More

What is the Purpose of a Performance Review Form?

The simplest answer to this question is that performance review forms are meant to review employee performance. There is a lot more to it than that, however. Review forms need to be created with a certain purpose in mind for them to be effective.

Purposes you’ll want to choose from before creating a review form include:

  • Accountability: Employees are evaluated based on carefully developed standards
  • Development: Employees receive weekly one-on-ones, continuous feedback, and engagement surveys to support their ongoing development
  • Recognition: Reviews focus on previous performance to recognize employees for their hard work and accomplishments
  • Alignment: Goals are clearly articulated so employees know exactly what to do to achieve them
  • Reinforcing Values: Values and expectations become part of the conversation, ensuring employee performance is tied to a greater purpose

Don’t feel like you have to pick one purpose and stick with it. You might want to incorporate two or three purposes throughout the year. Or, you may realize your team is evolving and requires a performance review form with a different purpose.

Get clear about your purpose before choosing a review process or creating a new form. That way you get meaningful data from your reviews, and your employees feel like the review was worth their time. 

Five Tips for Creating Performance Review Forms

Once you have zeroed in on your purpose, you can begin to create a performance review form. Here are five tips that will make the process of creating your forms much easier:

  • Offer constructive feedback
  • Spend more time looking toward the future
  • Tie forms to goals
  • Include numeric answers for data analysis
  • Use software to streamline the process

Offer constructive feedback

Constructive feedback is all about providing an employee with suggestions based on their performance. Sometimes it’s positive. More often than not, constructive feedback means focusing on areas of improvement.

Giving constructive feedback can be hard because you don’t want your employees to shut down or feel attacked. The truth is, over 90 percent of respondents from one survey agreed with the statement, "Negative (redirecting) feedback, if delivered appropriately, is effective at improving performance.” 

It turns out employees aren’t scared of constructive feedback at all, as long as you’re careful about how it’s delivered!

So, what does it mean to deliver constructive feedback appropriately? Including the right information on an employee evaluation template can make it easier.

A few ideas include:

  • Ask employees to give themselves a rating on topics that relate to their position
  • Ask employees to share their areas of improvement
  • List constructive feedback before contributions and successes to end the review meeting on a high note
  • Management should share actionable advice the employee can follow that enables them to make improvements right away

Spend more time looking toward the future

Nearly half of the respondents of one survey said that receiving a performance review makes them feel like they can't do anything right. Over 20% have called in sick in the past because they were so anxious about receiving a review.

That’s not because reviews are inherently anxiety-producing. It’s usually because the review focuses on past mistakes. No one wants to dwell on all the things they’ve done wrong.

That doesn’t mean you can’t talk about areas of improvement. Just make sure you tie it to future behavior. It’s even better if you can talk about improvements from an employee-development point of view instead of behavior being a personal or professional failure. After all, nearly 90% of millennials say professional development and career growth are very important.

Include questions on the form that highlight the employee's work contributions towards the company's overall goals. Be sure to also talk about ways management can support employees in meeting their personal and professional goals. This will help keep the focus on future performance.

Tie forms to goals

Performance review forms should be used as more than just a way to gather information ahead of a performance review. When they are tied to goals, they can become an important reference for employees.

First, make sure at least some of the questions on the form address goals from previous reviews. That enables managers and employees to talk about goals that have been accomplished, goals that need to be adjusted, and goals that still need work.

Allow employees to come up with their own professional goals so they have ownership over the process and the outcome. Management should guide employees as they create new professional goals that follow the SMART system of being:

  • Specific
  • Measurable
  • Attainable
  • Relevant
  • Time-based

PerformYard automatically brings goals and reviews into one dashboard.Learn More

Include numeric answers for data analysis

Open-ended questions are impossible to measure. By including numeric answers for at least some of the questions on your review form, there’s data you can measure and analyze. You can discover general trends in how your workforce is feeling and how they are performing so you can come up with an action plan for the future.

Having numeric answers can also make life easier for employees. It’s a lot simpler to list a number in response to a question instead of composing an answer. It’s also faster, which busy employees will appreciate.

This doesn’t mean open-ended questions shouldn’t be in a performance review form. Answers to open-ended questions allow employees to express themselves exactly how they want, and they can be an easy way to get the conversation started when you get together to conduct the review. It just means you should also offer numeric answers for at least some of the questions on the form.

Use software to streamline the process

Managers spend an average of 17 hours on performance reviews, per person. That’s usually because HR sticks with old, outdated ways of conducting performance reviews. Although it may seem like it will save time to do what you’re already used to doing, you could save a ton of time by using software to streamline the process.

PerformYard is designed to make the review process easy without compromising the quality of the information you’re gathering. Our software makes it easy to create custom forms, send those forms with a click of a button, track the completion of the forms, aggregate data from the forms, and more.

The right software can automate many of the tasks in the review process that would normally take hours. Software can free up your time so you can focus on using the information you gather to make your business—and the employee experience—even better.

Performance Review Form Templates

Ready to try a new performance review form? There's no need to reinvent the wheel! We have employee performance evaluation report samples you can download and use as-is, or you can use the template as a starting point and customize it to fit your needs.

