THE ORIGIN OF ANNUAL REVIEWS: A BETTER VERSION OF THIS PROCESS
ROBYN CRIGGER, CEO
Though hard to believe, “Annual Reviews” actually began in 221 A.D., when an emperor used it to determine the “performance of the official family members”. Robert Owen was believed to have created this process in the early 1800’s to monitor the performance of his cotton mills in Scotland. Then in 1911 Frederick Taylor used this process to advocate the payment of incentives for individuals, who increased their output, using a scientific management application.
From 1918 to 1955 Performance Appraisals were used in manufacturing with blue-collar workers, and this process moved into managerial and professional employees around 1955.
From 1960 – 1970, the Civil Rights Act and the passing of Equal Employment Opportunity Guidelines encouraged the Federal Government to create a need for formal company appraisal practices, i.e. the use of Annual Performance Appraisals.
It is believed that now there should be “less focus on past performances, and be more focused on career development and enhancement of skills for the future.” (Well Berlin)
More workforces today are requesting more exchanges and conversations with their supervisors and managers, and more requests to learn new skills/talents to grow and help their companies to be more successful. One word used now more than ever is “Work “Culture” – a company’s “work culture” is viewed by many today as a key factor for a good place to work.
Employers are grasping how to make this happen. Some offer pizza parties or birthday celebrations for employees, but the employees are looking for something more serious. They want productive conversations with their employers and hope to see those leaders take their issues seriously by following through on issues and concerns of the employees. They want employers to “listen” and then to “invest in the workforce”. Employees want to be an asset.
A big difference from the old “Annual Reviews” is having focused conversations more than once a year – possibly 2-4 times a year. “Annual Review” concerns are often forgotten in 4-6 months.
There are new performance evaluation tools/resources now available for companies. One that Compass Career Management highly recommends is “PERFORMANCE CULTURE”. It is web-based, user friendly, customizable, and cost-efficient, while clarifying expectations, and can even improve your bottom line. This process is extremely effective.
Companies should give serious thought to switching from “annual reviews” and look into this effective performance process that is credible and productive. With this practical, efficient process you can also identify ways to enhance many good employees, making them even more of an asset to your business! Talk with Compass Career Management Solutions! This tool can offer realistic and practical insight of employees with a clear vision of their potential.