The landscape of HR is changing with the fast pace of technology and the demands of modern careers. One of the big trends identified for HR in 2017 was the improvement of employee reviews. Have the demands of modern HR made the employee review an obsolete practice? A research study of 1,500 US office workers has found that two thirds of employees and managers find the employee review an outdated practice. Furthermore, if HR departments are evolving, what new developments are taking place for employees to receive more effective feedback? The improved employee review is one that makes employees happier and more productive, it is the employee review of the future.
The current status quo of employee reviews is a time consuming one. Research has found that on average managers spend 17 hours planning for an employee’s review. Considering that more than half of employees state that the feedback during a formal review has no effect on their job performance that amounts to a huge waste of time and productivity for the organization. Performance reviews can be psychologically draining on the employees with people crying or quitting as a result. Over 60% of millennials surveyed said that they would switch to a company with no performance reviews. The push to end the practice of reviews is becoming greater with employees. Some organizations have done away with reviews in favor of informal check-ins like Adobe and Accenture. This promotes an organizational culture of trust and collaboration. A study done by Adobe has found that 80% of employees prefer on-the-spot feedback to the formal review process. Instantaneous or “rolling” reviews are innovations which allow employees to receive daily, weekly, monthly, or quarterly reviews. The instant gratification for an employee to receive on the spot feedback will promote employee autonomy and satisfaction. This is the new frontier of HR which will develop in the years to come to accommodate the demands of managers and HR department.
However, the way employees’ reviews are done is changing for forward looking organizations. The future of performance reviews are more personal and detailed. The HR department is doing away with the numbers and letter grades that used to give vague feedback to employees. The numerical or letter grade does not provide insight, nor does it provide constructive feedback for the employee. The performance review experience is shifting from a formal lecture style to a discussion based format. The employee experience will be considered a part of the review process with a focus on each worker’s professional development.
The employee performance review is a hot HR topic for 2017 and the years to come. While, some organizations and employees consider the performance review an outdated practice which wastes time and resources. Other organizations are moving to an informal, on the spot review model which promotes the employee experience. Finally, organizations are changing employee performance reviews to be more personalized and detailed. The future of employee performance reviews is one that will enhance the happiness, collaboration, and productivity of the employees.