Employee performance is important to the success of any business. The company provides a fair and livable wage and expects a certain and appropriate level of effort and outcome in return. Regular performance evaluations should be implemented to monitor and maintain the workforce's productivity. These evaluations help owners and managers by providing an opportunity to discuss positive aspects of a person's performance and discuss what could be improved.
While it is acceptable to consider the return on investment that employees provide, they are still human beings with strengths, weaknesses, and autonomy of thought and emotions. It is not fair to measure their performance with a set of expectations that have not been provided or hold them accountable for tasks they are not trained to complete. That would be like taking a test on material never covered in class! When an employee is hired, there should be a structured job description that clearly outlines the important duties to be performed and the metrics by which success will be evaluated. The job description can and should be used in the job posting. Including a specific description makes it more likely qualified individuals will apply. Discussing the description and expectations during the interview process also allows potential employees to ask clarifying questions.
It is up to each operation to decide how often performance evaluations should take place. At a minimum, there should be an annual review. There may be natural times throughout the year that lend themselves to these meetings. For example, when livestock are shipped to market is a great time to discuss how the operation performed that year and the role that each individual had in those accomplishments. The beginning of the year in January or the end of the year in December are also natural times for performance evaluations. It is important to pick a time that is consistent, a time that the review will actually happen and to give employees advanced notice. Springing performance evaluations on employees is not fair to them. They should have a chance to prepare questions and consider their performance.
What does a performance review look like?
Start with positivity. Give feedback on specific things the employee is doing well. This may take some forethought on the part of management. It is powerful if, throughout the year, a conscious effort is made to notice things that have been done well. This may be as simple as recognizing they swept the shop without being asked. Be sure to praise things that are appreciated, as it will likely lead to increased performance in those areas.
Once the positive aspects of an employee's performance have been discussed and the employee feels appreciated, it is appropriate to discuss performance improvement. This is an opportunity for management to discuss areas where the employee could improve. This will include performance improvement and ways to increase their experience and knowledge. Use specific examples. Consider the difference between the following feedback: “You didn’t install the solar panels on the pump correctly!” versus, “When the solar panels on the pump were installed, they weren’t tightened down, and some of the bolts came loose,” or, “The solar panels for the pump weren’t installed high enough, and there has been some trouble with livestock rubbing on them.”
With vague feedback, the employee may be confused. If the pump is functioning as expected, it is unclear why the installation was incorrect. It is also important to evaluate if expectations were clearly outlined. Was the employee instructed on the proper height of installation? It is also helpful to ask clarifying questions. Maybe there was an understandable reason that the task was performed the way it was. Give employees a chance to explain themselves. It may be surprising how many will take ownership of a mistake when given the chance.
In addition to being clear and specific, feedback should be unemotional. What went wrong may have been extremely frustrating, but aggressive communication is counterproductive. Employees will stop listening, and the ability to improve performance will be lessened. The point can be made without raised emotion. It is also important to maintain professionalism if the employee becomes defensive or emotional. Performance evaluations should be approached with a genuine interest in the improvement of the employees – not as an opportunity to chastise.
For the employer, performance evaluations allow management to decide on and clearly outline corrective actions and the expected improvement timelines. The repercussions of not accomplishing the expected improvement should also be outlined. Those outcomes can and should include termination if expectations are not met. While each situation may be approached on its own merit, it can be helpful to have general policies concerning improvement. For example, a three-strike rule is common practice. If an individual is reprimanded or asked to improve on something three times without the desired improvement, their employment will be terminated.
At the end of the review, offer a chance for the employee to ask clarifying questions and offer suggestions. It can also be useful to ask what tools would be helpful in elevating performance or what changes might improve the operation. Set goals to be accomplished before the next evaluation, and develop a plan to accomplish those goals. Where possible, offer training and continuing education opportunities.
Employees are a business’s greatest asset. By having regular performance evaluations, management will increase the value of that asset by improving performance and supporting personal growth. Performance evaluations should be a positive experience whenever possible, goal-oriented and based on clearly outlined expectations. By investing time and thought into these important meetings, the operation will develop improved systems, efficiency and camaraderie.