  • Value-based performance review form
  • 90-day performance review form
  • Annual performance review form
  • 360 performance review form

Value-based performance review form (with template)

Value-based reviews use the company's core values as the framework for the questions on the review form.

It's a good option for companies that are crystal clear about their values and want to make sure employees understand and embody those values. It's a popular choice for management teams that want to improve company culture. It's also a good option if you want employees to focus on self-reflection, and you want reviews to be more conversational.

90-day performance review form (with template)

90-day reviews incorporate both a self-review and a manager review ahead of the employee-manager meeting.

They are an especially effective way to review new employees. By making a review part of the onboarding process, employees can ask questions and share feedback, while your management team can gather data that can improve the onboarding process for future employees.

Annual performance review form (with template)

An annual performance review form is completed once a year by both the employee and management before the review meeting.

Annual reviews are best used in conjunction with other types of reviews so employees and management don’t have to wait an entire year to discuss performance or concerns. However, annual reviews are a great way to get a big-picture look at the employee’s performance and come up with big goals for the employee to focus on in the year ahead.

360 performance review form (with template)

360 feedback involves getting feedback from the employee about their performance, as well as management, but it also includes getting broad feedback from peers and coworkers.

This type of review is great for employees who regularly work collaboratively on different teams. It can also provide a more accurate and holistic view of employee performance since multiple people provide feedback.

Find out why modern HR pros use PerformYard for better performance appraisals.Learn More

Choosing the Right Form

There is no right or wrong performance review form. It's all about choosing the one that works for management and your employees. It could mean modifying one of our templates to fit your needs or combining a few different types of reviews to get a clearer picture of employee performance.

It might also mean updating your existing review software or trying new software for the first time. Try PerformYard to customize a streamlined review system, complete with forms, for your team.

Frequently Asked Questions

What is a performance evaluation form?

A performance evaluation form is a document that highlight's an employee’s strengths and weaknesses. Its purpose is to encourage positive change in employee performance by clarifying expectations, setting goals, and providing both employees and management an opportunity for one-on-one discussion.

What should be included in a performance review form?

Effective performance evaluation forms include self-evaluation questions for employees and manager evaluation questions that can be completed ahead of the review meeting. Forms should include goals and input from peers and coworkers, as well as questions with numeric answers that can be measured and analyzed. 

What are the different types of employee evaluation forms?

Some of the different types of evaluation forms include:

  • Essay reviews with open-ended questions that require a written response
  • Numerical scale forms that ask respondents to use a scale of 1 to 10
  • Peer review forms that enable co-workers and managers to assess employee performance
  • Group evaluation forms that enable you to assess team performance
  • Self-evaluation forms that ask employees to evaluate their performance

Manager evaluations that enable management to rate employee performance

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Why Annual Reviews Don’t Work in 2022

Annual performance reviews used to be the gold standard in the workplace, but the times are changing. More companies are realizing that annual performance reviews don’t work.

Companies with thousands of employees, like Apple and Google, have scrapped standalone annual performance reviews in favor of more frequent performance reviews. Other leading organizations are seeing how successful these high frequency performance reviews can be, and they’re giving up on the standalone annual review.

But why don’t annual reviews work, and how can you adjust the review cadence at your company?

Here are a few reasons why annual performance reviews don’t work, as well as a few ideas you can try instead.

Annual Reviews Don’t Account for Changes in Employee Preferences 

Not too long ago, employees with decent pay and health benefits were happy to have a job. It was common for workers to stay with the same company for decades.

That’s not the case anymore. Employees expect more from their jobs than a steady paycheck. Young workers expect more frequent pay increases, actively seek positions that offer learning and growth opportunities, and demand appreciation and recognition.  

Annual performance reviews don’t align with these new employee demands. Over 60% of workers in one survey said they craved more "in the moment" feedback, with 82% saying they feel more valued when someone takes the time to provide feedback.

Nearly 90% of employers assume employees leave the company to make more money, The truth is that only 12% of employees earn more when they leave, proving that employees are looking for more than just money.

Annual Reviews Don’t Help Reduce Turnover

Another reason why annual performance reviews don't work is that they can exacerbate turnover. Giving employees one day a year to bring up concerns, talk about pay increases, and ask for feedback just isn’t enough

Employees want to know how they’re doing. Going 12 months between reviews leaves employees with a lot of time to wonder if they’re meeting management’s expectations. It can be especially frustrating during an annual review for employees to hear about something that could have been brought up months ago during a performance review.

When employees are left wondering about their performance, and with so many months between their chances to share their thoughts at a review, they start looking for work elsewhere.

Annual Reviews Cause Headaches for HR Departments

It might sound like HR departments have less work when they only have to worry about reviews once a year, but the opposite is true.

Amassing an entire year’s worth of performance data on each employee is time-consuming, and important points are likely to get lost in the shuffle. Annual reviews are often dependent on work anniversaries, a process that requires a lot of coordination from HR

Review forms have to be passed out and collected. HR has to make sure that managers sign off on them in the process. Then, HR and management teams have to make decisions based on the outcome of all of those reviews, which can feel overwhelming

The best way to fix this problem is to start using HR software that runs the performance review process automatically. Tools like PerformYard have reminders, automated forms and simple workflows that take the burden off of HR.

