1

Driving Employee Engagement Through Performance ReviewsDelivering Performance Reviews

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25%

Performance Retention

35%

Review

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Review: Continued

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Presentation Review

Use Effective Language

Encourage Employee Input

Communicate Performance and Pay Differentiation

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Use Effective Language

Uses Overly Negative Words

Common Pitfalls

Makes Value Judgments

Makes Generalizations

Example:

“The main weakness that I’d like for you to focus on is attention to is your lack of administrative details. You never submit paperwork on time and did a really bad job managing the Bouchard account as a result.”

“The main weakness that I’d like for you to focus on is attention to is your lack of administrative details. You submit paperwork on time and did a really bad job managing the Bouchard account as a result.”

never

“The main that I’d like for you to focus on is attention to is your lack of administrative details. You never submit paperwork on time and did a really bad job managing the Bouchard account as a result.”

weakness“The main weakness that I’d like for you to focus on is attention to is your lack of administrative details. You never submit paperwork on time and did a really job managing the Bouchard account as a result.”

bad

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Do…

Emphasize words of encouragement

Be descriptive when giving examples

Frame problems as development opportunities

Use Effective Language

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Do…

Emphasize words of encouragement

Be descriptive

Frame problems as development opportunities

Use overly negative words

Don’t…

Make value judgments

Make generalizations

Use Effective Language – Summary

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Presentation Review

Use Effective Language

Encourage Employee Input

Communicate Performance and Pay Differentiation

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Encourage Employee Input

Avoid difficult questions

Common Pitfalls

Express dissatisfaction with performance management systems/decisions

Become defensive or apologetic

Example:

Situation: The employee asks a question I’m not sure how to answer

Response: “I have no idea what the answer is. Maybe someone in HR can tell you.”

Situation: The employee is angry

Response: “I’m sorry if this is coming across as harsh”Response: “You’re the one with a performance issue--attacking my ability as a manager won’t change your rating”

Situation: The employee thinks they should have gotten a different ratingResponse: “I didn’t want to give you this rating, but I had no choice given how our system works.”

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Respond calmly to negative reactions

Do…

Own the feedback

Schedule plenty of time Be candid, thoughtful, professional

Follow-up if necessary

Restate employee comments

Encourage Employee Input

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Do…

Own the feedback

Respond calmly to negative reactions

Schedule plenty of timeAvoid addressing difficult questions

Express dissatisfaction with performance management systems/decisions

Become defensive or apologetic

Don’t…

Encourage Employee Input – Summary

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Presentation Review

Use Effective Language

Encourage Employee Input

Communicate Performance and Pay Differentiation

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Discuss other employees’ ratings

Common Pitfalls

Make promises

Use jargon

Example:

Here’s how that will impact your compensation…

Overall, you received a rating of 4— that’s the highest of everyone on your team!

… As a reminder:

The profit-sharing component of your variable pay is calculated using a graduated, first dollar formula.

I know the merit increase is less than you were hoping for, butif you can improve your presentation skills like we discussed, you’ll get a bigger increase next time.”

Communicate Performance and Pay Differentiation

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Do…

Explain the pay and performance decision processes

Ensure the employee understands the terms

Inform the employee of where his/her pay places them in their pay range

Explain what types of behaviors are necessary to achieve different ratings (e.g., meets, exceeds)

Communicate Performance and Pay Differentiation

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Do…

Ensure the employee understands the terms you use

Inform the employee of where his/her pay places them in their pay range

Explain what types of behaviors are necessary to achieve different ratings

Reveal other employees’ pay or performance ratings

Don’t…

Promise that doing certain things will lead to different pay outcomes

Use complicated compensation or performance management jargon

Explain pay and performance decision processes

Communicate Performance and Pay Differentiation – Summary

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Delivering Performance Review Feedback:

Use effective language

Encourage employee input

Communicate differentiation

Presentation Review

Additional Resources Manager Guide: 10 Keys to Improve Employee Performance through Formal Performance Reviews Manager Guide: Improve Employee Performance by Managing Reactions to Formal Feedback