An employee performance review is a formal evaluation of an individual’s work, contributions, and challenges over a specific period. For the employee, it is a tool for professional development, offering structured feedback and clear direction for growth. For the company, it aligns individual achievements with broader organizational goals, ensuring the team is working cohesively toward a common purpose.
Prepare for the Performance Review
Thorough preparation is the foundation of a fair and impactful performance review. Start by reviewing the employee’s job description and the goals from the previous review cycle. A manager should gather specific examples of the employee’s work throughout the evaluation period to avoid recency bias. Incorporating 360-degree feedback from peers can offer a more rounded view of the employee’s contributions. Asking the employee to complete a self-assessment encourages them to reflect on their own performance and goals.
Key Components of the Written Review
Opening Statement
The review document should begin with a brief and positive opening statement to set a constructive tone. This can be a simple acknowledgment of the employee’s efforts or a forward-looking statement about the purpose of the meeting.
Accomplishments and Strengths
This section should detail the employee’s specific achievements and highlight their strengths. Vague praise is insufficient; every point should be backed by concrete examples. For instance, instead of stating an employee has “good communication skills,” write, “Your clear communication during the Q3 project presentations improved team collaboration.” Explain how these strengths positively impacted the team to reinforce desired behaviors.
Areas for Improvement
The focus should be on observable behaviors or skills that can be developed, not on personality traits. Frame these points as opportunities for growth. For example, instead of saying someone is “not a leader,” identify specific actions, such as, “An opportunity for growth is to take more initiative in leading team meetings and mentoring junior colleagues.”
Future Goals and Development
This section should outline a clear plan for the next review period. Collaboratively set goals that are Specific, Measurable, Achievable, Relevant, and Time-bound (SMART) to give the employee a roadmap for success. This is also the place to discuss professional development opportunities, such as training or taking on new responsibilities.
Overall Summary
The document concludes with a concise summary of the employee’s performance and standing. This paragraph should briefly reiterate the key themes of the review, touching on both strengths and development areas to set the stage for the next performance cycle.
Use Specific and Actionable Language
Objective and non-judgmental wording is important. Instead of using labels, describe specific situations and their outcomes to provide clear, actionable feedback. An effective tool for structuring this feedback is the STAR method: Situation (describe the context), Task (explain what was required), Action (detail the employee’s actions), and Result (explain the outcome). This framework grounds feedback in reality and shifts the focus from the person to their actions and impact.
| Do Say: | Don’t Say: |
| :— | :— |
| “During the Apex project launch (Situation), when the team was tasked with a tight deadline (Task), you proactively organized the workflow and delegated tasks (Action), which resulted in the project being completed two days ahead of schedule (Result).” | “You’re a great project manager.” |
| “In our weekly team meetings (Situation), an area for development is to provide your project updates more concisely (Task) by preparing three key bullet points beforehand (Action). This will help ensure we cover all agenda items within the allotted time (Result).” | “Your updates in meetings are too long.” |
Conduct the Performance Review Meeting
The delivery of the performance review is as important as the document itself. The meeting should be a two-way conversation, not a one-sided lecture. Begin by setting a supportive tone. If the employee completed a self-assessment, let them share their perspective first, as this fosters a sense of ownership.
When discussing the review, walk through the document section by section, but avoid simply reading it verbatim. Use the written points as a guide for a deeper conversation and ask open-ended questions to encourage dialogue. The meeting should end with a clear understanding of the goals and expectations for the upcoming period.
Common Mistakes to Avoid
Managers should avoid common missteps that can undermine the effectiveness of a performance review.
- Waiting for the annual review to provide feedback, especially if it is corrective. Regular communication prevents surprises and allows for timely adjustments.
- Comparing employees to one another. The focus should remain on an individual’s performance against their own goals and job requirements.
- Presenting an unbalanced view. Be sure to highlight both achievements and areas for improvement, rather than focusing solely on the negative.
- Failing to follow up. The goals and development plans established during the meeting must be revisited and supported throughout the year to ensure progress.