Why the current system of performance evaluations doesn't work

by on June 5, 2009 · 0 Comment POSTED IN: HR Info Center

The current basis for performance evaluations comes from a failed model

It doesn’t matter what you call them. The annual rituals of performance evaluations such as sitting down across the desk from your boss and being assigned some kind of label or grade followed by an attempt to justify your stunning salary increase is perceived by most employees as a bit demeaning and by most managers and supervisors who have to do it as a profound waste of their time.

According to a recent survey, 70% of all companies has either just changed their performance evaluations process or have plans in place to change it.

Why would almost three quarters of all companies be changing their performance evaluations system? Well, the answer of course is that they don’t work.

But two years later, why are the same companies back in queue, ready to change again? Well, the big answer here is because when we change them, we just make things different, not really better.

And when you make your system different and not better and you tell your people this time, you’re going to like it, that’s not a big credibility enhancer for human resources and it’s a very frustrating experience for everybody involved.

Behind the scenes on why the current system is failing on performance evaluations
Here’s how this works a little bit. Small companies don’t invent their personnel practices. Most small companies, if they’re going to use some kind of performance management system, they go copy a bigger company.

And that medium-sized company they copy is probably not inventing their stuff either. They’re copying a larger company. And ultimately, the large companies are all copying each other and it all goes back to the same origin. And the interesting thing is the guy at the head of the class we’re all copying is a “D” student.

Edited remarks from the Rapid Learning Institute webinar “No More Performance Reviews! – A Revolutionary Approach to Performance Feedback” by Gary Markle

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