Streamline your performance review process with HR software.Learn More

Annual Reviews Can Lead to Outdated Compensation

You don’t want to wait to give your best employees raises or promotions, yet that’s what annual reviews force you to do. Employees go six, eight, or more months waiting for a raise. If they don’t get the raise they feel they deserve after all that time, they’ll start daydreaming of working somewhere else.

Some workers don’t feel appreciated. Some don’t feel like they are getting paid what they’re worth, and feel like the promotion they want is out of reach. Those employees will often start applying for other jobs

Your company also has to contend with a fast-changing labor market. It’s easier than ever for employees to find a higher paying job in between their annual reviews. 

Annual Reviews Don’t Account for Changing Goals 

It’s not just the labor market that’s changing nowadays. The other things that are changing are what customers want, what employees want, and the organizations themselves.

If you’re only setting goals once a year, those goals are going to end up being outdated by the time you conduct an annual review. It will be pointless to figure out if those goals were met because the goals will no longer align with the current goals of the company or employees.

When this happens, employees become frustrated because annual reviews feel like a waste of time. Not to mention, the review makes the employee feel like management doesn’t understand their goals or what they are contributing to the organization.

So what's the solution? Performance management software like PerformYard can keep every employee on the same page when it comes to goals. PerformYard's goal management dashboard allows you to update goals and tie them to frequent reviews.

Manage your entire company's goals in one place with PerformYard.Learn More

Annual Reviews Tend to Look Backwards Instead of Forwards

Another reason why annual performance reviews don’t work is that they tend to focus on the past. Companies spend a lot of time collecting performance data and talking about what could have been done differently. It’s almost as if future performance is an afterthought.

That can make employees feel judged without equipping them with the information they need to move forward in their position with confidence. Not to mention, it sets a tone that encourages employees to ruminate over past mistakes instead of looking forward to the future.

Annual Reviews Don’t Provide Actionable Data

What kind of data are you getting from an annual performance review? You might catch the big things, but with a year’s worth of work to comb through, you’re going to miss plenty of small things that are equally important.

That can be frustrating for workers, but it also means you’re amassing incomplete data. Without a complete set of data, any information you derive from that data will be inaccurate, which can result in negative consequences for your business.

The solution is to gather all the performance data in one place. Companies are ditching paper reviews in favor of dedicated software with reporting and analytics capabilities. PerformYard helps HR people manage data in ways they've never been able to before.

Track performance data like a modern HR pro with PerformYard.Learn More

Annual Reviews Don’t Work for Today’s Workforce

By 2027, the majority of the workforce will be made up of Millennials. Gen Z isn't far behind. They are projected to make up about 30% of the workforce by 2030 as Baby Boomers and Gen X retire. That’s important because today’s younger workforce doesn’t feel that annual reviews are as effective as older generations do.

Millennials are more stressed out by reviews that take place infrequently, and 67% of Gen Z want to receive feedback in a timely, constructive manner.

In a world where employees are resigning from their jobs more than ever before, it’s no longer a scary proposition to look for another job. Millennials and Gen Z have no qualms about hunting for a new job that will provide them with the work experience they are looking for.

What Should You Use Instead of Annual Reviews?

So, are annual reviews necessary? The answer is a resounding, "No!"

There’s no reason to stick with annual reviews when there are so many different types of performance reviews for you to choose from.

But, before you dive headfirst into a new performance appraisal system, it’s important to first ask these three questions about your organization:

  • Do your performance reviews improve performance?
  • Are your current performance reviews worth the time and energy?
  • What are the problems with your annual review process?

Do your performance reviews improve performance?

Have you thought about what you want to get out of your performance reviews? Or are you just marking them off of your to-do list because you think they are something you’re supposed to do?

The point of performance management isn’t to review past performance—it’s to impact future performance. That might mean seeing how an employee’s previous performance can inform their performance moving forward, but the goal is to improve performance among your employees.

How do you know if employee performance is improving? You have to know what to measure and how to measure it. If you aren’t collecting and analyzing data, there’s no point in doing performance reviews at all.

Are your current performance reviews worth the time and energy?

Is the data you’re getting from your performance appraisal process worth the time and energy? If you’re spending countless hours preparing for and having performance reviews with very little to show for it, you should consider a different review process.

You also have to think about whether management is getting what they need from the process, and whether they feel frustrated by how time-consuming it is.

Consider your employees too. Maybe management feels like they’re getting the information they need, but do your employees feel like they’re getting the information they need? It’s important to make sure your current performance reviews are worth the time, energy, and effort for everyone.

What are the problems with your annual review process?

Hopefully in answering the previous questions you have uncovered some problems that can be resolved. Take a deeper dive into your current process and see what other problems you can come up with. Then, you can find a performance review strategy that works for your business.

For example, are team goals changing throughout the year? That might be a sign that you need to try performance check-ins. If you find that your reviews focus on the past instead of the future, you could try a competency assessment to uncover gaps in knowledge that can be addressed with additional training.

