Why You Need to Ditch the Annual Performance Review

Posted by The Align Team on Dec 5, 2016 12:23:24 PM

As 2016 ends, consider why you should ditch the annual performance review process, and instead communicate with your employees in a frequent rhythm throughout the year.

One study found that 98% of human resources executives don’t think that yearly reviews are useful for their organizations.  

Annual performance reviews take time away from your company’s other projects, lowering overall productivity. The subjectivity of yearly performance reviews can make team members feel inferior and undervalued, leading to a steep drop in motivation and engagement.

Why You Need to Ditch the Annual Performance Review


This isn’t to say that you should sacrifice providing your employees feedback. One of the benefits of aperformance review is that they can highlight what employees are doing right and encourage them to keep it up.

But to see real success in your company, you need to communicate with your employees more frequently than once a year. With a steady rhythm of communication in place, managers can address employee issues as soon as they arise and provide timely feedback on projects. 

With advances in technology, managers can now communicate with their employees instantaneously.

Check out our FREE 45 day trial of Align software to gain access to a wide array of communication and goal-setting tools. 

There is no excuse to check-in with your team only sporadically. Find a consistent rhythm that works for you, and stick with it. Over time, you’ll notice that frequent communication at all levels of your company will lead to higher engagement, productivity, and profit.

Learn more about how to improve your internal processes and make sure you're executing strategically. Download our Execution Checklist to get started!

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Topics: employee management, employee engagement,

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