The end of the year is in sight, which means that it’s performance review season. Many businesses will soon be calculating annual bonuses and salary adjustments.
That’s fine – determining rewards is a critical business process. But are performance reviews equally important? That’s less clear. Is it vital for someone to know how their manager rates their work over the year? And, most crucially, do such reviews actually help businesses to perform better?
There’s no evidence to suggest that they do. Employees and managers alike hate doing performance reviews and HR hates administering them.