Fixing Your Performance Review Process with PerformYard

There are a lot of problems with annual reviews, but that doesn’t mean other types of performance reviews are always better. It doesn’t always mean you have to scrap an annual review either! Performance reviews are important, but the kind of performance reviews you use depends on the unique needs of your organization.

That’s great news because it means you can customize a review process just for your business.

We have your back if the idea of overhauling your performance review process makes you feel confused and stressed. At PerformYard, we offer a flexible platform that enables you to build the right review process for your business and your employees, with the ability to pivot your strategy quickly and easily.

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Why The (Ineffective) Compliment Sandwich Prevails

Managers need to know how to give feedback. That means knowing:

  • How often to give feedback
  • How to present negative feedback 
  • How to deliver feedback that drives action

Many managers are still using old, unproven methods such as the compliment sandwich.

The compliment sandwich is a simple mind trick; you present positive feedback, then negative feedback, then another piece of positive feedback. 

The compliment sandwich is certainly prevalent, but is it effective? That is, do people who receive compliment sandwiches recognize the negative feedback in between the two pieces of positive feedback? 

PerformYard has compiled a survey-based report that seeks to answer this question and others, including:

  • Do people like receiving compliment sandwiches? 
  • How do people prefer that their bosses/managers give them feedback? 
  • How do managers tend to give feedback? 
  • Do people generally like the way their managers give feedback? 
  • What are alternatives to the compliment sandwich?

The results revealed that there are far better ways to deliver negative feedback than by using a compliment sandwich. There is also a discrepancy between how people say they want to give/receive negative feedback and how people give/receive negative feedback. 

Managers can use this information to deliver better, more effective feedback to employees.

Key Findings From The Survey

  1. The compliment sandwich remains very popular. 86% of people have received one and 95% of people have given one. 
  1. The compliment sandwich is confusing. Only 50% of respondents thought the negative feedback was the key takeaway from the compliment sandwich, and 86% of people thought the feedback was overall positive.
  1. The majority of respondents receive negative feedback directly, without sugarcoating. The majority of people also prefer this style of direct feedback. 
  1. When presented with alternatives to the compliment sandwich, an overwhelming majority of people want feedback that’s forward-looking, action-focused, frequent, and specific. People are quick to recognize better ways to give negative feedback.

The Compliment Sandwich Remains Popular

  • 86% of respondents have received a compliment sandwich. 95% have given one.
  • An overwhelming 86% of respondents reported receiving compliment sandwiches “sometimes” or “often.” 
  • When asked if they’d given a compliment sandwich, 95% of people said they had. 58% of respondents said they deliver compliment sandwiches often.

What’s the takeaway?

With so many people giving and receiving compliment sandwiches, it’s worth asking if it’s an effective way to deliver feedback. 

These findings suggest that the compliment sandwich is alive and well in many companies. Managers at your own company may be using compliment sandwiches to deliver feedback. You may even be delivering them without noticing. 

Now that we know the compliment sandwich is still being widely used, we must ask if we should continue using it. 

The Compliment Sandwich is Ineffective / Confusing

When presented with an example compliment sandwich:

  • 55% of respondents said the negative feedback was the most important takeaway.
  • 26% said the first piece of positive feedback was most important.
  • 15% said the last piece of positive feedback was most important. 

The supposed point of the compliment sandwich is to give negative feedback without making the person on the other end feel bad. The worry with compliment sandwiches is that the positive feedback will distract the recipient from understanding the negative feedback.

That’s why it’s notable that a little more than half of the respondents said negative feedback was the most important thing to take away from the compliment sandwich. That means 45% of respondents thought one of the pieces of positive feedback was most important.

Among respondents who said they received complement sandwiches, “often,” 43% thought the negative feedback was most important and 40% thought the first piece of positive feedback was most important. 

People who say they have never received a compliment sandwich were least likely to identify the negative feedback as the most important takeaway. 

What’s the takeaway?

Compliment sandwiches are a way to present negative feedback while softening the blow to the recipient. The goal is still to ensure the recipient understands the negative feedback. Since nearly half the people in our survey thought the positive feedback was the most important takeaway, it suggests that the compliment sandwich is not an effective communication tool. 

The Compliment Sandwich Doesn’t Create a Sense of Urgency

Although 55% of respondents thought the negative feedback was the most important part of the compliment sandwich, 85% of respondents thought the feedback was overall positive. 

Even among the 55% of recipients who thought the negative feedback was the most important part of the compliment sandwich, 77% of those people thought the feedback was overall positive. 

What’s the takeaway?

The findings suggest that the compliment sandwich may an effective way to create a sense of urgency in the person receiving the negative feedback. 

If you’re delivering negative feedback in a compliment sandwich, do you want the recipient to feel as though the feedback is overall positive? Would the recipient be likely to change their behavior if they think they’re getting positive feedback? 

The results of this survey show us at the compliment sandwich is confusing at best. There was no consensus about which piece of feedback was most important. Most people thought the feedback was overall positive even though a compliment sandwich is a tool used to deliver negative feedback. 

People Prefer When Negative Feedback is Direct

  • 58% of people prefer that their bosses give negative feedback directly without sugarcoating. 
  • 52% of people say their bosses do give negative feedback directly, without sugarcoating
  • Just 24% of respondents say that their boss uses compliment sandwiches to deliver negative feedback.
  • 67% of people think their boss is good at giving negative feedback.

