Have the employee fill out their key accomplishments for the year and their feedback on what they did well, and what they could have done better prior to the review. Read this before doing any formal evaluation. This will give you a peek into their mindset and the tasks from their viewpoint. Sometimes as managers or leaders we are not involved in the daily tasks and are only brought in when the task goes south or is in trouble. This information allows the employee to think about the year and what milestones or rockslides they encountered. Call it a refresher if you will, but it will get them in the frame of mind for a review.
When doing the review use these items as discussion points. Let me them tell you what they believe to be their opportunities for growth and what they feel their strengths are. This takes some of the pressure off of you the manager and most employees know what they are good at and what they aren't. If the employee is having trouble with parts of their role or function, ask them what you can do to help them or get them more comfortable with that part of their job.
If you have negative points that have to be discussed or problem areas with the employee, determine a detailed action plan to make the negatives positive over the next cycle. If you take a partnership approach to performance appraisals you will encourage them to take an active role in their development and you will see improved results. If you look at the performance review as a chore and just a formality you are missing a great opportunity to learn more about the people who work for you.
Happy Employees = Happy Management!
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