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Is it time to do away Performance Evaluations?

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Baskar Sundaram

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Performance is the employee’s worth towards an organization depending on what contributions they have made in the duration of their employment. This also includes the wage they are earning and any promotions that have been given.

Performance reviews can be awkward, biased, and nerve-wracking. A lot of companies have discontinued this practice, but that might have not been the best idea. Even though a lot of companies have gotten rid of performance evaluation, there are still undercover ratings. Employees cannot see them, however they are evaluated behind the scenes and are done subjectively. Nonetheless, some companies have continued to keep performance evaluations to be fair, transparent, and to allow people to grow.

In a perfect world, performance evaluations would be fair. However, within every workplace there are always people who are unsatisfied with their bonuses or disappointed that they were not given a promotion. Conversely, research has shown that when the evaluation is done in a fair way, the workers are more likely to accept undesirable outcomes. It is only fair when the evaluators are credible, are determined to get it right, and the employees must have a say in the decisions. Without the use of evaluations, people have no idea if their contributions within the organization are effective or not.

One method to do things methodically is to first have co-workers write up evaluations about each other. These evaluations should be shared with the managers, the evaluator, and the person being evaluated. This should be a conversation that should be taken place in a closed area, and the individuals must be open minded and reasonable. The evaluation should be thoroughly reflected and rightly justified. Second, the managers should evaluate the performance of each employee. This evaluation should omit any type of biases. Lastly, the evaluations should translate into compensation. If one excels in their work performance, their bonuses should increase as well.

People want to know where they stand within the company, and performance evaluations give that sense of transparency. The evaluations help the company and employees understand how their work is seen and how much they have contributed towards the organization. It makes it easier for the company to reward and recognize the top performers. When managers keep track of their high performers, it is more likely that their criticism and quality of feedback improves. Also, the employees tend to react more positively.

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