It’s time to update the traditional performance review, which focuses largely on how the employee performed the prior year and whether they met agreed-upon goals and expectations. The annual performance review not only fails to motivate most employees but also can lead to anxiety, resentment and an erosion of the manager-employee relationship.

Executive Summary

The traditional performance review is in need of an update. Rather than one annual review that recaps the previous year's successes and failures, summing it all up in a score, managers should check in with employees at least quarterly, experts say. Leaders need to do a better job at communicating with their team, making sure they "know what good looks like" and how they fit into the bigger picture of the company's vision.

“Our biggest challenge in the modern workforce is that we have chosen the route of treating people like children to make it simpler to handle large groups of people,” said Grace McCarrick, “The Culture Coach.”

That’s why so many people these days seem to be rebelling against the idea of work, she said. “People are so angry at companies; they’re so angry at corporate…So, I think this treating people like children has really come back to bite us in the butt.”

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