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Why Staff Appraisals are Important for your Business

 

Holding staff appraisals is a great way to examine an employee’s performance, accomplishments and growth within the business. They are generally an enlightening experience for both you and your employee. However not all managers invest enough time in them. We believe staff appraisals are important in helping you, your employees and your business.

·      Discuss staff performances - Employees generally want to know what you think of their work. They want to know if they have a future at the business or if they should start searching for a new job.  Staff appraisals give you both the opportunity to examine past projects and discuss what is expected of them going forward. This ensuring your business grows healthy and successful.

·      Set goals and targets - Staff appraisals are also a good opportunity to implement new targets/goals. You can both work together to set realistic expectations and develop a plan to ensure they are met. This way you can help your business grow smarter and ensure you are getting the best out of your staff.

·      Improves communications -Staff appraisals are a great way to improve communications between you and the employee. Being able to speak openly about work performance can strengthen the trust and support . Employees who may shy away from asking for help may feel more comfortable voicing their concerns. This is beneficial to the business as it can help prevent a small issue from escalating over time.

·      Helps weed out underperforming staff -Staff who don’t perform well can cost your organisation a huge sum of money. Holding staff appraisals helps weed out those who underperform. You can both discuss ways to support each other to ensure targets are reached. Or you can use them to identify if they are actually add value to your company. This way you can decide if you should keep them on or if it is time to start recruiting someone new.

·      Discuss pay rises and promotions –You could consider what staff members truly deserve recognition for their work. You could offer a pay rise/promotion for their hardwork and set new expectations. Alternatively you can set expectations on what staff need to do in order to get a pay rise for the next appraisal.

Though the idea of staff appraisals can be either nerve-wrecking or exciting for employees, they are necessary in the workplace. They allow employees to discuss their performance with you, mention any issues they have and opportunity to discuss a raise or promotion. They also help weed out underperforming staff which will save your business money and time lost on unproductivity.

How often do you hold staff appraisals? Do you find them a chore with little value or do you find them important in assessing which employees are happy and successful? Please add your comment below.

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