Given the fact that most people say their bosses give them negative feedback directly, without sugarcoating, it’s worth exploring how people feel about their boss’s ability to give negative feedback. 

67% of respondents say their boss is “good” or “great” at delivering negative feedback. When we compare this data with the fact that most people’s bosses give negative feedback directly, we can conclude that people like bosses who give negative feedback directly. 

What’s the takeaway?

Being a well-liked manager does not always equate to being a good manager. Still, there are some takeaways here. We know that the compliment sandwich is a confusing, ineffective way to give feedback. 

If the compliment sandwich isn’t an effective communication tool, is it at least a way to get your employees to like you? That doesn’t seem to be the case either.  We also know that people say they like to receive negative feedback directly, and like bosses who deliver negative feedback directly. 

The compliment sandwich does not seem to have very many factors working in its favor. So why does it remain prevalent? 

The answer may lie in the disconnect between how people say they want to receive feedback, and how they deliver feedback. 

"We tend to have fears that somebody will take our feedback personally, get upset, or feel like we're innately criticizing who they are as a person. Research has shown that only 18% of employees receive feedback about their communication skills, but 97% of employees believe communication impacts their daily job performance.
Think about a time when you received feedback that genuinely helped you improve. Compare that to a time when you received feedback that didn't go so well - maybe you felt defensive or demoralized. What were some of the key differences? You probably had a much higher degree of trust with the person giving you feedback in the example where it went well."
- Laura Gallaher, PhD - CEO and Founder of Gallaher Edge

Why Does The Disconnect Exist? / Where Is It Coming From?

  • 58% of people have used compliment sandwiches when delivering negative feedback
  • 65% of people think they’re “good” or “great” at giving negative feedback.
  • 78% of people who have received formal training believe they are "Good" or "Great" at giving negative feedback.

People have high opinions of themselves when it comes to their ability to give negative feedback. More than 65% of people think they’re “good” or “great” at giving negative feedback. Just 8% of respondents say they’re “bad” at giving negative feedback.

With so many people believing they’re already good at giving negative feedback, it’s unlikely that many people would seek out training on how to give negative feedback. We found that 41% of respondents say they have never received any training on how to give negative feedback. 

  • 61% of non-managers have never received training on how to give negative feedback. 
  • 28% of managers have never received formal training on how to give negative feedback.
  • 76% of managers think they’re “good”’ or “great” at giving negative feedback.
  • Just 50% of non-managers think they're "good" or "great" at giving negative feedback.

These same respondents also tend to give compliment sandwiches when delivering feedback. 

There’s a clear disconnect here, as this same group of people said they prefer to receive negative feedback directly, without sugarcoating. 

What’s the takeaway?

Why do people who think they’re good at giving negative feedback continue to rely on compliment sandwiches?

The answer could be that compliment sandwiches are a crutch. We know they aren’t the most effective form of feedback, but we don’t like to give negative feedback directly. 

Managers can learn a lot from this data. As a manager, you may be sugar-coating negative feedback to soften the blow. The data suggests that you don’t have to do this; it isn’t an effective way to communicate and it won’t make your employees like you more. 

So, how should you deliver negative feedback?

When it comes to interpersonal feedback, here's a radical way to think about it: When you give me feedback, that tells me more about you than it tells me about me. And because our relationship is important to me, that's useful to me.
When it comes to interpersonal interactions, humans are different. We all have different life experiences, different associations, and we can totally put different meaning on the same observed situation. It's really useful to let go of the idea of right and wrong when it comes to giving interpersonal feedback. When you're giving interpersonal feedback to somebody, you're telling them, "hey, here's a way that I think you and I can work together more effectively."
- Laura Gallaher, PhD - CEO and Founder of Gallaher Edge

Compliment Sandwich Alternatives

The next section of the survey explored different ways to deliver feedback. We presented survey respondents with four questions that compared one form of feedback against the other:

  • 70% of respondents prefer forward-looking feedback to backward-looking feedback.
  • 90% of respondents prefer action-focused feedback vs character-focused feedback.
  • 81% of respondents prefer frequent feedback to infrequent feedback
  • 77% of respondents prefer specific feedback to more general feedback.

Across the board, respondents were able to recognize the right ways and wrong ways to deliver feedback. In all of these instances, we delivered feedback directly, without sugarcoating. We did, however, change how we delivered the feedback. 

Respondents preferred forward-looking feedback, (“Here’s what you need to do in the future”) to backward-looking, (“Here’s what you did wrong in the past”). 

They preferred action-focused feedback (“You did this thing wrong”) to character-focused feedback (“You don’t seem to care about work”)

They preferred frequent feedback (“You did this wrong this morning) to infrequent feedback (You’ve been doing this wrong for a month).

They also preferred specific feedback (“You need to do this part of the task better”) to general feedback (“You screwed up”). 

What’s the takeaway?

As a manager, it’s your job to deliver feedback that employees respond to. The survey participants indicated that they would respond better to certain types of feedback. These forms of feedback are far more effective than the compliment sandwich because they align with the respondent’s preferences for direct feedback.

