Our Summery: On-going reviews provide real-time insights into employee performance and set expectations for desired outcomes. The collective intelligence of the enterprise widens points of inputs and the positive peer recognitions are sources of inspiration for teams.
Crowdsource Your Performance Reviews
by Eric Mosley
Originally Published on 6/15/2012
Forty-five percent of human resources (HR) leaders don’t think annual performance reviews are an accurate appraisal for employees’ work. And 42 percent don’t think employees are rewarded fairly for their job performance.These stats, from a recent survey by Globoforce and the Society for Human Resource Management (SHRM), show that HR has lost confidence in the traditional review process. Most people know that employees dread annual reviews, but when nearly half of HR professionals agree, it’s clear we need a new approach to how employee performance is measured and evaluated.
The debate around the effectiveness of annual performance reviews has surged in recent years, as managers criticize the inflexibility and infrequency of a formal, forced process. It’s an industry awakening to a system that is no longer effective on its own for the way companies and people are managed today. For example, managers are tasked with using only their own observations and analysis to appraise employees, yet many don’t have the tools to record pertinent events as they happen.
Enter the wisdom of crowds — or crowdsourcing. A group of independently deciding individuals is more likely to make better decisions and more accurate observations than those of an individual. Crowdsourcing, by leveraging social recognition data, is a better way for managers to collect, evaluate and share information on employee performance. In many leading organizations, it is already redefining performance management and transforming all of HR.
Read the full article on Harvard Business Review here.