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Only 20% of employees feel that their performance is managed in a way that motivates them to do outstanding work. Plus, a majority of employees feel uninvolved in goal setting and feel judged on performance metrics outside of their control.
Clearly, companies need new approaches to managing motivation. One way is to offer meaningful feedback — in fact, 80% of employees who receive constructive feedback feel more engaged.
In this article, Remote shares how to write employee reviews that motivate excellence and keep the best talent.
An employee review is a formal meeting where a manager evaluates an employee’s performance.
Sometimes called performance reviews, performance appraisals, or performance evaluations, employee reviews typically assess the following:
Quality of work
Strengths and weaknesses
Attendance and punctuality
Teamwork
Communication skills
Problem-solving abilities
Goals for the next review period
Regular performance reviews can motivate employees in several ways. They provide constructive feedback, align employee and business goals, boost career development, and improve employee engagement.
Offering high-quality feedback to employees can almost halve the loss of top talent. Unfortunately, 55% of employees say traditional performance management fails to improve their performance.
People are generally receptive to valuable feedback. The key is providing actionable feedback that improves outcomes.
So check if your performance review include achievable goals and actionable steps to meet those goals.
The value of quality feedback is clear. The question is, how do you write effective performance reviews that motivate excellence?
Here’s a five-step guide:
Start by reviewing your employee’s job description and key responsibilities. Be clear on your team member's role and day-to-day tasks to create fair expectations for employee reviews.
You can refer to job descriptions and key responsibilities during employee reviews to reinforce the feedback you provide. Then, toward the end of each review, use the same information as the foundation for setting goals, development opportunities, and recommendations for improvement.
The next step is to analyze your team member's performance. The key here is to offer data for the feedback you provide, to be as objective as possible. You’re not providing your opinion or criticizing at this time; you’re simply going over the numbers.
For example, if your sales reps close an average of seven deals per week, use this benchmark to illustrate where the employee you’re reviewing is currently at. During subsequent reviews, compare employee performance against the team average but also their own performance.
Distrust is one of the biggest barriers to feedback receptivity. Provide merited positive feedback to establish trust and show employees that their efforts are truly valued. This improves employees’ trust in your negative and positive feedback, while showing you are supporting their growth.
During employee reviews, offer “negative” feedback as constructive criticism. Here's a framework of how you can share constructive feedback:
Trust: Use data to analyze performance, not individuals
Action: Provide actionable steps that the employee can use to improve their performance
Motivation: Set achievable performance goals for the next review period.
With constructive feedback, you can end criticism on a positive note. The key here is that you’re not trying to make negative feedback more agreeable by making forced compliments. Make sure you are offering genuine advice while setting realistic, achievable targets for your employee to improve their performance.
Setting clear, measurable goals give your team members targets to work toward. During this stage, give your team members the time to add their own opinions on the matter. Agreeing on goals with each employee also helps you align their personal aspirations with the goals of the business.
When setting goals, you can use a SWOT analysis or a SMART goals framework (more on this later) to define targets for the next review period.
To help you prepare to write your next employee review, let’s look at some examples and templates for each part of it.
Start by reviewing the employee’s job description and key responsibilities before summarizing their performance in each category with a grade or score.
Find a format that works for you. It could be a checklist, a data visualization, or a three-month employee review template like the below:
You can start positive feedback with a conversational summary. For example, you scan say “we’re really happy with your sales performance during the last quarter.”
Follow this up with supporting data. For instance, “with an above-average deal closure rate of 26.45%, your sales have generated an extra $97,500 in revenue for Q3.” Describe in detail how the employee’s efforts have added value to your team and the company at large.
You can use the Situation-Behavior-Impact (SBI)™ model when offering constructive criticism. The SBI model also involves trust, action, and motivation when offering negative criticism.
With the SBI model, instead of describing thoughts and feelings (impact), you’re setting out actionable steps for the employee (motivation). Remember that criticism is most effective when you focus on fostering growth, building trust, and driving actionable improvements.
An employee development review compares current performance with that of previous review periods. This helps both you and your employees understand the progress they made.
Here’s an example of a quarterly employee review template:
For each section, include positive and constructive feedback where appropriate. For example, you can comment something like: "Your performance is meeting expectations, with few occasions when you would deliver tasks past their due date. Let us know if we can do anything to help you improve your project management skills."
You want your employees to leave their performance reviews with a clear set of goals for the next review period. The SMART framework can help you set goals for each employee that are:
Specific: Goals that have specific numbers
Measurable: Goals that let you define and track relevant performance data
Achievable: Goals that ensure the employee has the means to perform required actions
Realistic: Goals that are realistic for the given time period
Time-bound: Goals with clear deadlines
Have your employees actively set their goals for themselves, as this improves their motivation when it comes to actually pursuing those goals.
Writing employee reviews can be particularly difficult when you don't have the data you need to assess your employee's performance. That's why companies partner with a global HR platform like Remote.
With Remote HR Management, your employees can access all their data and documents from one simple platform, making employee reviews that much easier. Track time and attendance and never miss a discussion point with career journals built in the platform. That's more objective data to go over during employee reviews.
Remote HR Management helps you manage all necessary documents in one place, so you can review and set goals with your team. The platform helps you bring the best out of each team member, so you can offer actionable feedback and valuable advice.
To discover how Remote HR Management can help you run more effective employee reviews, create a free account today.
Use Remote HR Management to bring all of your team, data, and processes together in one simple platform.
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