However, you still need to focus on delivering feedback that is forward-looking, action-focused, frequent, and specific. 

"When it comes to behaviors which are subtle or deeply ingrained, just telling someone what they should change rarely helps them figure out how to do it regardless of how direct we were in providing the feedback.”
- Kiron Bondale, Project Management Consultant

What Should Managers Do With This Data?

The compliment sandwich isn’t just a gimmicky way to tell someone you don’t like their shoes. It’s a real way of delivering feedback that made its way into the modern workforce. 

However, the results of this survey show that the compliment sandwich sends mixed messages and isn’t likely to produce the desired outcome. 

When managers are thinking about how to provide feedback to the modern workforce, they can look to the results of this survey to see that direct feedback is best. Managers may also have to combat their tendencies to sugarcoat negative feedback. 

Most people think they’re good at delivering negative feedback, but many people also use the ineffective compliment sandwich when delivering negative feedback.

So, what’s the solution? 

Some people might think about going through formal feedback training. However, in our survey, people who have received formal training on how to give feedback are 5% more likely to sugarcoat negative feedback. 

The best solution may be the simplest solution. Give feedback directly and frequently. 

What is a Compliment Sandwich?

A compliment sandwich is a form of feedback in which you give someone a piece of positive feedback, then a critique, followed by another piece of positive feedback, thereby sandwiching the critique in between two positives. 

Compliment Sandwich Pop Culture References

  1. Pixar has a unique approach to negative feedback. They call it “plussing.” The rule is that if you give criticism, you have to also give a “plus.” Author David Burks writes about it more in his book, “The Myths of Creativity.”
  1. A recent analysis of Australian poetry reviews found that 44% used a different form of the compliment sandwich, called an “Open-Faced Compliment Sandwich.” The open-faced compliment sandwich is a neutral statement, followed by a negative statement, followed by a positive statement. Emmett Stinson writes about this phenomenon in the article, “How Nice Is Too Nice? Australian Book Reviews and the ‘Compliment Sandwich
  1. In season 2 of the TV show, “Hart of Dixie,” George is having trouble figuring out how to break up with a girl. His friend Wade explains to him the concept of the compliment sandwich, and George uses a compliment to break up with his girlfriend, Shelby. (Video)
  1. In an episode of the TV show, “Family Guy,” Stewie gives Brian a compliment sandwich as part of a manager review. Stewie leads with, “You look like Snoopy and it makes me smile” then gets to the negative feedback, “You’re a smelly dog.” (Video)

Just for Fun: Notable Findings About Feedback in the Workplace

Preferences by Age Group:

  • Younger respondents (age 25-34) are most likely to prefer a compliment sandwich.
  • Older respondents (55+) are least likely to prefer a complement sandwich

Perception of Bosses by Age Group:

  • Out of all age groups, people aged 45-54 are least likely to think their bosses are good at giving negative feedback.
  • Younger age groups are more likely to think their bosses are good at giving negative feedback.

Feedback Frequency by Age Group:

  • In the 55+ age group, a majority of respondents reported that they only receive feedback yearly.
  • Out of all the age groups, the 25-34-year-old age group was most likely to receive feedback monthly.

Stats About People Who Think Compliment Sandwiches are Negative:

  • Of the respondents who thought the compliment sandwich was overall negative, 87% thought the negative feedback was the most important part of the compliment sandwich; compared to just 55% for the regular population. 
  • Of the respondents who thought the compliment sandwich was overall negative, 0% had received formal feedback training.
  • Of the respondents who thought the compliment sandwich was overall negative, just 30% deliver compliment sandwiches often vs 56% of the regular population. 

California and Texas:

  • 75% of Californians surveyed had received some kind of training on how to give formal feedback, compared to just 57% of Texans surveyed. 
  • 37% of Californians surveyed think they’re “great” at giving negative feedback, compared to just 21% for the overall population. 
  • Among Californians surveyed, just 13% say their bosses use compliment sandwiches, compared to nearly 25% for the overall population.  

Education Level:

  • Among people with post-graduate degrees, 41% receive compliment sandwiches “often” compared to just 26% for the overall population.

Marital Status:

  • Among survey respondents who are divorced, 60% have never received formal training on how to give feedback, compared to 40% for the overall population.

Income Level:

  • Among people who make over $150k, 82% deliver compliment sandwiches “often,” compared to just 58% for the overall population. 
  • Among people who make over $150k, 48% think they’re “great” at giving negative feedback compared to just 21% for the overall population.
  • Among people who make over $150k, 53% have received formal feedback training compared to just 28% for the overall population.

How We Surveyed

This survey uses data from a sampling of US adults over the age of 25. All respondents have been employed for all or most of the last 12 months. 

The survey is broken down into three sections:

Section 1 presented survey respondents with a hypothetical compliment sandwich and asked them for their reaction. 

Section 2 explored people’s general thoughts on negative feedback; how it’s delivered to them, how they prefer to receive it, and how good they and others are at giving it.  

Section 3 presented the respondents with some alternative ways of delivering feedback and asked which way they preferred to receive feedback.

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How to Revisit Your Goals | A Guide to a Better Process

You’re on the right track if your organization is thinking about how to revisit your goals. Employee performance increases by 12 to 15 percent when effective goals are in place.

