It is that time of the year which employees look forward to with some trepidation, and which most managers dread. We’re talking about the “ritual”, as is called by executives, of performance appraisal. Unfortunately, over the years, performance appraisal discussions have earned the reputation of being neither productive nor motivating.
Fact is, there is nothing wrong with either performance appraisal or discussions. As with any other management tool, it is only as effective as the craftsman using it — in this case, the manager.
Performance conversations
Media has published a list of companies that have done away with the “bell curve” — a practice where employees are put in pre-determined performance brackets, such as excellent, very good, good, and the like. In some cases, numerical brackets, like One, Two or Three (representing the high or low of performance), are used.
While it may seem like the pressure is finally off the manager for forcibly compartmentalising employees amongst various performance categories, the reality is different. If anything, the onus on the managers to have performance conversations with their employees has become even larger, with bell curve going out the door.
Effective discussions
In companies where performance management was done effectively, managers were expected to have on-going feedback discussions with their employees, who benefited from such reviews, in case of any course-correction. Good work was appreciated and recognised, and the ratings, where they existed, were not too much of a focus.
Part of the deal of being a manager is also being able to address performance issues. In the past, this was referred to as performance counselling. However, over the years, counselling was replaced by coaching, as employees valued the distinction between the two words.
In my three decades of experience in corporate and now in leadership development, I find that managers and leaders lack the confidence while dealing with the difficult conversation of performance improvement. Managers hesitate and tend to postpone these meetings for as long as they can. Finally, when it can no longer be postponed, they do a hurried job of conveying the “bad news” to the employee, leaving the latter concerned and the manager unhappy.
The four steps
Leaders and managers need to understand that having a difficult conversation is a skill they must learn and practise. To ensure that the difficult conversations are less painful for both the manager as well as the employee, following these four simple steps can help. Simple steps, but not necessarily easy.
~~ Muster the courage : Most managers shun having such a conversation with marginal performers as it is unpleasant. But it is important for them to realise two things.
One, that hesitating to address the performance issue will not make the problem disappear. And two, the more they avoid addressing the issue, the more disservice they are doing to the employee. They have no means of improving and becoming more valuable if they do not know where they are heading.
~~ Look into the eyes : I have seen in real life as well as in workshop role-plays that managers have a problem looking into the eyes of the employee while delivering the developmental feedback.
Their discomfort is apparent, and they look everywhere — walls, roof, desk, paper — except at the employee. It is critical that managers look employees in the eye, and explain the performance challenges.
~~ Tell the truth : This is about being precise, clarifying where necessary, and providing data that employees can reflect on. Beating around the bush without coming to the point can seem comfortable, but employees seldom benefit from such vague conversations. It is important to prepare well and present the performance improvements clearly.
~~ Extend support: This is the most important step in concluding the conversation. The employee will appreciate the discussion more when the manager concludes it with how he or she intends to support the employee so that they can overcome their challenge. This also involves seeking employee views on how he or she will address the issue, and what they will do differently going forward.
Difficult conversations will not end well when managers’ have a myopic understanding of the whole process.
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