Employee performance reviews are important tools for management in all companies, particularly medium- and large-sized companies. These reviews can help assess an employee's productivity, motivation and teamwork skills. They are also often used to determine raises, bonuses and other forms of compensation. However, they must also motivate the employee by setting personal and professional goals for the next evaluation period.
Prepare for the Evaluation
Review employee performance and consider your goals for the employee before the performance review meeting. Decide on the issues--positive and negative--you want to discuss with the employee, advises the Dun and Bradstreet website. Also, determine how you want to approach each of these issues, based on how the individual employee responds to praise and criticism.
Emphasize the Positive
Begin the employee's performance review by addressing her strengths and accomplishments, advises the Dun and Bradstreet website. Express your appreciation for the employee's efforts, which can help allay her job security fears. Positive feedback lets your employee know that you appreciate her contributions, and sets the stage for productive discussion.
Set Collaborative Goals
Discuss your employee's goals for the next review period, advises the Success Factors website. Ask your employee what he expects to achieve during the next performance period, and suggest benchmarks that your employee will strive to reach. While discussing goals, make sure they are in line with your company's mission and business objectives.
Make Criticism Specific
According to the Dun and Bradstreet website, you should avoid general criticism that does not relate to specific performance and behavior. Instead, focus on your employee's specific performance on projects and tasks. This will give the employee concrete feedback she can use to improve her performance in the future.
Solicit Feedback from Multiple Sources
An employee performance review that is based solely on your observations may be perceived as unfair and incomplete. If you are a manager, you may not have first-hand knowledge of the employee's work habits and interactions with other employees. Seek feedback from direct supervisors, subordinates, top management personnel and clients, and use this feedback in the performance review, advises the Success Factors website.
Include Work/Life Balance
Discussing work/life balance can help you assess an employee's ability to manage work and outside activities, according to the Dun and Bradstreet website. Poor work/life balance can impact work performance, and should be considered when evaluating past performance and setting future goals. This can also help your employee know that you are genuinely concerned about his ability to make time for other obligations.



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