The trouble is that there are different types of goals and endless ways to personalize each goal. It’s easy to come up with ineffective goals that don’t serve your employees or your organization.

If you end up with goals that don’t seem to be working, should you revisit those goals? If so, how often should goals be revisited, and should goals change? Don’t let the process of readdressing your goals make you feel overwhelmed.

Read on to discover how to tackle the concept of re-evaluating your goals and learn how to build a better goal-setting system.

Considering Revisiting Your Goals

If you’re wondering if you need to revisit your goals, the answer is probably yes. Just thinking about reassessing your goals is a sign that something isn’t working. You need to take time to figure out what’s not working and how to amend your goals.

Your new goals should hit that sweet spot of being challenging and obtainable.

It’s okay if the thought of reevaluating your goals makes you feel frustrated because you spent so much time coming up with those goals in the first place. The solution isn’t to carry on with the goals you already have.

You might find your goals are too easy to accomplish, which means they aren’t challenging enough. On the other hand, your goals might be too hard. This can make employees feel frustrated, which isn’t the point of setting goals.

Streamline your goal-setting process with HR software.Learn More

Although it takes time, it’s better to reassess your goals when they aren’t working. This is true even if it means scrapping or amending goals so they better serve you.

How to Revisit Goals

Resetting goals can make you feel like a failure. The process also has the potential to make employees feel unsettled, unmotivated, and frustrated, especially if they feel like the leadership team changes goals without warning.

The process of changing goals doesn’t have to be frustrating if you pay just as much attention to the process of revisiting goals as you do to the goals themselves.

The first step of revising goals is diving into what when wrong. A few things to consider include:

  • Did something unexpected happen to affect the goal? For example, did a process take an unexpected pivot, or has a family situation caused an employee to spend less time at work?
  • Are external forces at play? For example, are outside vendors impacting the business, or maybe an economic situation is forcing changes in the company?
  • Were the goals set wrong in the first place? Maybe they were designed to be a little too easy, or the goals were too lofty to be achieved during regular working hours.

Ask for employee input when reevaluating goals that affect them. Tell them why the goals need revision, which means also telling them if there's an external reason for resetting goals. Employees are more willing to be agile and adapt if you are transparent about the reason why goals need to be reevaluated.

Part of the process should also include inspiring employee commitment to the new goals. Give employees some control over the process by allowing them to revise goals if they feel it is necessary, or to provide input if they feel their goals are too challenging.

Prizes for achieving goals can also be very effective, even if the prize is in the form of a heartfelt message of appreciation when a goal is reached. It gets everyone in the mindset of thinking about their goals every month, which means they will be less surprised when they have to reassess those goals.

A Better Goal-Setting Process

If you want to avoid the unplanned process of revisiting goals, you should focus on goal cycle frequency. This concept requires you to make reevaluating goals part of the goal-setting process instead of it being something that comes as a surprise.

When revision is part of the process, it gets the attention it deserves. Instead of rushing through the reevaluation of a goal, and likely creating an uninspiring, unchallenging, or overly difficult goal in the process, extra time is included in the process so the goal in question can be properly addressed.

Set goals with predictable time frames instead of setting lofty goals far into the future. That way, goals expire and are reset at a comfortable pace. You can worry less about whether your goals are working because you will be reevaluating them soon anyway.

For example, realizing a yearly goal needs to be changed six months in can be disappointing and frustrating. If instead, you set four monthly goals throughout the year, you can wait for the first goal to come to an end before you reevaluate and reset it ahead of next month’s goal.

Here's a diagram that shows how most organizations set goals. This can lead to issues where revisiting the goal messes up the goals for the whole year.

Here's an example of how to set goals so the revision process is baked into the goal. If you use this method, goal revisions won't feel like such a huge interruption.

How often you revise your goals can change depending on your organization and your employees.

During the early days of a new startup, Sam Blond, the CRO at Brex, will create monthly sales goals with a likelihood of 90 percent that those goals will be met. As he gets a feeling for the goals and they become more predictable, he extends the timeline so goals are still assessed, but they are assessed less often.

By creating a schedule and keeping time frames for goals manageable, you can revisit goals on a regular basis instead of revising them in a panic when they aren’t effective, or worse—avoiding the possibility of reassessing your goals at all.

But what about long-term goals? You should still set those too! They can help you anticipate potential problems, and they help you feel confident that your business has a plan in place to last for the long run.

The trick is to make sure these long-term goals aren't what's driving your workforce. Smaller, digestible goals that are reevaluated according to a schedule are what should inspire and encourage your employees day-to-day.

Goals are an effective tool to motivate your workforce and obtain personal achievements, but it’s not just about picking the right goals. Armed with these tips, you can make revising goals part of the process so everyone has obtainable and challenging goals that drive the success of your company.

PerformYard software makes it easy to set and re-evaluate goals. The software ties goals ot reviews and check-ins, so you don't have to worry about updating a spreadsheet or reminding people to revise goals every quarter.

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Team Performance Appraisal | Tips for HR Leaders

You know that collaboration is one of the best skills to look for in an employee. What you don’t know is how to measure it. Team performance evaluations consider how well team members handle their responsibilities. They also measure how well the team works together.

So, how do you know if team performance appraisals work for your organization? Let’s start with some definitions. 

Team-based performance appraisals measure the performance of any department or division. 

Here’s an example:

Your internet security department is working together to patch vulnerabilities. Team performance evaluations examine how they cooperated, collaborated, and held each other accountable. 

Here’s another example:

Your accounting division is implementing a new payroll process. Team-based performance appraisals help each team member understand expectations. They also help mark progress toward individual, team, and organization-level goals. 

Team performance appraisals are a natural fit in project-based organizations. Consider fields like construction, consulting, architecture, and public works. Project managers develop roles, responsibilities, timelines, and targets. Team performance appraisals measure performance based on these defined metrics. At the end of the project, you can assess what went well and what needs improvement. 

Most organizations need high-performing teams to be successful. Collaboration, teamwork, and a sense of responsibility enable teams to reach their goals. 

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Trends in Team Performance Appraisals

A recent study found that 86% of managers think collaboration is an essential soft skill for their employees. Far fewer managers measure collaboration when evaluating individual performance. So where’s the disconnect?  

Most companies already have a system for evaluating individual performance. High-performing organizations know it's also essential to assess team performance. A Gallup poll studied managers who began evaluating their effectiveness as a team and providing feedback. Team performance improved by 8.5%, and productivity increased by 12.5%. 

In this article, we will discuss five tips for running an effective team performance appraisal process.  

Tips for Implementing a Team Performance Appraisal Process

Remember that for most organizations, individual performance appraisals are still the norm. The work disruptions caused by the COVID pandemic forced many companies to re-evaluate how they do business. It has also caused HR departments and managers to reconsider how they define and measure success. 

The old way:

Before, success may have looked like showing up to work, doing what's asked, and being friendly with co-workers.

individual performance appraisal

The new way:

Now employers are looking at how individual contributions relate to larger organizational goals. In a team performance appraisal, both managers and team members receive performance feedback. 

team-based performance appraisal

Organizations are using team-based performance reviews more and more to measure employee effectiveness. Team-based performance reviews are less biased and more inclusive than individual performance reviews. 

Modernize your team performance appraisals with PerformYard.Learn More

When implementing a team-based performance review process, you must consider a few factors:

  • The size of the team 

The team should be small enough that each member can offer meaningful input but large enough to provide diverse perspectives.

  • The nature of the work. 

The metrics should also be appropriate for a team setting; if not, individual performance reviews may be more effective.

Careful planning and execution are crucial to the success of team-based performance reviews. The process should also promote open communication and feedback. Also, teams should have adequate time to prepare for and conduct the review.

Consider Project-Based Performance Reviews

Project-based team performance reviews work for companies that do well-defined, time-limited projects. 

Project management systems simplify these reviews because the system tracks specifics like: 

  • Goals
  • Expectations
  • Roles
  • Objectives
  • Scope
  • Deliverables. 

Managers can measure the team's performance based on these success indicators. 

Doing team performance reviews after each project means having a frequent feedback cycle. Timely feedback helps correct deficiencies in performance in real time. Plus, project-based performance reviews are an excellent way to debrief after completing a project.    

Cascading Goals

Cascading goals flow from the top down. They start with the organization's objectives and end with specific goals for individual team members. This goal structure makes it easy for individuals to understand their roles. It also shows individuals how their performance aligns with the team and organizational goals. 

team performance goal

Compare Team Data to Other Teams

Your company’s performance appraisal process tells you where to make organizational improvements. Team performance appraisals show insights into team metrics like output, quality, and efficiency. This data helps managers improve performance by identifying areas where teams are struggling. It also helps managers see where they need to make changes to support their teams better. Finally, this information enables you to compare the performance of teams all across your organization.  

PerformYard lets you run reports after conducting performance reviews. These reports offer valuable data showing how each team is performing. When you identify a high-performing team, you can analyze the review responses to see what makes them successful. Then, you can find ways to replicate that advantage across the organization.  

Use 360 Reviews

Organizations with team-based performance review processes often use 360 reviews. These reviews help individuals understand how the rest of the team feels about their performance. PerformYard's flexible 360 reviews let team members provide feedback to each other and their managers.

360 reviews also help to create a more open and transparent performance review process. Giving all team members a chance to provide feedback ensures that everyone has a voice in the process. This helps to build trust and respect among team members and makes the process more effective.

team performance review

PerformYard makes it easy to run 360 reviews.Learn More

Use Software to Run a Smoother Appraisal Process   

PerformYard can be a huge help when running team-based reviews:

  • Facilitates communication between team members.
  • Identify areas that need improvement.
  • Provide a platform for giving and receiving feedback.

When done right, performance reviews are a valuable tool for improving team performance. Still, many managers feel overwhelmed by the process. 

PerformYard streamlines your performance management process with a centralized platform. That platform stores review data develops and delivers evaluations, and notifies you when reviews are due. If your organization has a complex system of individual, team, and department reviews, PerformYard simplifies it with an intuitive dashboard and robust analytical tools.

Take 20 minutes to discover the power of performance management software.Learn More

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